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itemized deduction versus standard deduction what is that hey taxpayers its tiffany gonzalez cpa here founder and ceo of accounting scale and were back with another installment of what is that where we discuss financial terms you may have heard but we make them super easy to understand [Music] today were talking about one of my favorite topics but likely not one of yours today were talking about taxes specifically tax deductions so tune in and lets get started right at the beginning itemized versus standard deductions what is that i first want to start off by explaining what a tax deduction is essentially you make a certain amount of income and a tax deduction reduces the amount of that income so that your taxable income goes down and by default your taxes also go down a tax deduction is not a dollar for dollar reduction of your tax it is a reduction of your income for example lets say you make sixty thousand dollars and you have a one thousand dollar tax deduction your sixty th
