When it’s OK to be average

Here are the average deductions, by level of income, based on the latest available IRS stats.

The following are preliminary figures released by the IRS (their reports lag behind the current tax year because of the time needed to compile figures). These are averages only. [Editor’s note: Remember that there is no “average” amount that IRS accepts without the appropiate documentation.]

The numbers are useful, however, for two purposes: 1) to see if your actual deduction is out of line (so you can take extra care to document your claim); and 2) to see if the deductions meet the expectations of policymakers or as an indicator that you may not have found all the documentation for expenses you incurred.

Also, note that these averages take into account only those individuals who claimed an itemized deduction for that type of expense. Zero deductions are not factored in. Thus, the “average” taxpayer with adjusted gross income between $50,000 and $100,000 did not take an “average” medical expense deduction of $7,269, only the “average” taxpayer who itemized did.

SOURCE: Wolters Kluwer, CCH: 2013

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