Howard, age 82, dies on January 2, 2012.On Howard's final income tax return, the full amount of the basic and additional standard deductions will be allowed even though Howard lived for only 2 days during the year.

Question

Quizplus · Accepted Answer

The basic and additional standard deductions are prorated for the number of days a taxpayer lived during the year. However, when a taxpayer dies during the year, the full amount of the deductions is allowed on their final income tax return. Therefore, in Howard's case, he would be allowed to claim the full amount of the basic and additional standard deductions on his final tax return even though he lived for only 2 days during the year.

Howard, Age 82, Dies on January 2, 2012