Itemized deductions (2023)

Beginning with tax year 2018, the Tax Law allows you to itemize your deductions for New York State income tax purposes whether or not you itemized your deductions on your federal income tax return. See TSB-M-18(6)I, New York State Decouples from Certain Personal Income Tax Internal Revenue Code (IRC) Changes for 2018 and after, for more information on this change.

In general, your New York itemized deductions are computed using the federal rules as they existed prior to the changes made to the Internal Revenue Code (IRC) by the Tax Cuts and Jobs Act (Public Law 115-97).

New York State itemized deductions are reported on Form IT-196, New York Resident, Nonresident, and Part-Year Resident Itemized Deductions. For certain New York itemized deduction computations, the instructions for Form IT-196 may refer you to this webpage for additional information or instruction.

We briefly describe the difference between federal and New York State itemized deduction rules below. In addition, we provide links to specific current and prior year Internal Revenue Service (IRS) forms and publications to help you compute your New York itemized deductions.

Select the tax year:

2023 New York itemized deductions

Note: The information in the links below should be used in addition to the 2023 Form IT-196, New York Resident, Nonresident, and Part-Year Resident Itemized Deductions, and its instructions.

Information

Medical and dental expenses

For specific information on what—and whose—expenses you can and cannot claim as an itemized deduction, see:

2023 federal Schedule A, line 1 and its instructions
2023 IRS Publication 502, Medical and Dental Expenses

Taxes you paid

For federal purposes, your total itemized deduction for state and local taxes paid in 2023 is limited to a combined amount not to exceed $10,000 ($5,000 if married filing separate). In addition, you can no longer deduct foreign taxes you paid on real estate. For New York purposes (Form IT-196, lines 5, 6, and 7), your state and local taxes paid in 2023 are not subject to the federal limit and you can deduct foreign taxes you paid on real estate (Form IT-196, line 8).

For specific information, see:

2017 federal Schedule A instructions for lines 5 through 8
2023 federal Schedule A, lines 5a, 5b, 5c, and 5d; and its instructions

Interest you paid

For federal purposes, the itemized deduction rules for home mortgage and home equity interest you paid in 2023 have changed from what was allowed as a deduction for tax year 2017. For New York purposes (Form IT-196, lines 10 and 11), these changes do not apply.

For specific information, see:

2017 federal Schedule A instructions for lines 10, 11, and 12
2017 IRS Publication 936, Home Mortgage Interest Deduction
- page 9, Limits on Home Mortgage Interest Deduction
2023 federal Schedule A instructions for line 9

Gifts to charity

For New York purposes (Form IT-196, lines 16 through 18), your New York itemized deduction for gifts to charity is computed using the federal rules that applied to tax year 2023.

For specific information on charitable contributions, see:

2023 federal Schedule A instructions for lines 11, 12, and 13

Casualty and theft losses

For federal purposes, you can no longer claim an itemized deduction for a casualty or theft loss unless it is the result of a federally declared disaster. For New York purposes (Form IT-196, line 20), you can claim casualty and theft losses. However, for a casualty loss that is the result of certain federally declared disasters (Form IT-196, line 37), see Other miscellaneous deductions, below.

2017 IRS Publication 547, Casualties, Disasters, and Thefts:
- page 3, Special Procedure for Damage from Corrosive Drywall and Special Provision for Damage from Deteriorating Concrete Foundation
- page 5, Figuring a Loss, including information on leased property or loss of inventory
- page 12, Postponement of Gain
2017 IRS Publication 523, Selling Your Home, main home destroyed
2017 Federal Form 4797, Sales of Business Property, and its instructions (information for partners and shareholders)
IRS Publication 551 (12/18), Basis of Assets, page 7, Basis other than cost
2017 Federal Form 8829, Expenses for Business Use of Your Home, and its instructions
2017 Federal Form 8582, Passive Activity Loss Limitations, and its instructions
IRS Publication 4895 (10/11), Tax Treatment of Property Acquired From a Decedent Dying in 2010
IRS Revenue Ruling 2009-9, Tax Treatment of Losses
Internal Revenue Bulletin 2011-50
- page 849, Theft losses from fraudulent investment arrangements
Internal Revenue Bulletin 2009-14
- page 735, Tax treatment of losses
- page 749, provides an optional safe harbor method for eligible taxpayers to deduct theft losses from criminally fraudulent investment arrangements that take the form of "Ponzi" schemes
IRS Revenue Procedure 2009-20
IRS Revenue Procedure 2011-58

Job expenses and certain miscellaneous deductions

For federal purposes, you can no longer claim an itemized deduction for job expenses and certain miscellaneous deductions that were subject to the 2 percent of FAGI limitation. For New York purposes (Form IT-196, lines 21 through 24), you can claim these deductions:

2017 IRS Publication 463, Travel, Entertainment, Gift, and Car Expenses
2023 IRS Publication 463, Travel, Gift, and Car Expenses
2017 IRS Publication 529, Miscellaneous Deductions
2017 IRS Publication 587, Business Use of Your Home Including Use by Daycare Providers
2017 IRS Publication 517, Social Security and Other Information for Members of the Clergy and Religious Workers
2017 IRS Publication 970, Tax Benefits for Education, job related education expenses
2017 Federal Form 2106, Employee Business Expenses, and its instructions
2023 Federal Form 2106, Employee Business Expenses, and its instructions
2023 IRS Publication 946, How To Depreciate Property
2017 Federal Form 4562, Depreciation and Amortization (Including Information on Listed Property), and its instructions
2023 Federal Form 4562, Depreciation and Amortization (Including Information on Listed Property), and its instructions

Other itemized deductions

For federal purposes, the rules for deducting gambling losses have changed. For New York income tax purposes, gambling loss deductions are limited to the amount of gambling income reported on your return. Other itemized deductions are claimed on Form IT-196, lines 29 through 37.

2017 IRS Publication 547, Casualties, Disasters, and Thefts
2017 IRS Publication 559, Survivors, Executors, and Administrators
2017 IRS Publication 550, Investment Income and Expenses (including Capital Gains and Losses), Chapter 3, Bond Premium Amortization
2017 IRS Publication 525, Taxable and Nontaxable Income
2017 IRS Publication 575, Pension and Annuity Income

Updated: December 16, 2024