What are the Assumptions for State Income Tax Deductions?
The Boldin model exclusively uses each state’s standard deduction when estimating taxes at the state level.
Is this a Change?
Yes, prior to July 24, 2025 we applied federal itemized deduction logic across all states with income tax as a general approximation.
What is the Rationale for this Change?
We updated our approach in order to provide more reliable and straightforward state tax estimates.
While many states do offer itemized deductions, their rules often differ significantly from the federal model or don’t allow itemizing at all. This mismatch led to inaccuracies or inconsistent results across different states.
When will the Model Incorporate Itemized Deductions at the State Level?
While we do not have an exact date, we plan to further refine the itemized deductions at the state and federal level in a future release.