Virginia Standard Deduction 2026: What It Means for High Earners
Virginia’s standard deduction for 2026 is $8,750 for single filers and $17,500 for married couples filing jointly. Both are much smaller than the federal standard deduction of $16,100 for single filers and $32,200 for married couples filing jointly. (tax.virginia.gov)(irs.gov)
If you are a high earner, that smaller dollar amount is not the main issue. The bigger issues are that Virginia follows your federal choice between the standard deduction and itemizing, and Virginia has its own itemized deduction rules. Virginia’s standard deduction also rises in 2027 and 2028, then is scheduled to drop back to $3,000 and $6,000 after 2029.
What Is Virginia’s Standard Deduction for 2026?
Virginia’s 2026 standard deduction is fixed by filing status. Whether you can actually use it depends on what you did on your federal return.
The 2026 Standard Deduction Amounts by Filing Status
For 2026, the Virginia standard deduction is:
- $8,750 for single filers
- $17,500 for married couples filing jointly
- $8,750 each for married couples filing separately (if one spouse itemizes, the other must too)
Virginia does not have a separate head of household amount. If you file as head of household, you use the single amount of $8,750. (law.lis.virginia.gov)(tax.virginia.gov)
Who Can Claim the Virginia Standard Deduction?
You can claim the Virginia standard deduction if you took the standard deduction on your federal return. If you itemized on your federal return, you must itemize on your Virginia return too. (tax.virginia.gov)(law.lis.virginia.gov)
That tie to your federal return matters more than the amount itself.
How the 2026 Amount Compares With Recent Years
| Tax Year(s) | Single | Married Filing Jointly |
|---|---|---|
| 2005–2018 | $3,000 | $6,000 |
| 2019–2021 | $4,500 | $9,000 |
| 2022–2023 | $8,000 | $16,000 |
| 2024 | $8,500 | $17,000 |
| 2025–2026 | $8,750 | $17,500 |
| 2027 | $9,200 | $18,400 |
| 2028–2029 | $9,300 | $18,600 |
| 2030 and later (unless changed) | $3,000 | $6,000 |
The last row shows the scheduled sunset. (law.lis.virginia.gov)(legacylis.virginia.gov)
What Happened to the Virginia Standard Deduction Sunset?
The higher Virginia standard deduction amounts are not permanent under current law. They were extended again, but they still have an end point.
What the Original Law Said
Each increase since 2019 was written as temporary, with an end date. After that end date, the deduction would fall back to the pre-2019 amounts of $3,000 for single filers and $6,000 for married couples filing jointly. (tax.virginia.gov)(law.lis.virginia.gov)(tax.virginia.gov)
What the Virginia Legislature Changed in 2026
The 2025 session had already set 2025 and 2026 at $8,750 and $17,500. Then the 2026 budget (the 2026 Appropriation Act, House Bill 30) raised the amounts to $9,200 and $18,400 for 2027, and to $9,300 and $18,600 for 2028 and 2029, while moving the sunset to after 2029. (tax.virginia.gov)(tax.virginia.gov)
What the Rules Mean for 2026 and 2027
Your 2026 Virginia return uses $8,750 if you are single and $17,500 if you are married filing jointly. Your 2027 return uses $9,200 or $18,400. (law.lis.virginia.gov)
After 2029, the law currently schedules a drop back to $3,000 and $6,000 unless the General Assembly extends the higher amounts again. (law.lis.virginia.gov)
Standard vs. Itemized: How Virginia Makes You Choose
This is the part that changes actual tax results. The rule is simple, but the consequences are not.
Can You Itemize Federally and Take Virginia’s Standard Deduction?
“I itemized on my federal return, so I can still take Virginia’s standard deduction, right?” No. Virginia requires the same choice you made on your federal return. You make the election there, but the right choice depends on the combined federal and Virginia result. (tax.virginia.gov)
Because both returns have to match, the best choice isn’t always the one that wins on your federal return alone. What matters is which choice saves more in combined federal and Virginia tax. Sometimes that means taking the standard deduction on both returns even though itemizing would be slightly bigger federally (the $390,000 example later in this article shows how). Other times it means itemizing on both even though the federal standard deduction would be slightly bigger. You’re allowed to make either choice. (law.cornell.edu)(irs.gov)
How Virginia’s Itemized Deduction Rules Work
Virginia calculates its own itemized deductions on Virginia Schedule A. Most items, such as mortgage interest and real estate taxes, start from the federal amounts, with a few important differences:
- State and local income taxes come out. You cannot deduct Virginia income tax on your Virginia return.
- Real estate and personal property taxes generally stay deductible even when the federal cap on state and local tax deductions limits them on your federal return. Virginia’s own limit for high earners, covered next, can still apply.
- Medical expenses count only above 10% of federal adjusted gross income. (tax.virginia.gov)(law.lis.virginia.gov)
Those rules are where many high earners get surprised. The federal number and the Virginia number can look like cousins, not twins.
How Virginia Limits Can Affect High Earners
Virginia still limits itemized deductions for high earners using the federal rule as it stood before the 2025 federal tax law (the old Section 68 limit, often called the Pease limitation). It reduces itemized deductions once income passes a threshold. (tax.virginia.gov)
Federal law moved to a different limit for taxpayers in the top federal bracket starting in 2026, but Virginia did not follow that change. Virginia sets its thresholds each year. For 2026, Virginia’s draft Schedule A lists $408,900 for married filing jointly and $340,750 for single filers (final forms come out later in the year). (law.cornell.edu)(tax.virginia.gov)(tax.virginia.gov)(tax.virginia.gov)
The limit reduces affected itemized deductions but cannot eliminate all of them, and for incomes just over the line the cut is small. It can still be enough to change whether itemizing is worth it. (tax.virginia.gov)
When the Standard Deduction Can Still Win
The standard deduction can still win even when itemizing is slightly better on the federal return. Having itemized deductions above the federal standard deduction does not force you to itemize.
Assume a Virginia resident couple files jointly for 2026 with $390,000 of adjusted gross income and a mostly paid-down mortgage. Their income is below Virginia’s limitation threshold. Assume their federal itemized deductions are:
- $22,000 of Virginia income tax
- $7,000 of real estate tax
- $4,000 of mortgage interest
That gives them $33,000 of federal itemized deductions. The 2026 federal standard deduction for married filing jointly is $32,200, so itemizing beats it by $800.
If we assume a 24% federal rate, that $800 difference saves about $192 in federal tax:
- $800 × 24% = $192
So far, itemizing looks better. But because they itemized federally, they must itemize in Virginia too.
Virginia removes the $22,000 of Virginia income tax. That leaves:
- $33,000 – $22,000 = $11,000
Virginia’s standard deduction for a joint return is $17,500, so their Virginia itemized amount falls short by:
- $17,500 – $11,000 = $6,500
At Virginia’s 5.75% top rate, that costs about $374 in Virginia tax:
- $6,500 × 5.75% = $373.75
- Rounded, about $374
Now compare the two effects:
- Federal benefit from itemizing: about $192
- Virginia cost from being forced to itemize: about $374
Taking the standard deduction on both returns leaves them about $182 ahead:
- $374 – $192 = $182
That is a small result, not a life-changing one, but it shows why the choice has to be modeled, not assumed.
Other Virginia Tax Breaks High Earners Should Check
The standard deduction is only one part of your Virginia return. A few other items can matter, even if some are modest.
Virginia Personal Exemptions
Virginia gives you a $930 personal exemption for yourself, your spouse, and each dependent. Only you and your spouse (not dependents) get an extra $800 each at 65 or older, and another $800 if blind.
You get these exemptions whether you take the standard deduction or itemize, and they do not phase out at higher incomes. (law.lis.virginia.gov)(tax.virginia.gov)
The Virginia Age Deduction
Virginia also allows an age deduction of up to $12,000 for each taxpayer age 65 or older, whether you take the standard deduction or itemize. For anyone born after January 1, 1939, it shrinks dollar for dollar once income passes $50,000 for single filers or $75,000 for married taxpayers. Most high earners get none of it. The income figure is your federal adjusted gross income with Virginia’s conformity adjustments, minus any taxable Social Security or Tier 1 Railroad Retirement benefits. Taxpayers born on or before January 1, 1939 get the full $12,000 regardless of income. (law.lis.virginia.gov)(tax.virginia.gov)
Other Deductions and Adjustments That May Apply
A few other Virginia deductions and adjustments can matter. Examples include:
- Contributions to a Commonwealth Savers account, such as Invest529
- The military benefits subtraction
These are separate from the standard-or-itemize choice and apply either way. (tax.virginia.gov)
How Much Is the Virginia Standard Deduction Actually Worth?
The deduction amount is not the same as the tax savings. That distinction matters when you are deciding whether something is meaningful or just a number on paper.
Why a $17,500 Deduction Does Not Mean $17,500 in Tax Savings
A deduction lowers taxable income, not tax. For high earners, the relevant Virginia income tax rate is 5.75%. (law.lis.virginia.gov)
That means the $17,500 joint standard deduction saves about $1,006:
- $17,500 × 5.75% = $1,006.25
And the $8,750 single standard deduction saves about $503:
- $8,750 × 5.75% = $503.13
A Simple High-Earner Example
Take a Virginia couple filing jointly with $280,000 of adjusted gross income, below Virginia’s limitation threshold. Their federal itemized deductions total $50,000, including $15,000 of Virginia income tax, so they itemize federally. Virginia strips out the $15,000 and still leaves $35,000. That is $17,500 more than Virginia’s standard deduction, worth about $1,006 in Virginia tax ($17,500 × 5.75%). When deductions sit this far above both standard deductions, itemizing wins on both returns.
Should a High Earner Take the Standard Deduction or Itemize?
The choice is made on the federal return and carries over to Virginia, so “model both” means comparing the combined federal and Virginia result.
| Taxpayer situation | What to consider | Likely approach |
|---|---|---|
| High income, few itemized deductions | Itemized deductions might fall below the federal standard deduction | Standard deduction may win |
| High mortgage interest and substantial qualifying deductions | Compare combined federal and Virginia tax under each choice | Model both |
| Significant charitable giving | Contributions may materially increase itemized deductions | Model both |
| High income subject to Virginia itemized deduction limitations | Some itemized deductions may be reduced | Calculate the Virginia limitation first |
| Age 65+ | Check eligibility for Virginia’s age deduction and applicable income limits | Age deduction applies either way; high incomes phase it out unless you were born on or before January 1, 1939 |
| Federal return itemized, Virginia amount different | You must match your federal choice, but Virginia removes state income taxes and applies its own limits | Calculate the Virginia amount separately |
| Major year-end tax or charitable decisions | Timing can affect both federal and Virginia tax results | Model before year-end |
How to Calculate Your Virginia Deduction
If you want a clean process, use these five steps.
Step 1: Determine Your Filing Status
Your Virginia filing status generally follows your federal one, though joint federal filers may file separately in Virginia. (tax.virginia.gov)
Step 2: Calculate Your Standard Deduction
Use the amounts listed above for your filing status, and the table for other tax years.
Step 3: Calculate Allowable Itemized Deductions
Complete Virginia Schedule A rather than adjusting your federal total by hand. It applies the Virginia rules described earlier in this article. (tax.virginia.gov)
Step 4: Apply Virginia Limitations
If your income is above Virginia’s threshold for the year, reduce your itemized deductions using the limited itemized deduction worksheet on Virginia’s Schedule A. (tax.virginia.gov)
Step 5: Compare the Actual Tax Impact
Compare your combined federal and Virginia tax under two scenarios:
- Standard deduction on both returns.
- Itemizing on both returns.
Do not compare the Virginia deduction by itself. That can point you in the wrong direction.
How Federal and Virginia Tax Planning Interact
Your federal return and Virginia return move together on the standard-versus-itemized choice, but the numbers inside them do not match.
Why Federal and Virginia Results Can Differ
Federal and Virginia results can differ because the standard deduction amounts are very different, Virginia removes state income taxes from itemized deductions, real estate and personal property taxes generally are not subject to the federal cap on state and local tax (SALT) deductions, medical expenses face a 10% floor instead of the federal 7.5%, and Virginia keeps the older itemized deduction limit discussed above. (law.cornell.edu)(tax.virginia.gov)
Charitable Giving and Itemization
Bunching charitable contributions into one year can push your itemized deductions above the federal standard deduction in that year. One common tool is a donor-advised fund, which lets you deduct the contribution now and recommend later which charities receive grants from the account. (irs.gov)(irs.gov)
Virginia follows the federal choice. If bunching makes itemizing the better combined choice in that year, both returns itemize. In the off years, both returns may take the standard deduction.
SALT and High-Income Taxpayers
The federal cap on state and local tax deductions (the SALT cap) is $40,400 for 2026 ($20,200 if married filing separately). It shrinks above $505,000 of modified adjusted gross income ($252,500 if married filing separately), but never below $10,000 ($5,000 if married filing separately). (law.cornell.edu)
Virginia income tax is deductible on the federal return only within that cap, and never on the Virginia return. For owners of S-Corps and partnerships, Virginia’s elective pass-through entity tax can let the business pay and deduct the state tax, outside the federal cap. Virginia made that election permanent in 2026, so it is available for 2026 and later years. The election can also change your federal itemized deductions, because some Virginia tax you would have paid personally is paid by the business instead. How much depends on your own withholding, estimated payments, and refunds, so rerun the standard-versus-itemized comparison after modeling the election. (tax.virginia.gov)(tax.virginia.gov)(irs.gov)
Why Year-End Planning Should Consider Both Returns
Charitable giving and the pass-through entity tax election each affect both returns. Charitable contributions count in the year you make them. The pass-through entity tax election has a later deadline, tied to the business’s return, but the business deducts the tax in the year it pays it. (irs.gov)(law.lis.virginia.gov)(irs.gov)
What This Means for Your 2026 and 2027 Tax Planning
The easiest mistake is to focus on the Virginia deduction amount by itself. The better move is to review the few levers that can still change the result before year-end.
What to Review Before December 31, 2026
- Whether you will itemize federally
- Whether to bunch charitable contributions
- Whether a business you own should make the pass-through entity tax election for 2026
- Whether you are near the federal standard deduction line
What Changes in 2027
The Virginia standard deduction rises to $9,200 for single filers and $18,400 for married couples filing jointly in 2027. (law.lis.virginia.gov)
For joint filers, the increase is $900:
- $18,400 – $17,500 = $900
- $900 × 5.75% = $51.75
That is worth about $52.
For single filers, the increase is $450:
- $9,200 – $8,750 = $450
- $450 × 5.75% = $25.88
That is worth about $26. Both figures assume you take the standard deduction; if you itemize, the increase doesn’t change your tax.
After that, the amounts rise to $9,300 and $18,600 for 2028 and 2029. Then the law currently schedules the drop after 2029. (tax.virginia.gov)
When Should a CPA Model Your Virginia Deduction?
Have a CPA run the combined federal and Virginia numbers before year-end if your itemized deductions are close to the federal standard deduction, you’re planning a large charitable year, or your business is weighing the pass-through entity tax election. Those are the cases where a small change can flip the right answer.
Final Thoughts
Virginia’s standard deduction for 2026 is easy to state and worth only about $500 to $1,000 in tax for high earners. What matters more is whether your federal choice gives you the best combined result, so compare your combined federal and Virginia tax under two complete scenarios: standard deduction on both returns, or itemizing on both.
The rules are also changing on a schedule. The deduction rises in 2027, rises again for 2028 and 2029, then is set to fall sharply after 2029 unless lawmakers act again. If your deductions are close, or you have large charitable contributions, real estate taxes, or pass-through business income, a quick model before year-end can save you from making a very confident and slightly expensive mistake.
FAQ – Virginia Standard Deduction 2026
What Is the Virginia Standard Deduction for 2026?
The Virginia standard deduction for 2026 is $8,750 for single filers and $17,500 for married couples filing jointly. If you are married filing separately, each spouse claims $8,750, unless one spouse itemizes, in which case both must.
What Is the Virginia Standard Deduction by Filing Status?
For 2026, the amounts are $8,750 for single filers, $17,500 for married filing jointly, $8,750 each for married filing separately, and $8,750 for head of household filers.
Is Virginia’s Standard Deduction the Same as the Federal Standard Deduction?
No, Virginia’s standard deduction is much smaller than the federal standard deduction. For 2026, the federal amounts are $16,100 for single filers and $32,200 for married couples filing jointly, compared with Virginia’s $8,750 and $17,500.
Can I Itemize on My Federal Return and Take Virginia’s Standard Deduction?
No, you cannot. Virginia follows your federal choice, so if you itemize federally, you must itemize on your Virginia return too.
Should High Earners in Virginia Take the Standard Deduction or Itemize?
It depends on the combined federal and Virginia result. The comparison table and the $390,000 example above show how similar facts can point in different directions.
Does Virginia Limit Itemized Deductions for High Earners?
Yes, Virginia can reduce itemized deductions once income passes its threshold for the year. For 2026, Virginia’s draft Schedule A sets that threshold at $408,900 for married filing jointly and $340,750 for single filers.
What’s the Virginia Personal Exemption Amount for 2026?
The Virginia personal exemption is $930 for you, your spouse, and each dependent. You and your spouse, but not dependents, also get an extra $800 each at 65 or older, and another $800 if blind.
Do High Earners Qualify for Virginia’s Age Deduction?
Usually not. It phases out dollar for dollar above modest income limits, except for taxpayers born on or before January 1, 1939.
Is the Virginia Standard Deduction Changing in 2027?
Yes, it increases in 2027. The amounts rise to $9,200 for single filers and $18,400 for married couples filing jointly, then to $9,300 and $18,600 for 2028 and 2029.