Final answer:
True, many taxpayers switch from itemizing to claiming the standard deduction at age 65 due to the increased deduction amount, which may simplify filing and reduce tax liability. The correct option is A. True
Step-by-step explanation:
The statement is True: once many taxpayers reach age 65, they often switch from itemizing their deductions from adjusted gross income (AGI) to claiming the standard deduction. This is because the standard deduction amount increases for taxpayers who are 65 or older, possibly making it more beneficial than itemizing deductions.
Taxpayers determine their taxable income by subtracting either their standard deduction or their itemized deductions from their AGI, and for those with simpler tax situations or fewer itemized deductions, taking the standard deduction can simplify the filing process and potentially reduce tax liability. The correct option is A. True