What Is the Bonus 'Guaranteed' Standard Deduction?

A proposed Republican tax cut package contains a temporary 'bonus' of up to $4,000 for the current standard deduction. Could it help?

Picture of the U.S. Capitol building for bonus standard deduction story
(Image credit: Getty Images)

Not long after Congress averted the debt limit crisis through bipartisan legislation signed by President Biden, Republicans in the U.S. House of Representatives have proposed $237 billion in tax cuts. As Kiplinger reported, the House GOP tax cut package is a trio of bills covering a broad range of potential tax changes, including a temporary, bonus standard deduction called the “guaranteed deduction.”

“This bonus will help ease the burden of inflation and allow families to spend their hard-earned wages the way they see fit,” Rep. Michelle Steel (R-Calif.) said in a statement regarding the bill. Steel, a member of the House Ways and Means Committee, introduced the proposal earlier this month alongside fellow Ways and Means member Rep. Nicole Malliotakis (R-NY). 

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Kelley R. Taylor
Senior Tax Editor, Kiplinger.com

As the senior tax editor at Kiplinger.com, Kelley R. Taylor simplifies federal and state tax information, news, and developments to help empower readers. Kelley has over two decades of experience advising on and covering education, law, finance, and tax as a corporate attorney and business journalist.