The IRS allows you to take the standard deduction to help reduce your taxable income. The standard deduction is a fixed dollar amount defined by the IRS that varies based on your filing status. You can choose to take the standard deduction OR itemize your deductions (certain medical expenses, charitable donations, home mortgage interest, etc.), which can involve a bit more work. The standard deduction amount may vary depending on your filing status and/or your total income level. Keep in mind that these deductions are personal, not business, and therefore are claimed on the personal Form 1040, not your Schedule C or other business filing form.