What Tax Breaks Can I Get This Year?

Jan 13, 2024

Tax credits are reductions in the amount of taxes owed and can provide significant financial benefits. Common tax credits for 2023 include the Child and Dependent Care Tax Credit, Earned Income Tax Credit, American Opportunity Tax Credit, Lifetime Learning Credit, Adoption Tax Credit, Child Tax Credit, and Retirement Savings Contributions Credit. Eligibility for each credit depends on factors such as income, expenses, and family status.

What Are the Community Property Rules for Federal Income Tax Returns?

Feb 19, 2024

The term "community property" describes how a married couple's assets are treated under the law in certain states in the United States. In a marriage, both partners share equally in the breadwinner's earnings and the ownership of all tangible and intangible assets acquired by either partner during the marriage.

How Taxes Work Out When You Sell Stocks

Dec 08, 2023

Trading stocks might significantly impact your tax liability. If you sold the stock for more than you bought it, you might have to pay capital gains tax. Capital losses may be deducted from taxable income.

What You Should Consider About The Investment Interest Expense Deduction

Jan 25, 2024

Tax breaks and other provisions exist in the federal tax law to entice financial investments. One of them is the ability to write off interest paid on investments. Although there are limits on the amount and types of investments that qualify for something like the interest deduction, it is possible to write off interest payments made when using borrowed funds for investing purposes. Interest paid on a loan taken out to purchase an investment, for instance, a margin loan or a mortgage on investment property, is an example of investment interest expenditure. Divide the profits and losses from an investment that serves your personal and commercial interests.