Tax Credits And Deductions
These May Reduce Your Tax Liability
A refundable additional child tax credit may be available to those who qualify and have not used up the available child tax credit. A military taxpayer’s nontaxable combat pay is added to the earned income which may give a larger credit. The percentage used to determine the credit is 15% of the earned income over $3,000.
Generally, you can depreciate the amount you spend for tools used in your work. Some of the other expenses you may deduct include union dues, job-related magazines and books, and other related business expenses. If your employer requires you to wear work clothes or uniforms...
You should not overlook medical deductions for which you qualify. Hearing aids, eyeglasses, contact lenses, hospital fees for nursing, physical therapy, lab tests and x-rays are all deductible. You may also deduct mileage driven to fill prescriptions at 24 cents per mile driven....
Taxpayers can exclude from income distributions from IRAs made directly to a charity through December 31, 2014. The maximum contribution limit for 2014 is $100,000.