Popular Non-Refundable Tax Credits You Should Know About
These credits can reduce your tax liability to zero but do not provide you with a refund. Here are some examples: Child Tax Credit: There are seven tests to help determine if your child is eligible. These tests include age, relationship, support, and residence. If the...
Refundable Tax Credits You Should Know About
A refundable tax credit can reduce your tax liability below zero, which means you can receive a tax refund from this form of credit. Here are some examples:Earned Income Tax Credit: This credit is designed for lower-income individuals and families who are working. The...
Reporting Gambling Winnings & Losses
Money gained through gambling is considered taxable income. All cash winnings must be included, along with the fair market value of non-cash prizes won through gambling. You can claim gambling losses as a deduction but will not be allowed to claim more than your...
Help Reporting Your Rental Income & Expenses
Rental income is taxable, but not everything you collect from your tenants is taxed. You can lower your rental income by subtracting the expenses incurred when getting your property ready for rent and then keeping it maintained as a rental. Rental income and expenses...
Help with Pension & Annuity Income On Personal Tax Returns
All or some of the amounts you receive could be taxable if you get retirement benefits from annuity or pension payments. They are fully taxable if you have no investment in the contract because you didn’t contribute anything for the pension or annuity, your employer...
Cancellation of Debt Income On Personal Residence
If you lose your home through foreclosure or have restructured your mortgage loan, you could qualify for tax relief under the Mortgage Forgiveness Debt Relief Act. You can exclude up to $2 million of debt forgiven by or cancelled by a lender on your personal...
Social Security & Tier 1 Railroad Benefits
If you receive either of these benefits, you will receive a Form SSA-1099, which will let you know how much money you received in benefits. Social Security benefits include disability, retirement, and survivor benefits. If your only form of income is Social Security,...
How Arizona Residents Claim Their Education Credits
These include the American Opportunity Credit and Lifetime Learning Credit. The full value of education credits is available to single taxpayers with a modified AGI of $63,000 a year or less and to married couples filing jointly with an income of $127,000 a year or...
How Arizona Residents Claim Their Child Tax Credits
Depending on your income, the child tax credit can be worth up to $1,000 per qualifying child under the age of 17. There are various criteria you need to meet: The child has to be claimed as a dependent on your tax return.The child must be a U.S. citizen.The child...
Standard Deductions Allowed in Arizona & Federal Tax Returns
The amount of the standard deduction you will receive depends on the filing status you qualify for. In 2014, single taxpayers who file separate returns can claim a standard deduction of $6,200; this amount also applies to married couples who file separately. If you...