News - Child tax credit
Having or adopting a child: Claiming a son or daughter as a dependent may significantly reduce federal tax liability. A parent may be entitled to a $3,700 exemption per dependent as well as a Child Tax Credit of up to $1,000 per qualifying child. Those who adopt a child and pay adoption expenses may be able to claim a refundable credit for qualified expenses of up to $13,360 per child. Continuing an education (for yourself, spouse, or dependent child): Up to $2,500 of student loan interest paid may be claimed as a direct deduction against your income. The loan must be for tuition, fees, books, and other qualified expenses for a student enrolled half-time or more.Making energy efficient improvements to your home: Common changes to improve your home's energy efficiency can also lower your tax expense. Adding insulation, energy-efficient heating and air conditioning systems or installing energy-efficient exterior windows may qualify for the Non-business Energy Property Credit. Up to 10 percent of the cost of all qualifying improvements may be available, for a total lifetime credit limit of $500.Working independently or self-employed: Given the challenging economy and employment landscape, many consumers established their own businesses this year or started work as independent contractors. Taxpayers who are newly self-employed can directly deduct all expenses for their business against their income. Expenses such as advertising, supplies, office supplies, equipment, phones, and the applicable costs of owning and driving a vehicle are all allowed deductions that can reduce your total taxes.Caring for an adult parent financially:
PARSIPPANY, N.J., April 4, 2011 /PRNewswire/ -- With the April 18, 2011, tax filing deadline quickly approaching, one of the most common errors made by taxpayers is that they mistakenly don't report items on tax returns that could help them.
PARSIPPANY, N.J., Nov. 30, 2010 /PRNewswire/ -- With 2010 quickly coming to a close, Jackson Hewitt Tax Service® encourages taxpayers to review the major life events that took place over the past twelve months with an eye toward possible tax implications.
PARSIPPANY, N.J., Feb. 18 /PRNewswire-FirstCall/ -- Not everyone is required to file an annual tax return. However, hundreds of changes to the tax code for 2009 present advantages for many individuals to file - even if they are not obligated to by law.