For those pursuing post-high-school education, the IRS offers two potential education tax credits that can reduce your tax liability and possibly even make you eligible for a refund. It’s important to know if these credits apply for you and your family. What are the types of education tax credits? The two credits are the AmericanRead more about Do You Qualify for Education Tax Credits?[…]
If you work for an employer who withholds income taxes for you, you may never have to worry about estimated taxes. However, estimated taxes are important to know about if you have self-employment income, either full- or part-time, because if you haven’t paid enough income tax during the year, you may be faced with aRead more about What You Need to Know About Estimated Taxes[…]
If you work for a company that issues W-2s, you might have also received a form called a 1095-A, the “Health Insurance Marketplace Statement.” Why does your health insurance coverage matter at tax time? Because, according to the federal government, if you can afford to buy insurance but choose not to carry it, you mayRead more about Why Your Health Insurance Matters at Tax Time[…]
Depending on the state you live in, you may be asked at tax time if you have made any large online purchases for which you did not pay sales tax. Why is this, and what does it have to do with your tax return? When you Pay Sales Tax at the Time of Online PurchasesRead more about Online Purchases and Your Tax Return[…]
It is more and more common for children who have graduated from high school to continue to live at home. This is true for a variety of reasons. It could be that your adult child is living at home but taking college or trade school classes. Or, an adult child has medically dependent needs. The question is, as a parent, when can you claim your adult child as a dependent on your taxes to get an exemption for them?
Since each exemption is worth up to $4,050 for the 2017 tax year, it is important to know whether or not you can make an adult-child claim.
The IRS has very specific requirements on how and when you can claim an adult child as a dependent.