{"id":6815,"date":"2022-07-13T10:00:00","date_gmt":"2022-07-13T15:00:00","guid":{"rendered":"https:\/\/hoorfarlaw.com\/blog\/?p=6815"},"modified":"2022-07-08T15:13:40","modified_gmt":"2022-07-08T20:13:40","slug":"year-round-tax-planning-all-taxpayers-should-understand-eligibility-for-credits-and-deductions","status":"publish","type":"post","link":"https:\/\/hoorfarlaw.com\/blog\/?p=6815","title":{"rendered":"Year-round tax planning: All taxpayers should understand eligibility for credits and deductions"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Tax credits and deductions can help lower the amount of tax owed. All taxpayers should begin <a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMjgsInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L2luZGl2aWR1YWxzL3N0ZXBzLXRvLXRha2Utbm93LXRvLWdldC1hLWp1bXAtb24tbmV4dC15ZWFycy10YXhlcyJ9.7-ModEzce0p7j2Yg9rAzBZRaHatafr7bBwUECAVEijo\/s\/855127662\/br\/133398982331-l\">planning now<\/a> to take advantage of the credits and deductions they are eligible for when they file their 2022 federal income tax return next year.<br><br><strong>Here are a few facts that can help taxpayers with their year-round tax planning<\/strong>:<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"alignright size-full is-resized\"><a href=\"http:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS.jpe\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS.jpe\" alt=\"\" class=\"wp-image-2559\" width=\"106\" height=\"105\" srcset=\"https:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS.jpe 226w, https:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS-150x150.jpe 150w\" sizes=\"auto, (max-width: 106px) 100vw, 106px\" \/><\/a><figcaption>Courtesy of the Internal Revenue Service<\/figcaption><\/figure>\n<\/div>\n\n\n<ul class=\"wp-block-list\"><li>Adjusted Gross Income, or AGI, is a taxpayer\u2019s total gross income minus specific deductions that can reduce the taxpayer\u2019s income before calculating tax owed. AGI is the starting point for calculating taxes and determining a taxpayer\u2019s eligibility for certain tax credits and deductions that can help lower their tax bill.<\/li><li><a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMjksInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L2Zvcm1zLXB1YnMvYWJvdXQtcHVibGljYXRpb24tNTI1In0.h-jZSnwWPXMrJ9EIHs9MQMmrsgfcWL90hE_wls9n2DU\/s\/855127662\/br\/133398982331-l\">Taxable income<\/a> is a taxpayer\u2019s AGI minus the\u00a0<a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMzAsInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L2Zvcm1zLXB1YnMvYWJvdXQtcHVibGljYXRpb24tNTAxIn0.aLOFOLjaFGu2wELcyZVNYc7LGzV99mb3VSGiFfTCjcI\/s\/855127662\/br\/133398982331-l\">standard deduction<\/a> or <a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMzEsInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L3RheHRvcGljcy90YzUwMSJ9.ozOeyOV0hyGNHjDRSzywJa2yo6NQMunwQZA7u77S9Zg\/s\/855127662\/br\/133398982331-l\">itemized deductions<\/a>, whichever is greater.<\/li><li>The standard deduction is a set dollar amount that reduces taxable income. Most taxpayers have a choice of either taking a standard deduction or itemizing their deductions and using the option that lowers their tax the most.<\/li><li>Properly claiming <a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMzIsInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L2NyZWRpdHMtYW5kLWRlZHVjdGlvbnMifQ.EF8AazTWuNq-HvsOiwuT5zmXHTJJ1FyvClsh3vL3tyw\/s\/855127662\/br\/133398982331-l\">tax credits<\/a> can reduce taxes owed or boost refunds.<\/li><li>Some tax credits, like the <a href=\"https:\/\/lnks.gd\/l\/eyJhbGciOiJIUzI1NiJ9.eyJidWxsZXRpbl9saW5rX2lkIjoxMzMsInVyaSI6ImJwMjpjbGljayIsImJ1bGxldGluX2lkIjoiMjAyMjA2MjIuNTk3MzQzOTEiLCJ1cmwiOiJodHRwczovL3d3dy5pcnMuZ292L2NyZWRpdHMtZGVkdWN0aW9ucy9pbmRpdmlkdWFscy9lYXJuZWQtaW5jb21lLXRheC1jcmVkaXQtZWl0YyJ9.5lEFH4svHRSYOIBUAPnkVp0I-PO5v3el8Y2HSNaLq0w\/s\/855127662\/br\/133398982331-l\">earned income tax credit<\/a>, are refundable, which means an eligible taxpayer can get money refunded to them even if they don&#8217;t owe any taxes.<\/li><li>To claim a deduction or credit, taxpayers should keep records that show their eligibility for it.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Need tax assistance? Call our office at 816-524-4949 or<a href=\"https:\/\/calendly.com\/hoorfarlaw\"> click here <\/a>to schedule a consultation.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Tax credits and deductions can help lower the amount of tax owed. All taxpayers should begin planning now to take advantage of the credits and deductions they are eligible for when they file their 2022 federal income tax return next &hellip; <a href=\"https:\/\/hoorfarlaw.com\/blog\/?p=6815\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[],"class_list":["post-6815","post","type-post","status-publish","format-standard","hentry","category-taxation"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6815","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6815"}],"version-history":[{"count":1,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6815\/revisions"}],"predecessor-version":[{"id":6816,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6815\/revisions\/6816"}],"wp:attachment":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6815"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6815"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}