If you make qualified energy-efficient improvements to your home after Jan. 1, 2023, you may qualify for a tax credit up to $3,200. You can claim the credit for improvements made through 2032.
Changes to the tax code mean your refund could be noticeably bigger. The deadline for most Americans to file their federal tax return has passed. And while the IRS is still processing paperwork, refunds for tax year 2023 are tracking considerably higher than they were in 2022.
Dependent Exemption: each dependent claimed on a tax return is typically worth $2,000. This means that for every dependent you qualify to claim, you can reduce your taxes by this amount, potentially resulting in lower tax liability or a higher tax refund.
Deductible house-related expenses
The costs the homeowner can deduct are: state and local real estate taxes, subject to the $10,000 limit. home mortgage interest, within the allowed limits.
For single taxpayers and married individuals filing separately, the standard deduction rises to $13,850 for 2023, up $900, and for heads of households, the standard deduction will be $20,800 for tax year 2023, up $1,400 from the amount for tax year 2022.
Child Tax Credit (partially refundable)
If you have a child, you may be eligible for the Child Tax Credit. For 2024, the credit is up to $2,000 per qualifying child.
Any necessary repair that keeps your property in a rentable condition can be deducted. This encompasses everything from fixing a leaky faucet to replacing a broken window and beyond. That said, as mentioned above, improvements that add value to the property must be depreciated over time.
In 2023, the standard deduction was $13,850 for single filers, $27,700 for married filing joint taxpayers. With the Tax Cuts and Jobs Act, many of the previously allowed itemized deductions are limited or suspended. This means many taxpayers that itemized before will no longer be able to itemize on their tax return.
Between $25,000 and $34,000, you may have to pay income tax on up to 50% of your benefits. More than $34,000, up to 85% of your benefits may be taxable.
Standard deductions.
For single taxpayers and married individuals filing separately for tax year 2025, the standard deduction rises to $15,000 for 2025, an increase of $400 from 2024. For married couples filing jointly, the standard deduction rises to $30,000, an increase of $800 from tax year 2024.
If you only use your car for personal use, then you likely can't deduct your car insurance premiums from your taxable income. Generally, you need to use your vehicle for business-related reasons (other than as an employee) to deduct part of your car insurance premiums as a business expense.
The itemized deduction for mortgage insurance premiums has expired. You can no longer claim the deduction.
The amount of your tax refund depends on several factors including filing status, deductions and credits. Itemizing tax deductions and claiming lesser-known credits are among the ways to boost your refund. Tax deductible contributions can be made to traditional IRAs and health savings accounts up until tax day.
By placing a “0” on line 5, you are indicating that you want the most amount of tax taken out of your pay each pay period. If you wish to claim 1 for yourself instead, then less tax is taken out of your pay each pay period.
To meet the qualifying child test, your child must be younger than you or your spouse if filing jointly and either younger than 19 years old or be a "student" younger than 24 years old as of the end of the calendar year.
You can't claim the EIC unless your investment income is $11,600 or less. If your investment income is more than $11,600, you can't claim the credit. Use Worksheet 1 in this chapter to figure your investment income.