The easiest way to see how this difference impacts your taxes is through an example, which we’ll go through next. Assume an adjusted gross income (AGI) of $55,000 and a tax credit vs.

Most people who are eligible for tax credits claim them. Direct File—the IRS’s online tool for filing tax returns—could get ...

Tax credits and deductions are important because they reduce your tax liability. The IRS describes a tax credit as a "dollar-for-dollar" amount that taxpayers claim on their tax returns to reduce ...

A tax credit, known as the saver’s credit, aims to incentive people to save for retirement by providing a sweet tax break. It ...

If you’ve made any home improvements this year — or are planning on some upgrades before year end — you might be eligible for ...

The IRS began accepting tax returns on Jan. 27, but if you want to claim the child tax credit, you might be waiting awhile for your refund. Thomas is a native of upstate New York and a graduate of ...