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For tax year 2026 you can deduct unreimbursed medical and dental expenses only if you itemize, and only the portion that exceeds 7.5% of your adjusted gross income (AGI) (IRS Topic No. 502; Publicatio...
Filing as Married Filing Separately (MFS) disqualifies a taxpayer from claiming the new senior deduction created by the 2025 law, and historically MFS filers face far less favorable treatment of Socia...
The IRS updated two administrative items in 2025 that affect how taxpayers substantiate medical expense deductions: the out‑of‑pocket health care “national standards” took effect April 21, 2025 and le...
The basic rule for claiming the medical expense deduction — that you may deduct unreimbursed medical and dental expenses that exceed 7.5% of your adjusted gross income (AGI) when you itemize — remains...
The introduced a dedicated on Form 1099‑R to identify Qualified Charitable Distributions () beginning for distributions made on or after January 1, 2025, a move intended to reduce taxpayer and prepare...
The One Big Beautiful Bill (OBBB/OBBBA) does not create a new standalone “property tax” but it changes how much state and local taxes — including property taxes — taxpayers can deduct on federal retur...
Dependents calculate their as the greater of a flat $1,350 or their , but that result cannot exceed the regular standard deduction for their filing status (single, head of household, married filing jo...
There is no single, current federal program that broadly gives Canadian employers an ongoing tax break simply for hiring immigrants; some past provincial proposals and niche provisions have existed or...
Alaska emerges repeatedly as the state with the , with WalletHub reporting residents pay about in combined taxes; several states that levy — including Alaska and Florida — also rank among the lowest b...
Yes — you can change your 2025 estimated tax payments midyear if your income drops: the IRS expressly expects taxpayers to “make adjustments both for changes in your own situation” and to revise quart...
Available sources show the medical-expense deduction floor remained at 7.5% of adjusted gross income (AGI) for both the 2025 and 2026 tax years; Congress made that 7.5% threshold permanent in the Cons...
Two different constructs are in active use: the MAGI used to set contribution eligibility and deduction phases adds or subtracts specific items to Adjusted Gross Income (AGI) for tax-year determinatio...
States treat Box 14 entries and employer-paid benefits very differently: Box 14 is an employer-controlled “catch‑all” that often holds state disability, unemployment, or paid‑leave contributions that ...
State rules on residency and domicile determine which state can tax lottery winnings: most states tax winners based on their residence when they claim or receive the prize, but a few states (notably A...
You can use the 90% current‑year safe‑harbor if your combined withholding and estimated payments equal at least 90% of the tax you will owe for the current tax year; meeting that test shields you from...
If your prior-year adjusted gross income (AGI) exceeded $150,000, the IRS “prior-year” safe harbor rises to 110% of the total tax shown on last year’s return — meaning you must pay at least 110% of la...
For the 2025 Earned Income Tax Credit (EITC), only "earned income"—wages, salaries, tips, and net earnings from self-employment—counts toward basic eligibility and the credit calculation; investment i...
Yes: multiple practical guides and tax explainers say traditional pre-tax 401(k) contributions lower your taxable income before MAGI is calculated, so they reduce the MAGI figure used for ACA premium ...
For tax year 2026, taxpayers may deduct unreimbursed medical and dental expenses that exceed when they itemize on Schedule A; that baseline rule is consistent across IRS guidance and the tax‑advice ou...
Modified Adjusted Gross Income () is calculated by starting with the adjusted gross income (AGI) on a tax return and then adding back certain items that the AGI allowed as deductions or that are exclu...