American Tax Service

Helping Americans File Their Taxes

Oct
13

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Child and Dependent Care Tax Credit 

Category: Credits Tags: , , , , , , , , ,

What is the child and dependent care tax credit?One of the most difficult financial burdens, when you have young children, is paying for dependent care, but some good news is that there are some relief options when it comes time to file your taxes.

What is the Child and Dependent Care Tax Credit?

The child and dependent care tax credit is available for almost anyone who has a dependent and is working.

The dependent care tax credit is different than the child tax credit, and this article is intended to help you understand how to claim the childcare tax credit.… Read the rest

Oct
13

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How Much Do You Get Back in Taxes for a Child?

Category: Credits Tags: , , , , , , , , ,

how much do I get back in taxes for a child

The entire tax code was reformed under President Trump’s Tax Cuts and Jobs Act (TCJA). The TCJA has changed many things about the Child Tax Credit. These new rules apply to the new tax season.

How Much do I Get Back for a Child?

Under the TCJA, the Child Tax Credit saw a substantial increase to $2,000 per qualifying child. Up to $1,400 of this amount is refundable, depending on your income. This has doubled the previous amount, and the Child Tax Credit was previously only refundable if you were also claiming the Additional Child Tax Credit.… Read the rest

Oct
13

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New Homeowners Tax Credit

Category: Credits Tags: , , , , , , , ,

First time homebuyer tax credit 2021If you recently purchased or built a new home, you might be wondering what tax incentives are available and if there is a new homeowners tax credit.

While there is no direct tax credit available for buying your home, homeownership has tax advantages.

This article will summarize some of these benefits and outline the tax changes from the Tax Cuts and Jobs Act of 2018 that will affect your filing as a new home buyer.

Is There a Tax Credit for First-Time Home Buyers?

… Read the rest

Sep
22

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Tax Credits for Electric Cars

Category: Credits Tags: , , , , , , , ,

Electric vehicle tax credits can be highly valuable, but there are a lot of confusing rules regarding how they work. This guide will show you what you need to know about tax credits on plug-in electric vehicles. It will also answer some of the most common questions people have.

What Are the Electric Vehicle Tax Credits?

electric car and vehicle tax credit

The Qualified Plug-in Electric Drive Motor Vehicle Credit (IRC 30D), which is now known as the Clean Vehicle Credit, was amended by the Inflation Reduction Act of 2022 (Public Law 117-169), and a new requirement for final assembly in North America was added as a result of this legislation.… Read the rest

Sep
20

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Home Energy Tax Credits

Category: Credits Tags: , , , , , , , ,

Tax season is going to be here before you know it. Therefore, now is the time to ensure that you have completed all of the energy-efficient upgrades to your home.

Having an energy-efficient home will save money on your bills and pay less money in taxes. Learn how you claim home energy tax credits if you qualify.

Non-Business Energy Property Credit

home energy tax creditsYou can get a 30% credit for your energy-efficient improvements. Things that fall under this category include:

  • Water heaters
  • Electric heat pumps
  • Central air conditioners
  • Natural gas, propane, or oil water heaters
  • Qualified oil furnaces
  • Qualified oil hot water boilers
  • Some air circulating fans
  • Insulation that reduced heat loss or gains
  • Exterior windows, skylights, or doors
  • Storm windows and doors
  • Solar panels
  • Metal and asphalt roofs that reduce heat loss or gain

Residential Energy Efficient Property Credit

This energy tax credit will allow you to have a 30% credit for the alternative energy equipment that you have installed.… Read the rest

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