Tax Saving Tips by Ed Lloyd CPA
Ed Lloyd & Associates PLLC who are a certified public accountant in Charlotte advise its customers and all the taxpayers that they can save a lot of money by saving on the amount that they pay a tax by being well informed about the tax deductions and tax credits that they are eligible for. The most popular ways to gain better tax deductions is the amount one pays for mortgage, interests for student loans and taxes on real estate.
Other than these there are a number of ways in which people can save on taxes this year. Here are a few ways that have been defined by Ed Lloyd as being extremely helpful in reducing the taxes:
1. Earned Income Tax Credit –
A person who might be earning less than $50,000 a year should check if he is eligible for this tax credit. This is a credit which is enjoyed by people who have a low or moderate income. According to the tax experts at Ed Lloyd & Associates, many people do not realize their eligibility for this credit.
2. Gaining through Children –
The income tax department extends many benefits to people who have children. These include deduction on the costs incurred for child care and child tax credit. It should also be noted that in case the parents are divorced, any amount that is paid as alimony for child maintenance is also eligible for tax deduction.
3. Save for Old Age -
Edward Lloyd points out that most people prefer to take home a big salary rather than invest it for retirement when this could actually prove beneficial in the future. It would not only ensure a safe a secure future for a person but would also help in reducing the amount payable as taxes. The premium that is paid for the retirement policies is eligible for tax deduction.
Ed Lloyd & Associates strongly recommend that every person should understand what tax deductions and credits he is eligible for and try to save money on taxes.
Are you self-employed and looking for what tax benefits you are eligible for? Read – Ed Lloyd & Associates Point Out the Tax Benefits Enjoyed by Self Employed