Both the Internal Revenue Service and Intuit TurboTax websites contain a list of current-year tax deductions and credits. These deductions are available for both individual and business taxpayers.Continue Reading
The Intuit TurboTax website mentions sales taxes, health insurance premiums, teaching expenses, charitable gifts, certain business expenses and costs associated with self-employment, social-security coverage as eligible deductions. Taxpayers have the choice of choosing a standard deduction or itemized deductions. As of 2014, the standard deduction is $6,200 for individuals, $9,100 for head-of-household taxpayers and $12,400 for married couples, as listed by Bankrate. The Internal Revenue Service changes the amount associated with these deductions each year. Itemized deductions include medical and dental expenses, deductible taxes, home-mortgage points, interest expenses, charitable contributions and business expenses, as listed on the IRS website. A taxpayer should itemize deductions if the total of all itemized deductions is greater than the standard deduction for that particular year.
Some of the common credits for individuals include the earned-income credits, education credits, child- and dependent-care credits, adoption credits, health-coverage tax credits and saver's credits, as listed by the IRS. Basic credits for businesses include the manufacturer's energy-efficient appliance credit and the research credit. Credits are applied after taxable income is calculated, whereas deductions are applied to arrive at taxable income.Learn more about Taxes