Most Common Tax Credits In Utah

As a famous founding father once said, “Only two things are certain: death and taxes.” Well, it’s almost tax season, and there are a variety of different ways that you are able to save some money and get more back when it comes to filing your taxes. While there are specific credits that are too numerous to list on this post, there are some certain tax credits that are so popular that they absolutely deserve recognition. While you, specifically, may not apply for all of these different tax credits, it is likely that they can help you recognize some of the many ways to save on your taxes that you’ve been missing. Now, here are some of the most common tax credits around…

Earned Income Tax Credit

The title for the absolute most popular tax credit that is claimed by Americans easily belongs to the Earned Income Tax Credit. This specific tax credit is used on nearly 28 million different returns from around the country, and is payed back to Americans in the form of over $1 trillion. That amounts to around $3700 per each taxpayer who claims it! The qualifiers for this tax credit are low and middle income taxpayers. Earned Income Tax Credits also pay back higher amounts to taxpayers who have children, speaking of which….

Child tax credits

While we wouldn’t say that having children is a way of saving money (quite the opposite, actually!), claiming your children on your taxes is a way to alleviate some of your financial burdens. Around 23 million taxpayers claim the regular child tax credit every year, and about 20 million of those people claim use the tax credit for additional child tax credit. This adds up to over $55 billion being returned to taxpayers for this credit, alone. For qualifying families, the regular child tax credit is worth $1,000 for each child who is a minor in a home. Once they get older, there is another credit that can be claimed…

Education cost credit

For those citizens who take it upon themselves to get a degree of higher education, there are tax credits that are designed to take off some of the financial burden. The most popular of these credits is the American Opportunity Tax Credit. This can take off up to $2,500 of your taxes. On top of that, there is the Lifetime Learning Credit, which helps taxpayers pay a percentage of their education costs, whether traditional college or specialized training.