When it comes to tax planning, the jargon alone is enough to trip you up. Tax deduction. Tax credit. Potato. Poh-ta-toe. Right? Not so fast. They sound similar, but the difference between them is anything but small. While it’s easy to mix the two up, understanding how they work now — before tax season begins — could save you from leaving money on the table. For You: Here’s How to Avoid a Huge Tax Bill After a Successful Side Gig Learn More: 3 Advanced Investing Moves Experts Use To Minimize Taxes and Help ...

What it means: You'll be able to reduce your taxable income. But you won't be reducing your adjusted gross income when you claim these special deductions, said Tom O’Saben, an enrolled agent and director of tax content and government relations for the National Association of Tax Professionals.All four of these tax deductions created in the One Big Beautiful Bill Act, which was signed into law by President Donald Trump on July 4, will be treated as what's called a "below-the-line deduction."Seniors are looki ...

RICHMOND, CALIFORNIA - JUNE 21: The Amazon Prime logo is displayed on the side of an Amazon delivery truck on June 21, 2023 in Richmond, California. The Federal Trade Commission (FTC) sued Amazon alleging that company has deceived millions of customers into signing up for Prime subscription services and intentionally complicated the cancellation process. (Photo by Justin Sullivan/Getty Images)Getty ImagesThe Federal Trade Commission is proud of its record-breaking settlement with Amazon over allegations tha ...

President Donald Trump’s One Big Beautiful Bill Act (OBBBA) raised the state and local tax (SALT) cap deduction to $40,000 from the previous $10,000, as previously reported by GOBankingRates. For homeowners in states with high property taxes, this could raise their allowable deductions past the standard deduction of $15,750 for individual taxpayers and $31,500 for those who are married, filing jointly. Check Out: I Asked ChatGPT What Would Happen If Billionaires Paid Taxes at the Same Rate as the Middle Cl ...

Purchasing a new car is often the second most expensive purchase many Americans make. President Donald Trump’s One Big Beautiful Bill Act (OBBBA) offers new benefits to prospective car buyers that might entice some to buy a car. Read Next: The Surprising Reason Retirees Shouldn’t Pay Cash for a Car Check Out: Clever Ways To Save Money That Actually Work in 2025 However, personal finance expert Suze Orman warned in a recent article on her website of the dangers of using the new benefits to justify an unpla ...

Tipped workers will be able to deduct up to $25,000 in tips from their taxable income beginning in 2025. To help sort out the details, the Treasury and the IRS are rolling out additional guidance. https://t.co/8MeVXCmB3G https://t.co/X9XrQ6Ic2J ...

Section 179 lets businesses deduct the full cost of qualifying equipment/software upfront—boosting cash flow. https://t.co/ZRJlbPRdzt https://t.co/NYXMkJIBKn ...

Property taxes are on the rise in many parts of the United States. They're up 23% nationwide from 2019 to 2023. It's a huge issue in areas with high real estate values, particularly those near major cities.This was not just the big bad blue states like New York and California and New Jersey states like Florida. States like Texas will realize this applies to them, too. Congress's new tax and spending bill tackles this problem head on an increased deduction for state and local taxes.The tax break is expected ...

Which Jobs Are On The List To Benefit From The ‘No Tax On Tips’ Deduction? https://t.co/P8vXsogguU https://t.co/Bo82XB1jdh ...

Which Jobs Are On The List To Benefit From The ‘No Tax On Tips’ Deduction?https://t.co/HKtDRHK2U5 https://t.co/bVNNk0EezQ ...