Getting a tax refund often feels like luck, but it usually comes down to knowing which tax credits you qualify for and claiming them correctly. Tax credits can help reduce your tax bill dollar-for-dollar. Some are even refundable, meaning you could get money back from the IRS even if you don’t owe any taxes. GOBankingRates spoke to David A. Perez, a tax professional and founder of Tax Maverick, who said many people miss out on tax credits because they don’t understand how they work or if they qualify. He ...

Tax credits are the best way to keep more of your money come April 15 because — unlike deductions, which only reduce your taxable income — they lower your bill on a dollar-for-dollar basis. Even better, you get cash back from the credits that are refundable or partially refundable once your tax bill falls to zero. However, some of the best tax credits are easy to miss. Some people mistakenly assume you have to itemize to claim all of them. Others leave money on the table over confusion about phaseouts. ...

Core Insights - Taxpayers often overlook valuable deductions and credits that could lead to significant savings in 2026 Group 1: Health Savings Account (HSA) - Contributions to HSAs for high-deductible health plans can be a major tax shelter, with limits of $4,400 for individual coverage and $8,750 for family coverage in 2026 [2] - HSAs provide triple tax benefits: pretax contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses [2][3] - Taxpayers can make contributions until the tax filing deadline in April 2027 for the 2026 tax year [2] Group 2: Child and Dependent Care Credit - The child and dependent care tax credit increases to allow claiming up to 50% of qualifying expenses starting in 2026, up from 35% [4] - Eligible expenses include up to $3,000 for one dependent or $6,000 for two or more, resulting in a maximum credit of $1,500 for one child or $3,000 for multiple children if income is $15,000 or less [5] - The credit phases down with rising income but remains available at 20% for higher earners, and various childcare expenses qualify [5] Group 3: Traditional IRA Contributions - Taxpayers can still make contributions to IRAs up until the tax filing deadline in April 2027, which can lower taxable income for 2026 [6] - The contribution limit for personal IRAs increases to $7,500 in 2026, with an additional catch-up contribution of $1,100 for those aged 50 or older, totaling $8,600 [7] - Contributing to an IRA can potentially lower a taxpayer's income enough to drop them into a lower tax bracket, significantly reducing their tax rate [8]