When it comes to taxes, many people might not feel too excited. But in reality, tax deductions can effectively help you pay less tax! Let’s take a look at what tax deductions income earners are entitled to.
1. Personal Tax Deductions
Every income earner can claim personal deductions for themselves, their spouse, and dependent children. Additionally, you can claim deductions for children you are supporting.
2. Education Expenses
For those with children in school, you can deduct education expenses, which can help ease the financial burden on parents.
3. Health Insurance Premiums
Purchasing health insurance not only helps take care of your health but can also be deducted from your taxes. This is another way to save on tax payments.
4. Contributions to Provident Funds
Investing in a Provident Fund is another method that allows you to reduce your taxable income. Income earners can deduct the amount they contribute.
5. Mortgage Interest
If you have taken out a loan to buy a home, you can deduct the interest on that loan. This can help make your mortgage payments more manageable.
6. Charitable Donations
Donations made to approved charitable organizations can also be deducted from your taxes. It's a kind act that not only benefits others but also provides tax advantages.
Understanding your rights and the appropriate methods for tax deductions can help you save on taxes. Therefore, you shouldn't overlook the opportunity to use these rights! If you have further questions about tax deductions or tax planning, feel free to contact iACC Professional for consultations and services that meet your needs.