Difference between revisions of "Smart Tax Saving Tips"

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Revision as of 19:33, 28 July 2025


A credit is allowed for foreign income taxes paid or accrued. The financing is limited for that part of You.S. tax due to foreign source income. It is not refundable, but any excess credit end up being the carried to other years to reduce tax.

Remember, a personal exemption of $3650 is not deducted on tax but on your taxable income. Say for example your filing status is 'married filing jointly' with original taxable income of $100,000. This gives you under the marginal tax rate of 25%. The actual money it can save on personal exemption is $912.50 (calculation is simple: $3650 multiplied by 25%). For or else you spouse, that can be multiplied by two that means you save $1825.

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Is Uncle sam watching pearly white teeth? Sure they are. They are broke. America has been funding all the bailouts and waging 2 wars at once. In fact, prepared for a national sales tax. Coming soon to a store in your area.

The great part may be the county is getting their tax money provide us with roads, fire and police departments, a lot of others. Whether they use domestic or foreign investor dollars, all of us win!