Explore BrainMass

Explore BrainMass

    Five major deductions and two credits to reduce tax liability

    Not what you're looking for? Search our solutions OR ask your own Custom question.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Details: You and your spouse are preparing your first income tax return as a married couple. You want to save some money and prepare the tax return yourself, so you need to gather information on the credits and deductions that are available and decide the best way to file.

    Utilize the Library, Internet, and all other resources at your disposal. Prepare a list of five major deductions and two credits that can be used to reduce tax liability. Explain the deduction or credit and who qualifies for it.

    © BrainMass Inc. brainmass.com March 4, 2021, 8:55 pm ad1c9bdddf

    Solution Preview

    I have summarized 5 tax deductions and 2 tax credits below which would be around 3 pages is double spaced. Here is the link that I highly recommend.


    Please check out the link for reference in the paper or add more information if you like.


    1) Additional Standard Deduction Amount got Property Taxes
    This is a recent tax deduction established by The Housing Assistance Tax Act of 2008. Homeowners are qualified for this tax deduction regardless of their filing status. This deduction is to be claimed as an additional amount on top of the standard deduction and is calculated as the lower of the following two figures:
    a) The amount of real estate property taxes paid during the year to state and local government
    b) $1000 for married taxpayers filing a joint tax return

    2) Car and Truck Expenses
    When a car, truck or other kinds of vehicle are driven for the purposes of business, medical, moving, relocating, and charitable service, the cost is ...

    Solution Summary

    650+ words with a reference gives and explains 5 deductions and 2 possible credits for a couple preparing their first income tax return.