Income Tax Fundamentals and Calculations - Introduction

In this section, we will be examining the fiver different types of filing statuses available to individuals and familes, inclusions, exclusions, and types of adjustments that applied to gross income. Additionally, we will touch on deductions, types of exemptions, liabilities, credits, and methods of tax payment. Filing Status


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RELATED TERMS
  1. Exemption

    A deduction allowed by law to reduce the amount of income that ...
  2. Taxable Income

    The amount of income that is used to calculate an individual's ...
  3. Tax Break

    A tax break is a savings on a taxpayer's liability. A tax break ...
  4. Schedule A

    Schedule A is a U.S. income tax form that is used by taxpayers ...
  5. Adjusted Gross Income - AGI

    A measure of income calculated from your gross income and used ...
  6. Exempt Income

    Certain types or amounts of income not subject to federal income ...
RELATED FAQS
  1. What deductions, credits and exemptions depend on gross income calculations?

    Understand what deductions, exemptions and tax credits are dependent on the gross income calculation and how these determine ... Read Answer >>
  2. What is the difference in tax liability between gross income and other kinds of income?

    Find out how the U.S. government taxes worker's earnings, whether it is gross income or income exempted or excluded from ... Read Answer >>
  3. What is the difference between gross income and earned income?

    Being able to distinguish between earned income and gross income is an important tool in preparing for and filing your individual ... Read Answer >>
  4. How can I lower my effective tax rate without lowering my income?

    Discover how to reduce your effective tax rate without losing income by maximizing adjustments and deductions, earning tax-free ... Read Answer >>
  5. What assets are taxable and what assets are not taxable?

    Adjust your taxable income by understanding what assets the IRS taxes. Learn about legal strategies to lower tax liability ... Read Answer >>
  6. What is the difference between a state income tax and a federal income tax?

    Learn the difference between state income tax and federal income tax based on tax rates, deductions, tax credits and taxable ... Read Answer >>
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