The care provider expenses you incur must be for the benefit of dependent children under the age of 13, your disabled spouse, or dependents of any age who are mentally or physically unable to care for themselves. Not every expense will qualify for the credit; the Internal Revenue Service o...
TheAmerican Rescue Plansigned into law on March 11, 2021, brought significant changes to the amount and way that the Child and Dependent Care Credit can be claimed only for tax year 2021. The new law not only increases the credit, but also the amount of taxpayers...
You can withdraw up to $10,000 from a traditionalIRAbefore age 59.5 for a first-time home purchase without paying the 10%early withdrawal penalty, although income taxes still apply. This benefit can be used for your own home purchase or to help a child or grandchild buy their first home....
A Roth IRA is an ideal choice for most kids who are in a low tax bracket, where a tax deduction is of little value. With a Roth IRA there’s no up-front tax break, but their savings will benefit from years of tax-free growth, and withdrawals in retirement are tax-free. Kiddie Tax...