In Fort Oglethorpe, Georgia, an income tax is imposed on a certain percentage of the income of all individuals and businesses. Generally, income from all sources can be taxed. The federal government has had the constitutional power to impose an income tax since 1916, since the passage of the 16th Amendment. Before then, states could, and still can, impose whatever income tax they like, including in Georgia.
The federal income tax must be paid by everybody in the U.S. However, you must only pay the state income tax of the state you live in. You should talk with a financial adviser or tax Attorney in Fort Oglethorpe, Georgia if you are not clear about what your state and federal tax liability.
Income Tax Deductions in Fort Oglethorpe, Georgia
A tax deduction is simply a reduction in the portion of a person's income which is taxable. For example, if someone makes ,000 per year, and gets a ,000 tax deduction, their taxable income is ,000.
This should not be confused with a tax credit, which is simply a reduction in somebody's tax bill. A tax credit will usually reduce your tax liability far more than a tax deduction of the same amount.
Many common expenses in Fort Oglethorpe can be deducted from your taxable income. They include mortgage interest, charitable donations (if property documented, of course), the cost of tax advice, union dues, and many others.
How Can A Fort Oglethorpe, Georgia Tax Attorney Help?
Income tax laws in Fort Oglethorpe, Georgia can get fairly complex. You should speak with an accountant or tax Lawyer if you have any questions about your income tax liability.