The income tax in Edwardsville, Pennsylvania is a tax imposed on all money earned and received during the year. Under federal law, income through any source may be taxed. The federal government imposes an income tax on all persons and entities present in the United States. The authority to tax incomes was granted to the federal government in 1913 with the ratification of the 16th Amendment to the Constitution. Before that time, the Supreme Court had found a federal income tax unconstitutional, prompting the passage of the amendment. Of course, individual states, including Pennsylvania, were allowed to impose income taxes as they saw fit.

The federal income tax must be paid by everyone 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 Lawyer in Edwardsville, Pennsylvania if you are not clear about what your state and federal tax liability.

Income Tax Deductions in Edwardsville, Pennsylvania

A tax deduction is a reduction in your taxable income. It results in less of one's income being taxable, which causes a reduced tax liability.

There is also something called a tax credit, which is treated as a partial payment of the income tax. A tax credit almost always results in a reduced tax bill than a reduction of the same amount.

Under federal law, numerous expenses in Edwardsville are tax-deductible, including interest paid on a mortgage, charitable donations, the price of tax advice, and union or professional dues, among many others.

How Can A Edwardsville, Pennsylvania Tax Attorney Help?

Income tax laws in Edwardsville, Pennsylvania can get very complex. You should speak with an accountant or tax Attorney if you have any questions about your income tax liability.