The income tax in Mount Pleasant, South Carolina 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 has had explicit constitutional authority to impose an income tax since 1916, with the passage of the 16th Amendment. This came after the Supreme Court had consistently found a federal income tax to be unconstitutional. States, including South Carolina, have always been allowed to impose whatever type of income tax they liked.
While the federal income tax applies to everyone in the United States, the income taxes imposed by individual states vary widely, and some states have no income tax at all. You should consult with a Mount Pleasant, South Carolina tax lawyer or accountant to find out if your state is one of them.
Income Tax Deductions in Mount Pleasant, South Carolina
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.
Don't confuse a tax deduction with a tax credit. A tax credit simply lowers your tax bill by the amount of the credit. A tax credit typically reduces your tax bill more than a reduction of the same amount.
Many expenses in Mount Pleasant are tax-deductible, such as interest paid on mortgages, charitable contributions, the cost of tax advice, and union dues, among others.
How Can A Mount Pleasant, South Carolina Tax Attorney Help?
Income tax laws are notoriously complex. If you reside in Mount Pleasant, South Carolina and run into any type of tax problems, including an audit or wage garnishment, a local tax lawyer would almost certainly be able to help.