The income tax in Sansom Park, Texas 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 the constitutional authority to tax income thanks to the 16th Amendment, which was enacted in 1916. Before that time, the U.S. Supreme Court had consistently declared the federal income tax unconstitutional, but individual states, including Texas were allowed to impose an income tax if they saw fit.
While the federal government levies an income tax against every person and corporation in the U.S., the income taxes imposed by the states vary widely. Some states have fairly high income taxes, and a few have none at all. You should consult with a Sansom Park, Texas tax Lawyer if you don't know what type of tax system your state has.
Income Tax Deductions in Sansom Park, Texas
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.
This should not be confused with a tax credit, which is a reduction of a person's tax bill. A tax credit almost always results in a reduced tax burden than a tax reduction of the same amount.
Lots of expenses that are common in Sansom Park are tax deductible. Federal tax deductions include mortgage interest, union dues, interest paid on mortgages, and others.
How Can A Sansom Park, Texas Tax Attorney Help?
Income tax laws are notoriously complex. If you reside in Sansom Park, Texas 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.