I'm freelancing, how do I pay my taxes?
Freelancers generally find they have a more difficult tax situation than most employees.
Whereas tax deductions reduce the amount of taxable income subject to the income tax bracket, credits reduce your tax liability dollar for dollar after your income tax liability has been calculated. Some credits, such as the earned income credit, are refundable (as opposed to non refundable), meaning that you will receive the excess amount of the credit as a refund if the credit exceeds your entire tax bill.
Credits are generally created to encourage and reward certain behaviors that have been deemed beneficial by the government. There are a wide variety of credits geared towards separate initiatives.
Do I qualify for tax credits?
Each credit has its own set of rules and qualifications assigned to it. The following credits apply to individuals. Click on the relevant credit to see if it applies to you.
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