2023 Biggest Tax Credits For Americans, Are You Qualified?

Americans file for tax returns due on April 15, 2024, and some tax credits are refundable.

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Adoption Credit is up to $15,950

Adoption credit is nonrefundable, but it can be used for up to five years. According to The Ascent’s article, the adoption credit is up to $15,950, which is the biggest tax credit you can claim. If you owe $5,000 for this year’s tax, the remaining credit amount can be used to offset your taxes in the next four years.

If you have adopted a child under 18 years old, or who is not capable of taking care of themselves, physically, or mentally, regardless of age, you can file for the adoption tax credit. Exemptions are your stepchildren. This is intended to offset the high cost of adopting, such as legal fees, and logistics. To qualify, your 2023 modified adjusted gross income must be between $239,230 and $279,230.

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Maximize your 2023 tax credits

Taxes are never fun, but using tax-filing software can make it easy to know what tax credits you can claim. In general, major expenses may help you be eligible for tax credits such as the adoption credit, EV tax credit, and Solar tax credit. You can EV tax credits up to $7500 while up to 30% of the cost of home improvement using the solar tax credit.

If you belong to a low to moderate-income family, you may qualify for an earned income tax credit of up to $7,430, and a child tax credit of up to $2000 per qualifying child. These will help to meet ends.

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