Tax breaks can vary by location, sometimes making them tricky to identify and research. Despite this, there are some standard tax breaks for seniors that are worth learning about and are available in many different countries. Moreover, tax software such as H&R Block, Turbo Tax, and more can be used to prepare personal income taxes. These useful tools can be incredibly helpful for filing taxes online and providing consolidation services to simplify the process, making them especially great for senior users. Read on to learn more about multiple tax breaks that are available to seniors in a variety of different places:
1. Property tax relief
Eligibility for property tax relief programs like credits, deferrals, or property tax exemptions may be available to some seniors. These can aid in alleviating the burden of annual property tax on their homes.
2. Deductions of medical expenses
Exceeding a certain income percentage threshold, some medical expenses that seniors face might be deductible, such as significant healthcare costs or costs related to long-term care. Some examples include service animals, prescription drugs, ambulance fees, and more.
3. Home modification tax credits
For home modifications that help make the house more accessible for seniors or disabled individuals, certain regions may offer tax credits. Accessibility improving renovations include wheel-in showers, handrails, widened doorways for wheelchairs, and likewise improvements.
4. Income tax credits
Income tax credits—designed specifically for seniors—are provided by plenty of governments. Resulting in a refund or lowering the amount of income tax that is owed—dependent on the senior’s financial situation—these income tax credits can help reduce financial burden upon seniors.
5. Increased standard deduction
In some places, an increased standard deduction is offered to seniors, reducing their tax liability overall by letting them reduce their taxable income. An increased standard deduction is affected by factors such as blindness, filing status, and more.
Overall, there are plenty of useful tax breaks that seniors can benefit from. However, consulting with a government tax agency or tax professional can be beneficial and ensure that the most accurate, recent information is provided, especially since available tax breaks can differ depending on location.
