Tax credit or tax deduction? Which is better? Well, at first glance it’s a tax credit, but not always. In this month’s eLetter, we go into the details. (To download the September eLetter, click here).
Getting Every Tax Deduction and Tax Credit for San Francisco Bay Area Residents: We Can Help
A tax credit is a dollar for dollar reduction of the tax owed, and in some cases (e.g., the Earned Income Credit) can even get you a check from the US government. A tax deduction, in contrast, represents a deduction against income; so a $1000 tax credit is, essentially, $1000 in your pocket, whereas a $1000 tax deduction is really on the percent tax you’d pay on that income (e.g., 15%), depending on your tax bracket. Sound complicated? Well, that’s why we’re the tax professionals. As one of the top tax preparation services in San Francisco, we can help.
About Safe Harbor LLP – a Professional CPA Firm in San Francisco
Safe Harbor LLP is a CPA firm that specializes in accounting and tax services for individuals and businesses throughout the San Francisco Bay Area and greater California. Safe Harbor CPAs helps both individuals and businesses with tax preparation, IRS audit defense, and audited financial statements. The firm prides itself on friendly yet professional service and utilizes state-of-the-art Internet technology to provide quality customer service. Its goal: to be the best CPA firm in San Francisco.
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