Tax Basics
This three-letter abbreviation stands for the Internal Revenue Service.
What is the IRS?
This common tax deduction helps people who pay interest on loans for higher education.
What is the student loan interest deduction?
This form is used to report interest income from a bank account.
What is Form 1099-INT?
This term refers to the total amount of income you earn before taxes and deductions.
What is gross income?
If you're enrolled in college, you might qualify for this education tax credit.
What is the American Opportunity Credit (or Lifetime Learning Credit)?
This is the form most individuals use to file their federal income taxes.
What is Form 1040?
This credit helps offset the cost of childcare for working parents.
What is the Child and Dependent Care Credit?
Freelancers often receive this version of the 1099.
What is Form 1099-NEC?
This amount is what remains after deductions and is used to calculate your taxes.
What is taxable income?
If you had little or no income and don’t meet filing requirements, you may still file taxes for this benefit.
What is a tax refund (or refundable credits like EITC)?
The deadline for filing your taxes is usually this date in April.
What is a W-2?
Taxpayers can choose between itemizing deductions or taking this type of deduction.
What is the Standard Deduction?
If you sold stock or other investments, you’ll report the gains or losses on this form.
What is Schedule D?
This is the amount of money you overpaid in taxes during the year.
What is a tax refund?
This online tool, offered by the IRS, allows you to file your taxes for free if you qualify.
What is IRS Free File?
You receive this form from your employer to report your annual wages and the amount of taxes withheld.
What is a W-2?
This energy-efficient home upgrade may qualify you for a residential energy credit.
What is installing solar panels (or solar energy systems)?
This form helps self-employed people calculate their business income and expenses.
What is Schedule C?
This penalty may be added if you don’t file your tax return or pay your taxes on time.
What is a late fee or failure-to-file penalty?
You must file this form if you had marketplace health insurance.
What is Form 1095-A?
This tax filing status is used by unmarried individuals with no dependents.
What is Single?
This tax credit is refundable and aimed at low- to moderate-income working individuals and families.
What is the Earned Income Tax Credit (EITC)?
This form is filed to request more time to file your tax return.
What is Form 4868?
This term describes taxes taken directly from your paycheck by your employer.
What is withholding?
People who owe back taxes might set up this type of plan with the IRS.
What is an installment agreement (or payment plan)?