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Bh Rv Ace tax accountant expert Eddy Aladin the founder of Tax Aladin explains what people should know about the Tax Season 2021. - Verna Magazine
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Ace tax accountant expert Eddy Aladin the founder of Tax Aladin explains what people should know about the Tax Season 2021.

by Derek Robins
2 years ago
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Ace tax accountant expert Eddy Aladin the founder of Tax Aladin explains what people should know about the Tax Season 2021.
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With his years of experience in the taxation and financial field, Eddy Aladin thought to come to the rescue for all tax payers by spreading accurate information for the upcoming tax season.

Many are already rejoicing that the current year has just gone by amidst all the upheaval that has been caused by coronavirus, not focusing on what’s coming their way in the upcoming year. Well, taxes and financial matters are what people also need to focus on primarily right now, because the tax season of 2021 is quite near and Eddy Aladin, a sought-after and accomplished tax accountant and consultant of the US has come to our rescue to make us understand some essential things to keep in mind for the tax season 2021.

Highlighting the most essential points, Eddy Aladin says, “First of all, Even though taxes for most taxpayers are due by April 15, 2021, you can e-file (electronically file) your taxes earlier. The IRS likely will begin accepting electronic returns anywhere between Jan. 15 and Feb. 1, 2021.The standard deduction has been increased to $12,400 this year for single filers and for the married couples filing jointly it is $24,800. Also, the income tax brackets have been increased this year to account for inflation.”

Further explaining the income tax rates and brackets for the tax season 2021, Eddy Aladin points out on how they work. He says that the tax rate is based on what the tax bracket individuals are in, which is the income range. Giving an example, he says that if a person is single and his income is $75,000, then he would get into the 22% tax bracket. However, even in this, it is not flat 22%. A part of the income is taxed at 10%, another at 12% and the last at 22%. The tax rates remain the same for 2020 tax year, but a few changes are noticed in the brackets and on account of inflation these changes have been made by a few hundred dollars.

There are a few tax deductions and credits as well to consider for the upcoming tax season. Tax credits help in lowering the actual bill dollar by dollar, including two types of credits, one refundable, where the credit is greater than the amount one owes and the difference is paid as a refund and second non-refundable, where the tax bill would get reduced to zero and the person won’t get any refund. Tax deductions, on the other hand, help lower how much of the income is subject to the federal income taxes. Some are only available if one chooses to itemize the deductions, while some others would still be available if one chooses the standard deductions.

Eddy Aladin lays out a few credits and deductions people might get to claim on their 2020 tax returns.

Medical deductions: People can get some tax relief on hefty bills of hospitals. They can deduct any medical expenses that are above 7.5% of the adjusted gross income (AGI).

Child tax credit: Families would be able to claim up to $2,000 per qualified child with the tax credit. There are income limits for this credit like $200,000 and $400,000 for single parents and married couples, respectively.

Charitable deductions: Through the CARES Act, people are allowed to deduct up to 100% of their AGI, which is total income minus the other deductions taken by them in qualified charitable donations.

(EITC) Earned income tax credit: It is a refundable credit that aims to benefit the lower and middle income class workers, who earned up to $56,844 income in 2020 tax year.

Business deductions: Home office, travel, and other deductions can be claimed if a person is self-employed or conducts business using a part of his home. But, those who have a colossal workforce and have sent them to work remotely won’t be able to claim the home office deduction.

For all the things to get easier for you and getting you the best services in filing your taxes, Eddy Aladin has founded ‘Tax Aladin’ a one of a kind mobile application that helps people file their tax returns in the US infused with the most cutting-edge technology and that too in the safest and the most hassle-free manner. So, if you wish to join hands with the most trustworthy tax expert and gain the advantages of a robust app Tax Aladin for filing tax returns, you know whom to contact.

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