Tax law offers various opportunities for taxpayers to reduce their tax liabilities. One such opportunity is tax deductions, which allow taxpayers to deduct certain expenses from their taxable income. Another option is tax credits, which directly reduce the amount of tax owed. Tax planning, such as timing income and deductions, can also help minimize tax burdens. Additionally, tax-deferred investments, such as retirement accounts, can lower tax liabilities. Familiarizing oneself with these tax strategies can greatly benefit taxpayers in managing their taxes.
