Tax Deduction

Expenses like health insurance and contributions to tax deductible retirement plans like an IRA or 401(k) that are not subject to taxation. If you deduct those payments from your taxes, you are essentially lowering your total tax liability, or amount of money for which you are on the hook to pay taxes. (See also: IRA, 401[k], liability)

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2017-12-13T19:55:23+00:00

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