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Statutory payroll deductions include: payroll taxes, federal income tax, Social Security tax and Medicare tax, state income tax (if applicable) and local tax withholdings (if applicable) such as city, county, or school district taxes, and state disability.
Mandatory Payroll Tax DeductionsFederal income tax withholding.Social Security & Medicare taxes also known as FICA taxes.State income tax withholding.Local tax withholdings such as city or county taxes, state disability or unemployment insurance.Court ordered child support payments.
What are payroll deductions?Income tax.Social security tax.401(k) contributions.Wage garnishments.Child support payments.
Mandatory Payroll Tax DeductionsFederal income tax withholding.Social Security & Medicare taxes also known as FICA taxes.State income tax withholding.Local tax withholdings such as city or county taxes, state disability or unemployment insurance.Court ordered child support payments.
Sales taxes. You have the option of deducting sales taxes or state income taxes off your federal income tax.Health insurance premiums.Tax savings for teacher.Charitable gifts.Paying the babysitter.Lifetime learning.Unusual business expenses.Looking for work.More items...?
What are statutory deductions? Statutory deductions are required by law and neither employers nor employees have a choice whether they will be deducted. Common statutory deductions include Employment Insurance, Canada Pension Plan premiums, income tax, and garnishments issued by any court.
A. Military personnel on active duty or in the active reserves may deduct up to $5,000 of their military pay if it was not already excluded or deducted from their adjusted gross income.
20 popular tax deductions and tax credits for individualsChild tax credit.Child and dependent care tax credit.American opportunity tax credit.Lifetime learning credit.Student loan interest deduction.Adoption credit.Earned income tax credit.Charitable donations deduction.More items...
Deductions can be grouped into three categories: the standard deduction, itemized deductions and above-the-line deductions.
Common itemized deductions include interest on a mortgage loan, unreimbursed healthcare costs, charitable contributions, and state and local taxes. Please consult a tax professional to determine whether a standard deduction or itemizing works for your financial situation.