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Income Tax Calculator

Estimate refund or tax owed with chart, currency selector and export options.

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Income Tax Calculator – Estimate Tax Refund or Tax Due

The Income Tax Calculator helps estimate how much tax you may owe or how much refund you can expect by calculating your taxable income, deductions, exemptions, and credits.

It is designed to simplify complex tax rules into a practical and easy-to-use estimation tool.

Taxable Income Explained

Taxable income is calculated by taking your gross income and subtracting deductions and exemptions such as retirement contributions or pension plans.

Gross Income − Deductions − Exemptions = Taxable Income

Other Types of Taxable Income

Above-the-Line (ATL) Deductions

ATL deductions reduce adjusted gross income (AGI) and are allowed regardless of whether you itemize.

Examples include IRA contributions, student loan interest, qualified tuition expenses, and certain business expenses.

Below-the-Line (BTL) Deductions

BTL deductions include the standard deduction or itemized deductions from Schedule A.

Examples include mortgage interest, charitable donations, medical expenses, and state & local taxes (SALT).

Modified Adjusted Gross Income (MAGI)

MAGI is AGI with certain deductions added back. It is used to determine eligibility for many tax deductions and credits.

Standard vs. Itemized Deductions

Taxpayers may choose between the standard deduction or itemizing deductions.

The calculator automatically selects whichever option results in the lowest tax liability.

Tax Credits

Tax credits directly reduce the amount of tax owed, making them more powerful than deductions.

Alternative Minimum Tax (AMT)

AMT is an alternative tax system that removes many deductions. Taxpayers must pay whichever is higher: regular income tax or AMT.

Frequently Asked Questions

Is this income tax calculator accurate?

The calculator provides estimates based on current tax rules. Actual taxes may vary depending on filing status and credits.

Does it automatically choose standard or itemized deductions?

Yes, the calculator selects the option that results in the lowest estimated tax.

Are tax credits better than deductions?

Yes. Tax credits directly reduce tax owed, while deductions only reduce taxable income.

Should I worry about AMT?

AMT mainly affects higher-income taxpayers who claim many deductions.

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