States must now decide whether to participate, with their decisions determining the federal credit’s availability to taxpayers.

The IRS has announced that the following three tax credits are among those whose limits will rise for the 2026 tax year — the one for which your tax return is due by April 2027. Unfortunately, the value of several other tax credits is subject to inflation adjustments.

The federal EV tax credit of up to $7,500 on electric cars and plug-in hybrids expired on Sept. 30, 2025. The changes are due to a budget reconciliation bill, also known as the One Big Beautiful Bill Act. The new and used EV tax credits were set to expire ...

The federal tax credit of up to $7,500 for EVs came thanks to the Inflation Reduction Act (IRA). But ever since the electric vehicle tax credit was announced, there have been questions and confusion over everything from the EV tax credit income limit to ...

A new child tax credit is coming next year, bringing significant changes that will alter how much assistance families receive — and which families can receive it. With his tax and spending package, President Donald Trump passed a permanent change to the ...

Two years after the expiration of the expanded child tax credit, a pandemic-era policy that temporarily but dramatically lowered child poverty rates, federal lawmakers are close to a bipartisan deal that may reinstate some version of the credit. Leaders of ...

Growing your family through adoption can be a wonderful experience, but it can be costly. However, there’s a federal tax break that might help. The adoption tax credit is a refundable federal credit that allows adoptive parents to claim specified amounts ...

Kemberley Washington is a former staff writer at Forbes Advisor and provides consumer-friendly tax tips for individuals and businesses. Her work goes beyond tax articles. She has been instrumental in tax product reviews and online tax calculators to..

The IRS has given automakers a little more wiggle room around which electric vehicles will qualify for a federal tax credit worth up to $7,500. The change — which gives companies a few more years to find sources for graphite outside of China — won't ...

The IRS has unveiled a new tax credit under the One Big Beautiful Bill Act to encourage donations to K–12 scholarship organizations, starting in 2027, with potential impacts varying by state.