CONTACT INFORMATION:
Liberty Tax
Alberto Tapia
8432904729
albertotapia@libertytax.com

Beaufort, South Carolina, March 10, 2025 , Tax filings for the 2025 Tax Season remain down year to year according to the latest IRS statistics. While political banter and Social Media posts are causing confusion, taxpayers are encouraged to examine the source and file sooner than later.

“Not only does filing earlier give taxpayers the information they need to make important financial decisions, but it also goes a long way towards guarding their personal information from identity thieves. The sooner you file, the sooner your Social Security number is protected,” said Alberto Tapia, Franchise owner of Liberty Tax. “The fact is tax law changes for 2024 are set and include updates to a number of credits, the standard deduction, IRA contributions, new reporting requirements for the 1099-K and more. Don’t get caught up in the rumors. Social Media scams are rampant. Trust the professionals.”

Below are some of the key changes that individuals should keep in mind:
- Tax Return and Payment Deadline
o For most individual income tax returns and payments, the deadline is April 15, 2025.
o Taxpayers should ensure they file by this date to avoid any penalties or interest.
- Updates to the Additional Child Tax Credit (ACTC)
o For tax year 2024, the ACTC has increased to $1,700 per qualifying child.
Additionally: Bona fide residents of Puerto Rico can now claim the ACTC with just one qualifying child, a change from the previous requirement of three or more qualifying children.
- Standard Deduction Increase The standard deduction amounts have increased for 2024:
o Single or married filing separately — $14,600
o Head of household — $21,900
o Married filing jointly or qualifying surviving spouse — $29,200
- Child Tax Credit (CTC) Enhancements
o For 2024, the CTC remains $2,000 per qualifying child.
o The phase-out begins at an AGI of $200,000 ($400,000 for joint returns). A child must be under 17 at the end of 2024 to be eligible.
- Adoption Credit Update
o For 2024, the Adoption Credit and employer-provided adoption benefits exclusion are both $16,810 per eligible child. This credit phases out if the taxpayer's modified AGI exceeds $252,150 and is completely phased out at $292,150.
- Clean Vehicle Credit
o Taxpayers can claim the Clean Vehicle Credit for new and previously owned clean vehicles.
- IRA Contribution Limit Increase
o The IRA contribution limit for 2024 has increased to $7,000 ($8,000 for individuals aged 50 or older), up from $6,500 in the prior year.
- 1099-K Reporting Requirements
o For tax year 2024, third-party settlement organizations (payment apps, online marketplaces, etc.) must report transactions exceeding $5,000.

For more personalized advice or assistance in preparing your tax return, contact the following location for a free consultation:
Liberty Tax
860 Parris Island Gtwy B2
Beaufort, SC 29906
8435228488