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Purchasing municipal bonds is the quickest and, in fact, one of the few ways to make money from your assets tax-free.
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If you are the named beneficiary of a life insurance policy, your proceeds will not be taxed.
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Disability payments can be considered income.
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If the annual gift tax exclusion level is over $17,000 per person, gifts can be taxed.
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Child support payments are neither deductible by the payer nor taxable by the receiver, according to the IRS, exactly like alimony payments.
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Prior to 2019, alimony was tax deductible for the payer and taxable for the recipient. next January.
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In contrast to standard IRAs, Roth IRA payouts are frequently tax-free.
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You can exclude from income employer-provided adoption assistance payments in addition to receiving a tax credit for eligible adoption expenses.
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Income in a State With No Income Tax
Alaska, South Dakota, Nevada, Florida, Texas, Wyoming, Washington, and Tennessee are the eight states that do not tax income that is typically subject to federal taxation.
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Use Tax-Deferred Account
You won't have to pay taxes on your income or gains until you take the funds from a tax-deferred account, such as an IRA or 401(k).
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