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Those provisions include the exclusion of some Social Security benefits from taxable income, the tax credit and extra standard deduction for the elderly, and the child, earned income, and childcare tax credits that primarily help low-income workers with children (see graph).Extending the example offered above, the couple could earn an additional ,375 without paying income tax because their pre-credit tax liability of ,056 would be wiped out by a ,000 child tax credit and of EITC.In fact, however, many of those who don’t pay income tax do pay other taxes—federal payroll and excise taxes as well as state and local income, sales, and property taxes.The large percentage of people not paying income tax is often blamed on tax breaks that zero out many households’ income tax bills and can even result in net payments from the government.

The conclusion: Three-fourths of those households pay no income tax because of provisions that benefit senior citizens and low-income working families with children.The Application is available on the Apple, Google and Microsoft official download platforms.It can be downloaded free-of-charge from the Apple App Store, the Google Play Store and the Microsoft Windows Phone Store, on i Phones running version i OS 8 or higher, Android Smartphones running version 4.1 or higher, and Windows Phones running version 8.1 or higher.Itemized deductions and credits for children and education are a bigger factor for households with income between ,000 and 0,000.The relatively few nontaxable households with income over 0,000 benefit most from above-the-line and itemized deductions and reduced tax rates on capital gains and dividends.Crush: A Crush is created between two profiles and triggered by a Like on both profiles.