Find Laws Find Lawyers Free Legal Forms USA State Laws
Home » Find Laws » Government Programs Laws » Disabillity Benefits » Understanding The Disability Tax Credits

Understanding The Disability Tax Credits

Disability Tax Credits

If an individual is no longer able to work due to a disability, he/she may qualify for a disability tax credit. Disability tax credits help to diminish or negate the amount of taxes that an individual owes the IRS. The United States government recognizes that disabled individuals may not have access to the income that other individuals do, because of their disability.

Many disabled individuals depend upon disability benefits and disability insurance payments to survive. In order to reduce the financial burden experienced by these individuals, the disability tax credits were established. In order for an individual to qualify for this tax credit, he/she must be a United States citizen who has not yet turned 65. He/she must be suffering from a permanent disability, which has forced him/her to retire from the working populations. An individual must also be depending upon disability payments for their primary income, in order to qualify for disability tax credits.

In addition to individual disability tax credits, a business or a corporation may acquire a disability tax credit. These tax credits only cover large businesses, however, they can significantly reduce a companies annual taxes. Following the establishment of the Americans with Disabilities Act, which was passed in 1990, companies were required to take all necessary measures to ensure that their work environments were accessible to disabled individuals.

Due to the extensive cost often associated with the necessary renovations and upgrades, the Internal Revenue Service agreed to offer some cooperative companies disability tax credits. This helped to encourage companies to initiate all renovations necessary to achieve accessibility.

NEXT: Disability Allowance Explained

Related Articles

Link To This Page

Comments

POPULAR IN GOVERNMENT PROGRAMS

Pledge Protection Act
GOVERNMENT PROGRAMS
Pledge Protection Act
Japanese American Internment
GOVERNMENT PROGRAMS
Japanese American Internment
Bradley Amendment
GOVERNMENT PROGRAMS
Bradley Amendment
Michigan Legislature
GOVERNMENT PROGRAMS
Michigan Legislature
What Are Voting Booth
GOVERNMENT PROGRAMS
What Are Voting Booth
Find an CT Lawyer
Guide to Finding a Lawyer

MORE IN GOVERNMENT PROGRAMS

Disability Allowance Explained Disability Allowance Explained
Tips