The tax code is incredibly complex and nuanced. For families that include an individual with special needs, the tax options can be complicated by health status, income levels, work status and government benefits.
A tax attorney with experience in assisting individuals with a disability can help families to realize tax deductions, tax credits, and other special circumstances that are not readily available to most families. Stern Law, PLLC can provide you with qualified guidance in these matters: Call (800) 462-5772 for more information.
About taxation law
Taxes on income, business, purchases, and online are the main sources of revenue for governments. Citizens can be taxed at the federal, state, and local level.
Tax law continues to grow more and more intricate. An individual’s tax situation can become quite complicated due to:
- Health status
- Income level
- Work status
- Extenuating circumstances
- Government benefits
Families with a child suffering the consequences of birth injuries may qualify for tax advantages, but if they have not adequately collected receipts to provide proof of expenses, or if they are unaware of the process to claim the tax advantage, they may lose the benefit at the time of filing.
Types of tax advantages for disabled families
For those with a child with a birth injury, parents may be able to claim:
- Medical expenses
- Home modifications
- Auto conversions
- Assisted technology purchases
- Adaptive equipment expenses
Wills, trusts, and charity donations are vehicles commonly considered for these purposes. There are dependent care benefits, disability pensions, and Social Security income that may be available. These are resources that are available in addition to the compensation that may be obtained from litigation against the negligent parties who caused the terrible injury.
A family may have the opportunity to itemize deductions such as impairment-related work expenditures and medical expenses. Tax credits are often provided for child and dependent care, the disabled, and earned income. In some situations employer tax advantages can be claimed if home care services are contracted.
This may include services such as child care, nursing care, in-home care, and housecleaning, in some circumstances. In addition, special considerations for families with low-income or homeless status may exist. These are tax advantages the government provides to those that qualify to help ease the financial burden.
There are tax advantages available for employers who hire an individual with special needs or who make improvements in providing access to those with disabilities. An individual who is aware of these opportunities can discuss these advantages with the potential employer at the time of interview and may enhance his or her likelihood of landing the job.
Some of these include:
- Deduction for the costs of removing barriers
- Disabled access credit
- Work opportunity credit
Tax lawyers assist clients as they plan for the future and assess current tax liabilities. A lawyer can represent a family’s interest when being audited by the Internal Revenue Service. Tax lawyers can also inform of ways to plan for additional tax advantages. In some circumstances, tax lawyers may be versed in estate planning, financial planning, investments, or special needs trusts.
Areas of service of taxation lawyers include:
- Income tax
- Tax audits
- Tax planning
For more information about how a qualified tax lawyer can assist you with the costs of raising a child with a disability, please call Stern Law, PLLC at (800) 462-5772 for a free consultation.