Eight Tax Saving Credits

1. Child Care Credit
The Child Care Credit is given to a taxpayer who incurs child or dependent care expenses which enable the taxpayer to work. This credit is non-refundable, but can be for an amount as high as $2,100.

2. Educators Expense Credit
Professional K-12 educators can claim the Educator's Credit for out of pocker school related expenses. This credit is refundable and has no maximum income restrictions, bue the maximum credit is only $250. There is uncertainty if this credit will remain in  affect for the 2004 tax year.

3. Foreign Tax Credit
The Foreign Tax Credit reduces the US taxes by the amount of foreign taxes paid. This credit is non-refundable.

4. HOPE Education Credit
The Hope Credit is for qualified education expenses paid for the taxpayer, the taxpayer's spouse, and for dependents. This credit is non-refundable and can be for as much as $1,500 per child.

5. Lifetime Learning Education Credit
The Lifetime Learning Credit is for qualified education expenses paid for the taxpayer, the taxpayer's spouse, and for dependents. This credit is non-refundable and can be as much as $2,000 per year.

6. Child Credit
Each qualifying child enables the taxpayer to claim the Child Tax Credit. This credit is partially refundable and is for an amount of $1,000 per child.

7. Earned Income Credit
Certain taxpayers whose income falls within specific limits can be eligible to claim the Earned Income Credit. This credit is fully refundable and can be for as much as $4,200.

8. Retirement Saver's Credit
The Retirement Saver's Credit encourages retirement savings by allowing a credit based upon a percentage of amounts contributed to an IRA or retirement plan. THis credit is non-refundable, but can be for an amount as high as $1,000.

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