**Demystifying Income Taxes: A Quick Overview** Income tax is the levy imposed by governments on earnings. It encompasses various sources like salaries, investment gains, self-employment profits, retirement withdrawals, and other income streams such as alimony. Filing taxes involves gathering documents, choosing a filing status, calculating taxable income by deducting eligible expenses, and filing by the deadline (usually April 15th). Minimizing taxes can be achieved through strategic use of deductions and credits, such as mortgage interest and the Earned Income Tax Credit (EITC). Understanding these basics helps individuals manage their finances effectively and stay compliant with tax laws. https://pensionbox.in/blog/Best-ways-to-save-your-taxes-in-2024