Living in Austin has its Benefits!
I know that everyone breathes a sigh of relief when tax season ends, if for no other reason than not to have to hear about taxes all the time! So bear with me one more time as I focus on the tax benefits of living in Austin. Earlier this year, we talked about tax deductions for homeowners living in Austin, the homebuyer’s tax credit, tax benefits of green living in Austin and taxes and rental properties.
Get a Pay Raise Living in Austin
Although we mentioned it, we didn’t really discuss what it means to live in a state with no income tax. Texas is one of six states in the nation where residents do not pay states taxes on their income. No state income tax means one less thing is deducted from your gross wages and this makes living in Austin that much more attractive!
Living in Austin Means Less Tax Paperwork
Whether you’re a do-it-yourselfer or you get your taxes prepared professionally, taxes involve lots of paperwork. It sure is nice to have not only one less tax liability, but also one less tax form to fill out by not having to file a state income tax return.
Tax Benefits of Living in Austin
While Texans don’t get any tax benefits associated with filing a state income tax return, they can get a deduction for sales taxes paid on the federal return if they itemize deductions on Schedule A, which allows taxpayers to either deduct State Income Taxes paid or State Sales Taxes paid (whichever is greater).
Freelancers Love Living in Austin
Austin is a great place for freelancers. If you work from home (freelance writers, designers, etc) you can have clients from all over the US and still not pay state income tax. So if you are considering a change of scenery, you may want to think about living in Austin, and the professionals at Leader1 can help you with your Austin mortgage purchase.
Living in Austin Photo Collage courtesy of Kumar Appaiah on Flickr (check out his other amazing photos!)