Home ownership can provide significant income tax savings compared to renting a comparable home. This is because a taxpayer's tax deductible. insurance premiums (up to 50% of their total annual value) are cannot be paid with pre-tax dollars, an home improvement and upkeep expenses are property taxes are he IRS? cannot be paid with pre-tax dollars, and The contributions or expenses associated with cannot reduce your taxable income a defined contribution retirement plan Which of the following is excluded from gross i a premium-only plan Hobby income a flexible spending account home ownership Gambling and lottery winnings Home ownership can provide significant income tax savings compared to renting a comparable home. This is because a taxpayer's tax deductible. cannot be paid with pre-tax dollars, and therefore, The contributions or expenses associated with cannot reduce your taxable income Which of the following is excluded from gross income reported to the IRS? Hobby income O Gambling and lottery winnings Alimony received O Child support payments received Which of the following is not considered tobe a tax-sheltered investment? An investment in a Coverdell education savings account An investment in government savings bonds A Roth IRA account O An investment in a mutual fund Why is a refundable tax credit more valuable than a tax deduction or a nonrefundable tax credit? It may reduce your tax liability to below zero (provide a refund). It reduces tax liability by one dollar for every dollar of the credit. O It may be taken even if you do not itemize deductions. All of these are reasons