03 | Tax Returns (Watch The Video)

Today you will learn 5 new English words related to "Tax Returns"

Author

SEWT Team
July 16, 2025

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Understanding “tax returns” is a valuable topic for ESL learners, like yourself, because it’s essential knowledge for navigating a complex financial system. The process of preparing and filing taxes often requires interacting with government agencies or tax professionals, providing you with opportunities to practice your communication skills in real-world scenarios. By understanding today’s vocabulary, you can gain crucial financial literacy and become more self-sufficient members of your community. Let’s jump right in!

5 TERMS

  1. Deduction (Noun): An amount that can be subtracted from a person's taxable income, reducing the total tax liability.

  2. Refund (Noun): The amount of money returned to a taxpayer when they have overpaid their taxes.

  3. Exemption (Noun): A portion of income that is not subject to tax, often for certain individuals or expenses.

  4. Audit (Noun / Verb): A review of a taxpayer’s financial records by the IRS to ensure accuracy and compliance with tax laws.

  5. Filing (Noun / Verb): The act of submitting a tax return to the relevant tax authority.

EXAMPLE SENTENCES

  1. Deduction

    • You can claim a deduction for charitable donations on your tax return.

    • The accountant explained how various expenses could lead to tax deductions.

    • Mortgage interest payments are often used as a deduction when filing taxes.

  2. Refund

    • After filing my tax return, I received a refund from the government.

    • The IRS sent me a refund check for the overpayment last year.

    • If you are eligible for a refund, the amount will be deposited directly into your account.

  3. Exemption 

    • You can apply for an exemption if you have dependents or qualify for other criteria.

    • Taxpayers can claim a standard exemption to reduce their taxable income.

    • The new tax law offers an exemption for some types of income, such as for veterans.

  4. Audit

    • The IRS conducted an audit of my tax return to verify the deductions I claimed.

    • If you are selected for an audit, you will need to provide documentation supporting your tax filings.

    • The audit revealed discrepancies between the reported income and actual earnings.

  5. Filing

    • Filing your tax return early can help avoid last-minute stress.

    • She is responsible for filing the business’s taxes every year.

    • The deadline for filing your tax return is typically April 15th.

EXAMPLE PARAGRAPH

Navigating the complexities of tax returns can be daunting. Understanding the various deductions and exemptions available is crucial for minimizing your tax burden and maximizing any potential refund. Accurate filing is essential, as errors can trigger an audit, a dreaded examination of your financial records by the tax authorities. Whether you choose to file independently or seek professional assistance, familiarizing yourself with the process, from gathering necessary documentation to understanding the implications of each deduction and exemption, is key to a smooth and stress-free tax season.

DOWNLOADABLE PDF

Tax Returns152.26 KB • PDF File

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