Tax Glossary

An unmarried individual whose home is the principal place of abode of a son, stepson, daughter, stepdaughter, father, mother or any other dependent person for whom a dependent credit may be claimed. A head of household may also be someone who maintains any household as the principal place of abode for a father or mother provided that such parent qualifies a the taxpayer's dependent.

Generic term for an indirect tax that is incorporated into the price of goods and services and is therefore not apparent when paid. An example is the fuel tax which is included in the price of gas at the pump.

Homeowners' Exemption

A constitutionally provided property tax exemption for homeowners. The exemption reduces the assessed value of a principal residence by $7,000 and in doing so reduces the property tax liabilities of most homeowners by approximately $70 per year.