At MILLER SHERRILL BLAKE EAGLE CPA PA, we know that an informed client is our best customer. And the Internet is a great education resource, with endless amounts of information just a click or two away.
But sometimes it's nice to have help sorting through the virtual noise and clutter, so we've selected a few of the most common tax updates for you to consider. Check back often, for all the latest information on ways to manage your business and personal financial needs more effectively.
**New Update: NEW VEHICLE SALES TAX DEDUCTION
If you purchased a NEW vehicle in 2009 you can deduct the sales tax on your tax return. You will need to provide the receipt from your purchase and ask your tax preparer if there are any restrictions for you personally.
**If you take a standard deduction instead of itemizing this will not be applicable to you.
American Opportunity Credit For tax years beginning in 2009 and 2010, the Stimulus Act includes taxpayer-friendly modifications to the Hope Scholarship higher education tax credit (Hope Credit).
Traditional to Roth IRA Conversions Four years ago, the Tax Increase Prevention and Reconciliation Act of 2005 (TIPRA) relaxed some restrictive rules preventing many taxpayers from converting a traditional IRA to a Roth IRA, but this favorable change was not effective until 2010.
Homebuyer Credit Extended and Expanded The First-time Homebuyer Tax Credit (Credit) allows new homeowners the opportunity to receive a tax credit of up to $8,000 to help them purchase a home. The Credit was originally set to expire on December 1, 2009, but was recently extended and expanded.