By month: April 2009
This new law gives you 30 percent uncapped and unlimited tax credits for installing qualified solar, wind, or geothermal energy improvements in your home, vacation home, or other residence.
Tax credits are best. They reduce your taxes dollar for dollar.
Now, you can pocket a 30 percent tax credit of up to $1,500 when you install qualifying energy approved windows, doors, HVAC, insulation, water heaters, roofs, and similar property in your principal residence.
Tax law’s luxury vehicle depreciation limits can apply to business cars, pickups, SUVs, crossover vehicles, and vans costing less than $15,500. That’s bad news. The good news: You often find a hidden tax deduction in the back end of the luxury limits (and mileage rates).
Ownership and involvement in your business may not be sufficient if your business suffers an operating loss. To deduct a business loss, you must materially participate in the business.
With net business income less than $115,647, the sole proprietor with two qualifying children and a stay-at-home spouse can hire the spouse and pay a wage of $6,000 to create a $1,200 child care credit with no change in their joint income taxes—other than realization of the $1,200 credit.
Golf before or after convention meetings has been preapproved by the IRS as deductible associated entertainment that follows or precedes a bona fide and substantial business discussion. Golf before or after an office meeting has no such preapproval. It must pass the “associated entertainment” test to qualify for a deduction.
You do not need a tax deductible office in your home to deduct the cost of business furniture and equipment in your home