By month: April 2009

Big, Unlimited 2009–2016 Tax Credits for Installing Solar, Wind, or Geothermal

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.

New 2009–2010 Homeowner’s Energy Property Tax Credit

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.

IRS Releases the New Luxury Vehicle Depreciation Limits for 2009

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).

Owner Loses Business Loss Deductions

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.

Creating a Dependent Care Credit

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.

Deducting Golf after the Office Meeting

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.

Business Furniture in the Home

You do not need a tax deductible office in your home to deduct the cost of business furniture and equipment in your home


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