is now 
More than 50 tax deductions and tax credits are set to expire December 31st. Experts predict Congress may take no action to extend any of them in light of distractions over debate over big budget items such as the Affordable Care Act. Yet, proponents say they will try to keep the extension of the deductions included in the 2014 federal budget package.
Some of the expiring tax provisions which have been most used by taxpayers include:
- Credit for energy efficient appliances
- Credit for construction of new energy efficient homes
- Credit for health insurance costs for eligible individuals
- Premiums for qualifying mortgage insurance
- Deductions for certain expenses of elementary and secondary school teachers
- Tax-free distributions from individual retirement plans for charitable purposes
- Deductions for donating property to conservation organizations
The deduction for State and local general sales taxes is also set to expire, but it has the most political backing that may ensure it is extended. Yet, if you’re a taxpayer who deducts state and local sales tax in lieu of state and local income tax, you may consider buying that big ticket item now before the end of 2013… just in case.
If you have any questions about what your best plan of action should be regarding both your 2013 business and individual income tax strategies, please don’t hesitate to contact us at McRuer CPAs at 816.741.7882.
