Mortgage Insurance Still A Write Off- Mortgage insurance premiums remain as an itemized deduction through 2011.
Bad News for Non-Itemizers- You will not be able to take property taxes as an increased standard deduction in 2010 forward.
Children Are Still a Powerful Write Off- The $1000 child tax credit has been extended for two more years. Your child must be under the age of 17 to qualify.
American Continue to Get a Great Break on Education- The American Opportunity Credit has been extended through 2012. Qualified students will continue to get the first one hundred percent of $2000 they’ve spent toward education, followed by 25% of the next $2000. This makes the total credit $2500, of which $1000 is a refundable credit. The credit begins to phase out at $160,000
Changes To Coverdell Savings Accounts- Coverdell Savings accounts are now up to $2000 through 2012.
Exclude Interest On ESA’s- You may be able to exclude interest from US Savings Bonds as long as you are using them to pay for higher education.