Tax Law Changes for 2009

• Up to $2400 of unemployment benefits are not taxed in 2009.

• There is a one-year option to avoid minimum retirement plan distribution
  rules for qualified accounts.
  
  
• For new vehicles purchased in 2009, sales and use tax can be a potential
  tax break.

• The Hope Credit has been increased and expanded from two to four years of post secondary education.

• For tax years 2009 and 2010, new tax law provides numerous tax incentives for individuals to invest in energy-efficient products for their home. The credit is 30 percent of the cost of all qualifying improvements up to $1,500. Examples include insulation, energy efficient exterior windows and energy efficient heating and air conditioning systems

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· First time homebuyers who have a contract in place before May 1, 2010 and close by July 1, 2010 are eligible for a tax credit up to $8,000.

If you'd like to discuss how these changes affect your personal and business situation, please give us a call at (270) 351-1540 or feel free
to email us at info@lirotcpa.com.