President Barack Obama has signed H.R. 5771, The Tax Increase Prevention Act of 2014, and individual taxpayers will benefit from the list of 50-plus tax extenders.
There’s tax relief for teachers, commuters, home renovators who go green and those who live in no-income-tax states. They’ll all see the breaks on their 2014 tax returns and the filing season is just around the corner.
These are the major individual tax extenders, now good through December 31, 2014:
- The deduction for state and local sales taxes.
- Above-the-line deduction of up to $4,000 for higher education expenses.
- A $250 above-the-line deduction for school teachers for supplies.
- Parity for employer-provided mass transit and parking benefits ($250 a month, up from $130 a month).
- The ability to exclude up to $2 million in discharge of residential mortgage indebtedness from gross income.
- The deduction for mortgage insurance premiums.
- Energy-efficient home improvements tax credit.
- Tax-free distributions from an Individual Retirement Account for charitable purposes (the IRA charitable tax rollover) for taxpayers over 70 ½.
- Enhancements to the rules for donating real property for conservation that encourage farmers, ranchers and other modest-income landowners to increase the pace of land conservation.
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