2009 First Time Homebuyers Credit

This one is a true credit. If you, and your spouse if married, have not owned a home in the past 3 years you may qualify for a credit of 10% of the purchase price up to $8,000. This does not have to be paid back, you do not have to pay tax on it, and you can qualify for it if you don't have to file a tax return for any other reason.

Sales Tax on New Vehicle

Qualified motor vehicle taxes are deductible either as part of the standard deduction or as an itemized deduction. This means that you can take the sales tax you paid on a new vehicle even without itemizing your deductions. Qualified motor vehicle taxes are any state or local sales or excise tax imposed on the purchase of a qualified motor vehicle. The deduction is limited to the amount of taxes attributable to the first $49,500 of the purchase price.

2009 Unemployment

You will not have to pay tax on the first $2,400 of unemployment compensation benefits received in 2009. Effective for tax years beginning beginning in 2009.

Listen to this short explanation by the I.R.S.

Tennessee New Workers' Compensation Law

Public Chapter 1041 (SB1748/HB1645) clarifies that unless you are a sole proprietor or partner (with no employees) getting paid directly by the property owner, an employer in the contracting group designated by the National Council of Compensation Insurance (NCCI) must have workers’ compensation insurance on themselves. This Act becomes effective December 31, 2009.

Making Home Affordable - Refinance and Modification

The Treasury Department has introduced a program called Making Home Affordable, which is intended to stabilize the housing market and help up to 7 to 9 million Americans reduce their monthly mortgage payments to more affordable levels.

Hope Credit - Post-Secondary Education Credit

The Hope credit is modified and renamed the American Opportunity tax credit for tax years beginning in 2009 and 2010. The credit equals the sum of:

• 100% of the first $2,000 of qualified tuition and related educational expenses, plus
• 25% of the qualified tuition and related educational expenses over $2,000 but not more than $4,000.

Residential Energy Credit Back for a Short Visit

The nonbusiness energy property credit available to individual homeowners is modified and increased in the following ways:

• The 10% credit for building envelope components is increased to 30%;
• All energy property that was previously eligible for the $50, $100, and $150 credits is instead eligible for a 30% credit;
• The $500 lifetime cap ($200 for windows) is eliminated and replaced with an aggregate $1,500 cap for 2009 and 2010; and
• The credit is extended for one year, through December 31, 2010. Effective for tax years beginning after December 31, 2008. The credit won't be available for property placed in service after December 31, 2010.