|
 |
How Do the 2008 Tax Law Changes Affect You?
|
There were many changes to the tax laws in 2008. Review the
following summary to determine if any of those changes affect you
and your family. Please contact us for more information.
-
2008 Recovery Act
-
2008 Housing Act
-
Non-itemizers can now take an additional standard deduction
for real property taxes of up to $500 ($1,000 for joint
filers) for tax years beginning in 2008. This deduction is not
limited to taxes paid on a principal residence, and as such,
may be claimed for state and local taxes also paid on a
vacation home.
-
First-time homebuyers will now get refundable credit for 10%
of the purchase price of their principal residence up to
$7,500 ($3,750 on separate return). This credit must be
recaptured over 15 years.
-
There is now a limitation on the exclusion of gain from the
sale or exchange of a principal residence. Homeowners are now
required to pay taxes on gains made from the sale of their
principal residence to reflect the portion of time the home
was used as a vacation or rental property. Thus, the $250,000
($500,000 for joint filers) exclusion is now reduced by an
amount based on the ratio of years to use as a principal
residence to the total time of ownership.
|
|
© Copyright Bucci Law Offices
Reproduction or republication in any form is prohibited.
Christin Bucci, Attorney and Counselor at Law,
LL.M., C.P.A.
*Member of the Florida Bar, Federal Bar for the Southern
District of Florida, Ohio Bar, District of Columbia Bar, United
States Supreme Court Bar & United States Tax Court*
www.buccilawoffices.com |
|
|
|
