What's New in Taxes This Year?

1. No part of the home was used for business or rental purposes.
2. You (or your spouse if filing a joint return) owned and lived in the home as your main home for at least 2 years within the 5-year period ending on the date of sale.
3. You (and your spouse if filing a joint return) have not sold or exchanged another main home after May 6, 1997.
4. The selling price of the home is not over $250,000 ($500,000 if married and filing a joint return). If all four of the conditions do not apply, or for further details, see Publication 523 on the IRS homepage.

Self-Employed Health Insurance Deduction

If you are self-employed, you may be able to deduct up to 45% of your health insurance.

Standard Mileage Rates

The rate for business use of a vehicle has increased to 32.5 cents a mile. Starting this year, you can use the business mileage rate even if you lease your vehicle. For charitable contributions, the rate has increased to 14 cents a mile.

Earned Income Credit (EIC)

You may be able to take this credit if you earned less than $30,095 (less than $10,030 if you do not have any qualifying children).