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List of expiring tax provisions

I thought you might find this list of tax provisions expiring 12/31/07 helpful as you do year-end tax planning.

TAX PROVISIONS EXPIRING 12/31/07

* Deduction of up to $2,000 or $4,000 (depending on income) for college tuition.

* Option to deduct state and local sales tax instead of state income tax.

* Election to include combat pay as earned income for earned income credit.

* Credit for certain energy-saving home improvements.

* 15-year depreciation for qualified leasehold improvements and qualified restaurant property.

* Deduction for up to $250 for classroom supplies purchased by teachers and other educators.

* Credit for manufacture of qualifying energy-efficient appliances.

* Itemized deduction for mortgage insurance on qualified personal residence.

* Availability of Archer MSAs.

* Option to transfer up to $100,000 from IRA to charity for those 70½ or older.

* Enhanced deductions for donating food and certain books to charity.

* Enhanced deduction for charitable donations of real property for conservation.

* The research and experimentation tax credit.

* Expensing of brownfields environmental remediation costs.

* Qualified zone academy bonds credit.

The increased AMT exemption amounts expired 12/31/06, as did the allowance of certain credits against the AMT. Congress to “fix” this for 2007.

Hope you find this list useful.

Mike Habib, EA

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