The 2009 American Recovery and Reinvestment Act, established by Congress in Feb. 2009, offers quite a few opportunities for you to get back a little extra cash this upcoming tax season. The Stimulus, as most of us know it as, was put in place so that jobs could be created. But as the stimulus promotes investment and consumer spending during the recession, it also offers tax incentives that Americans can be grateful in obtaining. Per the IRS website, here’s a breakdown of those credits you should be aware of while filing your taxes:

  • Homebuyer Credit. Homebuyers who purchase by April 30, 2010, and settle by Sept. 30, 2010, may be eligible for a credit of up to $8,000. Documentation requirements apply.
  • COBRA. Workers who lose their jobs between Sept. 1, 2008, and May 31, 2010, may qualify for reduced COBRA health insurance premiums for up to 15 months.
  • Education benefits. The American opportunity credit and enhanced benefits for 529 college savings plans help families and students find ways to pay higher education expenses.
  • Home energy efficiency and renewable energy incentives. If you have upgrade your home with energy-efficient applicances by Dec. 31, 2010, you can claim up to 30% or up to $1,500 of the total amount paid for appliances.
  • Earned Income Tax Credit. The EITC is bigger in  2009 and 2010.
  • Additional child tax credit. More families will qualify for the ACTC in 2009 and 2010.
  • Making Work Pay Tax Credit. This credit means more take-home pay for many Americans in 2009 and 2010. Make sure enough tax is withheld from your pay with the help of the IRS withholding calculator. See Making Work Pay for more.
  • $250 for Social Security Recipients, Veterans and Railroad Retirees. The Economic Recovery Payment was paid by the Social Security Administration, Department of Veterans Affairs and the Railroad Retirement Board in 2009. To verify whether you received it, call 1-866-234-2942 and select Option 1 or visit Did I Receive a 2009 Economic Recovery Payment? on this website.
  • Money Back for New Vehicles. Taxpayers who bought new cars and certain other new vehicles in 2009 can deduct the state and local sales taxes they paid as well as other taxes and fees they paid in states with no sales tax.
  • Increased Transportation Subsidy. Employer-provided benefits for transit and parking rose in 2009.
  • Up to $2,400 in Unemployment Benefits Tax Free in 2009. Individuals should check their tax withholding.
  • Health Coverage Tax Credit. This credit increased from 65 percent to 80 percent of qualified health insurance premiums, and more people are eligible.

…and for owners of small-businesses, there are additional tax credits you may be eligible for. Check out the IRS.gov website for more info.

About The Author

Ms. Bels
Publisher/Editor-In-Chief
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Ms. Bels is unlike any other female publisher in the game. A true go-getter that bridges her Westside ATL upbringing with corporate swag. The savviness of this only-child has afforded her a successful 15+ year career in business management, budget analysis and accounting; Stacks Entertainment LLC was her first entrepreneurial baby. Stacks Publishing Group LLC (SPG) is her second and, prayerfully, becomes the gateway to an extraordinary life. Always on-the-go, Bels finds time for a mixture of mischief and positivity. Traveling across the globe, shopping, writing, and giving back to the community are a few things she enjoy. Oh and she loves to laugh.