The IRS Announces New Mileage Rates
The IRS Announces New Mileage Rates
Effective July 1, 2008 through December 31, 2008, the new mileage rate is 58.5 cents a mile for business miles driven, and 27 cents a mile for medical and moving miles. Charitable mileage rate remains unchanged at 14 cents a mile.
Taxpayers should begin to collect two sets of mileage – one for miles driven before July 1 and one for miles from July 1 to the end of the year.
New Deductions and Credits for South Carolina Taxpayers
New Deductions and Credits for South Carolina Taxpayers
South Carolina has a bunch of changes for its taxpayers. One impacts every South Carolina taxpayer. It is a tax rate change that is intended to reduce the amount of tax that you may be required to pay.
Tax Rate Change – South Carolina passed a tax rate reduction for tax year 2007. The lowest tax bracket, the 2.5% tax rate bracket, is eliminated. For tax year 2007, the first $2,630 of Federal taxable income (what was also South Carolina taxable income) is tax free.
Tax Law Changes For 2007
AMT exemptions rise. Filing is delayed for some taxpayers. Several popular deductions reappear on IRS forms. Tax relief is available to struggling homeowners whose mortgage debt is forgiven. Retirement savings incentives expand. A new deduction is available for some mortgage insurance premiums. And new recordkeeping rules apply to cash donations to charity.
These are among the changes taxpayers will find when they fill out their 2007 tax returns. More information about the changes, summarized below.
AMT Exemption Increased for One Year