State & Local Sales Tax Deduction – An itemized deduction of particular importance to those in Texas since we do not have state income tax to deduct.

Higher Education Tuition Deduction -  The expanded credit for higher education  was already available for 2010 but has now been extended through 2012.

Teacher Classroom  Expense Deduction

Charitable contributions From IRA

Charitable Contributions of Appreciated Property for Conservation Purposes

The  additional property tax deduction for those taking the standard deduction was NOT extended.

Selected Other Provisions of the Act

Payroll taxes will be less for most allowing a larger take home pay

·         The individual tax rates were scheduled to increase for 2011 but have now been extended at the 2010 levels Through 2012

·         The employee portion of Social Security tax is reduced from 6.2 % to 4.2%

Alternative Minimum Tax – Continued “patch” of the higher exemption amount for 2010 and 2011

100% Bonus Depreciation – For qualified property the 50% bonus depreciation provision was increased to 100% for property placed in service after September 8, 2010 and before January 1 2012.  50% Bonus depreciation is available for 2012.

Energy Incentives  for individuals and business have been extended for one or two years with some modifications including the individual credit amount reverting to pre 2009 amounts.l

Research Tax Credit  which expired at the end of 2009 was extended for 2010 & 2011

Many of the  Business Tax Extenders which had expired at the end of 2009 were extended for 2 more years.