Deadline for claiming Home Buyer Credit

For those who wish to claim the first-time homebuyer credit, the deadline for closing, or going to settlement, on a principal residence you purchased is June 30, 2010.

In addition, you must have entered into a binding contract to buy the residence on or before April 30, 2010.


The maximum credit amount available is $8,000 for a “first-time homebuyer” for a buyer who has not owned a primary residence during the three years up to the date of purchase.



There’s also a credit of up to $6,500 for “long-time residents” who buy a new principal residence. To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.



The credit is reduced or eliminated for higher-income taxpayers, based on modified adjusted gross income.

For more information on qualifying for and claiming the credit, please refer IRS website on the First-Time Homebuyer Credit.

[All the information are taken from the IRS and topic related other websites]

Earned Income Credit(EIC) Changes for Year 2010

EIC Limit Changes for Year 2010

Earned Income Credit (EIC) Amout has changed for the year 2010. The changes to the credit for 2009 Earned Income credit(EIC) is explain below. [For more information you can refer out Publication 596 published by IRS.]

The maximum amount of the Earned Income Credit has increased. The most you can get for 2010 is:

• $3,050 if you have one qualifying child,
• $5,036 if you have two qualifying children,
• $5,666 if you have three or more qualifying children, or
• $457 if you do not have a qualifying child.

Earned income amount for claiming EIC is also increased. The maximum amount of income you can earn and still get the credit has increased for 2010.


You may be able to take the credit if:

• You have three or more qualifying children and you earn less than $43,352 ($48,362 if married filing jointly),
• You have two qualifying children and you earn less than $40,363 ($45,373 is married filing jointly),
• You have one qualifying child and you earn less then $35,535 ($40,545 if married filing jointly), or
• You do not have a qualifying child and you earn less then $13,460 ($18,470 if married filing jointly).

Investment income amount. The maximum amount of investment income you can have and still get the credit is still $3,100 for 2010.


Advance payment of the credit. If you get the advance payments of the credit from your employer with your pay, the total advance payments you get during 2010 can be as much as $1,830.

[All the information are taken from the http://www.IRS.gov. You can refer the IRS government website for the EIC changes to know more about the EIC Limits and its related Information.]

How to file IRS 1099 Form - Video Guide

While visiting varios websites I found the below link which can be very useful for filing 1099 Forms.



[All the information are taken from the IRS and other tax related websites.]

File your taxes before 15th April

File your taxes upto 15th April. 15Th april is the last day to file your federal as well as state tax return. Visit http://www.irs.gov for more information.

Below is the various Promotinal Offer.

File Federal State Individual Taxes before April 15

Have you filed your tax return? April 15 is fast approaching.

April 15 is the last day to file an individual income tax return to IRS for both federal and state tax return. You can either print your tax return and submit it to IRS or E-File your tax return online before April 15 to save late return penalties.

There are many options to file your federal and state taxes quick and free including various software offers and listed companies on FFA page.

To file your Federal tax return free, you can choose the IRS free file program to choose the best company that suits you and your situation.

More information regarding Federal tax software and FFA options are describe in the earlier Post. (http://fstax.blogspot.com/2010/01/prepare-print-e-file-your-federal-taxes.html)

If you are not sure, that you are able to file your taxes before that, you can also file an extension (Form 4868) to the IRS to informing about the delay of your tax return. In that case you are not liable for penalty. Most of the software are also supporting the e-file of extension.

Also if you owe money then you have to pay your owe money with this form either by cheques or by direct debit. If you are e-filing then you have a option of direct debit else if you are sending this form as a paper file you need to attach a cheques along with the form. You can find more information about extension filing on http://www.irs.gov

Alternative Minimum Tax (AMT) Calculator for Individuals

Alternative Minimum Tax (AMT) Calculator for Individuals

Altername Minimum Tax(AMT) calculator
(http://apps.irs.gov/app/amt2009/index.jsp?ck)

Before going how to use this application given by IRS, below is some details on what is Alternative Minimum Tax (AMT)?

The Alternative Minimum Tax (AMT) is a parallel tax system with having its own regular tax, tax income and its related deductions. To figure out whether you owe any additional tax under the Alternative Minimum Tax system, you need to fill out Form 6251.

If the tax calculated on Form 6251 is higher than that calculated on your regular tax return, you have to pay the difference as AMT.

The Altername Minimum Tax Calculator provided by IRS government is intended to provide a simple test who fill out tax returns without using software to determine whether we may be subject to the AMT.

Below is the link from IRS to check the tax liabilities for your AMT called as AMT Assistant.

Altername Minimum Tax(AMT) calculator
http://apps.irs.gov/app/amt2009/index.jsp?ck

Answer a few simple questions about entries on draft 1040 and the system will show the results and will tell you that either you do not owe the AMT or that you must go further and complete Form 6251 to find out if you owe the AMT.

All the information are extracted from IRS website. (http://www.irs.gov) and information regarding AMT is taken from http://en.wikipedia.org/wiki/Alternative_Minimum_Tax

Credit for Child Adoption Costs-Code 197 for California State Taxes

Credit for Child Adoption Costs — Code 197

If you have adopted a child, you can claim a credit upto 50% of the adoption cost. You can claim this credit on your California State tax return (Form 540, Form 540 NR(long or short)) with credit code 197.

Your allowable credit is $2500 per childern and you can carry over the excess credit to future years.

There are certain rules to claim this credit on your california return and they are as below.

For the year in which an adoption decree or an order of adoption is entered (e.g., adoption is final), claim a credit for 50% of the cost of adopting a child who was both:

• A citizen or legal resident of the United States.
• In the custody of a California public agency or a California political subdivision.

Treat a prior unsuccessful attempt to adopt a child (even when the costs were incurred in a prior year) and a later successful adoption of a different child as one effort when computing the cost of adopting the child.

Include the following costs if directly related to the adoption process:

• Fees for Department of Social Services or a licensed adoption agency. 
• Medical expenses not reimbursed by insurance.
• Travel expenses for the adoptive family.

Note:

• This credit does not apply when a child is adopted from another country or another state, or was not in the custody of a California public agency or a California political subdivision.
• Any deduction for the expenses used to claim this credit must be reduced by the amount of the child adoption costs credit claimed.

Use same calculation shown bleow for each adoption. The maximum credit is limited to $2,500 per minor child.

1. Enter qualifying costs for the child . . . . . . . . . 1 _______

2. Credit percentage — 50%  . . . . . . . . . . . . . . . 2 _______x .50

3. Credit amount. Multiply line 1 by line 2.

     Do not enter more than $2,500 . . . . . . . . . . . 3 _______

Your allowable credit is limited to $2,500 for 2009. Carry over the excess credit to future years until the credit is used.

 
All the information are taken from California Government Website(http://ftb.ca.gov/). Please refer the instruction before claiming this credit on your state tax return.

New York Income Tax Refund Status for Tax Year 2009

Where to find out New York Income Tax Refund Status for Tax Year 2009?

Find the below link from the New York state government website to check out the refund status. 

New York State Tax Refund Status

(https://www8.nystax.gov/PRIS/prisHome)

On the webpage, Enter the below information to get the status of your refund.
- Enter your social security number;
- Select the form you filed; and
- Enter the exact whole-dollar amount of the refund that you claimed.



If you have file your NewYork state tax return and accepted by state government, then this is right tool to locate your state tax refund.

All content and links are taken from the New York Government Website. For more information you can visit on https://www8.nystax.gov/PRIS/prisHome

Calculate your California taxes using California State Tax Calculator 2009

Very Simple but powerful tool to estimate the status of your state tax return (refund or due) is a state tax calculator.

Below is the link of California state tax calculator provided by FTB on california government website.

2009 California State Tax Calculator

Choose the filing status and provide the gross income to calculate your state taxes. You can estimate your refund as per your taxes that you paid on your income.

You can file your california state taxes free of cost using government e-file options. You can read more on http://fstax.blogspot.com/2010/01/file-your-simple-california-state-tax.html

How to eFile with Free File service provided by IRS?

IRS Commercials on FREEFile options.

You can file your Free Federal Taxes with IRS using FreeEfile options. If you have your gross income $57000 or less, you can file with any of the 20 companies totally FREE.

You can find out more information regarding this program on http://fstax.blogspot.com/2010/01/prepare-print-e-file-your-federal-taxes.html

Below is one of the demo publish by IRS.

What is Nonrefundable Renter's Credit and how do I qualify for it?

California support personal income tax credit such as Non Refundable Renter's credit. If you paid rent for more than six months on your principal residence and meet the criteria listed below than you are liable to claim Renter's credit( $60 to $120) as per your filing status.

The Nonrefundable Renter's Credit is a personal income tax credit that can only be used to offset your tax liability; therefore, you must have a tax liability to claim the credit.

You can report this credit directly on all main form [Form 540/Form 5402EZ/Form 540NR].

You qualify for the Nonrefundable Renter's Credit if you meet all of the following:

1. You were a resident of California in 2009.
2. Your California adjusted gross income (AGI) is $34,412 or less if your filing status is single or married/registered domestic partner filing a separate return; or $68,824 or less if you are married/registered domestic partner filing jointly, head of household, or qualified widow(er).
3. You paid rent for at least half of 2009 for property in California that was your principal residence.
4. You did not live with another person for more than half the year (such as a parent) who claimed you as a dependent in 2009.
5. You are not a minor living with and under the care of a parent, foster parent, or legal guardian.
6. You rented property for more than half the year that was not exempt from California property tax in 2009.
7. If you are married, neither you nor your spouse/registered domestic partner was granted a homeowner's property tax exemption during 2009. (You can still qualify for the credit, even though your spouse/registered domestic partner claimed a homeowner's exemption, as long as each of you maintained a separate residence for the entire year in 2009).

If you meet the requirements above the credit is:

• Single, $60
• Head of Household or widow(er), $120
• Married/registered domestic partner filing separately, $120
• Married/registered domestic partner filing jointly, $120

 All information is taken from California Government website. [http://www.ftb.ca.gov/individuals/faq/ivr/203.shtml]

File Free IDAHO individual income taxes Online

Free Federal and State electronic filing for IDAHO State

While searching for online IDAHO state tax return preparation, find the link where software companies who are providing free services to file both FEDERAL and STATE taxes.

The state of Idaho has partnered with software developers and the IRS to provide selected groups of taxpayers with free electronic filing.

Below are the list of software developer who are providing Federal and State taxes both FREE (if you qualify). If you do not qualify, they will charge depending upon their offers. You can find out more information on Idaho state government website for the same.

Intuit

Intuit offers free tax preparation and e-filing of both federal and state tax returns with TurboTax Freedom EditionSM if in tax year 2009 you met at least one of the following requirements:

• If you qualified for the Earned Income Tax Credit (EIC),
• If you earned $31,000 or less in adjusted gross income (AGI)
• If you served active military duty,including reservists and National Guard members with a military W-2, and your AGI was $57,000 or less.

OnLine Taxes

OnLine Taxes offers free e-filing of both federal and state tax returns for all Idaho taxpayers age 20 or under.

Tax Hawk

TaxHawk offers free e-filing of your federal and state tax return with the following requirements:

• Federal tax return : No Restrictions
• State tax return : if you earned $20,000 or less in adjusted gross income (AGI).

TaxSlayer

TaxSlayer offers free e-filing of both state and federal tax returns. Taxpayers are eligible for free filing if their federal adjusted gross income (AGI) was less than $57,000 and they met any of the following requirements:

• Aged 25 or younger or 65 or older.
• Had a federal AGI of $10,000 or less regardless of age.
• Qualified for the Earned Income Tax Credit (EIC).
• Served active duty military including reservists, National Guard, and Coast Guard members.

All above contents are taken from IDAHO government website. You can find the same offers on the related companies website. 

[Neither this website nor the Idaho Tax Commission does not endorse the following companies, products, or services. The companies listed on this page offer different levels of service, so you may want to look carefully at each provider to see which free filing offers you qualify for.]

File Your Louisiana State Taxes Free

Louisiana government provides free E-File services online.

While finding out the resources to file Louisiana Taxes find out the important information regarding online services provided by State government itself.

Below is the link to start your Louisiana state taxes with Louisiana Government website.

File LouiSiana State Taxes

https://esweb.revenue.louisiana.gov/IndividualIncomeTax/Register.aspx

As per government website, requirenments to file Online taxes are simple and they are as below.

1. You must have filed an individual income tax return with the state of Louisiana for the 2004 tax year or later.
2. You must have to create an account to file your online LA Taxes. (Which you can create from above given link while preparing your state taxes.)

All information is taken from the link https://esweb.revenue.louisiana.gov/IndividualIncomeTax/Login.aspx?ReturnUrl=%2fIndividualIncomeTax%2fdefault.aspx

Where is my Pennsylvania Refund?

Where to find out the status of Pennsylvania State tax Refund?

Find the below link from the Pennsylvania state government website to check out the refund status of your Pennsylvania State tax return.

Pennsylvania State Tax Refund Status

(https://www.doreservices.state.pa.us/pitservices/wheresmyrefund.aspx)

 

You can find the more information regarding Prior Year Tax Refund status through online customer service center.( http://www.doreservices.state.pa.us/Individual/RefundDefault.htm )

 

If you have file your Pennsylvania state tax return and accepted by state government, then this is right tool to locate your state tax refund.

 

Enter you Social Security Number and the refund amount in the given box and it will show you the status of your tax refund.

Calculate Virginia State taxes using Virginia state tax calculator

Surfing around, found another simple tool, which makes our tax estimates more clear. A Virgina State Tax Calculator. Its Simple and common facility that now a days that every website or tax software company is providing but they are inside of the program.

By using this virgina state website link provided by Virgina Deparment of Tax, you can find out on which tax brackets you are following.

Below is the link to calculate the Virginia taxes by Virginia Government.

Virginia State Tax Calculator

( http://www.tax.virginia.gov/site.cfm?alias=TaxCalculator )

Just Provide Tax Income on given option and calculate on “Find my tax rate” button. It will show a tax amount on the given box.

This is very simple functionality and gives an idea about the Tax return. If you have some addition and subtraction regarding your state taxes, you are able to figure out you will get refund or owe money.

If you are filing your tax return online or by your own or using any software this tool helps you decide whether you created the right tax return or not.

Please comment if you have any suggestions regarding this article.

New Home Buyer Credit for California State (publication 3528)

New Home Buyer Credit

Same way as Federal (Form 5805), California government do support New Home Buyer Credit in current tax year.

If you receive a Certificate of Allocation from the California Franchise Tax board, then you are eligible for claiming new home buyer credit.

This credit is a non-refundable credit. And will reduce your tax amount

If you can qualify for this credit, you can claim this credit on your Form 540 or Form 540NR. You can use code "219" for new home buyer credit in the given credit code to claim this credit. [As most of the Tax software company will put automatically if you qualify.]

Government Instructions are saying as below for Home Credit.

Home Credit – For taxable years beginning on or after March 1, 2009, and before March 1, 2010, a home credit against net tax will be allowed for the purchase of a never been occupied home in an amount equal to
the lesser of five percent of the purchase price of a qualified principal residence or ten thousand dollars ($10,000).

So, The lesser of 5% of the purchase price of a qualified principal residence or $10,000. The credit is taken equally over three years.

[For more information see California FTB publication 3528]

File your New Jersey State Taxes – Free

How to file your New Jersey State Tax Return Free?


While finding out the resources to file New Jersey Taxes find out the important information regarding NJWEBFile.

New Jersey government supports NJWebFile which allow us to e-file New Jersey tax return free of cost. Check out the link as below to file your New Jersey state tax return.

Start your New Jersey State taxes

(https://njwebfile1.state.nj.us/nji/Welcome.asp)

You can login to use New Jersey webfile program from above screen. And fill up the information as needed.

Eligibility Criteria to use New Jersey WebFile Program

Below are the important notes for qualifying for the NJ web file options(and most taxpayers do).

1. If your New Jersey Gross Income over $150,000 can use NJ Webfile.
2. NJ Webfile can be used to file full-year resident income tax returns only.(Part-year and nonresident returns cannot be filed through NJ Webfile.)
3. Please have a copy of your prior year NJ Income Tax return available as information from that return is needed to access the NJ WebFile program.

For a complete listing of the eligibility and system requirements visit our website at http://www.state.nj.us/treasury/taxation/pcfile/njwebfile.shtml.

[All information are taken from the New Jersey Government website.]

File your Indiana State Taxes - FREE

How to file your Indiana State Tax Return Free?

Indiana government supports I-File which allows you to efile your state taxes directly from Indiana government website.
Check out the link below for the Indiana Filers.

Start Indiana State Tax Return for Free

(https://secure.in.gov/apps/dor/ifile/2009/)

To use I–File, you must have to meet following criteria.
( https://secure.in.gov/apps/dor/ifile/2009/faq.jsp )

• Have previously filed an individual income tax return with the State of Indiana.
• Have the same legal name that you used last year to file your taxes with the State of Indiana.

If you meet all the above criteria, you are able to do your Indiana Tax return with free of charge on Indiana Government website.

All Information are taken from the Indiana website of revenue (www.in.gov).

Find out your IRS Refund Status

Below is the link from IRS Popular Online Tool to track your Federal Tax Refund.

Where is my refund? Utility on IRS website.

(https://sa1.www4.irs.gov/irfof/lang/en/irfofgetstatus.jsp)

[Above link will redirect to IRS website.]

You'll need to provide the following information from your tax return on the IRS website to get the status of your IRS tax Refund. [For more Inofmraiton visit  http://www.irs.gov/individuals/article/0,,id=96596,00.html]

1. Your Social Security Number (or Individual Taxpayer Identification Number)
2. Your Filing Status.
3. The exact whole dollar amount of your refund.

Below is the video tutorial from youtube to learn about, how to use this utility to track your Federal Tax refund.




 [All the information mentioned above are taken from the IRS website.]

Where can I find my California Tax Refund Status?

Find the below link from the California state government website to check out the refund status of your California State tax return.

Find my California Tax Refund Status

(http://ftb.ca.gov/online/refund/index.asp)

[Above link will redirect you to Government website.]

Press the check status button on given web page after reading its content and follow the links. You need to enter your social security number (SSN#), Zip Code and the amount of your refund on the given boxes and click on the Login button on bottom of the screen when web page ask to do that. It will show the status of your tax refund on the web page.

Make sure, you filed your California state tax return and got approved from the FTB, CA government before searching for your California state tax refund.

Also enter correct information in each boxes on the forms. You can get the exact refund amount from your California state tax return.

• If you File Form 540, you can get it your value from line 93.
• If you File Form 540A, you can get it your value from line 93.
• If you File Form 540 2EZ, you can get it your value from line 23.
• If you File Form 540 NR(Long Form/Short Form), you can get it your value from line 103.

This post is useful to find out the government website link(From http://ftb.ca.gov) to get the refund status. The

Link is taken from the California government website.

Prepare, Print and E-File your Ohio State Taxes Free

While surfing around on Ohio website, find the Government State tax website, who provides facility to prepare state taxes online and do print or e-file free of charge. Ohio state government supports various options to Taxpayer file their taxes such as I-FILE, E-Forms etc.

I-File [Fast, easy and secure] is the online program which let taxpayer to complete their tax return on Ohio State website and e-file their Ohio state taxes. Below is the Link to see the I-File offered webpage from the Ohio government website.

Prepare Ohio State Taxes (IFILE)

(https://www.tax.state.oh.us/PROD/IFileRegWeb/login.jsp)

[Above link will redirect you to Ohio Government Website for IFILE.]

After registering yourself on the I-File, I-File wizard asks a series of questions. And based upon that it compiles a state or school district income tax and you can do print or E-file Ohio state tax return.

E-Forms is another option which let taxpayer to complete their state taxes free of cost. You can able to see and complete the forms in Adobe acrobat version (.PDF) file and will able to put the values directly into the form. It will do most of the math on the form. We can find out more information on below link.

http://tax.ohio.gov/online_services/ohio_eforms.stm

[Above link will redirect you to Ohio Government Website for E-Forms option.]

And if you owe taxes, then you can have e-payment options available to pay your taxes by e-check or credit card on Ohio website.

[The above content is taken from the Ohio government website. Referral link will be http://tax.ohio.gov/divisions/communications/electronic_filing_options.stm]

Calculate Oregon State Taxes-Tax Calculator

I was searching through Oregon state government website and found interactive tool which let us to calculate our Oregon State taxes before filing state tax return.

It is very basic functionality by Oregon Government which almost every tax software provides. But this basic functionality becomes more important when you are cross verifying your taxes or estimating your tax planning for future purpose. Just handy tool to calculate in which income tax bracket you are falling in.

Below is the link to calculate the Oregon taxes by Oragon Government.

Oregon tax calculator

( https://secure.dor.state.or.us/piti/rate_calc.cfm )

Provide Tax Income and Filing status on given option and calculate on “Find my tax rate” button. It will redirect a new page showing your tax amount.

This is very simple functionality and gives an idea about the Tax return. If you have some addition and subtraction regarding your state taxes, you able to figure out the estimated amount as refund or due.

If you are filing your tax return online or by your own or using any software this tool helps you decide whether you created the right tax return or not.

[Generally this tool is based upon the Taxable Income and the filing status combination. So amount is calculated on above condition with reference to the State Tax rates or State Tax Table.]

Please comment if you have any suggestions regarding this article.

File Your Simple California State Tax Return Free. Prepare, Print or E-File

California government supports the facility like “ReadyReturn” to prepare a simple tax return with ease of use on government website.

ReadyReturn :

ReadyReturn is a free service developed by California Government (FTB) to make filing individual income tax returns easier. It uses information the state already has from the last return you filed and from your Form W-2 to pre-fill a California state tax return.
If you are single and your income is only from wages, you may qualify for ReadyReturn. It simplifies the filing process by pre-filling a tax return with information the state already has.
 

Start ReadyReturn to prepare California Taxes

(http://ftb.ca.gov/readyReturn/index.asp)

 
To qualify, you must have filed a 2008 California resident Tax return with:

1. Single or head of household filing status.
2. Income only from wages.
3. No more than five dependents.
4. No credits other than the renter’s credit.
5. Standard deduction.

In 2009, you must have had only one employer. Taxpayers who can be claimed as a dependent on another person’s tax return qualify for ReadyReturn.

Just follow the state website link and check it out whether you are qualify for readyreturn or not.

Start ReadyReturn to prepare California Taxes

(http://ftb.ca.gov/readyReturn/index.asp)

You can directly E-file your California state tax return to government or can take a print for future purpose.

File Your California State Taxes Free, Print, Prepare and E-File using CalFile

CALFILE : A service from the California government for Tax Payer to file their tax return totally Free on California Government Website. California Government provides “CALFILE“ to help clients to prepare online Tax return on California Government Website.

Start Filing your California State Taxes Free

If you fullfil all criteria mentioned below, you can qualify to use the CALFILE To file your California state taxes. [As most of the Taxpayer do qualify to use CALFILE for their California tax return.]

1. Be a California resident for the entire year.
2. You are filing a 2009 California personal income tax return.
3. Claiming up to 10 dependents.
4. Your only income is from Wages, Salary, Tips, Interest, Dividends, Unemployment compensation, paid family leave, and tax refund reported on Form 1099-G, 1099R, Form SSA-1099 etc.
5. Your Federal Adjusted Gross Income (AGI) can be up to.

• $160,739 for single and married/registered domestic partnership (RDP) filing separately taxpayers.
• $241,113 for head of household taxpayers.
• $321,483 for married/RDP filing jointly and qualifying widow(er) taxpayers.

For more information Click here to check California government website to check whether you qualify or not.

If you Qualify, you can File your California State Taxes using CALFILE free of cost on California Government Website. Click below to Start your California state taxes.

Start Filing your California State Taxes

Find out more about CALFILE on the California state tax website.

Please suggest your valuable comments about the post.

[Links and contents are taken from the California government website.]

Prepare, Print, E-File your Federal Taxes FREE

IRS Government provides list of various software venders to file Individual Federal Tax Return Free of Charge depending upon the Adjusted Gross Income and other conditions etc.

Various online TAX software company have various offers to support free of cost Federal Return along with state taxes. You can choose any of the online Tax Software company from the IRS website from the below link.

 Free Individual Federal Tax Return

Once you reach to the Federal IRS website, you can click on the option described below.

One of the option says “I will choose A Company“. If you want to find out about various offers from the various Online Tax Software Provider companies, this is the great option to go with. This will show a list of the companies who are participating on IRS website.

Second Option says “Help Me Find A Company“. On the page, enter your information such as age, resident state etc. and based upon that you can find out the best Online Tax Software provider company.

After clicking on particular Online Tax Software provider company’s link displayed on the website, it will leave the IRS website and redirect to the concern companies website.

You can find out various informative resources to prepare your Online Federal Taxes with various Tax software companies from here.

Tax Law Changes for California State Tax 2009

For Current Tax Year 2009, California government modified various limits. This information will help you to file and estimate your taxes.




California standard deduction amount

For single or married  filing separately amount is decrease from $3,692 to $3,637 for tax year 2009.

For those who file married/RDP filing jointly, surviving spouse, or head of household taxpayers, the standard deduction decrease from $7,384 to $7,274 for tax year 2009.

California Personal Exemption Credit

For single or married  filing separately is decrease from $99 to $98 for tax year 2009.

For those who file married/RDP filing jointly taxpayers, amount decrease from $198 to $196 for tax year 2009.

Exemption credit for Dependent change to $98 for Tax year 2009.

Exemption credit for Blind change to $98 for Tax year 2009.

Exemption credit for Age 65 or older change to $98 for Tax year 2009.

Same way, the limits for the tax tables and tax rates are also changed. You can find out more information for changes in california state tax ranges on the State government website link as below. http://ftb.ca.gov/forms/2009_California_Tax_Rates_and_Exemptions.shtml

Please comment on the quality and usefulness of the article.