For those of you that are required to file Arizona Individual Income tax returns for 2011, there is still time to make charitable contributions that will qualify for credits on your 2011 Arizona Individual Income Tax Return. As a reminder, Arizona credits are a dollar for dollar reduction to your Arizona income tax liability while at the same time allow you a certain amount of discretion as to how a portion of your tax dollars are used.
The IRS reminds homeowners that they still have time this year to make energy-saving and green-energy home improvements and qualify for either of two home energy credits.
The Nonbusiness Energy Property Credit is aimed at homeowners installing energy efficient improvements such as insulation, new windows and furnaces. The credit is more limited than in the past years, but can still provide substantial tax savings.
- The 2011 credit rate is 10 percent of the cost of qualified energy efficiency improvements.
In general, if you use your vehicle in pursuit of a trade or business, you are allowed to deduct the ordinary and necessary expenses incurred while operating the vehicle. However, any expenses associated with the personal use of the vehicle are not deductible. For purposes of these deductions, “car” includes a passenger vehicle, van, pickup or panel truck.
Personal vs. business miles – Business use of your car can include traveling from one work location to another work location within your tax home area;