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Senate Approves Tax Extenders Bill

The Senate on March 10 approved by a 62 to 36 margin legislation (The American Workers, State and Business Relief Act, HR 4213) that would extend through 2010 approximately $30 billion worth of expired tax provisions and increased unemployment and COBRA benefits. The measure now heads to the House, where House Ways and Means Chairman Sander M. Levin, D-Mich. said he may call for a conference to resolve differences between the two chambers' bills. The House passed an extenders bill on Dec. 9, 2009 (TAXDAY, 2009/12/10, C.1).

Senate Focuses on Extending Expired Tax Provisions and Credits - Tax Extenders Bill of 2009

The Senate on March 1 turned to renewing approximately $30 billion worth of expired tax provisions as Senate Finance Committee Chairman Max Baucus, D-Mont., and Senate Majority Leader Harry Reid, D-Nev., offered a substitute amendment to the Tax Extenders Bill of 2009 (HR 4213), which was approved by the House on December 9 (TAXDAY, 2009/12/10, C.1).

Senate Approves $15-Billion Jobs Package; Tax Incentives Extended

The Senate on February 24 approved, by a 70-to-28 margin, a $15-billion jobs package that Democrats hope will be the first of several successful job-related measures to pass over the next several months. Thirteen Republicans joined Democrats in voting for the bill and Senate Majority Leader Harry Reid, D-Nev., plans to soon release a second jobs-related package that would extend several expiring tax breaks favored by small businesses.

REMINDER: 2009 Tax Break for New Car Purchases

The IRS has issued a reminder to individual taxpayers who are considering buying a new car that they have until Dec. 31 to take advantage of a tax break that may not be available in 2010. Taxpayers who buy a qualifying new motor vehicle after Feb. 16, 2009, can deduct the state or local sales or excise taxes they paid on the first $49,500 of the purchase price. Qualifying motor vehicles include new passenger automobiles, light trucks, motorcycles, and motor homes.

Special Sales Tax Deduction for Car Purchases Available through End of 2009

(FROM IRS.GOV)

IR-2009-88, Oct. 7, 2009

Vehicle Tax Deduction YouTube Video in English, Spanish and ASL and audios for podcast in English and Spanish

WASHINGTON — With 2010 models arriving in dealer showrooms, the Internal Revenue Service reminds taxpayers that purchasing a new car, light truck, motor home or motorcycle could qualify them for a special deduction for the state and local sales and excise taxes on their 2009 tax returns.

Purchases made before Jan. 1, 2010, will qualify for this deduction under the American Recovery & Reinvestment Act of 2009 (ARRA).

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