President: Patricia Krout
First Vice President: Gail Anikouchine
Second Vice President: Jeff Dottl
Secretary: Raj Acharya
Treasurer: Jason Janzen
Director: Yusuf Balogun
Director: Darcia Stebbens
Director: Jessica Johnson

Complete an application today. Committee assignments will be finalized in May.

As the 2010 filing season gets under way, let’s not forget about the following new tax credits.

First-time Homebuyer Tax Credit

The American Recovery and Reinvestment Act of 2009 expands the $7,500 credit in effect for 2008 for taxpayers buying their first home. The amount of the credit increases to $8,000 for primary residences purchased between Jan. 1, 2009, and Nov. 30, 2009. Under the legislation, the previous requirement that the credit be repaid is waived after 36 months in the home. The credit starts to phase out for taxpayers with AGI above $75,000 for single filers and $150,000 for joint filers.

Making Work Pay Credit

Under this provision of the ARRA of 2009, wage earners and the self-employed are permitted to claim a credit equal to the lesser of 6.2 percent of earned income or up to $400 a year for single filers ($800 a year for joint filers) in 2009 and 2010. The credit will phase out for taxpayers with AGI more than $75,000 for single filers and $150,000 for joint filers. Rather than sending these rebates in the form of checks, employers will adjust the amount withheld from each paycheck, resulting in an increase in workers’ take-home pay. Taxpayers who do not have taxes withheld by an employer during the year may claim the credit on their tax return. Self-employed taxpayers will be permitted to lower their estimated tax payments in 2009 and 2010.

American Opportunity Tax Credit and the Lifetime Learning Credit

If you pay higher education expenses, the American Opportunity Tax Credit and the Lifetime Learning Credit may help reduce your tax bill.

The ARRA of 2009 renames the Hope Scholarship Credit the American Opportunity Tax Credit. The maximum credit amount is increased to $2,500 for 2009 and 2010, up from $1,800 previously. The new law expands the credit to be available for all four years of college and to cover the cost of course materials. Income phase-out levels for the credit also are raised to $160,000 of AGI for joint filers and $80,000 of AGI for single filers in 2009 and 2010. In addition, 40 percent of the credit becomes refundable, which could enable lower-income taxpayers to get money back from the IRS.

The Lifetime Learning Credit, which applies to undergraduate study, as well as graduate and professional education pursuits, could be worth up to $2,000. For 2009 and 2010, eligibility phases out for joint filers with modified AGI of $100,000 ($50,000 for single filers). If you qualify for both credits in the same year, you may claim either credit but not both.

If you cannot claim either credit because your income is too high, your child can take the full credit if he or she has sufficient taxable income. However, you will not be able to claim a dependency exemption for the child. Your savings, therefore, will be the amount of the credit less the tax benefit of the lost dependency exemption. But, be aware that, based on your income, the exemption may be reduced.

Register or learn more about CPA Day at the Capitol online.

Do you know any person or firm deserving such accolades? Then share the news with us.

Review the qualifications and download a nomination form online.

The nomination deadline is Jan. 31.

Further instructions on logo use and to download the logos is available online.

“Nominations by Members. Any member may nominate a candidate for Chapter Board officer or director. Such nominations must be filed with the secretary of the chapter not later than the 1st day of January in each year.”

Please forward all nominations to chapter program associate Rita Williams or call (805) 571-1558.