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Tax Relief Act of 2010: Deductions
|
Before
Act |
After
Act |
|
Deduction for educator classroom expenses |
$250
above-the-line deduction expired at end of 2009 |
Deduction retroactively reinstated for 2010 and extended
through 2011 |
|
Deduction for qualified higher-education expenses |
Maximum
$4,000 deduction, phased out for individuals with higher
income, expired at the end of 2009 |
Deduction retroactively reinstated for 2010 and extended
through 2011 |
|
Student loan interest deduction |
Student
loan interest deductible (maximum $2,500), subject to
phaseout for higher incomes; starting in 2011, deduction
would be limited to interest paid in first 60 months in
which interest payments required |
2010
limits and rules extended through 2012 |
|
Deduction for state and local sales tax |
Ability
to deduct state and local sales tax in lieu of the itemized
deduction for state and local income taxes expired at the
end of 2009 |
Deduction retroactively reinstated for 2010 and extended
through 2011 |
|
Additional standard deduction for real estate property taxes
|
Ability
of individuals who do not itemize to claim an additional
standard deduction of up to $500 ($1,000 if married filing
jointly) for real estate property taxes expired at the end
of 2009 |
This
provision was not extended |
|
Itemized deductions and personal and dependency exemptions
|
Beginning in 2011, these items would once again be phased
out for higher income individuals |
2010
rules (no phaseout of items for higher income individuals)
extended through 2012 |
|
Mortgage insurance premiums |
Ability
to deduct as qualified residence interest, subject to
phaseout for higher incomes, expired at the end of 2010 |
2010
rules extended through 2011 |
See also:
Summary |
Tax Rates |
Estate Tax |
Gift and
Transfer Tax |
Business and
SE |
Tax Credits
|
Deductions |
Other
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