• A refundable tax credit for 95% of working families in 2009 and 2010;
• Introduction of new “American Opportunity” tax credit of up to $2,500 for the cost of tuition and related expenses paid during the taxable year;
• Sales tax deduction for vehicle purchases;
• Extension of Alternative Minimum Tax Relief for 2009;
• A one-year extension of certain fifty percent (50%) bonus depreciation deductions;
• Extension of small business expensing incentives under IRC §179;
• Establishment of an Advanced Energy Investment Credit for facilities engaged in the manufacture of advanced energy property;
• Extension of Renewable Energy Production Tax Credit;
• Extension of New Markets Tax Credit through 2009;
• Creation of Recovery Zone Bonds for investment in economic recovery zones where jobs have been lost throughout the nation;
• Creation of Qualified School Construction Bonds for the construction, rehabilitation, repair of public school facilities;
• Creation of Clean Renewable Energy Bonds to finance facilities that generate electricity from alternative sources;
• Modification of interest and AMT provisions related to tax-exempt bonds;
• Establishment of Plug-In Drive Vehicle Credit; and
• Extended carryback period for certain net operating losses.

The Economic Stimulus Bill now awaits the signature of President Obama. A more thorough review of many of the tax provisions of the Economic Stimulus Bill will be posted on our website in the coming days.

This information has been prepared by Crawford Lewis, PLLC, and is general in nature and does not constitute legal advice. If you have any questions regarding the information contained herein, or how it pertains to your specific circumstances, please contact Michael Durham at mdurham@crawford-lewis.com, Donnie Cunningham at cunningham@crawford-lewis.com or Tres Bernhard at tbernhard@crawford-lewis.com.

Circular 230 Disclosure: Pursuant to regulations promulgated by the U.S. Treasury, unless otherwise expressly indicated, any federal tax advice contained in this document, including any attachments or enclosures, is not intended or provided for the purpose of avoiding tax-related penalties under the IRC or promoting, marketing or recommending to another party any tax related matters addressed herein.