The first time homebuyer’s tax credit has been helpful to a lot of people, saving them thousands of dollars toward the purchase of a new home, but they’re not the only tax credits that got a boost this year.  Here’s a few other that might apply to you.

“Residential Energy Property Credit”

• Have you made any improvements to the energy efficiency of your home?  If so you might qualify for this expanded tax credit.  You can claim up top 30% of the purchase price of qualifying home improvements, up to $1,500.  Certain improvements avoid this $1,500 limit as well, things like wind turbines, which will give you a 30% tax credit with no maximum.
• Be sure you check with the manufacturer of the materials used for your home improvement projects to make sure they qualify.

“American Opportunity Tax Credit”

• You might have already heard of the “Hope Credit”.  Well it’s been renamed and expanded.  This credit allows you to deduct the first $2,000 of college tuition and course materials, then 25% of the next $2,000, maxing out at $2,500—up from the $1,800 limit imposed by the Hope Credit.  In addition, the credit can now be applied to all 4 years of undergraduate study instead of just the Freshmen and Sophomore years.  The qualifying income level has also seen a substantial increase—from $46,000 to $80,000.
• Oh, and as a bonus, 40% of this tax credit is refundable even if you have no tax liability.

Unemployment

• Lost your job in 2009?  Well the good news is the first $2,400 of unemployment benefits are tax exempt.

Automobile Credits

The Cash for Clunkers program might be over, but there are still several other deductions for vehicles purchased in 2009 that you might qualify for.

• New cars purchased between February 17^th, 2009, and December 31^st may be able to deduct state and local sales taxes for the first $49,500 of the vehicle’s purchase price.  If you make over $125,000 as an individual, or $250,000 as a couple you might not qualify though.
• Purchasing a hybrid or plug-in electric vehicle?  There’s tax incentives for those as well.  Tax credits ranging from $2,500 to $15,000 are available this year.  Those credits are topping out at $7,500 next year, so it might be the right time to take advantage of a holiday sale.

For more information, consult the IRS website.