Hope you're enjoying your Sunday afternoon, AR folks (now over 100,000 strong!)
With all the buzz surrounding the Federal Housing Relief Bill, just approved by the U.S. Congress and on its way to President Bush's desk for his expected approval, there is one less-talked-about provision that could benefit potentially millions of homeowners.
The provision would allow those who presently do not take a tax deduction on their state or local property taxes to enjoy an annual Federal Tax Deduction of up to $750 for married taxpayers, $350 for single tax filers. (The Senate has proposed an even higher deduction of up to $1,000 for married U.S. Homeowners who file jointly.)
Although originally intended as a one-year benefit for those who do not itemize, it is likely the proposed change could become permanent. If so, it could provide help for the estimated nearly 2/3 of American taxpayers who do not itemized deductions on their return.
The new law would not benefit those who rent, rather than own. However, it would provide some tax relief to many senior citizens and moderate-income households who opt for Standard Deductions, rather than Schedule C Itemization, on their filed tax returns.
For more info, check out our post this afternoon on BlogChicagoHomes.com. We link to Kenneth R. Harney's article in today's Chicago Tribune.
DEAN & DEAN'S TEAM CHICAGO