SUMMER CAMPS MAY QUALIFY FOR A TAX CREDIT

Below is a reminder from the IRS that summer camps for your children may qualify for a tax credit. If you have any questions about child care credit let me know.

Larry Kopsa CPA

Did you know that your summer day care expenses may qualify for an income tax credit? Many parents who work or are looking for work must arrange for care of their children under 13 years of age during the school vacation. Those expenses may help you get a credit on next year’s tax return.

Here are five facts the IRS wants you to know about a tax credit available for child care expenses. The Child and Dependent Care Credit is available for expenses incurred during the lazy hazy days of summer and throughout the rest of the year.

1. The cost of day camp may count as an expense towards the child and dependent care credit.
2. Expenses for overnight camps do not qualify.
3. If your childcare provider is a sitter at your home or a daycare facility outside the home, you'll get some tax benefit if you qualify for the credit.
4. The actual credit can be up to 35 percent of your qualifying expenses, depending upon your income.
5. You may use up to $3,000 of the unreimbursed expenses paid in a year for one qualifying individual or $6,000 for two or more qualifying individuals to figure the credit.

QUOTE OF THE WEEK

"I've often thought that the process of aging could be slowed down if it had to go through Congress."
George Bush

FIRST-TIME HOMEBUYER CREDIT CLOSING DEADLINE EXTENDED TO SEPTEMBER 30TH

As usual, you can’t trust the dates the government gives you. As you know, if you signed papers to purchase a house by April 30th and you closed by June 30th there was a tax credit available. But wait… on July 2nd the IRS announced that they were going to give you until September 30th to close. And these are the people that will be running health care.

See more at: http://www.irs.gov/newsroom/article/0,,id=225079,00.html

IF GOD HAD TEXTED THE TEN COMMANDMENTS TO MOSES: TRANSLATED

M, pls rite on tbs & giv 2 ppl

1. no1 b4 me. srsly.
2. dnt wrshp pix/idols
3. no omg's
4. no wrk on w/end (sat 4 now; sun l8r)
5. pos ok - ur m&d r cool
6. dnt kill ppl
7. :-X only w/ m8
8. dnt steal
9. dnt lie re: bf
10. dnt ogle ur bf's m8. or ox. or dnkey. myob.

What this really says:

Moses, please write on tabs and give to people

1. No one before me. Seriously.
2. Don't worship pictures/idols
3. No Oh My Gods
4. No work on weekend (Saturday for now; Sunday later)
5. Parent over shoulder okay - Your Mom and Dad are cool
6. Don't kill people
7. Kiss only with mate
8. Don't steal
9. Don't lie regarding best friend
10. Don't ogle your best friend's mate. Or ox. Or donkey. Mind your own business.

QUOTE OF THE WEEK

"Never confuse motion with action."
--Benjamin Franklin

SURPRISE...SURPRISE - NEW HOME SALES DROP AFTER GOVERNMENT SUBSIDY EXPIRES

It should come to no surprise to anyone that home sales were down in May. The new homebuyer credit went out of effect as of April 30th. We saw many clients that accelerated purchases to take advantage of the $8,000 tax subsidy.

New-home sales dropped to record low in May as tax credit faded. Single-family home sales fell to the lowest level in at least four decades, according to the Commerce Department. The report indicates that the economic recovery might be losing steam, although few analysts expect the economy to suffer a double-dip recession. See Reuters (6/24)

74th WEALTHIEST PERSON DIES-PASSES FORTUNE TO CHILDREN & GRANDCHILDREN TAX-FREE

I thought you might like to see this, if you haven't already.

Texas billionaire's legacy: Death, but no taxes