2010 Tax Tips Tricks Advice

Advice to help with 2010 taxes and make sure that you get every tax deduction, take advantage of every tax trick, and all of the advice to lower your Federal Income taxes for 2010.

If you are getting a jump on next year, you’ll need the 2011 tax tricks advice and tips.

Standard Tax Deduction 2010 Rates

The basic 2009 standard deduction is:

• $11,400 for married couples filing a joint return
• $5,700 for singles and married individuals filing separate returns
• $8,350 for heads of household

Standard Tax Deductions (Deduction You Can Take Without Itemizing):

1. Student Loan Interest
2. Moving Expenses
3. IRA Contributions
4. Tuition and Fees
5. Child Tax Credit
6. Child and Dependent Care Credit

Mortgage interest is an itemized tax deduction.

2010 Income Tax Brackets

Personal Income Tax Brackets 2010 Tax Year

Married Filing Jointly

•    $0 – $16,750   10%
•    $16,751 – $68,000  15%
•    $68,001 – $137,300  25%
•    $137,301 – $209,250  28%
•    $209,251 – $373,650  33%
•    Over $373,650   35%

Single

•    $0 – $8,375   10%
•    $8,376 – $34,000  15%
•    $34,001 – $82,400  25%
•    $82,401 – $171,850  28%
•    $171,851 – $373,650  33%
•    Over $373,650   35%

Married, Filing Separately

•    $0-$8,375   10%
•    $8,376-$34,000  15%
•    $34,001-$68,650  25%
•    $68,651-$104,625  28%
•    $104,626-$186,825  33%
•    Over $186,825   35%

Single, Head of Household

•    $0 – $11,950   10%
•    $11,951 – $45,550  15%
•    $45,551 – $117,650  25%
•    $117,651 – $190,550  28%
•    $190,551 – $373,650  33%
•    Over $373,650   35%

2010 Mileage Deduction Rate for Income Taxes from IRS

Beginning on Jan. 1, 2010, the standard mileage rates for the use of a car or other vehicle are:

• 50 cents per mile for business miles driven
• 16.5 cents per mile driven for medical or moving purposes
• 14 cents per mile driven in service of charitable organizations

Section 179 Deductions for Small Business

One of the biggest small business tax deductions you can take is for equipment purchased during the year for your business. Unlike office supplies and other consumable goods used by your business Section 179 property refers to capital expenses, or to business equipment that is typically subject to depreciation. Under Section 179 of the IRS tax rules, businesses can deduct the full value of business equipment up to a certain amount each year. This ceiling is the limit to how much a business can write off as a Section 179 deduction on small business taxes. This can be a big help for sole proprietors who also must pay self-employment tax.

The 2010 Section 179 Deduction limit is $500,000 for most businesses. That means that most entrepreneurs and one-person businesses can deduct the cost of virtually all Section 179 property purchased during the year and placed into service.

The Section 179 deduction limit for 2011 is also $500,000.

Here is the official IRS notice.

2011 IRA Contribution Limits

If you are planning ahead for 2011 taxes (Good for you!) here are the new IRA contribution limits for 2011.

2011 Roth IRA Contribution Limits Income

• Married Filing Jointly
  • Income Less than $169,000 – Full Contribution Allowed
  • Income Over $179,000 – No Contribution Allowed
  • Income Between $169,000 and $179,000 – Reduced Contribution Allowed

• Single
  • Income Less than $107,000 – Full Contribution Allowed
  • Income Over $122,000 – No Contribution Allowed
  • Income Between $107,000 and $122,000 – Reduced Contribution Allowed

Tags: 2010 taxes, Federal Income Taxes, income tax brackets, personal income tax, standard deduction, tax deduction, Taxes