Recovery Rebate Credit

---

• Standard deduction increased to $12,550 for individuals and $25,100 for married couples. 

• Under S.A.L.T. (State & Local Taxes) Taxpayers are allowed to deduct 1) property taxes  2) state and local income taxes (or sales taxes in lieu of income taxes) up to a combined $10,000 maximum.
   

Child and Dependent Care Credit

• Temporarily increased from $3,000 - $6,000 to $8,000 - $16,000. The credit begins to reduce by 20% for families earning over $400,000.  
  

The American Rescue Plan Act expands the child tax credit for tax year 2024

The maximum credit amount has increased to $3,000 per qualifying child between ages 6 and 17 and $3,600 per qualifying child under age 6.

If you're eligible, you could receive part of the credit in 2021 through advance payments of up to:

• $250 per month for each qualifying child age 6 to 17 at the end of 2021.
• $300 per month for each qualifying child under age 6 at the end of 2021.

• The corporate tax rate is lowered from 35% to 21% beginning Jan. 1, 2018.
  
• Businesses are allowed to write off the full cost of new equipment purchases
  
• Small businesses can continue to write off interest on loans.