Housing Assistance Tax Act of 2008 Adds $15.1 Billion in Tax Incentives; Broad-Based Offsets
In an unusual Saturday session on July 26, Congress passed a sweeping housing assistance package, the Housing and Economic Recovery Bill of 2008, which includes a tax title - the Housing Assistance Tax Act of 2008 - providing $15.1 billion in tax incentives principally targeted to home ownership and affordable housing. Soon thereafter, on July 30, President Bush signed the housing bill. Although the tax provisions represent only a portion of the larger housing bill, they make significant changes. They also not only affect the housing industry. Those retail businesses, vacation/rental property owners and others directly affected by the tax increases needed to pay for all of the new housing tax incentives are especially hard hit. [more]

Debt forgiveness income: The big three - credit cards, car loans and mortgages
Generally, debt that is forgiven or cancelled by a lender must be included in your taxable income. Debt that a lender discharges or cancels is referred to as debt forgiveness income or cancellation of debt income ("COD" income). A lender’s cancellation of debt will typically result in income to the borrower unless a specific exception under Internal Revenue Code Sec. 108 applies. [more]

How Do I? Figure the first-time homebuyer tax credit under the Housing Assistance Tax Act of 2008?
The just-passed Housing Assistance Tax Act of 2008 gives a boost to individuals purchasing a home for the first time with a first-time homebuyer tax credit. The new credit is not only intended to benefit individuals and married couples, but extends to all co-owners who purchase a home together. This article explains how to determine the credit for eligible first-time homebuyers. [more]

August tax compliance calendar
As an individual or business, it is your responsibility to be aware of and to meet your tax filing/reporting deadlines. This calendar summarizes important tax reporting and filing data for individuals, businesses and other taxpayers for the month of August 2008. [more]

FAQ: What’s the difference between an HSA, FSA and HRA?
To ease the pain of the ever-escalating costs of healthcare, many employers provide certain tax-driven health benefits and plans to their employees. To help employers understand the differences and similarities among three popular medical savings vehicles - health savings accounts (HSAs), flexible spending accounts (FSAs) and health reimbursement arrangements (HRAs) - here’s an overview. [more]