Some Tax Breaks May Not Get Extended

Contributed by mm | October 7, 2006 4:45 PM PST

Tom Herman at WSJ brings the bad news: some populate tax breaks may not be renewed this year thanks to the political climate in Washington D.C.

From WSJ:

Congress appears likely to leave Washington later this week without having extended several popular tax breaks that expired at the end of last year.

Among them is the option to deduct state and local sales taxes, instead of state and local income taxes. This is an especially important break for people in states with no state income tax, such as Florida, Texas, Nevada and Washington, as well as many people in other states with relatively low income taxes.

Lawmakers also haven't revived two other deductions claimed by millions of people: a deduction for college tuition and fees, and a separate deduction for elementary and secondary-school teachers and other educators.

...

In the meantime, if you are affected by these provisions and aren't expecting a refund next April, consider setting aside some money now because your tax bill may be higher than you think.

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