Tax Provisions Expiring December 31, 2011

There a few federal income tax deductions and other provisions that expire this year:

• Tax-free distributions from IRAs for charitable purposes –  Taxpayers who were at least age 70½ could make tax-free charitable distributions from an IRA up to $100,000.
• Contributions of capital gain real property made for conservation purposes – The expanded deduction (50% for individuals, 100% for qualified farmers and ranchers) of the value of a qualified conservation easement donated to a qualifying charitable organization. In 2012 and later, the deduction will be limited to 30% for all taxpayers.
• Deduction for certain expenses of elementary and secondary school teachers – The above-the-line deduction of up to $250 for unreimbursed classroom expenses.
• Deduction of state and local sales taxes – Taxpayers could choose to deduct, as an itemized deduction on Schedule A, state and local general sales taxes, in lieu of deducting state and local income taxes.
• Qualified tuition and related expenses – Certain taxpayers were allowed an above-the-line deduction (up to a maximum of $4,000) for qualified tuition and related expenses for higher education.
• Individual AMT exemption amounts – Individual AMT exemption amounts for 2011 are $74,450 (married filing jointly), $37,225 (married filing separately), and $48,450 (single and head of household). In 2012 the exemption amounts will decrease to $45,000 (MFJ), $22,500 (MFS), and $33,750 (Single/HoH).