3 Last Minute Tax Changes You Need to Know About

At the end of December 2019, the government approved the following tax extenders for the current tax season.

1. Mortgage insurance premiums deduction – Also known as PMI or the VA Funding Fee. If you paid this premium in 2018 during the purchase of your home, you may submit an amended tax return to claim any eligible deduction and refund.

2. Tuition and fees deduction – This above the line deduction is back for qualifying tuition and related higher education expenses. The deduction is capped at $4,000.

3. Nonbusiness energy property credit – 10% of amounts paid for qualified energy improvements to the building of your personal residence (windows, doors, skylights, and roofs). Credits ranging from $50-$300 for energy efficient items (heat pumps, water heaters, furnaces, circulating fans, and central air conditioners.

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