Tax updates
The standard mileage rate for business driving for 2011 is now 51 cents per mile this is up 1 cent from the 2010 rate.
The tax credit for energy saving home improvement went down.  The credit is now 10% which was 30%. The cap on this credit is now $500, which was $1500.   Caps have been placed on individual items like furnaces and water heaters $150., window $200.    Â
Individuals benefit from a Social Security tax cut.  In 2011 employees will reduce their social security tax withholding rate from 6.2 percent to 4.2 percent of wages paid.   Businesses should have already implemented this change if not please give us a call.