Small Business Tax Strategies

Smart small business owners save thousands of dollars per year on their personal and business taxes by taking advantage of the legal loopholes that the government creates for their unique tax situation. Small Business Tax Strategies cuts through tedious tax code to reveal the bonanza of completely legal opportunities to grow personal wealth and secure an enjoyable retirement.  Learn more about Small Business Tax Strategies and the two free reports you’ll get when you subscribe...

Q. In your article on the new stimulus law, you say you can get the homebuyer credit for purchases in 2009. Can I claim the credit if I already own a home? A.R., Bangor, Maine

A. It depends. The new credit (maximum of $8,000) is available only for the purchase of a “principal residence” in the United States as defined for other tax purposes (i.e., the home where you live most of the time if you have not owned a principal residence for the previous three years).  Owning a vacation home would not disqualify you. Note that the credit applies to purchases in 2009 only if made before Dec. 1.

Tip: If you’re building a new home, you are treated as having purchased it on the date when you first occupy it.