Modest Income Workers
The Earned Income Tax Credit is for people who have three or more children and earn what the government considers to be a modest income. The credit has been increased from previous years and now equals an amount of $5,657. The increase is temporary and applies only to 2009 and 2010.

The Health Insured
There’s a lot of discussion around healthcare reform, but one tax provision has been passed that says there’s a tax credit on 65 to 80 percent of qualified health insurance premiums. Through the Trade Adjustment Assistance Health Coverage Improvement Act, participants enrolled in the Health Coverage Tax Credit program are eligible to receive this benefit.

Affecting Businesses
Taxpayers who have businesses may also qualify for other deductions. For example, employers who hire what the IRS calls “disconnected youth” before January 1, 2011, are eligible for a Work Opportunity Tax Credit. Individuals are considered disconnected when they are 16 to 25 years old by the hiring date, are not in school, have been unemployed for six months prior to the hiring date, and are not readily employable if they didn’t graduate high school or obtain a GED certificate.

For employers with employees who have involuntarily become unemployed, ARRA provides an employer subsidy for COBRA users, called the Health Insurance Continuation Subsidy, which