Property Tax Deduction for Taxpayers Who Do Not Qualify to Itemize Deductions for Tax Year 2008

Taxpayers who do not qualify to itemize deductions are entitled to a larger standard deduction for state and local real estate taxes paid in year 2008.

The increased standard deduction is limited to the amount of real estate taxes paid during the year, OR $500 ($1,000 for a married couple filing jointly), whichever is less.

This temporary deduction is only available for tax years 2008 and 2009.

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