As the Bush budget makes its way through Congress, more goodies are being added to sweeten the pot for taxpayers. The latest additions include a tax credit for taxpayers who purchase their own health insurance, a tax break for homeowners who invest in solar power, and a tax-deductible savings account for farmers and ranchers.
The showcase features of the Bush tax cut still include relief for married couples, a repeal of the estate tax, and a doubling of the $500 child tax credit.
A proposed health insurance benefit would provide a credit of $1,000 for individuals with up to $30,000 in adjusted gross income, and $2,000 for married couples with adjusted gross income up to $60,000. The credit would be refundable, so even taxpayers who owe no income tax would be entitled to a rebate.
The proposed tax-deductible savings accounts for farmers and ranchers would encompass savings accounts of up to 20 percent of income.
Other proposals include a 15 percent tax credit for home water heaters and electric systems powered by solar energy, and a $400 annual credit for teachers who spend their own money on classroom supplies.