We covered this in-depth a few weeks ago, but there are several tax credits and deductions, both for businesses and for individuals, that have expired as of December 31st, 2013. If your 2013 tax year included anything that would make you eligible for these credits and deductions, don’t forget to use them. 

For Businesses

  • research and experimentation credit
  • work opportunity tax credit
  • increased Section 179 deduction limit and phase-out threshold to $500,000 and $2 million bonus depreciation deduction
  • employer wage credit for activated military reservists
  • special rules for qualified small business stock
  • reduction in the S corporation recognition period for built-in gains tax
  • 15-year recovery period and Section 179 eligibility for qualified leasehold, restaurant, and retail improvements
  • enhanced charitable deduction for contributions of food inventory
  • stock basis adjustment for shareholders of S corporations making charitable contributions

For Individuals

  • state and local sales tax deduction
  • above-the-line deduction for teacher’s expenses
  • above-the-line deduction for qualified tuition and related expenses
  • deduction for mortgage insurance premiums as qualified interest
  • parity given to employer-provided mass transit and parking benefits
  • exclusion from gross income for discharge of principal residence debt
  • credit for health insurance costs
  • rule allowing tax-free distributions from IRAs for charitable purposes
  • credit for nonbusiness energy property

Although Congress may renew some of these credits retroactively for 2014, they haven’t yet made any moves indicating they’ll do so. I’ll keep you posted if and when there are changes.