Federal tax credits are available for a variety of improvements and upgrades home-owning taxpayers can make to their houses. Under the American Recovery and Reinvestment Act (Recovery Act), two home energy tax credits were expanded: the Non-business Energy Property Credit and the Residential Energy Efficient Property Credit (See IR-2009-98, dated Oct. 29, 2009).

As announced by the IRS in “e-News for Tax Professionals” (Issue 2009-43), Revenue Procedure 2009-51 outlines the process for employers now eligible to file the “Employer’s Annual Federal Tax Return” (Form 944), instead of the “Employer’s Quarterly Federal Tax Return” (Form 941). These changes took effect for January 1, 2010.

Per IRS Notice IR-2009-096, dated October 21, 2009, the IRS announced issuance of a new form to facilitate processing of mortgage applications under the Home Affordable Modification Program (HAMP), part of the “Making Home Affordable Program.”

President Obama signed the Worker, Homeownership & Business Assistance Bill of 2009 (H.R. 3548) on November 6, 2009. The original bill, titled the “Unemployment Compensation Extension Act of 2009, was passed by the House on September 22, 2009, then amended by the Senate and passed November 4. The House accepted the amendments on November 5.