IRS Announces 2007 Standard Mileage Rates

Beginning January 1, 2007, the standard mileage rates for the use of a car (including vans, pickups, or panel trucks) will be:

     - 48.5 cents per mile for business miles driven

     - 20 cents per mile driven for medical or moving purposes

     - 14 cents per mile driven in service to a charitable organization

The new rate for business miles compares to a rate of 44.5 cents per mile for 2006.  The new rate for medical and moving purposes compares to 18 cents in 2006.  The primary reason for the higher rates were higher prices for vehicles and fuel during the year ending in October.

Sales Tax, Higher Education, Educator Expense Deductions

You may be able to take advantage of certain tax breaks enacted in the final days of 2006.  Claiming deductions for state and local sales tax, higher education tuition and fees, and educator expenses will require special handling if you file a paper income tax return for 2006.  ASK US HOW THIS COULD APPLY TO YOU.

Split Refunds

For the first time, taxpayers can split their refunds among up to three accounts held by up to three different U.S. financial institutions, such as banks, mutual funds, brokerage firms, or credit unions.