04-28-2004, 03:41 PM
Hi,
Since Magi opened her consulting firm, about six years ago, her accountant has done our taxes. Thus I am now as ignorant of the tax laws as any private citizen and almost as much as the IRS help desk :)
My understanding is that the deduction is just that -- an amount subtracted from the income prior to calculating the tax. And, yes, it is a federal initiative.
Even nicer in some places (but not in Washington) is that hybrids and electrics get to use the HOV lanes. More info here.
As an aside: I don't think these "incentives" are a good idea, just like I don't think HOV lanes are a good idea. However, just as I'll obey a law that I disagree with, I'll take advantage of a law I disagree with, too.
--Pete
Since Magi opened her consulting firm, about six years ago, her accountant has done our taxes. Thus I am now as ignorant of the tax laws as any private citizen and almost as much as the IRS help desk :)
My understanding is that the deduction is just that -- an amount subtracted from the income prior to calculating the tax. And, yes, it is a federal initiative.
Even nicer in some places (but not in Washington) is that hybrids and electrics get to use the HOV lanes. More info here.
As an aside: I don't think these "incentives" are a good idea, just like I don't think HOV lanes are a good idea. However, just as I'll obey a law that I disagree with, I'll take advantage of a law I disagree with, too.
--Pete
How big was the aquarium in Noah's ark?