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Count on Congress to make some tax breaks permanent this year.(TAXES)

Kiplinger Letter, The, January, 2005

Count on Congress to make some tax breaks permanent this year.

Among them: The $1000 per child credit. The wider 15% tax bracket and bigger standard deduction for married couples. Special tax breaks for states? college savings plans. Greater expensing for small businesses.

Odds are improving for lasting repeal of federal estate taxes. At a minimum, expect a higher exclusion or a lengthier temporary repeal.

Prospects for extending other tax cuts are iffier. More Democrats object to making permanent the 2001 tax rate cuts and the 15% rate on dividends and long-term capital gains. And they need only 41 votes to deep-six Bush?s proposal to make all the cuts a lasting legacy.

One no-brainer: A quicker deduction for tsunami relief...

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