In December of 2015, I wrote about many tax provisions benefiting taxpayers for 2015 and beyond that had expired. Most CPAs were anticipating these to be retroactively approved by Congress. After much anticipation, Congress ended up extending and in many cases making the provisions permanent. Below is a summary of the main legislation:

•  Section 179 depreciation was permanently extended at a $500,000 expensing limit with a $2 million investment ceiling indexed for inflation.
• 50% bonus depreciation was extended through 2019
• The $1,000 refundable child tax credit was made permanent
• The Hope Scholarship credit of $1,800 for tuition and fees for the first two year of post-secondary education was made permanent
• $250 above the line educator expense deduction made permanent
• For taxpayers who itemize their deductions on Schedule A, the state and local sales tax deduction was made permanent. This benefits taxpayers in Nevada, Florida, Alaska, Texas, Wyoming, and South Dakota where there is no state income tax.
• Mortgage insurance premiums are allowed to be deducted as qualified residence interest through 2016.
• Exclusion from income for discharged home mortgage debt through 2016.
• 100% exclusion of gain on certain small business stock acquired between September 28, 2010 and December 31, 2014