A List of Recently Introduced Tax Credit Programs

In response to the recession of 2007-2009, the government introduced several tax credit programs as part of the federal stimulus. Before you take out any type of loan for a car, home or school, look into tax credits for these major purchases. The amount of tax credit depends on the purchase, and the larger purchases come with larger incentives.

New Car Purchase - In the first half of 2009, trading in an inefficient vehicle made you eligible for a $4,500 rebate from the dealer as part of the "Cash for Klunkers" program. The dealer was then reimbursed from the government. This program was discontinued in August 2009 due to a lack of new funding.

Hybrid Car Purchase - Purchasing a hybrid vehicle will get you a tax credit depending on the vehicle. The credits may be over $3,000 dollars depending on the make and model.

New Home Purchase - First time home buyers will receive an $8,000 tax credit if they purchase a home before December of 2009. There is no news on whether this program will be continued into 2010.

Student Loan - Students will receive a $2,500 tax credit if they are not listed on their parent's returns. Parents may additionally receive credits depending on the cost of education and their income.