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Tax season is among us and people across Mid-Michigan are gathering documents together and packing into local tax preparation offices.
If you're about to file yours this year you may notice some big changes.
Albert Walters from H & R block says unfortunately this year when it comes to your tax returns some may think tax specialists are the grinch.
"The state of Michigan did have some big changes that affected a lot of people this year," said H & R block Tax Professional Albert Walters.
And according to Walters the changes are not in the good direction. As a result of legislation signed by Governor Snyder back in 2011,
Walters says thousands of people including many senior citizens will see a reduction in their state returns.
The main reason is a change in income level of nearly $20,000 when it comes to qualifying for property tax incentives.
"He lowered the tax income threshold for property tax incentives from $72,000 down to 50,000, so if your combined income is more than $50,000 you are not eligible for any tax credit at all," Walters said.
That same legislation also made changes to the state earned income tax credits,
Walters says low income families who qualify this year will see a 14-percent reduction.
Others will also lose out on some incentives for going green by installing things from windows to insulation.
If you were hoping for a state tax credit for those type of improvements this year,you can forget about it, Walters says energy credits have essential evaporated.
"A few years ago you could get up to $1500 dollars, this year, I think the most you can get is up to $150 dollars," Walters said.
But it's not all bad news, if you're a student, Walters says education credits haven't changed.
Also some good news on the federal level, the pressure from congress to tackle the fiscal cliff, did little to your taxes.
Walters adds you may see a delay from the IRS in getting your return about a week more than normal, but that's about it.
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