Highlights of the New Tax Laws
• The 50% bonus depreciation rule for 2013 allows providers to deduct 50% of the
business portion of certain new items purchased in 2013. Qualifying items include
furniture, appliances, office equipment, play equipment, and fences. For details, see
• The standard meal allowance rates for 2013 are $1.27 for breakfast, $2.38 for lunch
and supper, and $0.71 for snacks. For details, see chapter 4.
• The standard mileage rate for 2013 is $0.565 per business mile. For details, see
• The income eligibility limits for the Earned Income Credit have increased to $43,210
(for married couples filing jointly with one child) and $33,995 (if single with one
child). For details, see page 135.
• The income limits to qualify for the IRS Saver’s Credit have increased to $59,000
(adjusted gross income) for couples filing jointly; $44,250 for heads of household; and
$29,500 for individuals or married people filing separately. For details, see page 136.
• The new IRS Safe Harbor Rule allows providers to deduct up to $1,500 of their
house expenses without receipts. However, this rule may not benefit most providers.
See chapter 2.
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