Credits

In 2016 the maximum credit allowed for adoptions is the amount of qualified adoption expenses up to $13,460.
The available adoption credit begins to phase out for taxpayers with modified adjusted gross income in excess of $201,920 and is completely phased out for taxpayers with modified adjusted gross income of $241,920 or more.

Taxpayers are allowed a credit for certain research expenses paid or incurred in a trade or business. Generally, the research credit is allowed for increasing research activities.
The credit had expired for amounts paid or incurred after December 31, 2011. ATRA, 301, provides that this provision now expires for amounts paid or incurred after December 31, 2013.

The work opportunity credit allows employers a 40 % credit for qualified first-year wages paid or incurred during the tax year to individuals who are members of a targeted group of employees.
The credit had generally terminated for amounts paid or incurred for employees who began work for an employer after December 31, 2011. ATRA, extended the credit, and it now terminates for amounts paid or incurred for employees who begin work for an employer after December 31, 2013.

Certain small business employers that make differential wage payments to employees who are members of the military are allowed a credit for a percentage of the eligible differential wage payments made to each qualified employee.
The credit had expired for payments made after December 31, 2011. ATRA, extended the credit. It now expires for payments made after December 31, 2013.

In 2013, A taxpayer is allowed a 10-percent nonbusiness energy property credit for the purchase of qualified energy efficiency improvements to existing homes
There is a limitation of $500 on the total amount of nonbusiness energy property credit that may be claimed. This limitation is a lifetime limitation, not an annual limitation.
This credit was to expire with respect to any property placed in service after December 31, 2011. ATRA, Sec. 401, extends the availability of the credit to property placed in service before January 1, 2014.
In 2013 are 30% tax credits on large energy installation projects that are geared towards environmental aware taxpayers. They include geothermal heat pumps (no upper limit, both principal residences & second homes apply). Solar energy systems (no upper limit, both principal residences & second homes apply). Small wind turbines (no upper limit, both principal residences & second homes apply). Fuel cells (up to $500 per .5 kW of power capacity and for Principal residences only).

A $2,000 credit is available for qualified expenses paid for post-secondary degree programs or for a non-degree program to acquire or improve job skills.
It is not limited to the first 4 years of postsecondary education.
Qualified expenses include tuition, course related books, activity fees and any equipment that must be purchased from the educational institution as a condition of enrollment. Room & Board expenses do not qualify.
The modified adjusted gross income threshold at which the lifetime learning credit begins to phase out is $111,000 to $131,000 for joint filers, and $55,000 to $65,000 for singles

The foreign earned-income exclusion amount under tax code Section 911(b)(2)(D)(i) will increase in 2016 to $101,300 from $100,800,

The credit of $1,000 per eligible child.

A credit is available up to $2,500 per student for the first 4 years of higher education for tuition, course related books, activity fees and any equipment that must be purchased from the educational institution as a condition of enrollment. Room & Board expenses do not qualify.
The phase out for married taxpayers is Adjusted Gross Income between $160,000- $180,000.
The phase out is between $80,000 and $90,000 for single, head of household or qualifying widower(s) filing status taxpayers.
Married filing separately status are not allowed a American Opportunity credit.