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The new law permanently retains the 10 percent, 15 percent, 25 percent, 28 percent, 33 percent, and 35 percent individual income tax rates. However, the top tax rate of 35 percent is boosted to a 39.6 percent rate for single filers with income above $400,000 and joint filers with income above $450,000.

The provision allowing "portability" of exemptions between spouses remains in effect for decedents dying after 2012.

The new law permanently extends the expanded $2,000 contribution limit for Coverdell Education Savings

The New Markets Tax Credit (NMTC) program encourages private investment into businesses in low-income communities. Under this program, a client may obtain a 39 percent tax credit, spread out over seven years. The new law extends the NMTC program through 2013, retroactive to 2012.

It also permits expensing of up to $250,000 of the cost of qualified leasehold improvement property, restaurant property, and retail improvement property, as was allowed under prior law.

For 2012, the maximum deduction was set at $125,000 (inflation-indexed to $139,000) with a $500,000 threshold (inflation-indexed to $560,000). The new law restores the previous limits of a $500,000 maximum deduction and a $2 million threshold through 2013, retroactive to 2012

In 2013 both phaseout limits and credit amounts will revert back to lower levels. The Earned Income Tax Credit is a refundable credit for married couples filing jointly with 2012 earned income under $50,270 and singles who made less than $45,060. The more children you have, the more money you receive. Your income and family size determine the amount of the credit, but the maximum credit is $5,891 this year. The income thresholds for this credit have increased over the past decade, and the maximum credit has increased since the recession.

The above-the-line deduction for qualified tuition and related expenses, which expired at the end of 2011 is now revived for 2012 and continued through 2013

Mortgage insurance premiums as qualified residence interest, which expired at the end of 2011 is now revived for 2012 and continued through 2013

Employer-provided mass transit and parking benefits is now revived for 2012 and continued through 2013;