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Extended and Expired 2018 Tax Breaks

Important: Starting with Tax Year 2018 (Jan.-Dec. 2018), tax brackets, credits, deductions, and other information are changing due to Tax Reform. We will update this page as the IRS finalizes this information. Tax Reform and you? Let efile.com help you and become eligible to Tax Win. Find out now.

expired tax laws

It seems like every year tax laws change, and this year is no exception! Depending on the actions--or inaction--of Congress, tax breaks extend or change, tax cuts expire, tax rules are rewritten, and dollar amounts are adjusted every year. Tax breaks reduce your tax liability and may even increase your tax refund. They are tax savings resulting from tax deductions, tax credits, and other tax incentives.

How Changes in Tax Law Affect Tax Breaks

Most changing tax breaks only affect business filers, but there are tax breaks that directly apply to individual taxpayers. If this information is overwhelming to you, let efile.com make this easier for you. When you start a tax return on efile.com, we will automatically report the correct tax breaks on your return based on your answers to several simple questions. 

Tax Changes for Tax Year 2018

As a result of tax reform, these tax breaks have been changed, extended, added, or expired for 2018 Tax Returns: 

Changed Extended Added Expired
Tax Brackets American Opportunity Tax Credit Credit for Non-Child Dependents Personal and Dependent Exemptions
Standard Deductions Lifetime Learning Tax Credit   Miscellaneous Deductions Subject to 2% AGI Floor
Home Mortgage Interest Deduction Student Loan Interest Deduction   Income Phaseout on Itemized Deductions
Charitable Contribution Deductions Premium Tax Credit   Moving Expenses Deduction (does not apply to active duty military)
Child Tax Credit Deduction for Charitable Donations from IRAs   Tax Deduction for Casualty and Theft Loss (does not apply to federally declared disasters)
State and Local Tax Deduction Deduction for Educator Expenses   Roth IRA Reconversion
Income Limit on Social Security Tax Residential Energy Efficient Property Tax Credit   Home Office Deduction for Employees
Medical and Dental Deductions     Mileage Rate Deductions for Un-Reimbursed Employee Travel Expenses
Estate/ "Death" Tax Exemption     Deduction for Mortgage Insurance Premiums
All Gambling Expenses Are Deductible Losses     Nonbusiness Energy Property Credit
Earned Income Tax Credit      
Health and Medical Savings Account Contributions      
Retirement Plan Contributions      
Foreign Earned Income Exclusion      

Expiring Tax Breaks for Tax Years 2019 and Later 

  • Alimony Tax Deduction: This only applies to payments required under a divorce or separation agreement made after the end of 2018. 
  • Individual Health Care Tax Penalty: This applies to taxpayers who did not have health insurance for the entire year and did not claim a exemption for not having insurance. The penalty will be enforced in 2019 (for 2018 Tax Returns), but not in 2020 (for 2019 Tax Returns). 

What to Do About Changing Tax Breaks

You can keep up to date on the latest information about what tax breaks are available with efile.com. We will always update our site with the most recent tax law changes. However, when you prepare your tax return on efile.com, you don't have to worry about which tax breaks have changed. We will apply the newest IRS data to your tax return. At efile.com, we guarantee a 100% accurate tax return and the biggest possible tax refund (or lowest tax balance due) allowed by law. Learn more about efile.com's service guarantees.