Additional changes resulting from PL 111-5 (ARRA)

DESCRIPTION OF MAJOR CHANGES FOR INST FOR FORM 1040-C
What's New has been updated for 2009. Added items for new expatriation
rules (PL 110-245, sec 301; IRC 877A), IRAs (IR-2008-118), sale of main
home (PL 110-289, sec 3092(a); IRC 121(b)(4), and new $500 limit for personal
casualty and theft losses (PL 110-343, Div C, sec 706(c)).
Two paragraphs referring to the now defunct Question A and the
accompanying checkboxes have been removed. This revision is necessary to
reflect certain policy procedures that have been changed by a
multifunctional task force.
Instructions have been added and the Deduction for Exemptions Worksheet
on page 8 was revised to account for the special personal exemption rules for
individuals providing housing to Midwestern displaced individuals added by
PL 110-343, sec. 702.
Add instructions for the add'l standard deductions for real estate taxes and net
disaster loss to conform to Form 1040 instructions. PL 110-343, Div C,
sec 204 and sec 706(b)
Added instructions for recapture of an education credit under Lines 6 and 14 to
conform to Form 1040 instructions. Reg. 1.25A-5(f)(3).
The exemption amount and exemption phaseout minimum amount used for
Schedule D, line 4, and Schedule D, line 12, have been updated to reflect
Revenue Procedure 2008-66, sec. 3.19.
The itemized deduction phaseout minimum amount used for Schedule C,
line 2, has been updated to reflect Revenue Procedure 2008-66, sec. 3.11.
The tax rate schedules on page 9 have been updated per RP 2008-66, sec 3.01.

The Instructions have been updated to reflect the recapture of the
first-time homebuyer credit prescribed by IRC 36(f) added by PL
110-289, sec 3011(a) in 2008.
The Instructions have been updated to include the following
provisions of PL 111-5, signed by the President on Feb. 17, 2009.
> Make Work Pay Credit (Sec. 1001 of the Act; IRC 36A)
> Unemployment Comp. partly nontaxable (Sec. 1007 of the Act;IRC 85)
> Addt'l Child Tax Credit revised (Sec. 1003 of the Act; IRC 24(d))
> Certain sales & excise taxes deductible (Sec. 1008 of the Act;
IRC 164(a); IRC 63(c))