In today's economy, it is just practical to look for means to save money whenever and wherever we can. Good thing that the government is offering several relief aid in the form of tax credit to help us in this endeavour.

There used to be an $8,000 tax credit if you are a first time home buyer. This is due to the Worker, Homeownership and Business Assistance Act of 2009. However, you should be informed that this credit is only applicable to home sales after January, 2009 and those before April, 2010.

If you have bought a house within this period, you qualify for the tax credit. However, you will have until June, 2010 to complete and finalize the sale. Otherwise, this benefit will not be credited to you.

Aside from this, there are several other ways to avail of this benefit. If, for example, a member of your household is pursuing higher education - college or university perhaps, it may be worth checking if you are eligible for educational credits. This credit will be based on tuition fees or any student loan you may have incurred to further your studies.

Additionally, if you have made some renovation to make your house more energy efficient, you may be qualified for tax incentives. You may qualify for home improvements such as energy efficient heating or air-conditioning system and exterior windows. Also, credit also goes to help you pay for the installation of some alternative energy sources in your house such as wind turbines and solar water heaters. Other energy saving devices which you can claim this deductible for are hybrid cars, plug-in vehicles and electric drive conversion kits. If you have any form of energy saving device, it may be best to check with IRS if you qualify for this deduction.

Generally, other ways to claim on this incentives include charitable donations, medical expenses, car vouchers and deductions, qualified job hunting expenses, alimony, among others. However, you need to comply with the requirements set before you become eligible for this credit. And the best way to check if you do qualify is to verify it with the IRS through their website. They have comprehensive information there regarding this matter.

Tax credits are truly good means to save money. What is important though, is you put in the time to check thoroughly the rules regarding this. There are several other incentives which was not mentioned here so it is still best to refer to the IRS website or better still, talk to your tax accountant to get all the details.