Of the two large Tax Acts which became law in 2004, I wanted to mention three items that involve individuals and one that relates to new Corporate Organizations. Individuals that have "Earned Income" of less than $7,950 do not have to file an income tax return for 2004. Earned Income is income earned performing services. Interest and dividend income for children under age 14 are still taxable. The 10% tax rate starts with the taxable income over $7,300 and will benefit all individual taxpayers by moving their bracket up. The Child Care Credit is $1,000 per child who has not reached their 17th birthday by the end of 2004. The parents are eligible if total gross income does not exceed $110,000 or $75,000 for unmarried individuals. Low income tax payers might get a refund for the credit even if no tax is due. A person starting a new Corporation can deduct the first $5,000 of organizational and start up expenditures. This would apply to both a "C" and an "S" Corporation and are usually advantageous for service businesses.