Important Changes for 1999 The following items highlight a number of administrative and taxlaw changes for 1999. They are discussed in more detail throughout thepublication. Changes are also discussed in Publication 553,Highlights of 1999 Tax Changes. Business use of your home.Beginning in 1999, you may be able to deduct expenses for your homeoffice even if it is not where you perform your most importantbusiness activities or spend most of your business time. See chapter 5. Child tax credit.You may be able to claim a tax credit for each of your qualifyingchildren under the age of 17. For 1999, this credit can be as much as$500 for each qualifying child. See the instructions for Form 1040. Depreciation limits on business cars.The total section 179 deduction and depreciation you can take on acar you use in your business and first place in service in 1999 is$3,060. Special rules apply to certain clean-fuel vehicles. Seechapter 8. Earned income credit.The maximum earned income credit has been increased to $3,816 for1999. To claim the credit, you must have earned income (including netearnings from self-employment) and modified adjusted gross income ofless than $30,580 and meet certain other requirements. For moreinformation, including what counts as earned income, see Publication 596,Earned Income Credit. Photographs of missing children.The Internal Revenue Service is a proud partner with the NationalCenter for Missing and Exploited Children. Photographs of missingchildren selected by the Center may appear in this publication onpages that would otherwise be blank. You can help bring these childrenhome by looking at the photographs and calling1-800-THE-LOST (1-800-843-5678) if you recognize a child. Section 179 deduction.For 1999, the total cost you can elect to deduct under section 179of the Internal Revenue Code is increased to $19,000. See chapter 8. Self-employed health insurance deduction.The part of your self-employed health insurance premiums that youcan deduct as an adjustment to income increased to 60% for 1999. Seechapter 5. Standard mileage rate.The standard mileage rate for the cost of operating your car, van,pickup, or panel truck in 1999 is 32 1/2 cents a mile forall business miles driven before April 1. The rate is 31 cents a milefor business miles driven after March 31. See chapter 5. Tax rates and maximum net earnings for self-employment tax.The maximum net self-employment earnings subject to the socialsecurity part (12.4%) of the self-employment tax increased to $72,600for 1999. There is no maximum limit on earnings subject to theMedicare part (2.9%). See chapter 15.