ADOPTION TAX CREDIT increases to $11,390 for adoption of an eligible child.

ESTATE TAX top rate drops to 45%, but the exemption amount remains at $2 million. The ANNUAL GIFT TAX EXCLUSION remains at $12,000.

SECTION 179 maximum deduction increases to $112,000.  Phase-out threshold increases to $450,000.

401(k) maximum salary deferral increases to $15,500 ($20,500 for 50 and older).

SIMPLE maximum salary deferral increases to $10,500 ($13,000 for 50 and older).

IRA contribution limit remains at $4,000 ($5,000 for 50 and older).

STANDARD MILEAGE RATE for business driving increases to 48.5¢ a mile. Rate for medical and moving mileage changes to 20¢ a mile. Rate for charitable driving stays at 14¢ a mile.

SOCIAL SECURITY taxable wage limit increases to $97,500. Retirees under age 65 can earn up to $12,960 without losing benefits.

KIDDIE TAX threshold remains at $1,700, and the NANNY TAX threshold remains at $1,500.

TRANSPORTATION FRINGE benefit limit increases to $110 for vehicle/transit passes and to $215 for qualified parking.

EXTENDED PROVISIONS through 2006 and 2007 include the optional state and local sales tax deduction, the college tuition and fees deduction, teacher's classroom supplies deduction, the research credit for businesses, and the work opportunity and welfare-to-work credits.