File your Taxes for Free!
  • Get your maximum refund*
  • 100% accurate calculations guaranteed*

TurboTax Federal Free Edition - File Taxes Online

Don't let filing your taxes get you down! We'll help make it as easy as possible. With e-file and direct deposit, there's no faster way to get your refund!

Approved TurboTax Affiliate Site. TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.


© 2012 - 2018 All rights reserved.

This is an Approved TurboTax Affiliate site. TurboTax and TurboTax Online, among other are registered trademarks and/or service marks of Intuit, Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.
When discussing "Free e-file", note that state e-file is an additional fee. E-file fees do not apply to New York state returns. Prices are subject to change without notice. E-file and get your refund faster
*If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
*Maximum Refund Guarantee - or Your Money Back: If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Federal Free Edition customers are entitled to payment of $14.99 and a refund of your state purchase price paid. Claims must be submitted within sixty (60) days of your TurboTax filing date and no later than 6/15/14. E-file, Audit Defense, Professional Review, Refund Transfer and technical support fees are excluded. This guarantee cannot be combined with the TurboTax Satisfaction (Easy) Guarantee. *We're so confident your return will be done right, we guarantee it. Accurate calculations guaranteed. If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
https://turbotax.intuit.com/corp/guarantees.jsp

Ct 1040nr Py

Irs 1040 Ez Form 2011Irs Free File Using Form 1040 EzHow To File My 2012 Tax ReturnTaxact 2012 Return UserDownload Tax Forms 2011Amended 2012 Tax FormIrs Ez Form2011 1040 Tax FormsIrs 1040 EzH R Block Free FileState Tax Free StatesDid Not File 2011 TaxesFree Filing Of State Taxes OnlineFederal Tax Form 1040ezFree State Tax PreparationIrs Gov FreefileFile 2012 Taxes Late Online FreeTax Preparer SoftwareTurbotax 1040nrH & R BlockInstructions For Filing An Amended Tax ReturnHow To File A Tax AmendmentBlock At HomeHow Can I Amend My Tax ReturnHow Do I File An Amended Tax ReturnIrs Extension FormIrs Tax Form 1040x2012 1040 EzWhere Can I File 2012 Taxes Online Free1040 Ez 20122012 1040Free Federal And State Tax Filing 2012State Taxes Online FreeFree State And Federal Tax PreparationFree Efile State TaxesCan You File An Amended Tax Return Online1040ez Tax ReturnFreestatetaxfilingFree 2011 Tax ReturnFree File For State Taxes

Ct 1040nr Py

Ct 1040nr py Publication 537 - Main Content Table of Contents What Is an Installment Sale?Special rule. Ct 1040nr py General RulesFiguring Installment Sale Income Reporting Installment Sale Income Other RulesElecting Out of the Installment Method Payments Received or Considered Received Escrow Account Depreciation Recapture Income Sale to a Related Person Like-Kind Exchange Contingent Payment Sale Single Sale of Several Assets Sale of a Business Unstated Interest and Original Issue Discount (OID) Disposition of an Installment Obligation Repossession Interest on Deferred Tax Reporting an Installment SaleRelated person. Ct 1040nr py Several assets. Ct 1040nr py Special situations. Ct 1040nr py Schedule D (Form 1040). Ct 1040nr py Form 4797. Ct 1040nr py How To Get Tax Help What Is an Installment Sale? An installment sale is a sale of property where you receive at least one payment after the tax year of the sale. Ct 1040nr py The rules for installment sales do not apply if you elect not to use the installment method (see Electing Out of the Installment Method under Other Rules, later) or the transaction is one for which the installment method may not apply. Ct 1040nr py The installment sales method cannot be used for the following. Ct 1040nr py Sale of inventory. Ct 1040nr py   The regular sale of inventory of personal property does not qualify as an installment sale even if you receive a payment after the year of sale. Ct 1040nr py See Sale of a Business under Other Rules, later. Ct 1040nr py Dealer sales. Ct 1040nr py   Sales of personal property by a person who regularly sells or otherwise disposes of the same type of personal property on the installment plan are not installment sales. Ct 1040nr py This rule also applies to real property held for sale to customers in the ordinary course of a trade or business. Ct 1040nr py However, the rule does not apply to an installment sale of property used or produced in farming. Ct 1040nr py Special rule. Ct 1040nr py   Dealers of time-shares and residential lots can treat certain sales as installment sales and report them under the installment method if they elect to pay a special interest charge. Ct 1040nr py For more information, see section 453(l). Ct 1040nr py Stock or securities. Ct 1040nr py   You cannot use the installment method to report gain from the sale of stock or securities traded on an established securities market. Ct 1040nr py You must report the entire gain on the sale in the year in which the trade date falls. Ct 1040nr py Installment obligation. Ct 1040nr py   The buyer's obligation to make future payments to you can be in the form of a deed of trust, note, land contract, mortgage, or other evidence of the buyer's debt to you. Ct 1040nr py General Rules If a sale qualifies as an installment sale, the gain must be reported under the installment method unless you elect out of using the installment method. Ct 1040nr py See Electing Out of the Installment Method under Other Rules, later, for information on recognizing the entire gain in the year of sale. Ct 1040nr py Sale at a loss. Ct 1040nr py   If your sale results in a loss, you cannot use the installment method. Ct 1040nr py If the loss is on an installment sale of business or investment property, you can deduct it only in the tax year of sale. Ct 1040nr py Unstated interest. Ct 1040nr py   If your sale calls for payments in a later year and the sales contract provides for little or no interest, you may have to figure unstated interest, even if you have a loss. Ct 1040nr py See Unstated Interest and Original Issue Discount (OID) under Other Rules, later. Ct 1040nr py Figuring Installment Sale Income You can use the following discussions or Form 6252 to help you determine gross profit, contract price, gross profit percentage, and installment sale income. Ct 1040nr py Each payment on an installment sale usually consists of the following three parts. Ct 1040nr py Interest income. Ct 1040nr py Return of your adjusted basis in the property. Ct 1040nr py Gain on the sale. Ct 1040nr py In each year you receive a payment, you must include in income both the interest part and the part that is your gain on the sale. Ct 1040nr py You do not include in income the part that is the return of your basis in the property. Ct 1040nr py Basis is the amount of your investment in the property for installment sale purposes. Ct 1040nr py Interest Income You must report interest as ordinary income. Ct 1040nr py Interest is generally not included in a down payment. Ct 1040nr py However, you may have to treat part of each later payment as interest, even if it is not called interest in your agreement with the buyer. Ct 1040nr py Interest provided in the agreement is called stated interest. Ct 1040nr py If the agreement does not provide for enough stated interest, there may be unstated interest or original issue discount. Ct 1040nr py See Unstated Interest and Original Issue Discount (OID) under Other Rules, later. Ct 1040nr py Adjusted Basis and Installment Sale Income (Gain on Sale) After you have determined how much of each payment to treat as interest, you treat the rest of each payment as if it were made up of two parts. Ct 1040nr py A tax-free return of your adjusted basis in the property, and Your gain (referred to as installment sale income on Form 6252). Ct 1040nr py Figuring adjusted basis for installment sale purposes. Ct 1040nr py   You can use Worksheet A to figure your adjusted basis in the property for installment sale purposes. Ct 1040nr py When you have completed the worksheet, you will also have determined the gross profit percentage necessary to figure your installment sale income (gain) for this year. Ct 1040nr py Worksheet A. Ct 1040nr py Figuring Adjusted Basis and Gross Profit Percentage 1. Ct 1040nr py Enter the selling price for the property   2. Ct 1040nr py Enter your adjusted basis for the property     3. Ct 1040nr py Enter your selling expenses     4. Ct 1040nr py Enter any depreciation recapture     5. Ct 1040nr py Add lines 2, 3, and 4. Ct 1040nr py  This is your adjusted basis for installment sale purposes   6. Ct 1040nr py Subtract line 5 from line 1. Ct 1040nr py If zero or less, enter -0-. Ct 1040nr py  This is your gross profit     If the amount entered on line 6 is zero, stop here. Ct 1040nr py You cannot use the installment method. Ct 1040nr py   7. Ct 1040nr py Enter the contract price for the property   8. Ct 1040nr py Divide line 6 by line 7. Ct 1040nr py This is your gross profit percentage   Selling price. Ct 1040nr py   The selling price is the total cost of the property to the buyer and includes any of the following. Ct 1040nr py Any money you are to receive. Ct 1040nr py The fair market value (FMV) of any property you are to receive (FMV is discussed in Property Used As a Payment under Other Rules, later). Ct 1040nr py Any existing mortgage or other debt the buyer pays, assumes, or takes (a note, mortgage, or any other liability, such as a lien, accrued interest, or taxes you owe on the property). Ct 1040nr py Any of your selling expenses the buyer pays. Ct 1040nr py   Do not include stated interest, unstated interest, any amount recomputed or recharacterized as interest, or original issue discount. Ct 1040nr py Adjusted basis for installment sale purposes. Ct 1040nr py   Your adjusted basis is the total of the following three items. Ct 1040nr py Adjusted basis. Ct 1040nr py Selling expenses. Ct 1040nr py Depreciation recapture. Ct 1040nr py Adjusted basis. Ct 1040nr py   Basis is your investment in the property for installment sale purposes. Ct 1040nr py The way you figure basis depends on how you acquire the property. Ct 1040nr py The basis of property you buy is generally its cost. Ct 1040nr py The basis of property you inherit, receive as a gift, build yourself, or receive in a tax-free exchange is figured differently. Ct 1040nr py   While you own property, various events may change your original basis. Ct 1040nr py Some events, such as adding rooms or making permanent improvements, increase basis. Ct 1040nr py Others, such as deductible casualty losses or depreciation previously allowed or allowable, decrease basis. Ct 1040nr py The result is adjusted basis. Ct 1040nr py   For more information on how to figure basis and adjusted basis, see Publication 551. Ct 1040nr py For more information regarding your basis in property you inherited from someone who died in 2010 and whose executor filed Form 8939, Allocation of Increase In Basis for Property Acquired From a Decedent, see Publication 4895. Ct 1040nr py Selling expenses. Ct 1040nr py   Selling expenses relate to the sale of the property. Ct 1040nr py They include commissions, attorney fees, and any other expenses paid on the sale. Ct 1040nr py Selling expenses are added to the basis of the sold property. Ct 1040nr py Depreciation recapture. Ct 1040nr py   If the property you sold was depreciable property, you may need to recapture part of the gain on the sale as ordinary income. Ct 1040nr py See Depreciation Recapture Income under Other Rules, later. Ct 1040nr py Gross profit. Ct 1040nr py   Gross profit is the total gain you report on the installment method. Ct 1040nr py   To figure your gross profit, subtract your adjusted basis for installment sale purposes from the selling price. Ct 1040nr py If the property you sold was your home, subtract from the gross profit any gain you can exclude. Ct 1040nr py See Sale of Your Home , later, under Reporting Installment Sale Income. Ct 1040nr py Contract price. Ct 1040nr py   Contract price equals: The selling price, minus The mortgages, debts, and other liabilities assumed or taken by the buyer, plus The amount by which the mortgages, debts, and other liabilities assumed or taken by the buyer exceed your adjusted basis for installment sale purposes. Ct 1040nr py Gross profit percentage. Ct 1040nr py   A certain percentage of each payment (after subtracting interest) is reported as installment sale income. Ct 1040nr py This percentage is called the gross profit percentage and is figured by dividing your gross profit from the sale by the contract price. Ct 1040nr py   The gross profit percentage generally remains the same for each payment you receive. Ct 1040nr py However, see the Example under Selling Price Reduced, later, for a situation where the gross profit percentage changes. Ct 1040nr py Example. Ct 1040nr py You sell property at a contract price of $6,000 and your gross profit is $1,500. Ct 1040nr py Your gross profit percentage is 25% ($1,500 ÷ $6,000). Ct 1040nr py After subtracting interest, you report 25% of each payment, including the down payment, as installment sale income from the sale for the tax year you receive the payment. Ct 1040nr py The remainder (balance) of each payment is the tax-free return of your adjusted basis. Ct 1040nr py Amount to report as installment sale income. Ct 1040nr py   Multiply the payments you receive each year (less interest) by the gross profit percentage. Ct 1040nr py The result is your installment sale income for the tax year. Ct 1040nr py In certain circumstances, you may be treated as having received a payment, even though you received nothing directly. Ct 1040nr py A receipt of property or the assumption of a mortgage on the property sold may be treated as a payment. Ct 1040nr py For a detailed discussion, see Payments Received or Considered Received under Other Rules, later. Ct 1040nr py Selling Price Reduced If the selling price is reduced at a later date, the gross profit on the sale also will change. Ct 1040nr py You then must refigure the gross profit percentage for the remaining payments. Ct 1040nr py Refigure your gross profit using Worksheet B. Ct 1040nr py You will spread any remaining gain over future installments. Ct 1040nr py Worksheet B. Ct 1040nr py New Gross Profit Percentage — Selling Price Reduced 1. Ct 1040nr py Enter the reduced selling  price for the property   2. Ct 1040nr py Enter your adjusted  basis for the  property     3. Ct 1040nr py Enter your selling  expenses     4. Ct 1040nr py Enter any depreciation  recapture     5. Ct 1040nr py Add lines 2, 3, and 4. Ct 1040nr py   6. Ct 1040nr py Subtract line 5 from line 1. Ct 1040nr py  This is your adjusted  gross profit   7. Ct 1040nr py Enter any installment sale  income reported in  prior year(s)   8. Ct 1040nr py Subtract line 7 from line 6   9. Ct 1040nr py Future installments   10. Ct 1040nr py Divide line 8 by line 9. Ct 1040nr py  This is your new gross profit percentage*   * Apply this percentage to all future payments to determine how much of each of those payments is installment sale income. Ct 1040nr py Example. Ct 1040nr py In 2011, you sold land with a basis of $40,000 for $100,000. Ct 1040nr py Your gross profit was $60,000. Ct 1040nr py You received a $20,000 down payment and the buyer's note for $80,000. Ct 1040nr py The note provides for four annual payments of $20,000 each, plus 8% interest, beginning in 2012. Ct 1040nr py Your gross profit percentage is 60%. Ct 1040nr py You reported a gain of $12,000 on each payment received in 2011 and 2012. Ct 1040nr py In 2013, you and the buyer agreed to reduce the purchase price to $85,000 and payments during 2013, 2014, and 2015 are reduced to $15,000 for each year. Ct 1040nr py The new gross profit percentage, 46. Ct 1040nr py 67%, is figured on Example—Worksheet B. Ct 1040nr py You will report a gain of $7,000 (46. Ct 1040nr py 67% of $15,000) on each of the $15,000 installments due in 2013, 2014, and 2015. Ct 1040nr py Example — Worksheet B. Ct 1040nr py New Gross Profit Percentage — Selling Price Reduced 1. Ct 1040nr py Enter the reduced selling  price for the property 85,000 2. Ct 1040nr py Enter your adjusted  basis for the  property 40,000   3. Ct 1040nr py Enter your selling  expenses -0-   4. Ct 1040nr py Enter any depreciation  recapture -0-   5. Ct 1040nr py Add lines 2, 3, and 4. Ct 1040nr py 40,000 6. Ct 1040nr py Subtract line 5 from line 1. Ct 1040nr py  This is your adjusted  gross profit 45,000 7. Ct 1040nr py Enter any installment sale  income reported in  prior year(s) 24,000 8. Ct 1040nr py Subtract line 7 from line 6 21,000 9. Ct 1040nr py Future installments 45,000 10. Ct 1040nr py Divide line 8 by line 9. Ct 1040nr py  This is your new gross profit percentage* 46. Ct 1040nr py 67% * Apply this percentage to all future payments to determine how much of each of those payments is installment sale income. Ct 1040nr py Reporting Installment Sale Income Generally, you will use Form 6252 to report installment sale income from casual sales of real or personal property during the tax year. Ct 1040nr py You also will have to report the installment sale income on Schedule D (Form 1040), Capital Gains and Losses, or Form 4797, or both. Ct 1040nr py See Schedule D (Form 1040) and Form 4797 , later. Ct 1040nr py If the property was your main home, you may be able to exclude part or all of the gain. Ct 1040nr py See Sale of Your Home , later. Ct 1040nr py Form 6252 Use Form 6252 to report an installment sale in the year it takes place and to report payments received, or considered received because of related party resales, in later years. Ct 1040nr py Attach it to your tax return for each year. Ct 1040nr py Form 6252 will help you determine the gross profit, contract price, gross profit percentage, and installment sale income. Ct 1040nr py Which parts to complete. Ct 1040nr py   Which part to complete depends on whether you are filing the form for the year of sale or a later year. Ct 1040nr py Year of sale. Ct 1040nr py   Complete lines 1 through 4, Part I, and Part II. Ct 1040nr py If you sold property to a related party during the year, also complete Part III. Ct 1040nr py Later years. Ct 1040nr py   Complete lines 1 through 4 and Part II for any year in which you receive a payment from an installment sale. Ct 1040nr py   If you sold a marketable security to a related party after May 14, 1980, and before January 1, 1987, complete Form 6252 for each year of the installment agreement, even if you did not receive a payment. Ct 1040nr py (After December 31, 1986, the installment method is not available for the sale of marketable securities. Ct 1040nr py ) Complete lines 1 through 4 and Part II for any year in which you receive a payment from the sale. Ct 1040nr py Complete Part III unless you received the final payment during the tax year. Ct 1040nr py   If you sold property other than a marketable security to a related party after May 14, 1980, complete Form 6252 for the year of sale and for 2 years after the year of sale, even if you did not receive a payment. Ct 1040nr py Complete lines 1 through 4 and Part II for any year during this 2-year period in which you receive a payment from the sale. Ct 1040nr py Complete Part III for the 2 years after the year of sale unless you received the final payment during the tax year. Ct 1040nr py Schedule D (Form 1040) Enter the gain figured on Form 6252 (line 26) for personal-use property (capital assets) on Schedule D (Form 1040), as a short-term gain (line 4) or long-term gain (line 11). Ct 1040nr py If your gain from the installment sale qualifies for long-term capital gain treatment in the year of sale, it will continue to qualify in later tax years. Ct 1040nr py Your gain is long-term if you owned the property for more than 1 year when you sold it. Ct 1040nr py Form 4797 An installment sale of property used in your business or that earns rent or royalty income may result in a capital gain, an ordinary gain, or both. Ct 1040nr py All or part of any gain from the disposition of the property may be ordinary gain from depreciation recapture. Ct 1040nr py For trade or business property held for more than 1 year, enter the amount from line 26 of Form 6252 on Form 4797, line 4. Ct 1040nr py If the property was held 1 year or less or you have an ordinary gain from the sale of a noncapital asset (even if the holding period is more than 1 year), enter this amount on Form 4797, line 10, and write “From Form 6252. Ct 1040nr py ” Sale of Your Home If you sell your home, you may be able to exclude all or part of the gain on the sale. Ct 1040nr py See Publication 523 for information about excluding the gain. Ct 1040nr py If the sale is an installment sale, any gain you exclude is not included in gross profit when figuring your gross profit percentage. Ct 1040nr py Seller-financed mortgage. Ct 1040nr py   If you finance the sale of your home to an individual, both you and the buyer may have to follow special reporting procedures. Ct 1040nr py   When you report interest income received from a buyer who uses the property as a personal residence, write the buyer's name, address, and social security number (SSN) on line 1 of Schedule B (Form 1040A or 1040), Interest and Ordinary Dividends. Ct 1040nr py   When deducting the mortgage interest, the buyer must write your name, address, and SSN on line 11 of Schedule A (Form 1040), Itemized Deductions. Ct 1040nr py   If either person fails to include the other person's SSN, a $50 penalty will be assessed. Ct 1040nr py Other Rules The rules discussed in this part of the publication apply only in certain circumstances or to certain types of property. Ct 1040nr py The following topics are discussed. Ct 1040nr py Electing out of the installment method. Ct 1040nr py Payments received or considered received. Ct 1040nr py Escrow account. Ct 1040nr py Depreciation recapture income. Ct 1040nr py Sale to a related person. Ct 1040nr py Like-kind exchange. Ct 1040nr py Contingent payment sale. Ct 1040nr py Single sale of several assets. Ct 1040nr py Sale of a business. Ct 1040nr py Unstated interest and original issue discount. Ct 1040nr py Disposition of an installment obligation. Ct 1040nr py Repossession. Ct 1040nr py Interest on deferred tax. Ct 1040nr py Electing Out of the Installment Method If you elect not to use the installment method, you generally report the entire gain in the year of sale, even though you do not receive all the sale proceeds in that year. Ct 1040nr py To figure the amount of gain to report, use the fair market value (FMV) of the buyer's installment obligation that represents the buyer's debt to you. Ct 1040nr py Notes, mortgages, and land contracts are examples of obligations that are included at FMV. Ct 1040nr py You must figure the FMV of the buyer's installment obligation, whether or not you would actually be able to sell it. Ct 1040nr py If you use the cash method of accounting, the FMV of the obligation will never be considered to be less than the FMV of the property sold (minus any other consideration received). Ct 1040nr py Example. Ct 1040nr py You sold a parcel of land for $50,000. Ct 1040nr py You received a $10,000 down payment and will receive the balance over the next 10 years at $4,000 a year, plus 8% interest. Ct 1040nr py The buyer gave you a note for $40,000. Ct 1040nr py The note had an FMV of $40,000. Ct 1040nr py You paid a commission of 6%, or $3,000, to a broker for negotiating the sale. Ct 1040nr py The land cost $25,000, and you owned it for more than one year. Ct 1040nr py You decide to elect out of the installment method and report the entire gain in the year of sale. Ct 1040nr py Gain realized:     Selling price $50,000 Minus: Property's adj. Ct 1040nr py basis $25,000     Commission 3,000 28,000 Gain realized $22,000 Gain recognized in year of sale:   Cash $10,000 Market value of note 40,000 Total realized in year of sale $50,000 Minus: Property's adj. Ct 1040nr py basis $25,000     Commission 3,000 28,000 Gain recognized $22,000 The recognized gain of $22,000 is long-term capital gain. Ct 1040nr py You include the entire gain in income in the year of sale, so you do not include in income any principal payments you receive in later tax years. Ct 1040nr py The interest on the note is ordinary income and is reported as interest income each year. Ct 1040nr py How to elect out. Ct 1040nr py   To make this election, do not report your sale on Form 6252. Ct 1040nr py Instead, report it on Form 8949, Sales and Other Dispositions of Capital Assets, Form 4797, or both. Ct 1040nr py When to elect out. Ct 1040nr py   Make this election by the due date, including extensions, for filing your tax return for the year the sale takes place. Ct 1040nr py Automatic six-month extension. Ct 1040nr py   If you timely file your tax return without making the election, you still can make the election by filing an amended return within 6 months of the due date of your return (excluding extensions). Ct 1040nr py Write “Filed pursuant to section 301. Ct 1040nr py 9100-2” at the top of the amended return and file it where the original return was filed. Ct 1040nr py Revoking the election. Ct 1040nr py   Once made, the election can be revoked only with IRS approval. Ct 1040nr py A revocation is retroactive. Ct 1040nr py You will not be allowed to revoke the election if either of the following applies. Ct 1040nr py One of the purposes is to avoid federal income tax. Ct 1040nr py The tax year in which any payment was received has closed. Ct 1040nr py Payments Received or Considered Received You must figure your gain each year on the payments you receive, or are treated as receiving, from an installment sale. Ct 1040nr py In certain situations, you are considered to have received a payment, even though the buyer does not pay you directly. Ct 1040nr py These situations occur when the buyer assumes or pays any of your debts, such as a loan, or pays any of your expenses, such as a sales commission. Ct 1040nr py However, as discussed later, the buyer's assumption of your debt is treated as a recovery of your basis rather than as a payment in many cases. Ct 1040nr py Buyer Pays Seller's Expenses If the buyer pays any of your expenses related to the sale of your property, it is considered a payment to you in the year of sale. Ct 1040nr py Include these expenses in the selling and contract prices when figuring the gross profit percentage. Ct 1040nr py Buyer Assumes Mortgage If the buyer assumes or pays off your mortgage, or otherwise takes the property subject to the mortgage, the following rules apply. Ct 1040nr py Mortgage not more than basis. Ct 1040nr py   If the buyer assumes a mortgage that is not more than your installment sale basis in the property, it is not considered a payment to you. Ct 1040nr py It is considered a recovery of your basis. Ct 1040nr py The contract price is the selling price minus the mortgage. Ct 1040nr py Example. Ct 1040nr py You sell property with an adjusted basis of $19,000. Ct 1040nr py You have selling expenses of $1,000. Ct 1040nr py The buyer assumes your existing mortgage of $15,000 and agrees to pay you $10,000 (a cash down payment of $2,000 and $2,000 (plus 12% interest) in each of the next 4 years). Ct 1040nr py The selling price is $25,000 ($15,000 + $10,000). Ct 1040nr py Your gross profit is $5,000 ($25,000 − $20,000 installment sale basis). Ct 1040nr py The contract price is $10,000 ($25,000 − $15,000 mortgage). Ct 1040nr py Your gross profit percentage is 50% ($5,000 ÷ $10,000). Ct 1040nr py You report half of each $2,000 payment received as gain from the sale. Ct 1040nr py You also report all interest you receive as ordinary income. Ct 1040nr py Mortgage more than basis. Ct 1040nr py   If the buyer assumes a mortgage that is more than your installment sale basis in the property, you recover your entire basis. Ct 1040nr py The part of the mortgage greater than your basis is treated as a payment received in the year of sale. Ct 1040nr py   To figure the contract price, subtract the mortgage from the selling price. Ct 1040nr py This is the total amount (other than interest) you will receive directly from the buyer. Ct 1040nr py Add to this amount the payment you are considered to have received (the difference between the mortgage and your installment sale basis). Ct 1040nr py The contract price is then the same as your gross profit from the sale. Ct 1040nr py    If the mortgage the buyer assumes is equal to or more than your installment sale basis, the gross profit percentage always will be 100%. Ct 1040nr py Example. Ct 1040nr py The selling price for your property is $9,000. Ct 1040nr py The buyer will pay you $1,000 annually (plus 8% interest) over the next 3 years and assume an existing mortgage of $6,000. Ct 1040nr py Your adjusted basis in the property is $4,400. Ct 1040nr py You have selling expenses of $600, for a total installment sale basis of $5,000. Ct 1040nr py The part of the mortgage that is more than your installment sale basis is $1,000 ($6,000 − $5,000). Ct 1040nr py This amount is included in the contract price and treated as a payment received in the year of sale. Ct 1040nr py The contract price is $4,000: Selling price $9,000 Minus: Mortgage (6,000) Amount actually received $3,000 Add difference:   Mortgage $6,000   Minus: Installment sale basis 5,000 1,000 Contract price $4,000       Your gross profit on the sale is also $4,000: Selling price $9,000 Minus: Installment sale basis (5,000) Gross profit $4,000 Your gross profit percentage is 100%. Ct 1040nr py Report 100% of each payment (less interest) as gain from the sale. Ct 1040nr py Treat the $1,000 difference between the mortgage and your installment sale basis as a payment and report 100% of it as gain in the year of sale. Ct 1040nr py Mortgage Canceled If the buyer of your property is the person who holds the mortgage on it, your debt is canceled, not assumed. Ct 1040nr py You are considered to receive a payment equal to the outstanding canceled debt. Ct 1040nr py Example. Ct 1040nr py Mary Jones loaned you $45,000 in 2009 in exchange for a note and a mortgage in a tract of land you owned. Ct 1040nr py On April 4, 2013, she bought the land for $70,000. Ct 1040nr py At that time, $30,000 of her loan to you was outstanding. Ct 1040nr py She agreed to forgive this $30,000 debt and to pay you $20,000 (plus interest) on August 1, 2013, and $20,000 on August 1, 2014. Ct 1040nr py She did not assume an existing mortgage. Ct 1040nr py She canceled the $30,000 debt you owed her. Ct 1040nr py You are considered to have received a $30,000 payment at the time of the sale. Ct 1040nr py Buyer Assumes Other Debts If the buyer assumes any other debts, such as a loan or back taxes, it may be considered a payment to you in the year of sale. Ct 1040nr py If the buyer assumes the debt instead of paying it off, only part of it may have to be treated as a payment. Ct 1040nr py Compare the debt to your installment sale basis in the property being sold. Ct 1040nr py If the debt is less than your installment sale basis, none of it is treated as a payment. Ct 1040nr py If it is more, only the difference is treated as a payment. Ct 1040nr py If the buyer assumes more than one debt, any part of the total that is more than your installment sale basis is considered a payment. Ct 1040nr py These rules are the same as the rules discussed earlier under Buyer Assumes Mortgage . Ct 1040nr py However, they apply only to the following types of debt the buyer assumes. Ct 1040nr py Those acquired from ownership of the property you are selling, such as a mortgage, lien, overdue interest, or back taxes. Ct 1040nr py Those acquired in the ordinary course of your business, such as a balance due for inventory you purchased. Ct 1040nr py If the buyer assumes any other type of debt, such as a personal loan or your legal fees relating to the sale, it is treated as if the buyer had paid off the debt at the time of the sale. Ct 1040nr py The value of the assumed debt is then considered a payment to you in the year of sale. Ct 1040nr py Property Used As a Payment If you receive property other than money from the buyer, it is still considered a payment in the year received. Ct 1040nr py However, see Like-Kind Exchange , later. Ct 1040nr py Generally, the amount of the payment is the property's FMV on the date you receive it. Ct 1040nr py Exception. Ct 1040nr py   If the property the buyer gives you is payable on demand or readily tradable, the amount you should consider as payment in the year received is: The FMV of the property on the date you receive it if you use the cash method of accounting, The face amount of the obligation on the date you receive it if you use the accrual method of accounting, or The stated redemption price at maturity less any original issue discount (OID) or, if there is no OID, the stated redemption price at maturity appropriately discounted to reflect total unstated interest. Ct 1040nr py See Unstated Interest and Original Issue Discount (OID) , later. Ct 1040nr py Debt not payable on demand. Ct 1040nr py   Any evidence of debt you receive from the buyer not payable on demand is not considered a payment. Ct 1040nr py This is true even if the debt is guaranteed by a third party, including a government agency. Ct 1040nr py Fair market value (FMV). Ct 1040nr py   This is the price at which property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or sell and both having a reasonable knowledge of all the necessary facts. Ct 1040nr py Third-party note. Ct 1040nr py   If the property the buyer gives you is a third-party note (or other obligation of a third party), you are considered to have received a payment equal to the note's FMV. Ct 1040nr py Because the FMV of the note is itself a payment on your installment sale, any payments you later receive from the third party are not considered payments on the sale. Ct 1040nr py The excess of the note's face value over its FMV is interest. Ct 1040nr py Exclude this interest in determining the selling price of the property. Ct 1040nr py However, see Exception under Property Used As a Payment, earlier. Ct 1040nr py Example. Ct 1040nr py You sold real estate in an installment sale. Ct 1040nr py As part of the down payment, the buyer assigned to you a $50,000, 8% interest third-party note. Ct 1040nr py The FMV of the third-party note at the time of the sale was $30,000. Ct 1040nr py This amount, not $50,000, is a payment to you in the year of sale. Ct 1040nr py The third-party note had an FMV equal to 60% of its face value ($30,000 ÷ $50,000), so 60% of each principal payment you receive on this note is a nontaxable return of capital. Ct 1040nr py The remaining 40% is interest taxed as ordinary income. Ct 1040nr py Bond. Ct 1040nr py   A bond or other evidence of debt you receive from the buyer that is payable on demand or readily tradable in an established securities market is treated as a payment in the year you receive it. Ct 1040nr py For more information on the amount you should treat as a payment, see Exception under Property Used As a Payment, earlier. Ct 1040nr py    If you receive a government or corporate bond for a sale before October 22, 2004, and the bond has interest coupons attached or can be readily traded in an established securities market, you are considered to have received payment equal to the bond's FMV. Ct 1040nr py However, see Exception under Property Used As a Payment, earlier. Ct 1040nr py Buyer's note. Ct 1040nr py   The buyer's note (unless payable on demand) is not considered payment on the sale. Ct 1040nr py However, its full face value is included when figuring the selling price and the contract price. Ct 1040nr py Payments you receive on the note are used to figure your gain in the year received. Ct 1040nr py Installment Obligation Used as Security (Pledge Rule) If you use an installment obligation to secure any debt, the net proceeds from the debt may be treated as a payment on the installment obligation. Ct 1040nr py This is known as the pledge rule, and it applies if the selling price of the property is over $150,000. Ct 1040nr py It does not apply to the following dispositions. Ct 1040nr py Sales of property used or produced in farming. Ct 1040nr py Sales of personal-use property. Ct 1040nr py Qualifying sales of time-shares and residential lots. Ct 1040nr py The net debt proceeds are the gross debt minus the direct expenses of getting the debt. Ct 1040nr py The amount treated as a payment is considered received on the later of the following dates. Ct 1040nr py The date the debt becomes secured. Ct 1040nr py The date you receive the debt proceeds. Ct 1040nr py A debt is secured by an installment obligation to the extent that payment of principal or interest on the debt is directly secured (under the terms of the loan or any underlying arrangement) by any interest in the installment obligation. Ct 1040nr py For sales after December 16, 1999, payment on a debt is treated as directly secured by an interest in an installment obligation to the extent an arrangement allows you to satisfy all or part of the debt with the installment obligation. Ct 1040nr py Limit. Ct 1040nr py   The net debt proceeds treated as a payment on the pledged installment obligation cannot be more than the excess of item (1) over item (2), below. Ct 1040nr py The total contract price on the installment sale. Ct 1040nr py Any payments received on the installment obligation before the date the net debt proceeds are treated as a payment. Ct 1040nr py Installment payments. Ct 1040nr py   The pledge rule accelerates the reporting of the installment obligation payments. Ct 1040nr py Do not report payments received on the obligation after it has been pledged until the payments received exceed the amount reported under the pledge rule. Ct 1040nr py Exception. Ct 1040nr py   The pledge rule does not apply to pledges made after December 17, 1987, to refinance a debt under the following circumstances. Ct 1040nr py The debt was outstanding on December 17, 1987. Ct 1040nr py The debt was secured by that installment sale obligation on that date and at all times thereafter until the refinancing occurred. Ct 1040nr py   A refinancing as a result of the creditor's calling of the debt is treated as a continuation of the original debt so long as a person other than the creditor or a person related to the creditor provides the refinancing. Ct 1040nr py   This exception applies only to refinancing that does not exceed the principal of the original debt immediately before the refinancing. Ct 1040nr py Any excess is treated as a payment on the installment obligation. Ct 1040nr py Escrow Account In some cases, the sales agreement or a later agreement may call for the buyer to establish an irrevocable escrow account from which the remaining installment payments (including interest) are to be made. Ct 1040nr py These sales cannot be reported on the installment method. Ct 1040nr py The buyer's obligation is paid in full when the balance of the purchase price is deposited into the escrow account. Ct 1040nr py When an escrow account is established, you no longer rely on the buyer for the rest of the payments, but on the escrow arrangement. Ct 1040nr py Example. Ct 1040nr py You sell property for $100,000. Ct 1040nr py The sales agreement calls for a down payment of $10,000 and payment of $15,000 in each of the next 6 years to be made from an irrevocable escrow account containing the balance of the purchase price plus interest. Ct 1040nr py You cannot report the sale on the installment method because the full purchase price is considered received in the year of sale. Ct 1040nr py You report the entire gain in the year of sale. Ct 1040nr py Escrow established in a later year. Ct 1040nr py   If you make an installment sale and in a later year an irrevocable escrow account is established to pay the remaining installments plus interest, the amount placed in the escrow account represents payment of the balance of the installment obligation. Ct 1040nr py Substantial restriction. Ct 1040nr py   If an escrow arrangement imposes a substantial restriction on your right to receive the sale proceeds, the sale can be reported on the installment method, provided it otherwise qualifies. Ct 1040nr py For an escrow arrangement to impose a substantial restriction, it must serve a bona fide purpose of the buyer, that is, a real and definite restriction placed on the seller or a specific economic benefit conferred on the buyer. Ct 1040nr py Depreciation Recapture Income If you sell property for which you claimed or could have claimed a depreciation deduction, you must report any depreciation recapture income in the year of sale, whether or not an installment payment was received that year. Ct 1040nr py Figure your depreciation recapture income (including the section 179 deduction and the section 179A deduction recapture) in Part III of Form 4797. Ct 1040nr py Report the recapture income in Part II of Form 4797 as ordinary income in the year of sale. Ct 1040nr py The recapture income is also included in Part I of Form 6252. Ct 1040nr py However, the gain equal to the recapture income is reported in full in the year of the sale. Ct 1040nr py Only the gain greater than the recapture income is reported on the installment method. Ct 1040nr py For more information on depreciation recapture, see chapter 3 in Publication 544. Ct 1040nr py The recapture income reported in the year of sale is included in your installment sale basis in determining your gross profit on the installment sale. Ct 1040nr py Determining gross profit is discussed under General Rules , earlier. Ct 1040nr py Sale to a Related Person If you sell depreciable property to a related person and the sale is an installment sale, you may not be able to report the sale using the installment method. Ct 1040nr py If you sell property to a related person and the related person disposes of the property before you receive all payments with respect to the sale, you may have to treat the amount realized by the related person as received by you when the related person disposes of the property. Ct 1040nr py These rules are explained under Sale of Depreciable Property and under Sale and Later Disposition , later. Ct 1040nr py Sale of Depreciable Property If you sell depreciable property to certain related persons, you generally cannot report the sale using the installment method. Ct 1040nr py Instead, all payments to be received are considered received in the year of sale. Ct 1040nr py However, see Exception , below. Ct 1040nr py Depreciable property for this rule is any property the purchaser can depreciate. Ct 1040nr py Payments to be received include the total of all noncontingent payments and the FMV of any payments contingent as to amount. Ct 1040nr py In the case of contingent payments for which the FMV cannot be reasonably determined, your basis in the property is recovered proportionately. Ct 1040nr py The purchaser cannot increase the basis of the property acquired in the sale before the seller includes a like amount in income. Ct 1040nr py Exception. Ct 1040nr py   You can use the installment method to report a sale of depreciable property to a related person if no significant tax deferral benefit will be derived from the sale. Ct 1040nr py You must show to the satisfaction of the IRS that avoidance of federal income tax was not one of the principal purposes of the sale. Ct 1040nr py Related person. Ct 1040nr py   Related persons include the following. Ct 1040nr py A person and all controlled entities with respect to that person. Ct 1040nr py A taxpayer and any trust in which such taxpayer (or his spouse) is a beneficiary, unless that beneficiary's interest in the trust is a remote contingent interest. Ct 1040nr py Except in the case of a sale or exchange in satisfaction of a pecuniary bequest, an executor of an estate and a beneficiary of that estate. Ct 1040nr py Two or more partnerships in which the same person owns, directly or indirectly, more than 50% of the capital interests or the profits interests. Ct 1040nr py   For information about which entities are controlled entities, see section 1239(c). Ct 1040nr py Sale and Later Disposition Generally, a special rule applies if you sell or exchange property to a related person on the installment method (first disposition) who then sells, exchanges, or gives away the property (second disposition) under the following circumstances. Ct 1040nr py The related person makes the second disposition before making all payments on the first disposition. Ct 1040nr py The related person disposes of the property within 2 years of the first disposition. Ct 1040nr py This rule does not apply if the property involved is marketable securities. Ct 1040nr py Under this rule, you treat part or all of the amount the related person realizes (or the FMV if the disposed property is not sold or exchanged) from the second disposition as if you received it at the time of the second disposition. Ct 1040nr py See Exception , later. Ct 1040nr py Related person. Ct 1040nr py   Related persons include the following. Ct 1040nr py Members of a family, including only brothers and sisters (either whole or half), husband and wife, ancestors, and lineal descendants. Ct 1040nr py A partnership or estate and a partner or beneficiary. Ct 1040nr py A trust (other than a section 401(a) employees trust) and a beneficiary. Ct 1040nr py A trust and an owner of the trust. Ct 1040nr py Two corporations that are members of the same controlled group as defined in section 267(f). Ct 1040nr py The fiduciaries of two different trusts, and the fiduciary and beneficiary of two different trusts, if the same person is the grantor of both trusts. Ct 1040nr py A tax-exempt educational or charitable organization and a person (if an individual, including members of the individual's family) who directly or indirectly controls such an organization. Ct 1040nr py An individual and a corporation when the individual owns, directly or indirectly, more than 50% of the value of the outstanding stock of the corporation. Ct 1040nr py A fiduciary of a trust and a corporation when the trust or the grantor of the trust owns, directly or indirectly, more than 50% in value of the outstanding stock of the corporation. Ct 1040nr py The grantor and fiduciary, and the fiduciary and beneficiary, of any trust. Ct 1040nr py Any two S corporations if the same persons own more than 50% in value of the outstanding stock of each corporation. Ct 1040nr py An S corporation and a corporation that is not an S corporation if the same persons own more than 50% in value of the outstanding stock of each corporation. Ct 1040nr py A corporation and a partnership if the same persons own more than 50% in value of the outstanding stock of the corporation and more than 50% of the capital or profits interest in the partnership. Ct 1040nr py An executor and a beneficiary of an estate unless the sale is in satisfaction of a pecuniary bequest. Ct 1040nr py Example 1. Ct 1040nr py In 2012, Harvey Green sold farm land to his son Bob for $500,000, which was to be paid in five equal payments over 5 years, plus adequate stated interest on the balance due. Ct 1040nr py His installment sale basis for the farm land was $250,000 and the property was not subject to any outstanding liens or mortgages. Ct 1040nr py His gross profit percentage is 50% (gross profit of $250,000 ÷ contract price of $500,000). Ct 1040nr py He received $100,000 in 2012 and included $50,000 in income for that year ($100,000 × 0. Ct 1040nr py 50). Ct 1040nr py Bob made no improvements to the property and sold it to Alfalfa Inc. Ct 1040nr py , in 2013 for $600,000 after making the payment for that year. Ct 1040nr py The amount realized from the second disposition is $600,000. Ct 1040nr py Harvey figures his installment sale income for 2013 as follows: Lesser of: 1) Amount realized on second disposition, or 2) Contract price on first disposition $500,000 Subtract: Sum of payments from Bob in 2012 and 2013 - 200,000 Amount treated as received because of second disposition $300,000 Add: Payment from Bob in 2013 + 100,000 Total payments received and treated as received for 2013 $400,000 Multiply by gross profit % × . Ct 1040nr py 50 Installment sale income for 2013 $200,000 Harvey will not include in his installment sale income any principal payments he receives on the installment obligation for 2014, 2015, and 2016 because he has already reported the total payments of $500,000 from the first disposition ($100,000 in 2012 and $400,000 in 2013). Ct 1040nr py Example 2. Ct 1040nr py Assume the facts are the same as Example 1 except that Bob sells the property for only $400,000. Ct 1040nr py The gain for 2013 is figured as follows: Lesser of: 1) Amount realized on second disposition, or 2) Contract price on first disposition $400,000 Subtract: Sum of payments from Bob in 2012 and 2013 − 200,000 Amount treated as received because of second disposition $200,000 Add: Payment from Bob in 2013 + 100,000 Total payments received and treated as received for 2013 $300,000 Multiply by gross profit % × . Ct 1040nr py 50 Installment sale income for 2013 $150,000     Harvey receives a $100,000 payment in 2014 and another in 2015. Ct 1040nr py They are not taxed because he treated the $200,000 from the disposition in 2013 as a payment received and paid tax on the installment sale income. Ct 1040nr py In 2016, he receives the final $100,000 payment. Ct 1040nr py He figures the installment sale income he must recognize in 2016 as follows: Total payments from the first disposition received by the end of 2016 $500,000 Minus the sum of:     Payment from 2012 $100,000   Payment from 2013 100,000   Amount treated as received in 2013 200,000   Total on which gain was previously recognized  − 400,000 Payment on which gain is recognized for 2016  $100,000 Multiply by gross profit % × . Ct 1040nr py 50 Installment sale income for 2016 $ 50,000 Exception. Ct 1040nr py   This rule does not apply to a second disposition, and any later transfer, if you can show to the satisfaction of the IRS that neither the first disposition (to the related person) nor the second disposition had as one of its principal purposes the avoidance of federal income tax. Ct 1040nr py Generally, an involuntary second disposition will qualify under the nontax avoidance exception, such as when a creditor of the related person forecloses on the property or the related person declares bankruptcy. Ct 1040nr py   The nontax avoidance exception also applies to a second disposition that is also an installment sale if the terms of payment under the installment resale are substantially equal to or longer than those for the first installment sale. Ct 1040nr py However, the exception does not apply if the resale terms permit significant deferral of recognition of gain from the first sale. Ct 1040nr py   In addition, any sale or exchange of stock to the issuing corporation is not treated as a first disposition. Ct 1040nr py An involuntary conversion is not treated as a second disposition if the first disposition occurred before the threat of conversion. Ct 1040nr py A transfer after the death of the person making the first disposition or the related person's death, whichever is earlier, is not treated as a second disposition. Ct 1040nr py Like-Kind Exchange If you trade business or investment property solely for the same kind of property to be held as business or investment property, you can postpone reporting the gain. Ct 1040nr py These trades are known as like-kind exchanges. Ct 1040nr py The property you receive in a like-kind exchange is treated as if it were a continuation of the property you gave up. Ct 1040nr py You do not have to report any part of your gain if you receive only like-kind property. Ct 1040nr py However, if you also receive money or other property (boot) in the exchange, you must report your gain to the extent of the money and the FMV of the other property received. Ct 1040nr py For more information on like-kind exchanges, see Like-Kind Exchanges in chapter 1 of Publication 544. Ct 1040nr py Installment payments. Ct 1040nr py   If, in addition to like-kind property, you receive an installment obligation in the exchange, the following rules apply to determine the installment sale income each year. Ct 1040nr py The contract price is reduced by the FMV of the like-kind property received in the trade. Ct 1040nr py The gross profit is reduced by any gain on the trade that can be postponed. Ct 1040nr py Like-kind property received in the trade is not considered payment on the installment obligation. Ct 1040nr py Example. Ct 1040nr py In 2013, George Brown trades personal property with an installment sale basis of $400,000 for like-kind property having an FMV of $200,000. Ct 1040nr py He also receives an installment note for $800,000 in the trade. Ct 1040nr py Under the terms of the note, he is to receive $100,000 (plus interest) in 2014 and the balance of $700,000 (plus interest) in 2015. Ct 1040nr py George's selling price is $1,000,000 ($800,000 installment note + $200,000 FMV of like-kind property received). Ct 1040nr py His gross profit is $600,000 ($1,000,000 − $400,000 installment sale basis). Ct 1040nr py The contract price is $800,000 ($1,000,000 − $200,000). Ct 1040nr py The gross profit percentage is 75% ($600,000 ÷ $800,000). Ct 1040nr py He reports no gain in 2013 because the like-kind property he receives is not treated as a payment for figuring gain. Ct 1040nr py He reports $75,000 gain for 2014 (75% of $100,000 payment received) and $525,000 gain for 2015 (75% of $700,000 payment received). Ct 1040nr py Deferred exchanges. Ct 1040nr py   A deferred exchange is one in which you transfer property you use in business or hold for investment and receive like-kind property later that you will use in business or hold for investment. Ct 1040nr py Under this type of exchange, the person receiving your property may be required to place funds in an escrow account or trust. Ct 1040nr py If certain rules are met, these funds will not be considered a payment until you have the right to receive the funds or, if earlier, the end of the exchange period. Ct 1040nr py See Regulations section 1. Ct 1040nr py 1031(k)-1(j)(2) for these rules. Ct 1040nr py Contingent Payment Sale A contingent payment sale is one in which the total selling price cannot be determined by the end of the tax year of sale. Ct 1040nr py This happens, for example, if you sell your business and the selling price includes a percentage of its profits in future years. Ct 1040nr py If the selling price cannot be determined by the end of the tax year, you must use different rules to figure the contract price and the gross profit percentage than those you use for an installment sale with a fixed selling price. Ct 1040nr py For rules on using the installment method for a contingent payment sale, see Regulations section 15a. Ct 1040nr py 453-1(c). Ct 1040nr py Single Sale of Several Assets If you sell different types of assets in a single sale, you must identify each asset to determine whether you can use the installment method to report the sale of that asset. Ct 1040nr py You also have to allocate part of the selling price to each asset. Ct 1040nr py If you sell assets that constitute a trade or business, see Sale of a Business , later. Ct 1040nr py Unless an allocation of the selling price has been agreed to by both parties in an arm's-length transaction, you must allocate the selling price to an asset based on its FMV. Ct 1040nr py If the buyer assumes a debt, or takes the property subject to a debt, you must reduce the FMV of the property by the debt. Ct 1040nr py This becomes the net FMV. Ct 1040nr py A sale of separate and unrelated assets of the same type under a single contract is reported as one transaction for the installment method. Ct 1040nr py However, if an asset is sold at a loss, its disposition cannot be reported on the installment method. Ct 1040nr py It must be reported separately. Ct 1040nr py The remaining assets sold at a gain are reported together. Ct 1040nr py Example. Ct 1040nr py You sold three separate and unrelated parcels of real property (A, B, and C) under a single contract calling for a total selling price of $130,000. Ct 1040nr py The total selling price consisted of a cash payment of $20,000, the buyer's assumption of a $30,000 mortgage on parcel B, and an installment obligation of $80,000 payable in eight annual installments, plus interest at 8% a year. Ct 1040nr py Your installment sale basis for each parcel was $15,000. Ct 1040nr py Your net gain was $85,000 ($130,000 − $45,000). Ct 1040nr py You report the gain on the installment method. Ct 1040nr py The sales contract did not allocate the selling price or the cash payment received in the year of sale among the individual parcels. Ct 1040nr py The FMV of parcels A, B, and C were $60,000, $60,000, and $10,000, respectively. Ct 1040nr py The installment sale basis for parcel C was more than its FMV, so it was sold at a loss and must be treated separately. Ct 1040nr py You must allocate the total selling price and the amounts received in the year of sale between parcel C and the remaining parcels. Ct 1040nr py Of the total $130,000 selling price, you must allocate $120,000 to parcels A and B together and $10,000 to parcel C. Ct 1040nr py You should allocate the cash payment of $20,000 received in the year of sale and the note receivable on the basis of their proportionate net FMV. Ct 1040nr py The allocation is figured as follows:   Parcels   A and B Parcel C FMV $120,000 $10,000 Minus: Mortgage assumed 30,000 -0- Net FMV $ 90,000 $10,000 Proportionate net FMV:     Percentage of total 90% 10% Payments in year of sale:     $20,000 × 90% $18,000   $20,000 × 10%   $2,000 Excess of parcel B mortgage over installment sale basis 15,000 -0- Allocation of payments  received (or considered  received) in year of sale $ 33,000 $ 2,000 You cannot report the sale of parcel C on the installment method because the sale results in a loss. Ct 1040nr py You report this loss of $5,000 ($10,000 selling price − $15,000 installment sale basis) in the year of sale. Ct 1040nr py However, if parcel C was held for personal use, the loss is not deductible. Ct 1040nr py You allocate the installment obligation of $80,000 to the properties sold based on their proportionate net FMVs (90% to parcels A and B, 10% to parcel C). Ct 1040nr py Sale of a Business The installment sale of an entire business for one overall price under a single contract is not the sale of a single asset. Ct 1040nr py Allocation of Selling Price To determine whether any of the gain on the sale of the business can be reported on the installment method, you must allocate the total selling price and the payments received in the year of sale between each of the following classes of assets. Ct 1040nr py Assets sold at a loss. Ct 1040nr py Real and personal property eligible for the installment method. Ct 1040nr py Real and personal property ineligible for the installment method, including: Inventory, Dealer property, and Stocks and securities. Ct 1040nr py Inventory. Ct 1040nr py   The sale of inventories of personal property cannot be reported on the installment method. Ct 1040nr py All gain or loss on their sale must be reported in the year of sale, even if you receive payment in later years. Ct 1040nr py   If inventory items are included in an installment sale, you may have an agreement stating which payments are for inventory and which are for the other assets being sold. Ct 1040nr py If you do not, each payment must be allocated between the inventory and the other assets sold. Ct 1040nr py   Report the amount you receive (or will receive) on the sale of inventory items as ordinary business income. Ct 1040nr py Use your basis in the inventory to figure the cost of goods sold. Ct 1040nr py Deduct the part of the selling expenses allocated to inventory as an ordinary business expense. Ct 1040nr py Residual method. Ct 1040nr py   Except for assets exchanged under the like-kind exchange rules, both the buyer and seller of a business must use the residual method to allocate the sale price to each business asset sold. Ct 1040nr py This method determines gain or loss from the transfer of each asset and the buyer's basis in the assets. Ct 1040nr py   The residual method must be used for any transfer of a group of assets that constitutes a trade or business and for which the buyer's basis is determined only by the amount paid for the assets. Ct 1040nr py This applies to both direct and indirect transfers, such as the sale of a business or the sale of a partnership interest in which the basis of the buyer's share of the partnership assets is adjusted for the amount paid under section 743(b). Ct 1040nr py   A group of assets constitutes a trade or business if goodwill or going concern value could, under any circumstances, attach to the assets or if the use of the assets would constitute an active trade or business under section 355. Ct 1040nr py   The residual method provides for the consideration to be reduced first by cash and general deposit accounts (including checking and savings accounts but excluding certificates of deposit). Ct 1040nr py The consideration remaining after this reduction must be allocated among the various business assets in a certain order. Ct 1040nr py   For asset acquisitions occurring after March 15, 2001, make the allocation among the following assets in proportion to (but not more than) their fair market value on the purchase date in the following order. Ct 1040nr py Certificates of deposit, U. Ct 1040nr py S. Ct 1040nr py Government securities, foreign currency, and actively traded personal property, including stock and securities. Ct 1040nr py Accounts receivable, other debt instruments, and assets that you mark to market at least annually for federal income tax purposes. Ct 1040nr py However, see Regulations section 1. Ct 1040nr py 338-6(b)(2)(iii) for exceptions that apply to debt instruments issued by persons related to a target corporation, contingent debt instruments, and debt instruments convertible into stock or other property. Ct 1040nr py Property of a kind that would properly be included in inventory if on hand at the end of the tax year or property held by the taxpayer primarily for sale to customers in the ordinary course of business. Ct 1040nr py All other assets except section 197 intangibles. Ct 1040nr py Section 197 intangibles except goodwill and going concern value. Ct 1040nr py Goodwill and going concern value (whether or not they qualify as section 197 intangibles). Ct 1040nr py   If an asset described in (1) through (6) is includible in more than one category, include it in the lower number category. Ct 1040nr py For example, if an asset is described in both (4) and (6), include it in (4). Ct 1040nr py Agreement. Ct 1040nr py   The buyer and seller may enter into a written agreement as to the allocation of any consideration or the fair market value of any of the assets. Ct 1040nr py This agreement is binding on both parties unless the IRS determines the amounts are not appropriate. Ct 1040nr py Reporting requirement. Ct 1040nr py   Both the buyer and seller involved in the sale of business assets must report to the IRS the allocation of the sales price among section 197 intangibles and the other business assets. Ct 1040nr py Use Form 8594, Asset Acquisition Statement Under Section 1060, to provide this information. Ct 1040nr py The buyer and seller should each attach Form 8594 to their federal income tax return for the year in which the sale occurred. Ct 1040nr py Sale of Partnership Interest A partner who sells a partnership interest at a gain may be able to report the sale on the installment method. Ct 1040nr py The sale of a partnership interest is treated as the sale of a single capital asset. Ct 1040nr py The part of any gain or loss from unrealized receivables or inventory items will be treated as ordinary income. Ct 1040nr py (The term “unrealized receivables” includes depreciation recapture income, discussed earlier. Ct 1040nr py ) The gain allocated to the unrealized receivables and the inventory cannot be reported under the installment method. Ct 1040nr py The gain allocated to the other assets can be reported under the installment method. Ct 1040nr py For more information on the treatment of unrealized receivables and inventory, see Publication 541. Ct 1040nr py Example — Sale of a Business On June 4, 2013, you sold the machine shop you had operated since 2005. Ct 1040nr py You received a $100,000 down payment and the buyer's note for $120,000. Ct 1040nr py The note payments are $15,000 each, plus 10% interest, due every July 1 and January 1, beginning in 2014. Ct 1040nr py The total selling price is $220,000. Ct 1040nr py Your selling expenses are $11,000. Ct 1040nr py The selling expenses are divided among all the assets sold, including inventory. Ct 1040nr py Your selling expense for each asset is 5% of the asset's selling price ($11,000 selling expense ÷ $220,000 total selling price). Ct 1040nr py The FMV, adjusted basis, and depreciation claimed on each asset sold are as follows:     Depre- ciation Adj. Ct 1040nr py Asset FMV Claimed Basis Inventory $ 10,000 -0- $ 8,000 Land 42,000 -0- 15,000 Building 48,000 $9,000 36,000 Machine A 71,000 27,200 63,800 Machine B 24,000 12,960 22,040 Truck 6,500 18,624 5,376   $201,500 $67,784 $150,216         Under the residual method, you allocate the selling price to each of the assets based on their FMV ($201,500). Ct 1040nr py The remaining $18,500 ($220,000 - $201,500) is allocated to your section 197 intangible, goodwill. Ct 1040nr py The assets included in the sale, their selling prices based on their FMVs, the selling expense allocated to each asset, the adjusted basis, and the gain for each asset are shown in the following chart. Ct 1040nr py   Sale  Price Sale   Exp. Ct 1040nr py Adj. Ct 1040nr py   Basis Gain Inventory $ 10,000 $ 500 $ 8,000 $ 1,500 Land 42,000 2,100 15,000 24,900 Building 48,000 2,400 36,000 9,600 Mch. Ct 1040nr py A 71,000 3,550 63,800 3,650 Mch. Ct 1040nr py B 24,000 1,200 22,040 760 Truck 6,500 325 5,376 799 Goodwill 18,500 925 -0- 17,575   $220,000 $11,000 $150,216 $58,784 The building was acquired in 2005, the year the business began, and it is section 1250 property. Ct 1040nr py There is no depreciation recapture income because the building was depreciated using the straight line method. Ct 1040nr py All gain on the truck, machine A, and machine B is depreciation recapture income since it is the lesser of the depreciation claimed or the gain on the sale. Ct 1040nr py Figure depreciation recapture in Part III of Form 4797. Ct 1040nr py The total depreciation recapture income reported in Part II of Form 4797 is $5,209. Ct 1040nr py This consists of $3,650 on machine A, $799 on the truck, and $760 on machine B (the gain on each item because it was less than the depreciation claimed). Ct 1040nr py These gains are reported in full in the year of sale and are not included in the installment sale computation. Ct 1040nr py Of the $220,000 total selling price, the $10,000 for inventory assets cannot be reported using the installment method. Ct 1040nr py The selling prices of the truck and machines are also removed from the total selling price because gain on these items is reported in full in the year of sale. Ct 1040nr py The selling price equals the contract price for the installment sale ($108,500). Ct 1040nr py The assets included in the installment sale, their selling price, and their installment sale bases are shown in the following chart. Ct 1040nr py   Selling  Price Install- ment  Sale  Basis Gross  Profit Land $ 42,000 $17,100 $24,900 Building 48,000 38,400 9,600 Goodwill 18,500 925 17,575 Total $108,500 $56,425 $52,075         The gross profit percentage (gross profit ÷ contract price) for the installment sale is 48% ($52,075 ÷ $108,500). Ct 1040nr py The gross profit percentage for each asset is figured as follows: Percentage Land— $24,900 ÷ $108,500 22. Ct 1040nr py 95 Building— $9,600 ÷ $108,500 8. Ct 1040nr py 85 Goodwill— $17,575 ÷ $108,500 16. Ct 1040nr py 20 Total 48. Ct 1040nr py 00 The sale includes assets sold on the installment method and assets for which the gain is reported in full in the year of sale, so payments must be allocated between the installment part of the sale and the part reported in the year of sale. Ct 1040nr py The selling price for the installment sale is $108,500. Ct 1040nr py This is 49. Ct 1040nr py 3% of the total selling price of $220,000 ($108,500 ÷ $220,000). Ct 1040nr py The selling price of assets not reported on the installment method is $111,500. Ct 1040nr py This is 50. Ct 1040nr py 7% ($111,500 ÷ $220,000) of the total selling price. Ct 1040nr py Multiply principal payments by 49. Ct 1040nr py 3% to determine the part of the payment for the installment sale. Ct 1040nr py The balance, 50. Ct 1040nr py 7%, is for the part reported in the year of the sale. Ct 1040nr py The gain on the sale of the inventory, machines, and truck is reported in full in the year of sale. Ct 1040nr py When you receive principal payments in later years, no part of the payment for the sale of these assets is included in gross income. Ct 1040nr py Only the part for the installment sale (49. Ct 1040nr py 3%) is used in the installment sale computation. Ct 1040nr py The only payment received in 2013 is the down payment of $100,000. Ct 1040nr py The part of the payment for the installment sale is $49,300 ($100,000 × 49. Ct 1040nr py 3%). Ct 1040nr py This amount is used in the installment sale computation. Ct 1040nr py Installment income for 2013. Ct 1040nr py   Your installment income for each asset is the gross profit percentage for that asset times $49,300, the installment income received in 2013. Ct 1040nr py Income Land—22. Ct 1040nr py 95% of $49,300 $11,314 Building—8. Ct 1040nr py 85% of $49,300 4,363 Goodwill—16. Ct 1040nr py 2% of $49,300 7,987 Total installment income for 2013 $23,664 Installment income after 2013. Ct 1040nr py   You figure installment income for years after 2013 by applying the same gross profit percentages to 49. Ct 1040nr py 3% of the total payments you receive on the buyer's note during the year. Ct 1040nr py Unstated Interest and Original Issue Discount (OID) An installment sale contract may provide that each deferred payment on the sale will include interest or that there will be an interest payment in addition to the principal payment. Ct 1040nr py Interest provided in the contract is called stated interest. Ct 1040nr py If an installment sale contract does not provide for adequate stated interest, part of the stated principal amount of the contract may be recharacterized as interest. Ct 1040nr py If section 483 applies to the contract, this interest is called unstated interest. Ct 1040nr py If section 1274 applies to the contract, this interest is called original issue discount (OID). Ct 1040nr py An installment sale contract does not provide for adequate stated interest if the stated interest rate is lower than the test rate (defined later). Ct 1040nr py Treatment of unstated interest and OID. Ct 1040nr py   Generally, if a buyer gives a debt in consideration for personal use property, the unstated interest rules do not apply. Ct 1040nr py As a result, the buyer cannot deduct the unstated interest. Ct 1040nr py The seller must report the unstated interest as income. Ct 1040nr py   Personal-use property is any property in which substantially all of its use by the buyer is not in connection with a trade or business or an investment activity. Ct 1040nr py   If the debt is subject to the section 483 rules and is also subject to the below-market loan rules, such as a gift loan, compensation-related loan, or corporation-shareholder loan, then both parties are subject to the below-market loan rules rather than the unstated interest rules. Ct 1040nr py Rules for the seller. Ct 1040nr py   If either section 1274 or section 483 applies to the installment sale contract, you must treat part of the installment sale price as interest, even though interest is not called for in the sales agreement. Ct 1040nr py If either section applies, you must reduce the stated selling price of the property and increase your interest income by this unstated interest. Ct 1040nr py   Include the unstated interest in income based on your regular method of accounting. Ct 1040nr py Include OID in income over the term of the contract. Ct 1040nr py   The OID includible in income each year is based on the constant yield method described in section 1272. Ct 1040nr py (In some cases, the OID on an installment sale contract also may include all or part of the stated interest, especially if the stated interest is not paid at least annually. Ct 1040nr py )   If you do not use the installment method to report the sale, report the entire gain under your method of accounting in the year of sale. Ct 1040nr py Reduce the selling price by any stated principal treated as interest to determine the gain. Ct 1040nr py   Report unstated interest or OID on your tax return, in addition to stated interest. Ct 1040nr py Rules for the buyer. Ct 1040nr py   Any part of the stated selling price of an installment sale contract treated by the buyer as interest reduces the buyer's basis in the property and increases the buyer's interest expense. Ct 1040nr py These rules do not apply to personal-use property (for example, property not used in a trade or business). Ct 1040nr py Adequate stated interest. Ct 1040nr py   An installment sale contract generally provides for adequate stated interest if the contract's stated principal amount is at least equal to the sum of the present values of all principal and interest payments called for under the contract. Ct 1040nr py The present value of a payment is determined based on the test rate of interest, defined next. Ct 1040nr py (If section 483 applies to the contract, payments due within six months after the sale are taken into account at face value. Ct 1040nr py ) In general, an installment sale contract provides for adequate stated interest if the stated interest rate (based on an appropriate compounding period) is at least equal to the test rate of interest. Ct 1040nr py Test rate of interest. Ct 1040nr py   The test rate of interest for a contract is the 3-month rate. Ct 1040nr py The 3-month rate is the lower of the following applicable federal rates (AFRs). Ct 1040nr py The lowest AFR (based on the appropriate compounding period) in effect during the 3-month period ending with the first month in which there is a binding written contract that substantially provides the terms under which the sale or exchange is ultimately completed. Ct 1040nr py The lowest AFR (based on the appropriate compounding period) in effect during the 3-month period ending with the month in which the sale or exchange occurs. Ct 1040nr py Applicable federal rate (AFR). Ct 1040nr py   The AFR depends on the month the binding
Print - Click this link to Print this page

Understanding your CP152 Notice

This notice acknowledges that we received your Form 8703, Annual Certification of a Residential Rental Project.


What you need to do

You don’t need to do anything.


You may want to...

Keep a copy of this notice for your records.


Answers to Common Questions

Will I receive a notice for each Form 8703 I filed?
Yes. We'll send a separate acknowledgement for each form.

Page Last Reviewed or Updated: 26-Mar-2014

Printable samples of this notice (PDF)

 

 

How to get help

  • Call the 1-800 number listed on the top right corner of your notice.
  • Authorize someone (e.g., accountant) to contact the IRS on your behalf using Form 2848.
  • See if you qualify for help from a Low Income Taxpayer Clinic.
     

The Ct 1040nr Py

Ct 1040nr py 27. Ct 1040nr py   Beneficios Tributarios para Estudios Relacionados con el Trabajo Table of Contents Qué Hay de Nuevo Introduction Useful Items - You may want to see: Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la DeducciónEstudios Requeridos por el Empleador o por Ley Estudios para Mantener o Mejorar Destrezas Estudios para Satisfacer los Requisitos Mínimos Estudios que lo Capacitan para un Nuevo Oficio o Negocio Qué Gastos se Pueden Deducir Reembolso no reclamado. Ct 1040nr py Gastos de Transporte Gastos de Viaje No se Permiten Beneficios Dobles Reembolsos Cómo Deducir Gastos de NegociosPersonas que Trabajan por Cuenta Propia Empleados Artistas del Espectáculo y Funcionarios a los que se les Pagan Honorarios Gastos de Trabajo Relacionados con un Impedimento Documentación Qué Hay de Nuevo Tarifa estándar por milla. Ct 1040nr py  Por lo general, si reclama una deducción de negocios por estudios relacionados con el trabajo y maneja su automóvil a la escuela y de vuelta a casa, la cantidad que puede deducir por las millas recorridas desde el 1 de enero de 2013 al 31 de diciembre de 2013 es 56½ centavos por milla. Ct 1040nr py Vea Gastos de Transporte bajo Qué Gastos se Pueden Deducir, para más información. Ct 1040nr py Introduction Este capítulo explica los gastos de estudios relacionados con el trabajo que tal vez pueda deducir como gastos de negocios. Ct 1040nr py Para reclamar tal deducción, tiene que: Detallar las deducciones en el Anexo A (Formulario 1040) si es empleado; Presentar el Anexo C (Formulario 1040), Anexo C-EZ (Formulario 1040) o el Anexo F (Formulario 1040) si trabaja por cuenta propia y Tener gastos de estudios calificados explicados bajo Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la Deducción . Ct 1040nr py Si es empleado y puede detallar las deducciones, tal vez pueda reclamar una deducción por los gastos pagados por estudios que se relacionen con el trabajo. Ct 1040nr py Su deducción será la cantidad total de sus gastos de estudios relacionados con el trabajo que reúnen los requisitos más otros gastos relacionados con el trabajo y ciertos gastos misceláneos (con la excepción de los gastos del trabajo relacionados con el impedimento de personas discapacitadas) que sea mayor que el 2% de sus ingresos brutos ajustados (AGI, por sus siglas en inglés). Ct 1040nr py Vea el capítulo 28. Ct 1040nr py Si trabaja por cuenta propia, deduciría los gastos de estudios relacionados con el trabajo que reúnen los requisitos directamente de sus ingresos del trabajo por cuenta propia. Ct 1040nr py Los gastos de estudios relacionados con el trabajo también podrían darle derecho a otros beneficios tributarios, tales como el crédito tributario de oportunidad para los estadounidenses y el crédito vitalicio por aprendizaje (vea el capítulo 35). Ct 1040nr py Es posible que tenga derecho a estos beneficios incluso si no cumple los requisitos indicados anteriormente. Ct 1040nr py Asimismo, debe tomar en consideración que es posible que sus gastos de estudios relacionados con el trabajo le podrían dar derecho a reclamar más de un beneficio tributario. Ct 1040nr py Por lo general, puede reclamar cualquier cantidad de beneficios siempre que utilice diferentes gastos para calcular cada uno de ellos. Ct 1040nr py Cuando calcule sus impuestos, tal vez desee comparar estos beneficios tributarios para elegir el (los) método(s) mediante el (los) cual(es) obtenga el menor impuesto por pagar. Ct 1040nr py Useful Items - You may want to see: Publicación 463 Travel, Entertainment, Gift, and Car Expenses (Gastos de viaje, entretenimiento, regalos y automóvil), en inglés 970 Tax Benefits for Education (Beneficios tributarios por estudios), en inglés Formulario (e Instrucciones) 2106 Employee Business Expenses (Gastos de negocios del empleado), en inglés 2106-EZ Unreimbursed Employee Business Expenses (Gastos de negocios del empleado no reembolsados), en inglés Anexo A (Formulario 1040) Itemized Deductions (Deducciones detalladas), en inglés Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la Deducción Puede deducir como gastos de negocio los costos de estudios relacionados con el trabajo si éstos reúnen los requisitos de la deducción. Ct 1040nr py Éstos son estudios que cumplen al menos uno de los dos siguientes requisitos: Su empleador o la ley requiere dichos estudios para mantener su sueldo, situación o trabajo actual. Ct 1040nr py Los estudios requeridos tienen que servir para un propósito comercial legítimo (bona fide) de su empleador. Ct 1040nr py Los estudios mantienen o mejoran las destrezas necesarias en su trabajo actual. Ct 1040nr py No obstante, aun si sus estudios cumplen uno o ambos de los requisitos anteriores, no se considera que dichos estudios estén relacionados con el trabajo ni que reúnen los requisitos de la deducción si: Se requieren para satisfacer los requisitos mínimos de educación de su oficio o negocio actual o Forman parte de un programa de estudios que lo capacitará para un nuevo oficio o negocio. Ct 1040nr py Puede deducir los costos de los estudios relacionados con el trabajo que reúnen los requisitos de la deducción como gasto de negocios incluso si, al completar dichos estudios, tiene la posibilidad de obtener un título universitario. Ct 1040nr py Utilice la Figura 27-A, más adelante, para verificar rápidamente si sus estudios reúnen los requisitos. Ct 1040nr py Estudios Requeridos por el Empleador o por Ley Una vez que haya cumplido los requisitos mínimos de educación para su trabajo, es posible que su empleador o la ley le exija seguir sus estudios. Ct 1040nr py Se considera que dichos estudios adicionales son estudios relacionados con el trabajo que reúnen los requisitos si se cumplen los tres siguientes requisitos: Se requieren para que mantenga su sueldo, situación o trabajo actual; El requisito sirve un propósito legítimo (bona fide) comercial de su empleador y Los estudios no forman parte de un programa que lo capacitará para un nuevo oficio o negocio. Ct 1040nr py Si completa más estudios de los requeridos por su empleador o la ley, estos estudios adicionales sólo pueden ser estudios relacionados con el trabajo que reúnen los requisitos de la deducción si mantienen o mejoran las destrezas requeridas en su trabajo actual. Ct 1040nr py Vea Estudios para Mantener o Mejorar Destrezas , más adelante. Ct 1040nr py Ejemplo. Ct 1040nr py Usted es un maestro que ha cumplido los requisitos mínimos para enseñar. Ct 1040nr py Su empleador le exige que tome un curso universitario adicional cada año para poder seguir con su puesto actual de maestro. Ct 1040nr py Si los cursos no lo capacitarán para un nuevo oficio o negocio, entonces serán estudios relacionados con el trabajo que reúnen los requisitos, incluso si en el futuro recibe una maestría y un aumento de sueldo debido a estos estudios adicionales. Ct 1040nr py Estudios para Mantener o Mejorar Destrezas Si su empleador o la ley no requiere estudios, éstos pueden ser estudios relacionados con el trabajo que reúnen los requisitos de la deducción sólo si mantienen o mejoran las destrezas necesarias en su trabajo actual. Ct 1040nr py Éstos pueden incluir cursos de actualización, cursos sobre avances profesionales y cursos académicos o vocacionales. Ct 1040nr py Ejemplo. Ct 1040nr py Usted repara televisores, radios y sistemas estereofónicos para la tienda XYZ. Ct 1040nr py Para mantenerse al corriente de los últimos avances en su profesión, toma cursos especiales de servicios de radio y sistemas estereofónicos. Ct 1040nr py Estos cursos mantienen y mejoran las destrezas requeridas en su trabajo. Ct 1040nr py Mantenimiento de destrezas versus capacitación para un empleo nuevo. Ct 1040nr py   Los estudios para mantener o mejorar destrezas que se requieren en su trabajo actual no son estudios que reúnen los requisitos de la deducción si también lo capacitarán para un nuevo oficio o negocio. Ct 1040nr py Estudios durante ausencia temporal. Ct 1040nr py   Si deja de trabajar durante un año o menos para cursar estudios con el fin de mantener o mejorar las destrezas necesarias en su trabajo actual y luego regresa a su trabajo y desempeña las mismas labores generales, su ausencia se considera temporal. Ct 1040nr py Los estudios cursados durante una ausencia temporal son estudios relacionados con el trabajo que cumplen los requisitos de la deducción si mantienen o mejoran las destrezas necesarias en su trabajo actual. Ct 1040nr py Ejemplo. Ct 1040nr py Deja su trabajo de investigación en biología para convertirse en estudiante de posgrado de biología a tiempo completo durante un año. Ct 1040nr py Si regresa a trabajar en investigación en biología después de concluir los cursos, los estudios se relacionan con su trabajo actual incluso si no regresa a trabajar para el mismo empleador. Ct 1040nr py Estudios durante ausencia indefinida. Ct 1040nr py   Si deja de trabajar durante más de un año, su ausencia del trabajo se considera indefinida. Ct 1040nr py Se considera que los estudios cursados durante una ausencia indefinida, aun si mantienen o mejoran las destrezas necesarias en el trabajo del cual se ausenta, lo capacitan para un nuevo oficio o negocio. Ct 1040nr py Por lo tanto, no son estudios relacionados con el trabajo que reúnan los requisitos de la deducción. Ct 1040nr py Estudios para Satisfacer los Requisitos Mínimos Los estudios necesarios para cumplir los requisitos mínimos de educación para su oficio o negocio actual no son estudios relacionados con el trabajo que reúnan los requisitos de la deducción. Ct 1040nr py Los requisitos mínimos de educación se determinan a través de: Leyes y reglamentos; Normas de su profesión, oficio o negocio y Su empleador. Ct 1040nr py Una vez que haya cumplido los requisitos mínimos de educación vigentes cuando se le contrató, no tiene que cumplir nuevos requisitos mínimos de educación. Ct 1040nr py Esto significa que si los requisitos mínimos cambian después de que haya sido contratado, los estudios necesarios para satisfacer los nuevos requisitos pueden ser estudios que reúnen los requisitos de la deducción. Ct 1040nr py No ha cumplido los requisitos mínimos de educación de su oficio o negocio sólo porque ya está realizando el trabajo. Ct 1040nr py Ejemplo 1. Ct 1040nr py Es estudiante de ingeniería a tiempo completo. Ct 1040nr py Aunque no ha recibido su título o certificación, trabaja a tiempo parcial como ingeniero en una empresa que lo contratará como ingeniero a tiempo completo después de que finalice sus estudios universitarios. Ct 1040nr py Aunque sus cursos universitarios de ingeniería mejoran sus destrezas en su trabajo actual, también se requieren para cumplir los requisitos laborales mínimos para contratar a un ingeniero a tiempo completo. Ct 1040nr py Estos estudios no son estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Ejemplo 2. Ct 1040nr py Es contador y ha cumplido con los requisitos mínimos de educación de su empleador. Ct 1040nr py Posteriormente, éste cambia los requisitos mínimos de educación y requiere que tome cursos universitarios para mantener su trabajo. Ct 1040nr py Estos cursos adicionales pueden ser estudios relacionados con el trabajo que reúnen los requisitos de la deducción porque ya ha cumplido los requisitos mínimos vigentes al momento de su contratación. Ct 1040nr py Requisitos para los Docentes Por lo general, los estados o distritos escolares establecen los requisitos mínimos de educación para los docentes. Ct 1040nr py El requisito es el título universitario o la cantidad mínima de horas de estudio universitario que suele exigirse para la contratación de una persona para dicho cargo. Ct 1040nr py Si no existen requisitos, habrá cumplido los requisitos mínimos de educación cuando pase a ser miembro del cuerpo docente. Ct 1040nr py La determinación de si usted es miembro del cuerpo docente de una institución educativa tiene que ser hecha en base de las prácticas particulares de dicha institución. Ct 1040nr py Por lo general, se le considerará miembro del cuerpo docente si se da una o más de las siguientes condiciones: Es profesor titular o catedrático. Ct 1040nr py Sus años de servicio se acreditan para obtener el cargo académico o cátedra. Ct 1040nr py Tiene un voto en las decisiones del cuerpo docente. Ct 1040nr py Su institución académica hace aportaciones en nombre suyo a un plan de jubilación que no sea el Seguro Social o un programa similar. Ct 1040nr py Ejemplo 1. Ct 1040nr py La ley en el estado donde vive exige que los maestros novatos de escuela secundaria tengan un título universitario, incluidos 10 cursos de educación profesional. Ct 1040nr py Asimismo, para mantener su trabajo, un maestro tiene que realizar un quinto año de capacitación dentro de un plazo de 10 años a partir de la fecha de contratación. Ct 1040nr py Si la escuela empleadora certifica ante el Departamento de Educación estatal que no puede encontrar maestros calificados, la escuela puede contratar a personas con sólo 3 años de estudios universitarios. Ct 1040nr py No obstante, para mantener su trabajo, estos maestros tienen que obtener un título universitario y completar los cursos de educación profesional requeridos dentro de un plazo de 3 años. Ct 1040nr py De acuerdo con lo anterior, el título universitario, incluya o no los 10 cursos de educación profesional, se considera el requisito mínimo de educación para calificar como maestro en el estado donde vive. Ct 1040nr py Si posee toda la educación requerida, a excepción del quinto año, ha cumplido los requisitos mínimos de educación. Ct 1040nr py El quinto año de capacitación se considera estudios relacionados con el trabajo que reúnen los requisitos de la deducción a menos que forme parte de un programa de estudios que lo capacitará para un nuevo oficio o negocio. Ct 1040nr py Figura 27–A. Ct 1040nr py ¿Reúnen los Requisitos sus Estudios Relacionados con el Trabajo? Please click here for the text description of the image. Ct 1040nr py Figura 27−A. Ct 1040nr py ¿Reúnen los requisitos sus estudios relacionados con el trabajo? Ejemplo 2. Ct 1040nr py Suponga que se dan los mismos hechos que en el Ejemplo 1, excepto que tiene título universitario y sólo seis cursos de educación profesional. Ct 1040nr py Los cuatro cursos adicionales pueden ser estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Aunque no tiene todos los cursos requeridos, ya ha cumplido los requisitos mínimos de educación. Ct 1040nr py Ejemplo 3. Ct 1040nr py Suponga que se dan los mismos hechos que en el Ejemplo 1, excepto que lo han contratado con sólo 3 años de estudios universitarios. Ct 1040nr py Los cursos que tome para lograr un título (incluso en el campo de enseñanza) no son estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Éstos se requieren para cumplir los requisitos mínimos de educación para trabajar como maestro. Ct 1040nr py Ejemplo 4. Ct 1040nr py Tiene un título universitario y trabaja como instructor temporal en una universidad. Ct 1040nr py Al mismo tiempo, toma cursos de posgrado para obtener un título superior. Ct 1040nr py Las reglas de la universidad estipulan que puede pasar a ser miembro del cuerpo docente sólo si obtiene un posgrado. Ct 1040nr py Además, puede mantener su trabajo como instructor sólo si demuestra un avance satisfactorio para obtener este título. Ct 1040nr py No ha cumplido los requisitos mínimos de educación para ser miembro del cuerpo docente. Ct 1040nr py Los cursos de posgrado no son estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Licencia en un nuevo estado. Ct 1040nr py   Una vez que haya cumplido los requisitos mínimos de educación para maestros de su estado, se considera que ha cumplido los requisitos mínimos de educación en todos los estados. Ct 1040nr py Esto se aplica incluso si tiene que cursar estudios adicionales para recibir la licencia en otro estado. Ct 1040nr py Los estudios adicionales que necesite son estudios relacionados con el trabajo que reúnen los requisitos para la deducción. Ct 1040nr py Ya ha cumplido los requisitos mínimos de educación para enseñar. Ct 1040nr py Enseñar en otro estado no constituye un nuevo oficio o negocio. Ct 1040nr py Ejemplo. Ct 1040nr py Posee una licencia permanente para enseñar en el Estado A y ha trabajado como maestro en ese estado durante varios años. Ct 1040nr py Se muda al Estado B y lo contratan inmediatamente como maestro. Ct 1040nr py Sin embargo, tiene que realizar ciertos cursos prescritos para obtener una licencia permanente para enseñar en el Estado B. Ct 1040nr py Estos cursos adicionales son estudios relacionados con el trabajo que reúnen los requisitos de la deducción debido a que el puesto de maestro en el Estado B implica el mismo tipo de trabajo general para el cual reunía los requisitos en el Estado A. Ct 1040nr py Estudios que lo Capacitan para un Nuevo Oficio o Negocio Los estudios que forman parte de un programa de estudios a fin de capacitarlo para un nuevo oficio o negocio no están relacionados con el trabajo y no reúnen los requisitos de la deducción. Ct 1040nr py Esto es aplicable incluso si no tiene intención de ingresar en ese oficio o negocio. Ct 1040nr py Si es empleado, un cambio de deberes que implique el mismo tipo de trabajo general no es un nuevo oficio o negocio. Ct 1040nr py Ejemplo 1. Ct 1040nr py Es contador. Ct 1040nr py Su empleador le exige que saque un título en derecho corriendo con sus propios gastos. Ct 1040nr py Se inscribe en una escuela de derecho con la intención de cursar el plan de estudios típico para lograr un título en derecho. Ct 1040nr py Aun si su intención no es ser abogado, los estudios no reúnen los requisitos de la deducción debido a que el título en derecho lo capacitará para un nuevo oficio o negocio. Ct 1040nr py Ejemplo 2. Ct 1040nr py Es médico de medicina general. Ct 1040nr py Toma un curso de dos semanas para revisar los avances en diversos campos especializados de la medicina. Ct 1040nr py El curso no lo capacita para una nueva profesión. Ct 1040nr py Se considera que está relacionado con el trabajo y reúne los requisitos de la deducción porque mantiene o mejora las destrezas requeridas en su profesión actual. Ct 1040nr py Ejemplo 3. Ct 1040nr py Durante su trabajo en la práctica privada de psiquiatría, ingresa a un programa para estudiar y capacitarse en un instituto de psicoanálisis acreditado. Ct 1040nr py El programa lo capacitará para practicar el psicoanálisis. Ct 1040nr py La formación en psicoanálisis no lo capacitará para una nueva profesión. Ct 1040nr py Está relacionada con el trabajo y reúne los requisitos de la deducción porque mantiene o mejora las destrezas necesarias en su profesión actual. Ct 1040nr py Curso de preparación para el examen de reválida de derecho o para el examen para contadores públicos autorizados Los cursos de preparación para el examen de reválida para ejercer la abogacía o el examen para contadores públicos autorizados (CPA, por sus siglas en inglés) no son estudios relacionados con el trabajo que cumplan los requisitos. Ct 1040nr py Forman parte de un programa de estudios que puede capacitarlo para una nueva profesión. Ct 1040nr py Deberes Magisteriales y Afines Todos los deberes magisteriales y deberes afines se consideran relativamente el mismo tipo de trabajo. Ct 1040nr py Un cambio de deberes de cualquiera de las siguientes maneras no se considera un cambio a una nueva ocupación: Maestro de escuela primaria a maestro de escuela secundaria. Ct 1040nr py Maestro de una asignatura, como biología, a maestro de otra asignatura, como arte. Ct 1040nr py Maestro a consejero académico. Ct 1040nr py Maestro a administrador escolar. Ct 1040nr py Qué Gastos se Pueden Deducir Si sus estudios satisfacen los requisitos descritos anteriormente en Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la Deducción , por lo general, puede deducir sus gastos de estudios como gastos de negocios. Ct 1040nr py Si no trabaja por cuenta propia, puede deducir gastos de negocios sólo si detalla sus deducciones. Ct 1040nr py No puede deducir gastos relacionados con ingresos exentos ni excluidos de impuestos. Ct 1040nr py Gastos deducibles. Ct 1040nr py   Se pueden deducir los siguientes gastos de estudios: Matrícula, libros, útiles escolares, cuotas de laboratorio y artículos similares. Ct 1040nr py Ciertos costos de transporte y viajes. Ct 1040nr py Otros gastos de estudios, como costos de investigación y de procesamiento de palabras (mecanografía) al escribir un ensayo o tésis como parte de un programa de estudios. Ct 1040nr py Gastos no deducibles. Ct 1040nr py   No puede deducir sus gastos personales o de capital. Ct 1040nr py Por ejemplo, no puede deducir el valor en dólares de un período de vacaciones o permiso anual (vacaciones remuneradas) que toma para asistir a clases. Ct 1040nr py Esta cantidad es un gasto personal. Ct 1040nr py Reembolso no reclamado. Ct 1040nr py   Aun si no reclama reembolsos a los que tiene derecho a recibir de su empleador, no puede deducir los gastos correspondientes a ese reembolso no reclamado. Ct 1040nr py Ejemplo. Ct 1040nr py Su empleador acuerda pagar sus gastos de estudios si usted presenta un vale que muestre sus gastos. Ct 1040nr py Usted no presenta un vale y no se los reembolsan. Ct 1040nr py Como no presentó un vale, no puede deducir los gastos en su declaración de impuestos. Ct 1040nr py Gastos de Transporte Si sus estudios reúnen los requisitos, puede deducir los costos de transporte locales en los que tiene que incurrir para viajar directamente del trabajo a la escuela. Ct 1040nr py Si tiene un trabajo habitual y asiste a la escuela de forma temporal, también puede deducir los costos de regreso de la escuela a su domicilio. Ct 1040nr py Asistencia temporal. Ct 1040nr py   Asiste a la escuela de manera temporal si alguna de las siguientes situaciones corresponde a su caso: Se espera de manera realista que su asistencia a la escuela dure 1 año o menos y en realidad dura 1 año o menos. Ct 1040nr py Al principio, se espera de manera realista que su asistencia a la escuela dure 1 año o menos, pero posteriormente es factible que dure más de 1 año. Ct 1040nr py Su asistencia es temporal hasta la fecha en la que determine que durará más de 1 año. Ct 1040nr py Nota: Si se encuentra en la situación (1) o (2), su asistencia no es temporal si los hechos y las circunstancias indican lo contrario. Ct 1040nr py Asistencia no temporal. Ct 1040nr py   No asiste a la escuela de manera temporal si alguna de las siguientes situaciones le corresponde: Se espera de manera realista que su asistencia a la escuela dure más de 1 año. Ct 1040nr py No importa cuánto tiempo de hecho asista. Ct 1040nr py Al principio, se espera de manera realista que su asistencia a la escuela dure 1 año o menos, pero posteriormente se espera que dure más de 1 año. Ct 1040nr py Su asistencia no es temporal después de la fecha en la que se determine que durará más de 1 año. Ct 1040nr py Gastos de Transporte Deducibles Si trabaja de manera habitual y se dirige directamente de su domicilio a la escuela de manera temporal, puede deducir los costos del viaje de ida y regreso entre su domicilio y la escuela. Ct 1040nr py Esto es aplicable sin importar la ubicación de dicho lugar, la distancia recorrida o si asiste a cursos en dicho lugar en días no laborables. Ct 1040nr py Los gastos de transporte incluyen los costos reales de autobús, metro, taxi u otras tarifas, así como los costos del uso de su automóvil. Ct 1040nr py Los gastos de transporte no incluyen cantidades gastadas por viaje, comidas o alojamiento cuando pasa la noche fuera de su casa. Ct 1040nr py Ejemplo 1. Ct 1040nr py Trabaja habitualmente en una ciudad cercana y viaja directamente del trabajo a su domicilio. Ct 1040nr py Asimismo, asiste a la escuela cada noche entre semana durante 3 meses para tomar un curso que mejore sus destrezas laborales. Ct 1040nr py Dado que asiste a una escuela de forma temporal, puede deducir sus gastos diarios de transporte de ida y regreso entre su domicilio y la escuela. Ct 1040nr py Esto es aplicable independientemente de la distancia recorrida. Ct 1040nr py Ejemplo 2. Ct 1040nr py Suponga que se dan los mismos hechos que en el Ejemplo 1, salvo que algunas noches se dirige directamente del trabajo a la escuela y luego a su domicilio. Ct 1040nr py Puede deducir sus gastos de transporte desde su lugar de trabajo habitual a la escuela y luego al domicilio. Ct 1040nr py Ejemplo 3. Ct 1040nr py Suponga que se dan los mismos hechos que en el Ejemplo 1, excepto que asiste a la escuela durante 9 meses todos los sábados, los cuales no son días laborables. Ct 1040nr py Dado que asiste a la escuela de manera temporal, puede deducir sus gastos de transporte de ida y regreso entre su casa y la escuela. Ct 1040nr py Ejemplo 4. Ct 1040nr py Suponga que se dan los mismos hechos que en el Ejemplo 1, excepto que asiste a clases dos veces a la semana durante 15 meses. Ct 1040nr py Dado que su asistencia a la escuela no se considera temporal, no puede deducir sus gastos de transporte entre su casa y la escuela. Ct 1040nr py Si se dirige a la escuela directamente desde el trabajo, puede deducir los gastos de transporte de ida desde el trabajo a la escuela. Ct 1040nr py Si del trabajo se dirige a su casa y luego a la escuela y regresa a su casa, sus gastos de transporte no pueden ser mayores que los gastos en los que hubiese incurrido de haber viajado directamente del trabajo a la escuela. Ct 1040nr py Uso de su automóvil. Ct 1040nr py   Si usa su automóvil (propio o arrendado) para viajar a la escuela, puede deducir sus gastos reales o utilizar la tarifa estándar de millaje para calcular la cantidad que puede deducir. Ct 1040nr py La tarifa estándar por millas recorridas desde el 1 de enero de 2013 hasta el 31 de diciembre de 2013 es 56½ centavos por milla. Ct 1040nr py Independientemente de los métodos que escoja, también puede deducir cargos de estacionamiento y peajes. Ct 1040nr py Vea el capítulo 26 para obtener información acerca de la deducción de sus gastos reales por el uso de un automóvil. Ct 1040nr py Gastos de Viaje Puede deducir gastos de viajes, comidas (vea Límite del 50% del costo de comidas , más adelante) y alojamiento si viaja de un día a otro principalmente para realizar estudios con derecho a deducción relacionados con el trabajo. Ct 1040nr py Los gastos de viaje para estudios relacionados con el trabajo que reúnen los requisitos de la deducción reciben el mismo trato tributario que los gastos de viaje para otros propósitos de negocios del empleado. Ct 1040nr py Para más información, vea el capítulo 26. Ct 1040nr py No puede deducir gastos de actividades personales, como turismo, visitas o entretenimiento. Ct 1040nr py Viajes principalmente con fines personales. Ct 1040nr py   Si su viaje fuera de casa es principalmente con fines personales, no puede deducir todos sus gastos de viaje, comidas o alojamiento. Ct 1040nr py Sólo puede deducir sus gastos de alojamiento y el 50% de sus gastos de comidas durante el período en el que asista a actividades de educación que reúnen los requisitos. Ct 1040nr py   El determinar si el propósito del viaje es principalmente personal o para estudios depende de los hechos y las circunstancias. Ct 1040nr py Un factor importante es la comparación del tiempo dedicado a actividades personales con el tiempo dedicado a actividades de educación. Ct 1040nr py Si dedica más tiempo a actividades personales, el viaje se considera principalmente para estudios sólo si puede demostrar una razón importante y no personal de por qué viajó a un lugar específico. Ct 1040nr py Ejemplo 1. Ct 1040nr py Juan trabaja en Newark, Nueva Jersey. Ct 1040nr py Viajó a Chicago para tomar un curso de una semana, a solicitud de su empleador, que puede deducir de sus impuestos. Ct 1040nr py Su razón principal para viajar a Chicago fue el curso. Ct 1040nr py Durante su estadía, realizó un viaje de turismo, salió a divertirse con algunos amigos y realizó un viaje adicional por el día a Pleasantville. Ct 1040nr py Dado que el viaje era principalmente de negocios, Juan puede deducir su boleto aéreo de ida y vuelta a Chicago. Ct 1040nr py No puede deducir los gastos de transporte de su viaje a Pleasantville. Ct 1040nr py Sólo puede deducir las comidas (conforme al límite del 50%) y alojamiento relacionados con sus actividades educativas. Ct 1040nr py Ejemplo 2. Ct 1040nr py Susana trabaja en Boston. Ct 1040nr py Asistió a una universidad en Michigan a fin de tomar un curso para su trabajo. Ct 1040nr py El curso está relacionado con el trabajo y reúne los requisitos de la deducción. Ct 1040nr py Tomó un curso, que corresponde a un cuarto de la carga de estudios a tiempo completo. Ct 1040nr py El resto del tiempo lo dedicó a actividades personales. Ct 1040nr py Sus razones para tomar el curso en Michigan fueron personales. Ct 1040nr py El viaje de Susana es principalmente personal, ya que tres cuartos de su tiempo se consideran tiempo personal. Ct 1040nr py No puede deducir el costo de su boleto de tren de ida y regreso a Michigan. Ct 1040nr py Puede deducir un cuarto del costo de las comidas (conforme al límite del 50%) y del alojamiento del período en que asistió a la universidad. Ct 1040nr py Ejemplo 3. Ct 1040nr py David trabaja en Nashville y recientemente viajó a California para asistir a un seminario de 2 semanas. Ct 1040nr py El seminario está relacionado con el trabajo y reúne los requisitos de la deducción. Ct 1040nr py Durante su estadía, dedicó 8 semanas adicionales a actividades personales. Ct 1040nr py Los hechos, incluida la estadía adicional de 8 semanas, demuestran que su finalidad principal era tomarse unas vacaciones. Ct 1040nr py David no puede deducir su boleto de avión de ida y vuelta ni sus comidas y alojamiento durante las 8 semanas. Ct 1040nr py Sólo puede deducir sus gastos por comida (sujeto al límite del 50%) y alojamiento durante las 2 semanas que asistió al seminario. Ct 1040nr py Cruceros y congresos. Ct 1040nr py   Algunos cruceros y congresos ofrecen seminarios o cursos como parte de su itinerario. Ct 1040nr py Aun si los seminarios o cursos están relacionados con el trabajo, su deducción por viaje puede verse limitada. Ct 1040nr py Esto es aplicable a: Viajes en buque transatlántico, crucero u otra forma de transporte marítimo de lujo y Congresos fuera del área de Norteamérica. Ct 1040nr py   Si desea consultar más acerca de los límites de deducciones de gastos de viaje que sean aplicables a cruceros y congresos, vea Luxury Water Travel (Viajes en buques de lujo) y Conventions (Congresos) en el capítulo 1 de la Publicación 463, en inglés. Ct 1040nr py Límite del 50% del costo de comidas. Ct 1040nr py   Sólo puede deducir el 50% del costo de sus comidas cuando viaja fuera de casa para realizar estudios relacionados con el trabajo que reúnan los requisitos de la deducción. Ct 1040nr py No se le pueden haber reembolsado los gastos por las comidas. Ct 1040nr py   Los empleados tienen que usar el Formulario 2106 o el Formulario 2106-EZ para aplicar el límite del 50%. Ct 1040nr py Viajes con Fines Educativos No puede deducir el costo de sus viajes con fines educativos, incluso si están directamente relacionados con los deberes de su trabajo o negocio. Ct 1040nr py Ejemplo. Ct 1040nr py Usted es maestro de francés. Ct 1040nr py Durante una ausencia sabática otorgada para viajar, recorrió Francia para mejorar sus conocimientos del francés. Ct 1040nr py Elige su itinerario y la mayoría de sus actividades con el fin de mejorar sus destrezas lingüísticas en francés. Ct 1040nr py No puede deducir sus gastos de viaje como gastos de estudios. Ct 1040nr py Esto es aplicable aunque haya dedicado la mayor parte del tiempo a aprender francés visitando escuelas y familias francesas, asistiendo a películas u obras de teatro y participando en actividades similares. Ct 1040nr py No se Permiten Beneficios Dobles No se le permite hacer lo siguiente: Deducir los gastos de estudios relacionados con el trabajo como gastos de negocios si deduce estos gastos conforme con cualquier otra disposición de la ley, por ejemplo, la deducción de matrículas y cuotas (vea el capítulo 35). Ct 1040nr py Deducir los gastos de estudios relacionados con el trabajo pagados con fondos de ayuda para los estudios provistos por el empleador, subvención o beca libre de impuestos. Ct 1040nr py Vea Ajustes a Gastos de Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la Deducción , a continuación. Ct 1040nr py Ajustes a Gastos de Estudios Relacionados con el Trabajo que Reúnen los Requisitos de la Deducción Si paga gastos de estudios relacionados con el trabajo que reúnen los requisitos de la deducción con determinados fondos exentos de impuestos, no puede reclamar una deducción por estas cantidades. Ct 1040nr py Tiene que reducir la cantidad de los gastos que reúnen los requisitos por la cantidad de tales gastos que le pueden corresponder a la asistencia para estudios exenta de impuestos. Ct 1040nr py Para más información, vea el capítulo 12 de la Publicación 970, en inglés. Ct 1040nr py La asistencia para estudios exenta de impuestos incluye: La parte exenta de impuestos de becas de estudios y becas de investigación (vea el capítulo 1 de la Publicación 970, en inglés); La parte exenta de impuestos de las subvenciones federales Pell (vea el capítulo 1 de la Publicación 970, en inglés); La parte exenta de impuestos de la asistencia para estudios provista por el empleador (vea el capítulo 11 de la Publicación 970, en inglés); Asistencia para estudios destinada a veteranos (vea el capítulo 1 de la Publicación 970, en inglés) y Cualquier otro pago no gravable (libre de impuestos) (que no sean regalos o herencias) que reciba como asistencia para los estudios. Ct 1040nr py Cantidades que no reducen los gastos de estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py   No reduzca los gastos de estudios relacionados con el trabajo que reúnen los requisitos de la deducción las cantidades pagadas con fondos que el estudiante reciba como: Un pago por servicios, como salarios; Un préstamo; Un regalo; Una herencia o Un retiro de la cuenta de ahorros personal del estudiante. Ct 1040nr py   Tampoco reduzca la cantidad de los gastos de estudios relacionados con el trabajo que reúnen los requisitos de la deducción por la cantidad de una beca de estudios o beca de investigación declarada como ingreso en la declaración de impuestos del estudiante ni becas que, según lo establecido, no se puedan aplicar a gastos de estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Reembolsos El trato tributario que dé a los reembolsos depende del acuerdo que tenga con su empleador. Ct 1040nr py Existen dos tipos básicos de acuerdos de reembolso: planes con rendición de cuentas y planes sin rendición de cuentas. Ct 1040nr py Puede determinar el tipo de plan mediante el cual se le reembolsa según la manera en que se declara el reembolso en su Formulario W-2. Ct 1040nr py Para información sobre cómo tratar los reembolsos bajo planes con rendición de cuentas y planes sin rendición de cuentas, vea Reembolsos en el capítulo 26. Ct 1040nr py Cómo Deducir Gastos de Negocios Las personas que trabajan por cuenta propia y los empleados declaran los gastos de negocios de manera diferente. Ct 1040nr py La siguiente información explica qué formularios tiene que usar para deducir como gasto de negocios el costo de sus estudios relacionados con el trabajo que reúnen los requisitos de la deducción. Ct 1040nr py Personas que Trabajan por Cuenta Propia Si trabaja por cuenta propia, declare el costo de sus estudios relacionados con el trabajo que reúnen los requisitos de la deducción en el formulario correspondiente que se utilizó para declarar su ingreso de negocio y gastos (generalmente en el Anexo C, C-EZ o F). Ct 1040nr py Si sus gastos de estudios incluyen gastos de automóvil o camión, viajes o comidas, declare estos gastos de la misma forma en la que declara los demás gastos de negocios para esas partidas. Ct 1040nr py Vea las instrucciones del formulario que presente para obtener información acerca de cómo completarlo. Ct 1040nr py Empleados Si es empleado, puede deducir el costo de estudios relacionados con el trabajo que reúnen los requisitos de la deducción sólo si: No recibió (y no tuvo derecho a recibir) reembolsos de su empleador; Se le reembolsó conforme a un plan sin rendición de cuentas (la cantidad se incluye en el recuadro 1 del Formulario W-2) o Recibió un reembolso conforme a un plan con rendición de cuentas, pero la cantidad recibida fue menor que sus gastos por los cuales usted reclamó un reembolso. Ct 1040nr py Si le corresponde el punto (1) o (2), puede deducir la totalidad del costo que reúne los requisitos de la deducción. Ct 1040nr py Si le corresponde el punto (3), puede deducir sólo los costos mayores que su reembolso que reúnen los requisitos de la deducción. Ct 1040nr py Para deducir como gasto de negocios el costo de sus estudios relacionados con el trabajo que reúnen los requisitos de la deducción, incluya la cantidad con su deducción para todos los demás gastos de negocios del empleado en la línea 21 del Anexo A (Formulario 1040). Ct 1040nr py (Más adelante se explican las reglas especiales para gastos de ciertos artistas del espectáculo y funcionarios a los que se les pagan honorarios y para gastos de trabajo relacionados con un impedimento). Ct 1040nr py Esta deducción (con la excepción de los gastos del trabajo relacionados con el impedimento de personas discapacitadas) está sujeta al límite de ingreso bruto ajustado del 2% aplicable a la mayoría de las deducciones detalladas misceláneas. Ct 1040nr py Vea el capítulo 28. Ct 1040nr py Formulario 2106 o 2106-EZ. Ct 1040nr py   Para calcular su deducción con respecto a los gastos de negocios del empleado, incluidos los estudios relacionados con el trabajo que reúnen los requisitos de la deducción, por lo general tiene que completar el Formulario 2106 o el Formulario 2106-EZ. Ct 1040nr py No se requiere el formulario. Ct 1040nr py   No complete el Formulario 2106 ni el Formulario 2106-EZ si: Las cantidades incluidas en el recuadro 1 de su Formulario W-2 no se consideran reembolsos y No declara gastos de viaje, transporte, comidas o entretenimiento. Ct 1040nr py   Si cumple los dos requisitos anteriores, anote los gastos directamente en la línea 21 del Anexo A (Formulario 1040). Ct 1040nr py (Más adelante se explican las reglas especiales para gastos de ciertos artistas del espectáculo y funcionarios a los que se les pagan honorarios y para gastos de trabajo relacionados con un impedimento). Ct 1040nr py Uso del Formulario 2106-EZ. Ct 1040nr py   Este formulario es más corto y fácil de usar que el Formulario 2106. Ct 1040nr py Por lo general, puede usar este formulario si: Todos los reembolsos, si los hubiera, se incluyeron en el recuadro 1 de su Formulario W-2 y Utiliza la tarifa estándar por millas si declara gastos de vehículo. Ct 1040nr py   Si no cumple estos dos requisitos, utilice el Formulario 2106. Ct 1040nr py Artistas del Espectáculo y Funcionarios a los que se les Pagan Honorarios Si es artista del espectáculo que reúne los requisitos o funcionario del gobierno estatal (o local) que recibe su pago total o en parte de honorarios, puede deducir el costo de sus estudios relacionado con el trabajo que reúne los requisitos de la deducción como ajuste al ingreso bruto en lugar de una deducción detallada. Ct 1040nr py Incluya el costo de sus estudios relacionados con el trabajo que reúnen los requisitos de la deducción junto con todos los demás gastos de negocios del empleado y anote el total en la línea 24 del Formulario 1040. Ct 1040nr py No tiene que detallar sus deducciones en el Anexo A (Formulario 1040) y, por lo tanto, la deducción no está sujeta al límite de ingreso bruto ajustado del 2%. Ct 1040nr py Tiene que completar el Formulario 2106 o 2106-EZ para calcular su deducción, incluso si cumple los requisitos descritos anteriormente bajo No se requiere el formulario . Ct 1040nr py Para más información acerca de los artistas del espectáculo que reúnen los requisitos, vea el capítulo 6 de la Publicación 463, en inglés. Ct 1040nr py Gastos de Trabajo Relacionados con un Impedimento Si está incapacitado y tiene gastos de trabajo relacionados con un impedimento que sean necesarios para permitirle realizar estudios relacionados con el trabajo, que reúnen los requisitos de la deducción, puede deducir estos gastos en la línea 28 del Anexo A (Formulario 1040). Ct 1040nr py No están sujetos al límite del 2% del ingreso bruto ajustado. Ct 1040nr py Para deducir estos gastos, tiene que completar el Formulario 2106 o 2106-EZ, aun si cumple los requisitos descritos anteriormente en No se requiere el formulario . Ct 1040nr py Para más información acerca de gastos de trabajo relacionados con un impedimento, vea el capítulo 6 de la Publicación 463, en inglés. Ct 1040nr py Documentación Tiene que mantener documentación como comprobante de las deducciones reclamadas en su declaración de impuestos. Ct 1040nr py Por lo general, debe mantener su documentación durante 3 años desde la fecha de presentación de la declaración y de haber reclamado la deducción. Ct 1040nr py Para obtener información específica acerca de cómo mantener documentación de los gastos de negocios, vea Mantenimiento de Documentación en el capítulo 26. Ct 1040nr py Prev  Up  Next   Home   More Online Publications