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File A 2011 Tax Return

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File A 2011 Tax Return

File a 2011 tax return 7. File a 2011 tax return   Costs You Can Deduct or Capitalize Table of Contents What's New Introduction Topics - This chapter discusses: Useful Items - You may want to see: Carrying Charges Research and Experimental CostsProduct. File a 2011 tax return Costs not included. File a 2011 tax return Intangible Drilling Costs Exploration CostsPartnerships and S corporations. File a 2011 tax return Development Costs Circulation Costs Business Start-Up and Organizational Costs Reforestation Costs Retired Asset Removal Costs Barrier Removal CostsOther barrier removals. File a 2011 tax return Film and Television Production Costs What's New Film and television productions costs. File a 2011 tax return  The election to expense film and television production costs does not apply to productions that begin after December 31, 2013. File a 2011 tax return See Film and Television Production Costs , later. File a 2011 tax return Introduction This chapter discusses costs you can elect to deduct or capitalize. File a 2011 tax return You generally deduct a cost as a current business expense by subtracting it from your income in either the year you incur it or the year you pay it. File a 2011 tax return If you capitalize a cost, you may be able to recover it over a period of years through periodic deductions for amortization, depletion, or depreciation. File a 2011 tax return When you capitalize a cost, you add it to the basis of property to which it relates. File a 2011 tax return A partnership, corporation, estate, or trust makes the election to deduct or capitalize the costs discussed in this chapter except for exploration costs for mineral deposits. File a 2011 tax return Each individual partner, shareholder, or beneficiary elects whether to deduct or capitalize exploration costs. File a 2011 tax return You may be subject to the alternative minimum tax (AMT) if you deduct research and experimental, intangible drilling, exploration, development, circulation, or business organizational costs. File a 2011 tax return For more information on the alternative minimum tax, see the instructions for the following forms. File a 2011 tax return Form 6251, Alternative Minimum Tax—Individuals. File a 2011 tax return Form 4626, Alternative Minimum Tax—Corporations. File a 2011 tax return Topics - This chapter discusses: Carrying charges Research and experimental costs Intangible drilling costs Exploration costs Development costs Circulation costs Qualified disaster expenses Business start-up and organizational costs Reforestation costs Retired asset removal costs Barrier removal costs Film and television production costs Useful Items - You may want to see: Publication 544 Sales and Other Dispositions of Assets Form (and Instructions) 3468 Investment Credit 8826 Disabled Access Credit See chapter 12 for information about getting publications and forms. File a 2011 tax return Carrying Charges Carrying charges include the taxes and interest you pay to carry or develop real property or to carry, transport, or install personal property. File a 2011 tax return Certain carrying charges must be capitalized under the uniform capitalization rules. File a 2011 tax return (For information on capitalization of interest, see chapter 4 . File a 2011 tax return ) You can elect to capitalize carrying charges not subject to the uniform capitalization rules, but only if they are otherwise deductible. File a 2011 tax return You can elect to capitalize carrying charges separately for each project you have and for each type of carrying charge. File a 2011 tax return For unimproved and unproductive real property, your election is good for only 1 year. File a 2011 tax return You must decide whether to capitalize carrying charges each year the property remains unimproved and unproductive. File a 2011 tax return For other real property, your election to capitalize carrying charges remains in effect until construction or development is completed. File a 2011 tax return For personal property, your election is effective until the date you install or first use it, whichever is later. File a 2011 tax return How to make the election. File a 2011 tax return   To make the election to capitalize a carrying charge, attach a statement to your original tax return for the year the election is to be effective indicating which charges you are electing to capitalize. File a 2011 tax return However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Attach the statement to the amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2” on the statement. File a 2011 tax return File the amended return at the same address you filed the original return. File a 2011 tax return Research and Experimental Costs The costs of research and experimentation are generally capital expenses. File a 2011 tax return However, you can elect to deduct these costs as a current business expense. File a 2011 tax return Your election to deduct these costs is binding for the year it is made and for all later years unless you get IRS approval to make a change. File a 2011 tax return If you meet certain requirements, you may elect to defer and amortize research and experimental costs. File a 2011 tax return For information on electing to defer and amortize these costs, see Research and Experimental Costs in chapter 8. File a 2011 tax return Research and experimental costs defined. File a 2011 tax return   Research and experimental costs are reasonable costs you incur in your trade or business for activities intended to provide information that would eliminate uncertainty about the development or improvement of a product. File a 2011 tax return Uncertainty exists if the information available to you does not establish how to develop or improve a product or the appropriate design of a product. File a 2011 tax return Whether costs qualify as research and experimental costs depends on the nature of the activity to which the costs relate rather than on the nature of the product or improvement being developed or the level of technological advancement. File a 2011 tax return      The costs of obtaining a patent, including attorneys' fees paid or incurred in making and perfecting a patent application, are research and experimental costs. File a 2011 tax return However, costs paid or incurred to obtain another's patent are not research and experimental costs. File a 2011 tax return Product. File a 2011 tax return   The term “product” includes any of the following items. File a 2011 tax return Formula. File a 2011 tax return Invention. File a 2011 tax return Patent. File a 2011 tax return Pilot model. File a 2011 tax return Process. File a 2011 tax return Technique. File a 2011 tax return Property similar to the items listed above. File a 2011 tax return It also includes products used by you in your trade or business or held for sale, lease, or license. File a 2011 tax return Costs not included. File a 2011 tax return   Research and experimental costs do not include expenses for any of the following activities. File a 2011 tax return Advertising or promotions. File a 2011 tax return Consumer surveys. File a 2011 tax return Efficiency surveys. File a 2011 tax return Management studies. File a 2011 tax return Quality control testing. File a 2011 tax return Research in connection with literary, historical, or similar projects. File a 2011 tax return The acquisition of another's patent, model, production, or process. File a 2011 tax return When and how to elect. File a 2011 tax return   You make the election to deduct research and experimental costs by deducting them on your tax return for the year in which you first pay or incur research and experimental costs. File a 2011 tax return If you do not make the election to deduct research and experimental costs in the first year in which you pay or incur the costs, you can deduct the costs in a later year only with approval from the IRS. File a 2011 tax return Deducting or Amortizing Research and Experimentation Costs IF you . File a 2011 tax return . File a 2011 tax return . File a 2011 tax return THEN . File a 2011 tax return . File a 2011 tax return . File a 2011 tax return Elect to deduct research and experimental costs as a current business expense Deduct all research and experimental costs in the first year you pay or incur the costs and all later years. File a 2011 tax return Do not deduct research and experimental costs as a current business expense If you meet the requirements, amortize them over at least 60 months, starting with the month you first receive an economic benefit from the research. File a 2011 tax return See Research and Experimental Costs in chapter 8. File a 2011 tax return Research credit. File a 2011 tax return   If you pay or incur qualified research expenses, you may be able to take the research credit. File a 2011 tax return For more information see Form 6765, Credit for Increasing Research Activities and its instructions. File a 2011 tax return Intangible Drilling Costs The costs of developing oil, gas, or geothermal wells are ordinarily capital expenditures. File a 2011 tax return You can usually recover them through depreciation or depletion. File a 2011 tax return However, you can elect to deduct intangible drilling costs (IDCs) as a current business expense. File a 2011 tax return These are certain drilling and development costs for wells in the United States in which you hold an operating or working interest. File a 2011 tax return You can deduct only costs for drilling or preparing a well for the production of oil, gas, or geothermal steam or hot water. File a 2011 tax return You can elect to deduct only the costs of items with no salvage value. File a 2011 tax return These include wages, fuel, repairs, hauling, and supplies related to drilling wells and preparing them for production. File a 2011 tax return Your cost for any drilling or development work done by contractors under any form of contract is also an IDC. File a 2011 tax return However, see Amounts paid to contractor that must be capitalized , later. File a 2011 tax return You can also elect to deduct the cost of drilling exploratory bore holes to determine the location and delineation of offshore hydrocarbon deposits if the shaft is capable of conducting hydrocarbons to the surface on completion. File a 2011 tax return It does not matter whether there is any intent to produce hydrocarbons. File a 2011 tax return If you do not elect to deduct your IDCs as a current business expense, you can elect to deduct them over the 60-month period beginning with the month they were paid or incurred. File a 2011 tax return Amounts paid to contractor that must be capitalized. File a 2011 tax return   Amounts paid to a contractor must be capitalized if they are either: Amounts properly allocable to the cost of depreciable property, or Amounts paid only out of production or proceeds from production if these amounts are depletable income to the recipient. File a 2011 tax return How to make the election. File a 2011 tax return   You elect to deduct IDCs as a current business expense by taking the deduction on your income tax return for the first tax year you have eligible costs. File a 2011 tax return No formal statement is required. File a 2011 tax return If you file Schedule C (Form 1040), enter these costs under “Other expenses. File a 2011 tax return ”   For oil and gas wells, your election is binding for the year it is made and for all later years. File a 2011 tax return For geothermal wells, your election can be revoked by the filing of an amended return on which you do not take the deduction. File a 2011 tax return You can file the amended return for the year up to the normal time of expiration for filing a claim for credit or refund, generally, within 3 years after the date you filed the original return or within 2 years after the date you paid the tax, whichever is later. File a 2011 tax return Energy credit for costs of geothermal wells. File a 2011 tax return   If you capitalize the drilling and development costs of geothermal wells that you place in service during the tax year, you may be able to claim a business energy credit. File a 2011 tax return See the Instructions for Form 3468 for more information. File a 2011 tax return Nonproductive well. File a 2011 tax return   If you capitalize your IDCs, you have another option if the well is nonproductive. File a 2011 tax return You can deduct the IDCs of the nonproductive well as an ordinary loss. File a 2011 tax return You must indicate and clearly state your election on your tax return for the year the well is completed. File a 2011 tax return Once made, the election for oil and gas wells is binding for all later years. File a 2011 tax return You can revoke your election for a geothermal well by filing an amended return that does not claim the loss. File a 2011 tax return Costs incurred outside the United States. File a 2011 tax return   You cannot deduct as a current business expense all the IDCs paid or incurred for an oil, gas, or geothermal well located outside the United States. File a 2011 tax return However, you can elect to include the costs in the adjusted basis of the well to figure depletion or depreciation. File a 2011 tax return If you do not make this election, you can deduct the costs over the 10-year period beginning with the tax year in which you paid or incurred them. File a 2011 tax return These rules do not apply to a nonproductive well. File a 2011 tax return Exploration Costs The costs of determining the existence, location, extent, or quality of any mineral deposit are ordinarily capital expenditures if the costs lead to the development of a mine. File a 2011 tax return You recover these costs through depletion as the mineral is removed from the ground. File a 2011 tax return However, you can elect to deduct domestic exploration costs paid or incurred before the beginning of the development stage of the mine (except those for oil and gas wells). File a 2011 tax return How to make the election. File a 2011 tax return   You elect to deduct exploration costs by taking the deduction on your income tax return, or on an amended income tax return, for the first tax year for which you wish to deduct the costs paid or incurred during the tax year. File a 2011 tax return Your return must adequately describe and identify each property or mine, and clearly state how much is being deducted for each one. File a 2011 tax return The election applies to the tax year you make this election and all later tax years. File a 2011 tax return Partnerships and S corporations. File a 2011 tax return   Each partner, not the partnership, elects whether to capitalize or to deduct that partner's share of exploration costs. File a 2011 tax return Each shareholder, not the S corporation, elects whether to capitalize or to deduct that shareholder's share of exploration costs. File a 2011 tax return Reduced corporate deductions for exploration costs. File a 2011 tax return   A corporation (other than an S corporation) can deduct only 70% of its domestic exploration costs. File a 2011 tax return It must capitalize the remaining 30% of costs and amortize them over the 60-month period starting with the month the exploration costs are paid or incurred. File a 2011 tax return A corporation may also elect to capitalize and amortize mining exploration costs over a 10-year period. File a 2011 tax return For more information on this method of amortization, see Internal Revenue Code section 59(e). File a 2011 tax return   The 30% the corporation capitalizes cannot be added to its basis in the property to figure cost depletion. File a 2011 tax return However, the amount amortized is treated as additional depreciation and is subject to recapture as ordinary income on a disposition of the property. File a 2011 tax return See Section 1250 Property under Depreciation Recapture in chapter 3 of Publication 544. File a 2011 tax return   These rules also apply to the deduction of development costs by corporations. File a 2011 tax return See Development Costs , later. File a 2011 tax return Recapture of exploration expenses. File a 2011 tax return   When your mine reaches the producing stage, you must recapture any exploration costs you elected to deduct. File a 2011 tax return Use either of the following methods. File a 2011 tax return Method 1—Include the deducted costs in gross income for the tax year the mine reaches the producing stage. File a 2011 tax return Your election must be clearly indicated on the return. File a 2011 tax return Increase your adjusted basis in the mine by the amount included in income. File a 2011 tax return Generally, you must elect this recapture method by the due date (including extensions) of your return. File a 2011 tax return However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Make the election on your amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2” on the form where you are including the income. File a 2011 tax return File the amended return at the same address you filed the original return. File a 2011 tax return Method 2—Do not claim any depletion deduction for the tax year the mine reaches the producing stage and any later tax years until the depletion you would have deducted equals the exploration costs you deducted. File a 2011 tax return   You also must recapture deducted exploration costs if you receive a bonus or royalty from mine property before it reaches the producing stage. File a 2011 tax return Do not claim any depletion deduction for the tax year you receive the bonus or royalty and any later tax years until the depletion you would have deducted equals the exploration costs you deducted. File a 2011 tax return   Generally, if you dispose of the mine before you have fully recaptured the exploration costs you deducted, recapture the balance by treating all or part of your gain as ordinary income. File a 2011 tax return Under these circumstances, you generally treat as ordinary income all of your gain if it is less than your adjusted exploration costs with respect to the mine. File a 2011 tax return If your gain is more than your adjusted exploration costs, treat as ordinary income only a part of your gain, up to the amount of your adjusted exploration costs. File a 2011 tax return Foreign exploration costs. File a 2011 tax return   If you pay or incur exploration costs for a mine or other natural deposit located outside the United States, you cannot deduct all the costs in the current year. File a 2011 tax return You can elect to include the costs (other than for an oil, gas, or geothermal well) in the adjusted basis of the mineral property to figure cost depletion. File a 2011 tax return (Cost depletion is discussed in chapter 9 . File a 2011 tax return ) If you do not make this election, you must deduct the costs over the 10-year period beginning with the tax year in which you pay or incur them. File a 2011 tax return These rules also apply to foreign development costs. File a 2011 tax return Development Costs You can deduct costs paid or incurred during the tax year for developing a mine or any other natural deposit (other than an oil or gas well) located in the United States. File a 2011 tax return These costs must be paid or incurred after the discovery of ores or minerals in commercially marketable quantities. File a 2011 tax return Development costs also include depreciation on improvements used in the development of ores or minerals and costs incurred for you by a contractor. File a 2011 tax return Development costs do not include the costs for the acquisition or improvement of depreciable property. File a 2011 tax return Instead of deducting development costs in the year paid or incurred, you can elect to treat the cost as deferred expenses and deduct them ratably as the units of produced ores or minerals benefited by the expenses are sold. File a 2011 tax return This election applies each tax year to expenses paid or incurred in that year. File a 2011 tax return Once made, the election is binding for the year and cannot be revoked for any reason. File a 2011 tax return How to make the election. File a 2011 tax return   The election to deduct development costs ratably as the ores or minerals are sold must be made for each mine or other natural deposit by a clear indication on your return or by a statement filed with the IRS office where you file your return. File a 2011 tax return Generally, you must make the election by the due date of the return (including extensions). File a 2011 tax return However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Clearly indicate the election on your amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2. File a 2011 tax return ” File the amended return at the same address you filed the original return. File a 2011 tax return Foreign development costs. File a 2011 tax return   The rules discussed earlier for foreign exploration costs apply to foreign development costs. File a 2011 tax return Reduced corporate deductions for development costs. File a 2011 tax return   The rules discussed earlier for reduced corporate deductions for exploration costs also apply to corporate deductions for development costs. File a 2011 tax return Circulation Costs A publisher can deduct as a current business expense the costs of establishing, maintaining, or increasing the circulation of a newspaper, magazine, or other periodical. File a 2011 tax return For example, a publisher can deduct the cost of hiring extra employees for a limited time to get new subscriptions through telephone calls. File a 2011 tax return Circulation costs are deductible even if they normally would be capitalized. File a 2011 tax return This rule does not apply to the following costs that must be capitalized. File a 2011 tax return The purchase of land or depreciable property. File a 2011 tax return The acquisition of circulation through the purchase of any part of the business of another publisher of a newspaper, magazine, or other periodical, including the purchase of another publisher's list of subscribers. File a 2011 tax return Other treatment of circulation costs. File a 2011 tax return   If you do not want to deduct circulation costs as a current business expense, you can elect one of the following ways to recover these costs. File a 2011 tax return Capitalize all circulation costs that are properly chargeable to a capital account (see chapter 1 ). File a 2011 tax return Amortize circulation costs over the 3-year period beginning with the tax year they were paid or incurred. File a 2011 tax return How to make the election. File a 2011 tax return   You elect to capitalize circulation costs by attaching a statement to your return for the first tax year the election applies. File a 2011 tax return Your election is binding for the year it is made and for all later years, unless you get IRS approval to revoke it. File a 2011 tax return Business Start-Up and Organizational Costs Business start-up and organizational costs are generally capital expenditures. File a 2011 tax return However, you can elect to deduct up to $5,000 of business start-up and $5,000 of organizational costs paid or incurred after October 22, 2004. File a 2011 tax return The $5,000 deduction is reduced by the amount your total start-up or organizational costs exceed $50,000. File a 2011 tax return Any remaining costs must be amortized. File a 2011 tax return For information about amortizing start-up and organizational costs, see chapter 8 . File a 2011 tax return Start-up costs include any amounts paid or incurred in connection with creating an active trade or business or investigating the creation or acquisition of an active trade or business. File a 2011 tax return Organizational costs include the costs of creating a corporation. File a 2011 tax return For more information on start-up and organizational costs, see chapter 8 . File a 2011 tax return How to make the election. File a 2011 tax return   You elect to deduct the start-up or organizational costs by claiming the deduction on your income tax return (filed by the due date including extensions) for the tax year in which the active trade or business begins. File a 2011 tax return However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Clearly indicate the election on your amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2. File a 2011 tax return ” File the amended return at the same address you filed the original return. File a 2011 tax return The election applies when computing taxable income for the current tax year and all subsequent years. File a 2011 tax return Reforestation Costs Reforestation costs are generally capital expenditures. File a 2011 tax return However, you can elect to deduct up to $10,000 ($5,000 if married filing separately; $0 for a trust) of qualifying reforestation costs paid or incurred after October 22, 2004, for each qualified timber property. File a 2011 tax return The remaining costs can be amortized over an 84-month period. File a 2011 tax return For information about amortizing reforestation costs, see chapter 8 . File a 2011 tax return Qualifying reforestation costs are the direct costs of planting or seeding for forestation or reforestation. File a 2011 tax return Qualified timber property is property that contains trees in significant commercial quantities. File a 2011 tax return See chapter 8 for more information on qualifying reforestation costs and qualified timber property. File a 2011 tax return If you elect to deduct qualified reforestation costs, create and maintain separate timber accounts for each qualified timber property and include all reforestation costs and the dates each was applied. File a 2011 tax return Do not include this qualified timber property in any account (for example, depletion block) for which depletion is allowed. File a 2011 tax return How to make the election. File a 2011 tax return   You elect to deduct qualifying reforestation costs by claiming the deduction on your timely filed income tax return (including extensions) for the tax year the expenses were paid or incurred. File a 2011 tax return If Form T (Timber), Forest Activities Schedule, is required, complete Part IV of Form T. File a 2011 tax return If Form T is not required, attach a statement containing the following information for each qualified timber property for which an election is being made. File a 2011 tax return The unique stand identification numbers. File a 2011 tax return The total number of acres reforested during the tax year. File a 2011 tax return The nature of the reforestation treatments. File a 2011 tax return The total amounts of qualified reforestation expenditures eligible to be amortized or deducted. File a 2011 tax return   If you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Clearly indicate the election on your amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2. File a 2011 tax return ” File the amended return at the same address you filed the original return. File a 2011 tax return The election applies when computing taxable income for the current tax year and all subsequent years. File a 2011 tax return   For additional information on reforestation costs, see chapter 8 . File a 2011 tax return Recapture. File a 2011 tax return   This deduction may have to be recaptured as ordinary income under section 1245 when you sell or otherwise dispose of the property that would have received an addition to basis if you had not elected to deduct the expenditure. File a 2011 tax return For more information on recapturing the deduction, see Depreciation Recapture in Publication 544. File a 2011 tax return Retired Asset Removal Costs If you retire and remove a depreciable asset in connection with the installation or production of a replacement asset, you can deduct the costs of removing the retired asset. File a 2011 tax return However, if you replace a component (part) of a depreciable asset, capitalize the removal costs if the replacement is an improvement and deduct the costs if the replacement is a repair. File a 2011 tax return Barrier Removal Costs The cost of an improvement to a business asset is normally a capital expense. File a 2011 tax return However, you can elect to deduct the costs of making a facility or public transportation vehicle more accessible to and usable by those who are disabled or elderly. File a 2011 tax return You must own or lease the facility or vehicle for use in connection with your trade or business. File a 2011 tax return A facility is all or any part of buildings, structures, equipment, roads, walks, parking lots, or similar real or personal property. File a 2011 tax return A public transportation vehicle is a vehicle, such as a bus or railroad car, that provides transportation service to the public (including service for your customers, even if you are not in the business of providing transportation services). File a 2011 tax return You cannot deduct any costs that you paid or incurred to completely renovate or build a facility or public transportation vehicle or to replace depreciable property in the normal course of business. File a 2011 tax return Deduction limit. File a 2011 tax return   The most you can deduct as a cost of removing barriers to the disabled and the elderly for any tax year is $15,000. File a 2011 tax return However, you can add any costs over this limit to the basis of the property and depreciate these excess costs. File a 2011 tax return Partners and partnerships. File a 2011 tax return   The $15,000 limit applies to a partnership and also to each partner in the partnership. File a 2011 tax return A partner can allocate the $15,000 limit in any manner among the partner's individually incurred costs and the partner's distributive share of partnership costs. File a 2011 tax return If the partner cannot deduct the entire share of partnership costs, the partnership can add any costs not deducted to the basis of the improved property. File a 2011 tax return   A partnership must be able to show that any amount added to basis was not deducted by the partner and that it was over a partner's $15,000 limit (as determined by the partner). File a 2011 tax return If the partnership cannot show this, it is presumed that the partner was able to deduct the distributive share of the partnership's costs in full. File a 2011 tax return Example. File a 2011 tax return Emilio Azul's distributive share of ABC partnership's deductible expenses for the removal of architectural barriers was $14,000. File a 2011 tax return Emilio had $12,000 of similar expenses in his sole proprietorship. File a 2011 tax return He elected to deduct $7,000 of them. File a 2011 tax return Emilio allocated the remaining $8,000 of the $15,000 limit to his share of ABC's expenses. File a 2011 tax return Emilio can add the excess $5,000 of his own expenses to the basis of the property used in his business. File a 2011 tax return Also, if ABC can show that Emilio could not deduct $6,000 ($14,000 – $8,000) of his share of the partnership's expenses because of how Emilio applied the limit, ABC can add $6,000 to the basis of its property. File a 2011 tax return Qualification standards. File a 2011 tax return   You can deduct your costs as a current expense only if the barrier removal meets the guidelines and requirements issued by the Architectural and Transportation Barriers Compliance Board under the Americans with Disabilities Act (ADA) of 1990. File a 2011 tax return You can view the Americans with Disabilities Act at www. File a 2011 tax return ada. File a 2011 tax return gov/pubs/ada. File a 2011 tax return htm. File a 2011 tax return   The following is a list of some architectural barrier removal costs that can be deducted. File a 2011 tax return Ground and floor surfaces. File a 2011 tax return Walks. File a 2011 tax return Parking lots. File a 2011 tax return Ramps. File a 2011 tax return Entrances. File a 2011 tax return Doors and doorways. File a 2011 tax return Stairs. File a 2011 tax return Floors. File a 2011 tax return Toilet rooms. File a 2011 tax return Water fountains. File a 2011 tax return Public telephones. File a 2011 tax return Elevators. File a 2011 tax return Controls. File a 2011 tax return Signage. File a 2011 tax return Alarms. File a 2011 tax return Protruding objects. File a 2011 tax return Symbols of accessibility. File a 2011 tax return You can find the ADA guidelines and requirements for architectural barrier removal at www. File a 2011 tax return usdoj. File a 2011 tax return gov/crt/ada/reg3a. File a 2011 tax return html. File a 2011 tax return   The costs for removal of transportation barriers from rail facilities, buses, and rapid and light rail vehicles are deductible. File a 2011 tax return You can find the guidelines and requirements for transportation barrier removal at www. File a 2011 tax return fta. File a 2011 tax return dot. File a 2011 tax return gov. File a 2011 tax return   Also, you can access the ADA website at www. File a 2011 tax return ada. File a 2011 tax return gov for additional information. File a 2011 tax return Other barrier removals. File a 2011 tax return   To be deductible, expenses of removing any barrier not covered by the above standards must meet all three of the following tests. File a 2011 tax return The removed barrier must be a substantial barrier to access or use of a facility or public transportation vehicle by persons who have a disability or are elderly. File a 2011 tax return The removed barrier must have been a barrier for at least one major group of persons who have a disability or are elderly (such as people who are blind, deaf, or wheelchair users). File a 2011 tax return The barrier must be removed without creating any new barrier that significantly impairs access to or use of the facility or vehicle by a major group of persons who have a disability or are elderly. File a 2011 tax return How to make the election. File a 2011 tax return   If you elect to deduct your costs for removing barriers to the disabled or the elderly, claim the deduction on your income tax return (partnership return for partnerships) for the tax year the expenses were paid or incurred. File a 2011 tax return Identify the deduction as a separate item. File a 2011 tax return The election applies to all the qualifying costs you have during the year, up to the $15,000 limit. File a 2011 tax return If you make this election, you must maintain adequate records to support your deduction. File a 2011 tax return   For your election to be valid, you generally must file your return by its due date, including extensions. File a 2011 tax return However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). File a 2011 tax return Clearly indicate the election on your amended return and write “Filed pursuant to section 301. File a 2011 tax return 9100-2. File a 2011 tax return ” File the amended return at the same address you filed the original return. File a 2011 tax return Your election is irrevocable after the due date, including extensions, of your return. File a 2011 tax return Disabled access credit. File a 2011 tax return   If you make your business accessible to persons with disabilities and your business is an eligible small business, you may be able to claim the disabled access credit. File a 2011 tax return If you choose to claim the credit, you must reduce the amount you deduct or capitalize by the amount of the credit. File a 2011 tax return   For more information, see Form 8826, Disabled Access Credit. File a 2011 tax return Film and Television Production Costs Film and television production costs are generally capital expenses. File a 2011 tax return However, you can elect to deduct costs paid or incurred for certain productions commencing before January 1, 2014. File a 2011 tax return For more information, see section 181 of the Internal Revenue Code and the related Treasury Regulations. File a 2011 tax return Prev  Up  Next   Home   More Online Publications
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Large Business and International Tax Center

The Large Business and International (LB&I) Division serves corporations, subchapter S corporations, and partnerships with assets greater than $10 million.

LB&I Programs and Resources

Abusive Tax Shelters and Transactions
The Internal Revenue Service has a comprehensive strategy in place to combat abusive tax shelters and transactions.

Coordinated Issue Papers - LB&I
Effective January 21, 2014, all LB&I coordinated issue papers are decoordinated.  See 1/21/14 Directive from LB&I Commissioner Maloy for details.

e-file for Large and Mid-Size Corporations
For tax years ending on or after December 31, 2006, corporations that have assets of $10 Million or more are required to electronically file their 1120/1102S income tax returns.  For tax years ending on or after December 31, 2007, foreign corporations with assets of $10 Million or more are required to electronically file their 1120-F income tax returns.

Industry Issue Resolution Program
The Industry Issue Resolution (IIR) Program resolves frequently disputed or burdensome tax issues. IRS solicits suggestions for issues for the program from taxpayers, representatives and associations.

LB&I Industry Director Guidance
LB&I Directives provide industry-related and administrative guidance to LB&I examiners to ensure consistent tax administration. The Directives do not establish Service position on legal issues and are not legal guidance.

Pre-Filing Agreement Program
The Pre-Filing Agreement Program is expected to reduce taxpayer burden and make more effective use of IRS resources by resolving or eliminating tax controversy earlier in the examination process.

Schedule M-3 for Reconciling Book to Tax Income
The Treasury Department and IRS are implementing Schedule M-3, “Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More”.
 

Page Last Reviewed or Updated: 18-Mar-2014

The File A 2011 Tax Return

File a 2011 tax return Part One -   The Income Tax Return The four chapters in this part provide basic information on the tax system. File a 2011 tax return They take you through the first steps of filling out a tax return—such as deciding what your filing status is, how many exemptions you can take, and what form to file. File a 2011 tax return They also discuss recordkeeping requirements, IRS e-file (electronic filing), certain penalties, and the two methods used to pay tax during the year: withholding and estimated tax. File a 2011 tax return Table of Contents 1. File a 2011 tax return   Filing InformationWhat's New Reminders Introduction Do I Have To File a Return?Individuals—In General Dependents Certain Children Under Age 19 or Full-Time Students Self-Employed Persons Aliens Who Should File Which Form Should I Use?Form 1040EZ Form 1040A Form 1040 Does My Return Have To Be on Paper?IRS e-file When Do I Have To File?Private delivery services. File a 2011 tax return Extensions of Time To File How Do I Prepare My Return?When Do I Report My Income and Expenses? Social Security Number (SSN) Presidential Election Campaign Fund Computations Attachments Third Party Designee Signatures Paid Preparer Refunds Amount You Owe Gift To Reduce Debt Held by the Public Name and Address Where Do I File? What Happens After I File?What Records Should I Keep? Why Keep Records? Kinds of Records to Keep Basic Records How Long to Keep Records Refund Information Interest on Refunds Change of Address What If I Made a Mistake?Amended Returns and Claims for Refund Penalties Identity Theft 2. File a 2011 tax return   Filing StatusWhat's New Introduction Useful Items - You may want to see: Marital StatusDivorced persons. File a 2011 tax return Divorce and remarriage. File a 2011 tax return Annulled marriages. File a 2011 tax return Head of household or qualifying widow(er) with dependent child. File a 2011 tax return Considered married. File a 2011 tax return Same-sex marriage. File a 2011 tax return Spouse died during the year. File a 2011 tax return Married persons living apart. File a 2011 tax return Single Married Filing JointlyFiling a Joint Return Married Filing SeparatelySpecial Rules Head of HouseholdConsidered Unmarried Keeping Up a Home Qualifying Person Qualifying Widow(er) With Dependent Child 3. File a 2011 tax return   Personal Exemptions and DependentsWhat's New Introduction Useful Items - You may want to see: ExemptionsPersonal Exemptions Exemptions for Dependents Qualifying Child Qualifying Relative Phaseout of Exemptions Social Security Numbers for DependentsBorn and died in 2013. File a 2011 tax return Taxpayer identification numbers for aliens. File a 2011 tax return Taxpayer identification numbers for adoptees. File a 2011 tax return 4. File a 2011 tax return   Tax Withholding and Estimated TaxWhat's New for 2014 Reminders Introduction Useful Items - You may want to see: Tax Withholding for 2014Salaries and Wages Tips Taxable Fringe Benefits Sick Pay Pensions and Annuities Gambling Winnings Unemployment Compensation Federal Payments Backup Withholding Estimated Tax for 2014Who Does Not Have To Pay Estimated Tax Who Must Pay Estimated Tax How To Figure Estimated Tax When To Pay Estimated Tax How To Figure Each Payment How To Pay Estimated Tax Credit for Withholding and Estimated Tax for 2013Withholding Estimated Tax Underpayment Penalty for 2013 Prev  Up  Next   Home   More Online Publications