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Free Efile 1040ez

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Free Efile 1040ez

Free efile 1040ez Publication 15-T - Main Content Table of Contents Introduction Notice to Employers Withholding Income Taxes on the Wages of Nonresident Alien Employees Increased Exclusion Amount for Combined Commuter Highway Vehicle Transportation and Transit Passes How To Use the Income Tax Withholding and Advance Earned Income Credit (EIC) Payment TablesIncome Tax Withholding Advance Payment Methods for the Earned Income Credit (EIC) Whole-Dollar Withholding and Paying Advance EIC (Rounding) Alternative Methods for Figuring WithholdingTerm of continuous employment. Free efile 1040ez Formula Tables for Percentage Method Withholding (for Automated Payroll Systems) Wage Bracket Percentage Method Tables (for Automated Payroll Systems) Combined Income Tax, Employee Social Security Tax, and Employee Medicare Tax Withholding Tables Introduction This publication contains the new income tax withholding percentage and wage bracket method tables. Free efile 1040ez It also includes the revised advance earned income credit (EIC) payment percentage and wage bracket method tables. Free efile 1040ez The revised formula percentage method, wage bracket percentage method, and combined withholding tables are also found in this publication. Free efile 1040ez Publication 15-T should be used by employers in conjunction with the information in Publication 15 (Circular E), Employer's Tax Guide. Free efile 1040ez Agricultural employers who use Publication 51 (Circular A), Agricultural Employer's Tax Guide, should also use these tables in lieu of the corresponding tables in Publication 51, and use Publication 15-T in conjunction with the information in Publication 51. Free efile 1040ez Likewise, updated tables are included for Publication 15-A, Employer's Supplemental Tax Guide. Free efile 1040ez For the calculation of income tax withholding on pensions, the new withholding tables also apply. Free efile 1040ez These new tables have been developed due to changes to the tax law made in the American Recovery and Reinvestment Act of 2009. Free efile 1040ez The IRS asks that employers begin using these tables in lieu of the applicable previously published tables as soon as possible, but no later than April 1, 2009. Free efile 1040ez Because this publication combines withholding tables from both the Publication 15 (Circular E), Publication 51 (Circular A), and Publication 15-A, your applicable table may be on a different page from that shown in those publications. Free efile 1040ez Notice to Employers Make the notice on page 73 available to employees so that they will be aware of how the new law affects their withholding. Free efile 1040ez A copy of Form W-4, Employee's Withholding Allowance Certificate, is included on pages 71 and 72. Free efile 1040ez Employees do not need to fill out a new Form W-4. Free efile 1040ez These new tables have been developed to apply for withholding for all employees and to take into account all current tax provisions. Free efile 1040ez Employees may submit a new Form W-4 to ensure that the correct amount of tax is being withheld from their pay. Free efile 1040ez Note: The 2009 Form W-4 and the Tables for Withholding on Distributions of Indian Gaming Profits to Tribal Members found on page 58 of Publication 15-A are not being revised. Free efile 1040ez Withholding Income Taxes on the Wages of Nonresident Alien Employees In general, you must withhold federal income taxes on the wages of nonresident alien employees. Free efile 1040ez However, see Publication 515, Withholding of Tax on Nonresident Aliens and Foreign Entities, for exceptions to this general rule. Free efile 1040ez You must add an amount as set forth in the chart below to the nonresident alien's wages solely for calculating the income tax withholding for each payroll period. Free efile 1040ez You determine the amount to be withheld by applying the income tax withholding tables to the amount of wages paid plus the additional chart amount. Free efile 1040ez For more information, see Notice 2005-76, 2005-46 I. Free efile 1040ez R. Free efile 1040ez B. Free efile 1040ez 947, available at www. Free efile 1040ez irs. Free efile 1040ez gov/irb/2005-46_IRB/ar10. Free efile 1040ez html. Free efile 1040ez As the new withholding tables were developed due to changes to the tax law made by the American Recovery and Reinvestment Act of 2009, the amount to add to a nonresident alien employee's wages for calculating income tax withholding only has been increased. Free efile 1040ez See the chart below for these increased amounts. Free efile 1040ez Nonresident alien students from India and business apprentices from India are not subject to this procedure. Free efile 1040ez The amount to be added to the nonresident alien's wages to calculate income tax withholding is set forth in the following chart. Free efile 1040ez Amount to Add to Nonresident Alien Employee's Wages for Calculating Income Tax Withholding Only Payroll Period Add Additional   Weekly $138. Free efile 1040ez 00   Biweekly 276. Free efile 1040ez 00   Semimonthly 299. Free efile 1040ez 00   Monthly 598. Free efile 1040ez 00   Quarterly 1,795. Free efile 1040ez 00   Semiannually 3,590. Free efile 1040ez 00   Annually 7,180. Free efile 1040ez 00   Daily or Miscellaneous(each day of the payroll period) 27. Free efile 1040ez 60   The amounts added under this chart are added to wages solely for calculating income tax withholding on the wages of the nonresident alien employee. Free efile 1040ez These chart amounts should not be included in any box on the employee's Form W-2, Wage and Tax Statement, and do not increase the income tax liability of the employee. Free efile 1040ez Also, these chart amounts do not increase the social security, Medicare, or Federal Unemployment Tax Act (FUTA) tax liability of the employer or the employee. Free efile 1040ez This procedure only applies to nonresident alien employees who have wages subject to income tax withholding. Free efile 1040ez Note. Free efile 1040ez The following example will deal with the new withholding tables only. Free efile 1040ez For withholding on wages to nonresident alien employees before the new withholding tables were implemented (after February 17, 2009, but not later than April 1, 2009), see Withholding income taxes on wages of nonresident alien employees in section 9 of Publication 15 (Circular E). Free efile 1040ez Example. Free efile 1040ez An employer using the percentage method of withholding pays wages of $500 for a biweekly payroll period to a married nonresident alien employee. Free efile 1040ez The nonresident alien has properly completed Form W-4, entering marital status as “single” with one withholding allowance and indicating status as a nonresident alien on line 6 of Form W-4 (see page 71). Free efile 1040ez The employer determines the wages to be used in the withholding tables by adding to the $500 amount of wages paid the amount of $276 from the chart above ($776 total). Free efile 1040ez The employer then applies the applicable table (Table 2(a), the table for biweekly payroll period, single persons) by subtracting the applicable percentage method amount for one withholding allowance for a biweekly payroll period from $776 and making the calculations according to the table. Free efile 1040ez The $276 added to wages for purposes of calculating income tax withholding is not reported on Form W-2, and does not increase the income tax liability of the employee. Free efile 1040ez The $276 added amount also does not affect the social security tax, Medicare tax, or FUTA tax liability of the employer or the employee. Free efile 1040ez Increased Exclusion Amount for Combined Commuter Highway Vehicle Transportation and Transit Passes Effective March 2009, the monthly exclusion for combined commuter highway vehicle transportation and transit passes increases to $230 through December 2009. Free efile 1040ez This increase is based on a change in the tax law made in the American Recovery and Reinvestment Act of 2009. Free efile 1040ez How To Use the Income Tax Withholding and Advance Earned Income Credit (EIC) Payment Tables Income Tax Withholding There are several ways to figure income tax withholding. Free efile 1040ez The following methods of withholding are based on the information that you get from your employees on Form W-4, Employee's Withholding Allowance Certificate. Free efile 1040ez See section 9 of Publication 15 (Circular E) for more information on Form W-4. Free efile 1040ez Adjustments are not required when there will be more than the usual number of pay periods, for example, 27 biweekly pay dates instead of 26. Free efile 1040ez Wage Bracket Method Under the wage bracket method, find the proper table (on pages 7-26) for your payroll period and the employee's marital status as shown on his or her Form W-4. Free efile 1040ez Then, based on the number of withholding allowances claimed on the Form W-4 and the amount of wages, find the amount of federal tax to withhold. Free efile 1040ez If your employee is claiming more than 10 withholding allowances, see below. Free efile 1040ez If you cannot use the wage bracket tables because wages exceed the amount shown in the last bracket of the table, use the percentage method of withholding described below. Free efile 1040ez Be sure to reduce wages by the amount of total withholding allowances in Table 1 on this page before using the percentage method tables (pages 5-6). Free efile 1040ez Adjusting wage bracket withholding for employees claiming more than 10 withholding allowances. Free efile 1040ez   The wage bracket tables can be used if an employee claims up to 10 allowances. Free efile 1040ez More than 10 allowances may be claimed because of the special withholding allowance, additional allowances for deductions and credits, and the system itself. Free efile 1040ez   Adapt the tables to more than 10 allowances as follows: Multiply the number of withholding allowances over 10 by the allowance value for the payroll period. Free efile 1040ez The allowance values are in Table 1, Percentage Method—2009 Amount for One Withholding Allowance, later. Free efile 1040ez Subtract the result from the employee's wages. Free efile 1040ez On this amount, find and withhold the tax in the column for 10 allowances. Free efile 1040ez   This is a voluntary method. Free efile 1040ez If you use the wage bracket tables, you may continue to withhold the amount in the “10” column when your employee has more than 10 allowances, using the method above. Free efile 1040ez You can also use any other method described below. Free efile 1040ez Percentage Method If you do not want to use the wage bracket tables on pages 7-26 to figure how much income tax to withhold, you can use a percentage computation based on Table 1 below and the appropriate rate table. Free efile 1040ez This method works for any number of withholding allowances the employee claims and any amount of wages. Free efile 1040ez Use these steps to figure the income tax to withhold under the percentage method. Free efile 1040ez Multiply one withholding allowance for your payroll period (see Table 1 below) by the number of allowances that the employee claims. Free efile 1040ez Subtract that amount from the employee's wages. Free efile 1040ez Determine the amount to withhold from the appropriate table on page 5 or 6. Free efile 1040ez Table 1. Free efile 1040ez Percentage Method—2009 Amount for One Withholding Allowance Payroll Period One Withholding Allowance Weekly $70. Free efile 1040ez 19 Biweekly 140. Free efile 1040ez 38 Semimonthly 152. Free efile 1040ez 08 Monthly 304. Free efile 1040ez 17 Quarterly 912. Free efile 1040ez 50 Semiannually 1,825. Free efile 1040ez 00 Annually 3,650. Free efile 1040ez 00 Daily or miscellaneous (each day of the payroll period) 14. Free efile 1040ez 04 Example. Free efile 1040ez   An unmarried employee is paid $600 weekly. Free efile 1040ez This employee has in effect a Form W-4 claiming two withholding allowances. Free efile 1040ez Using the percentage method, figure the income tax to withhold as follows: 1. Free efile 1040ez Total wage payment   $600. Free efile 1040ez 00 2. Free efile 1040ez One allowance $70. Free efile 1040ez 19   3. Free efile 1040ez Allowances claimed on Form W-4 2   4. Free efile 1040ez Multiply line 2 by line 3   $140. Free efile 1040ez 38 5 Amount subject to withholding (subtract line 4 from line 1)   $459. Free efile 1040ez 62 6. Free efile 1040ez Tax to be withheld on $459. Free efile 1040ez 62 from Table 1(a)—single person, page 5   $45. Free efile 1040ez 14      To figure the income tax to withhold, you may reduce the last digit of the wages to zero, or figure the wages to the nearest dollar. Free efile 1040ez Annual income tax withholding. Free efile 1040ez   Figure the income tax to withhold on annual wages under the Percentage Method for an annual payroll period. Free efile 1040ez Then prorate the tax back to the payroll period. Free efile 1040ez Example. Free efile 1040ez A married person claims four withholding allowances. Free efile 1040ez She is paid $1,000 a week. Free efile 1040ez Multiply the weekly wages by 52 weeks to figure the annual wage of $52,000. Free efile 1040ez Subtract $14,600 (the value of four withholding allowances for 2009) for a balance of $37,400. Free efile 1040ez Using the table for the annual payroll period (Table 7(b)) on page 6, $2,812. Free efile 1040ez 50 is withheld. Free efile 1040ez Divide the annual tax by 52. Free efile 1040ez The weekly income tax to withhold is $54. Free efile 1040ez 09. Free efile 1040ez Alternative Methods of Income Tax Withholding Rather than the Wage Bracket Method or Percentage Method described above, you can use an alternative method to withhold income tax. Free efile 1040ez Alternative Methods for Figuring Withholding on page 36 describes some of these alternative methods and contains: Formula tables for percentage method withholding (for automated payroll systems), Wage bracket percentage method tables (for automated payroll systems), and Combined income, social security, and Medicare tax withholding tables. Free efile 1040ez Additional alternative methods explained on page 36 are annualized wages, average estimated wages, cumulative wages, and part-year employment. Free efile 1040ez Advance Payment Methods for the Earned Income Credit (EIC) To figure the advance EIC payment, you may use either the Wage Bracket Method or the Percentage Method as explained below. Free efile 1040ez You may use other methods for figuring advance EIC payments if the amount of the payment is about the same as it would be using tables in this booklet. Free efile 1040ez See the tolerances allowed in the chart in Other methods on page 36. Free efile 1040ez See also section 10 in Publication 15 (Circular E) for an explanation of the advance payment of the EIC. Free efile 1040ez The number of withholding allowances that an employee claims on Form W-4 is not used in figuring the advance EIC payment. Free efile 1040ez Nor does it matter that the employee has claimed exemption from income tax withholding on Form W-4. Free efile 1040ez Wage Bracket Method If you use the wage bracket tables on pages 29-35, figure the advance EIC payment as follows. Free efile 1040ez Find the employee's gross wages before any deductions using the appropriate table. Free efile 1040ez There are different tables for (a) single or head of household, (b) married without spouse filing certificate, and (c) married with both spouses filing certificates. Free efile 1040ez Determine the amount of the advance EIC payment shown in the appropriate table for the amount of wages paid. Free efile 1040ez Percentage Method If you do not want to use the wage bracket tables to figure how much to include in an employee's wages for the advance EIC payment, you can use the percentage method based on the appropriate rate table on pages 27 and 28. Free efile 1040ez Find the employee's gross wages before any deductions in the appropriate table on pages 27 and 28. Free efile 1040ez There are different tables for (a) single or head of household, (b) married without spouse filing certificate, and (c) married with both spouses filing certificates. Free efile 1040ez Find the advance EIC payment shown in the appropriate table for the amount of wages paid. Free efile 1040ez Whole-Dollar Withholding and Paying Advance EIC (Rounding) The income tax withholding amounts in the wage bracket tables (pages 7-26) have been rounded to whole-dollar amounts. Free efile 1040ez When employers use the percentage method tables (pages 5-6) or an alternative method of income tax withholding table, the tax for the pay period may be rounded to the nearest dollar. Free efile 1040ez The wage bracket tables for advance EIC payments (pages 29-35) have also been rounded to whole-dollar amounts. Free efile 1040ez If you use the tables for percentage method of advance EIC payments (pages 27-28), the payments may be rounded to the nearest dollar. Free efile 1040ez Tables for Percentage Method of Withholding (For Wages Paid Through December 2009) TABLE 1—WEEKLY Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholding allowances) is:   The amount of incometax to withhold is: Not over $138 $0   Not over $303 $0   Over— But not over— of excess over— Over— But not over— of excess over— $138 —$200   10% —$138 $303 —$470   10% —$303 $200 —$696   $6. Free efile 1040ez 20 plus 15% —$200 $470 —$1,455   $16. Free efile 1040ez 70 plus 15% —$470 $696 —$1,279   $80. Free efile 1040ez 60 plus 25% —$696 $1,455 —$2,272   $164. Free efile 1040ez 45 plus 25% —$1,455 $1,279 —$3,338   $226. Free efile 1040ez 35 plus 28% —$1,279 $2,272 —$4,165   $368. Free efile 1040ez 70 plus 28% —$2,272 $3,338 —$7,212   $802. Free efile 1040ez 87 plus 33% —$3,338 $4,165 —$7,321   $898. Free efile 1040ez 74 plus 33% —$4,165 $7,212 $2,081. Free efile 1040ez 29 plus 35% —$7,212 $7,321 $1,940. Free efile 1040ez 22 plus 35% —$7,321 TABLE 2—BIWEEKLY Payroll Period       (a) SINGLE person (including head of household)—   (b) MARRIED person— If the amount of wages (after subtracting withholdingallowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholdingallowances) is: The amount of incometax to withhold is:   Not over $276 $0   Not over $606 $0   Over— But not over— of excess over— Over— But not over— of excess over— $276 —$400   10% —$276 $606 —$940   10% —$606 $400 —$1,392   $12. Free efile 1040ez 40 plus 15% —$400 $940 —$2,910   $33. Free efile 1040ez 40 plus 15% —$940 $1,392 —$2,559   $161. Free efile 1040ez 20 plus 25% —$1,392 $2,910 —$4,543   $328. Free efile 1040ez 90 plus 25% —$2,910 $2,559 —$6,677   $452. Free efile 1040ez 95 plus 28% —$2,559 $4,543 —$8,331   $737. Free efile 1040ez 15 plus 28% —$4,543 $6,677 —$14,423   $1,605. Free efile 1040ez 99 plus 33% —$6,677 $8,331 —$14,642   $1,797. Free efile 1040ez 79 plus 33% —$8,331 $14,423 $4,162. Free efile 1040ez 17 plus 35% —$14,423 $14,642 $3,880. Free efile 1040ez 42 plus 35% —$14,642 TABLE 3—SEMIMONTHLY Payroll Period       (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholding allowances) is:   The amount of incometax to withhold is: Not over $299 $0   Not over $656 $0   Over— But not over— of excess over— Over— But not over— of excess over— $299 —$433   10% —$299 $656 —$1,019   10% —$656 $433 —$1,508   $13. Free efile 1040ez 40 plus 15% —$433 $1,019 —$3,152   $36. Free efile 1040ez 30 plus 15% —$1,019 $1,508 —$2,772   $174. Free efile 1040ez 65 plus 25% —$1,508 $3,152 —$4,922   $356. Free efile 1040ez 25 plus 25% —$3,152 $2,772 —$7,233   $490. Free efile 1040ez 65 plus 28% —$2,772 $4,922 —$9,025   $798. Free efile 1040ez 75 plus 28% —$4,922 $7,233 —$15,625   $1,739. Free efile 1040ez 73 plus 33% —$7,233 $9,025 —$15,863   $1,947. Free efile 1040ez 59 plus 33% —$9,025 $15,625   $4,509. Free efile 1040ez 09 plus 35% —$15,625 $15,863   $4,204. Free efile 1040ez 13 plus 35% —$15,863 TABLE 4—MONTHLY Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholdingallowances) is: The amount of incometax to withhold is: Not over $598 $0   Not over $1,313 $0   Over— But not over— of excess over— Over— But not over— of excess over— $598 —$867   10% —$598 $1,313 —$2,038   10% —$1,313 $867 —$3,017   $26. Free efile 1040ez 90 plus 15% —$867 $2,038 —$6,304   $72. Free efile 1040ez 50 plus 15% —$2,038 $3,017 —$5,544   $349. Free efile 1040ez 40 plus 25% —$3,017 $6,304 —$9,844   $712. Free efile 1040ez 40 plus 25% —$6,304 $5,544 —$14,467   $981. Free efile 1040ez 15 plus 28% —$5,544 $9,844 —$18,050   $1,597. Free efile 1040ez 40 plus 28% —$9,844 $14,467 —$31,250   $3,479. Free efile 1040ez 59 plus 33% —$14,467 $18,050 —$31,725   $3,895. Free efile 1040ez 08 plus 33% —$18,050 $31,250 $9,017. Free efile 1040ez 98 plus 35% —$31,250 $31,725 $8,407. Free efile 1040ez 83 plus 35% —$31,725 Tables for Percentage Method of Withholding (continued) (For Wages Paid Through December 2009) TABLE 5—QUARTERLY Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholding allowances) is:   The amount of incometax to withhold is: Not over $1,795 $0   Not over $3,938 $0   Over— But not over— of excess over— Over— But not over— of excess over— $1,795 —$2,600   10% —$1,795 $3,938 —$6,113   10% —$3,938 $2,600 —$9,050   $80. Free efile 1040ez 50 plus 15% —$2,600 $6,113 —$18,913   $217. Free efile 1040ez 50 plus 15% —$6,113 $9,050 —$16,633   $1,048. Free efile 1040ez 00 plus 25% —$9,050 $18,913 —$29,533   $2,137. Free efile 1040ez 50 plus 25% —$18,913 $16,633 —$43,400   $2,943. Free efile 1040ez 75 plus 28% —$16,633 $29,533 —$54,150   $4,792. Free efile 1040ez 50 plus 28% —$29,533 $43,400 —$93,750   $10,438. Free efile 1040ez 51 plus 33% —$43,400 $54,150 —$95,175   $11,685. Free efile 1040ez 26 plus 33% —$54,150 $93,750 $27,054. Free efile 1040ez 01 plus 35% —$93,750 $95,175 $25,223. Free efile 1040ez 51 plus 35% —$95,175 TABLE 6—SEMIANNUAL Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholdingallowances) is: The amount of incometax to withhold is: Not over $3,590 $0   Not over $7,875 $0   Over— But not over— of excess over— Over— But not over— of excess over— $3,590 —$5,200   10% —$3,590 $7,875 —$12,225   10% —$7,875 $5,200 —$18,100   $161. Free efile 1040ez 00 plus 15% —$5,200 $12,225 —$37,825   $435. Free efile 1040ez 00 plus 15% —$12,225 $18,100 —$33,265   $2,096. Free efile 1040ez 00 plus 25% —$18,100 $37,825 —$59,065   $4,275. Free efile 1040ez 00 plus 25% —$37,825 $33,265 —$86,800   $5,887. Free efile 1040ez 25 plus 28% —$33,265 $59,065 —$108,300   $9,585. Free efile 1040ez 00 plus 28% —$59,065 $86,800 —$187,500   $20,877. Free efile 1040ez 05 plus 33% —$86,800 $108,300 —$190,350   $23,370. Free efile 1040ez 80 plus 33% —$108,300 $187,500 $54,108. Free efile 1040ez 05 plus 35% —$187,500 $190,350 $50,447. Free efile 1040ez 30 plus 35% —$190,350 TABLE 7—ANNUAL Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) is: The amount of income taxto withhold is: If the amount of wages (after subtracting withholdingallowances) is: The amount of incometax to withhold is: Not over $7,180 $0   Not over $15,750 $0   Over— But not over— of excess over— Over— But not over— of excess over— $7,180 —$10,400   10% —$7,180 $15,750 —$24,450   10% —$15,750 $10,400 —$36,200   $322. Free efile 1040ez 00 plus 15% —$10,400 $24,450 —$75,650   $870. Free efile 1040ez 00 plus 15% —$24,450 $36,200 —$66,530   $4,192. Free efile 1040ez 00 plus 25% —$36,200 $75,650 —$118,130   $8,550. Free efile 1040ez 00 plus 25% —$75,650 $66,530 —$173,600   $11,774. Free efile 1040ez 50 plus 28% —$66,530 $118,130 —$216,600   $19,170. Free efile 1040ez 00 plus 28% —$118,130 $173,600 —$375,000   $41,754. Free efile 1040ez 10 plus 33% —$173,600 $216,600 —$380,700   $46,741. Free efile 1040ez 60 plus 33% —$216,600 $375,000 $108,216. Free efile 1040ez 10 plus 35% —$375,000 $380,700 $100,894. Free efile 1040ez 60 plus 35% —$380,700 TABLE 8—DAILY or MISCELLANEOUS Payroll Period   (a) SINGLE person (including head of household)— (b) MARRIED person— If the amount of wages (after subtracting withholding allowances) divided by the number of days in the payroll period is: The amount of income taxto withhold per day is: If the amount of wages (after subtracting withholding allowances) divided by the number of days in the payroll period is: The amount of incometax to withhold per day is: Not over $27. Free efile 1040ez 60 $0   Not over $60. Free efile 1040ez 60 $0   Over— But not over— of excess over— Over— But not over— of excess over— $27. Free efile 1040ez 60 —$40. Free efile 1040ez 00   10% —$27. Free efile 1040ez 60 $60. Free efile 1040ez 60 —$94. Free efile 1040ez 00   10% —$60. Free efile 1040ez 60 $40. Free efile 1040ez 00 —$139. Free efile 1040ez 20   $1. Free efile 1040ez 24 plus 15% —$40. Free efile 1040ez 00 $94. Free efile 1040ez 00 —$291. Free efile 1040ez 00   $3. Free efile 1040ez 34 plus 15% —$94. Free efile 1040ez 00 $139. Free efile 1040ez 20 —$255. Free efile 1040ez 90   $16. Free efile 1040ez 12 plus 25% —$139. Free efile 1040ez 20 $291. Free efile 1040ez 00 —$454. Free efile 1040ez 30   $32. Free efile 1040ez 89 plus 25% —$291. Free efile 1040ez 00 $255. Free efile 1040ez 90 —$667. Free efile 1040ez 70   $45. Free efile 1040ez 30 plus 28% —$255. Free efile 1040ez 90 $454. Free efile 1040ez 30 —$833. Free efile 1040ez 10   $73. Free efile 1040ez 72 plus 28% —$454. Free efile 1040ez 30 $667. Free efile 1040ez 70 —$1,442. Free efile 1040ez 30   $160. Free efile 1040ez 60 plus 33% —$667. Free efile 1040ez 70 $833. Free efile 1040ez 10 —$1,464. Free efile 1040ez 20   $179. Free efile 1040ez 78 plus 33% —$833. Free efile 1040ez 10 $1,442. Free efile 1040ez 30 $416. Free efile 1040ez 22 plus 35% —$1,442. Free efile 1040ez 30 $1,464. Free efile 1040ez 20 $388. Free efile 1040ez 04 plus 35% —$1,464. Free efile 1040ez 20 SINGLE Persons—WEEKLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $145 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 145 150 1 0 0 0 0 0 0 0 0 0 0 150 155 1 0 0 0 0 0 0 0 0 0 0 155 160 2 0 0 0 0 0 0 0 0 0 0 160 165 2 0 0 0 0 0 0 0 0 0 0 165 170 3 0 0 0 0 0 0 0 0 0 0 170 175 3 0 0 0 0 0 0 0 0 0 0 175 180 4 0 0 0 0 0 0 0 0 0 0 180 185 4 0 0 0 0 0 0 0 0 0 0 185 190 5 0 0 0 0 0 0 0 0 0 0 190 195 5 0 0 0 0 0 0 0 0 0 0 195 200 6 0 0 0 0 0 0 0 0 0 0 200 210 7 0 0 0 0 0 0 0 0 0 0 210 220 8 1 0 0 0 0 0 0 0 0 0 220 230 10 2 0 0 0 0 0 0 0 0 0 230 240 11 3 0 0 0 0 0 0 0 0 0 240 250 13 4 0 0 0 0 0 0 0 0 0 250 260 14 5 0 0 0 0 0 0 0 0 0 260 270 16 6 0 0 0 0 0 0 0 0 0 270 280 17 7 0 0 0 0 0 0 0 0 0 280 290 19 8 1 0 0 0 0 0 0 0 0 290 300 20 10 2 0 0 0 0 0 0 0 0 300 310 22 11 3 0 0 0 0 0 0 0 0 310 320 23 13 4 0 0 0 0 0 0 0 0 320 330 25 14 5 0 0 0 0 0 0 0 0 330 340 26 16 6 0 0 0 0 0 0 0 0 340 350 28 17 7 0 0 0 0 0 0 0 0 350 360 29 19 8 1 0 0 0 0 0 0 0 360 370 31 20 10 2 0 0 0 0 0 0 0 370 380 32 22 11 3 0 0 0 0 0 0 0 380 390 34 23 13 4 0 0 0 0 0 0 0 390 400 35 25 14 5 0 0 0 0 0 0 0 400 410 37 26 16 6 0 0 0 0 0 0 0 410 420 38 28 17 7 0 0 0 0 0 0 0 420 430 40 29 19 8 1 0 0 0 0 0 0 430 440 41 31 20 10 2 0 0 0 0 0 0 440 450 43 32 22 11 3 0 0 0 0 0 0 450 460 44 34 23 13 4 0 0 0 0 0 0 460 470 46 35 25 14 5 0 0 0 0 0 0 470 480 47 37 26 16 6 0 0 0 0 0 0 480 490 49 38 28 17 7 0 0 0 0 0 0 490 500 50 40 29 19 8 1 0 0 0 0 0 500 510 52 41 31 20 10 2 0 0 0 0 0 510 520 53 43 32 22 11 3 0 0 0 0 0 520 530 55 44 34 23 13 4 0 0 0 0 0 530 540 56 46 35 25 14 5 0 0 0 0 0 540 550 58 47 37 26 16 6 0 0 0 0 0 550 560 59 49 38 28 17 7 0 0 0 0 0 560 570 61 50 40 29 19 8 1 0 0 0 0 570 580 62 52 41 31 20 10 2 0 0 0 0 580 590 64 53 43 32 22 11 3 0 0 0 0 590 600 65 55 44 34 23 13 4 0 0 0 0 600 610 67 56 46 35 25 14 5 0 0 0 0 610 620 68 58 47 37 26 16 6 0 0 0 0 620 630 70 59 49 38 28 17 7 0 0 0 0 630 640 71 61 50 40 29 19 8 1 0 0 0 640 650 73 62 52 41 31 20 10 2 0 0 0 650 660 74 64 53 43 32 22 11 3 0 0 0 660 670 76 65 55 44 34 23 13 4 0 0 0 670 680 77 67 56 46 35 25 14 5 0 0 0 680 690 79 68 58 47 37 26 16 6 0 0 0 690 700 80 70 59 49 38 28 17 7 0 0 0 700 710 83 71 61 50 40 29 19 8 1 0 0 710 720 85 73 62 52 41 31 20 10 2 0 0 720 730 88 74 64 53 43 32 22 11 3 0 0 730 740 90 76 65 55 44 34 23 13 4 0 0 740 750 93 77 67 56 46 35 25 14 5 0 0 750 760 95 79 68 58 47 37 26 16 6 0 0 760 770 98 80 70 59 49 38 28 17 7 0 0 770 780 100 83 71 61 50 40 29 19 8 1 0 $780 $790 $103 $85 $73 $62 $52 $41 $31 $20 $10 $2 $0 790 800 105 88 74 64 53 43 32 22 11 3 0 800 810 108 90 76 65 55 44 34 23 13 4 0 810 820 110 93 77 67 56 46 35 25 14 5 0 820 830 113 95 79 68 58 47 37 26 16 6 0 830 840 115 98 80 70 59 49 38 28 17 7 0 840 850 118 100 83 71 61 50 40 29 19 8 1 850 860 120 103 85 73 62 52 41 31 20 10 2 860 870 123 105 88 74 64 53 43 32 22 11 3 870 880 125 108 90 76 65 55 44 34 23 13 4 880 890 128 110 93 77 67 56 46 35 25 14 5 890 900 130 113 95 79 68 58 47 37 26 16 6 900 910 133 115 98 80 70 59 49 38 28 17 7 910 920 135 118 100 83 71 61 50 40 29 19 8 920 930 138 120 103 85 73 62 52 41 31 20 10 930 940 140 123 105 88 74 64 53 43 32 22 11 940 950 143 125 108 90 76 65 55 44 34 23 13 950 960 145 128 110 93 77 67 56 46 35 25 14 960 970 148 130 113 95 79 68 58 47 37 26 16 970 980 150 133 115 98 80 70 59 49 38 28 17 980 990 153 135 118 100 83 71 61 50 40 29 19 990 1,000 155 138 120 103 85 73 62 52 41 31 20 1,000 1,010 158 140 123 105 88 74 64 53 43 32 22 1,010 1,020 160 143 125 108 90 76 65 55 44 34 23 1,020 1,030 163 145 128 110 93 77 67 56 46 35 25 1,030 1,040 165 148 130 113 95 79 68 58 47 37 26 1,040 1,050 168 150 133 115 98 80 70 59 49 38 28 1,050 1,060 170 153 135 118 100 83 71 61 50 40 29 1,060 1,070 173 155 138 120 103 85 73 62 52 41 31 1,070 1,080 175 158 140 123 105 88 74 64 53 43 32 1,080 1,090 178 160 143 125 108 90 76 65 55 44 34 1,090 1,100 180 163 145 128 110 93 77 67 56 46 35 1,100 1,110 183 165 148 130 113 95 79 68 58 47 37 1,110 1,120 185 168 150 133 115 98 80 70 59 49 38 1,120 1,130 188 170 153 135 118 100 83 71 61 50 40 1,130 1,140 190 173 155 138 120 103 85 73 62 52 41 1,140 1,150 193 175 158 140 123 105 88 74 64 53 43 1,150 1,160 195 178 160 143 125 108 90 76 65 55 44 1,160 1,170 198 180 163 145 128 110 93 77 67 56 46 1,170 1,180 200 183 165 148 130 113 95 79 68 58 47 1,180 1,190 203 185 168 150 133 115 98 80 70 59 49 1,190 1,200 205 188 170 153 135 118 100 82 71 61 50 1,200 1,210 208 190 173 155 138 120 103 85 73 62 52 1,210 1,220 210 193 175 158 140 123 105 87 74 64 53 1,220 1,230 213 195 178 160 143 125 108 90 76 65 55 1,230 1,240 215 198 180 163 145 128 110 92 77 67 56 1,240 1,250 218 200 183 165 148 130 113 95 79 68 58                           $1,250 and over Use Table 1(a) for a SINGLE person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           MARRIED Persons—WEEKLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $310 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 310 320 1 0 0 0 0 0 0 0 0 0 0 320 330 2 0 0 0 0 0 0 0 0 0 0 330 340 3 0 0 0 0 0 0 0 0 0 0 340 350 4 0 0 0 0 0 0 0 0 0 0 350 360 5 0 0 0 0 0 0 0 0 0 0 360 370 6 0 0 0 0 0 0 0 0 0 0 370 380 7 0 0 0 0 0 0 0 0 0 0 380 390 8 1 0 0 0 0 0 0 0 0 0 390 400 9 2 0 0 0 0 0 0 0 0 0 400 410 10 3 0 0 0 0 0 0 0 0 0 410 420 11 4 0 0 0 0 0 0 0 0 0 420 430 12 5 0 0 0 0 0 0 0 0 0 430 440 13 6 0 0 0 0 0 0 0 0 0 440 450 14 7 0 0 0 0 0 0 0 0 0 450 460 15 8 1 0 0 0 0 0 0 0 0 460 470 16 9 2 0 0 0 0 0 0 0 0 470 480 17 10 3 0 0 0 0 0 0 0 0 480 490 19 11 4 0 0 0 0 0 0 0 0 490 500 20 12 5 0 0 0 0 0 0 0 0 500 510 22 13 6 0 0 0 0 0 0 0 0 510 520 23 14 7 0 0 0 0 0 0 0 0 520 530 25 15 8 1 0 0 0 0 0 0 0 530 540 26 16 9 2 0 0 0 0 0 0 0 540 550 28 17 10 3 0 0 0 0 0 0 0 550 560 29 19 11 4 0 0 0 0 0 0 0 560 570 31 20 12 5 0 0 0 0 0 0 0 570 580 32 22 13 6 0 0 0 0 0 0 0 580 590 34 23 14 7 0 0 0 0 0 0 0 590 600 35 25 15 8 1 0 0 0 0 0 0 600 610 37 26 16 9 2 0 0 0 0 0 0 610 620 38 28 17 10 3 0 0 0 0 0 0 620 630 40 29 19 11 4 0 0 0 0 0 0 630 640 41 31 20 12 5 0 0 0 0 0 0 640 650 43 32 22 13 6 0 0 0 0 0 0 650 660 44 34 23 14 7 0 0 0 0 0 0 660 670 46 35 25 15 8 1 0 0 0 0 0 670 680 47 37 26 16 9 2 0 0 0 0 0 680 690 49 38 28 17 10 3 0 0 0 0 0 690 700 50 40 29 19 11 4 0 0 0 0 0 700 710 52 41 31 20 12 5 0 0 0 0 0 710 720 53 43 32 22 13 6 0 0 0 0 0 720 730 55 44 34 23 14 7 0 0 0 0 0 730 740 56 46 35 25 15 8 1 0 0 0 0 740 750 58 47 37 26 16 9 2 0 0 0 0 750 760 59 49 38 28 17 10 3 0 0 0 0 760 770 61 50 40 29 19 11 4 0 0 0 0 770 780 62 52 41 31 20 12 5 0 0 0 0 780 790 64 53 43 32 22 13 6 0 0 0 0 790 800 65 55 44 34 23 14 7 0 0 0 0 800 810 67 56 46 35 25 15 8 1 0 0 0 810 820 68 58 47 37 26 16 9 2 0 0 0 820 830 70 59 49 38 28 17 10 3 0 0 0 830 840 71 61 50 40 29 19 11 4 0 0 0 840 850 73 62 52 41 31 20 12 5 0 0 0 850 860 74 64 53 43 32 22 13 6 0 0 0 860 870 76 65 55 44 34 23 14 7 0 0 0 870 880 77 67 56 46 35 25 15 8 1 0 0 880 890 79 68 58 47 37 26 16 9 2 0 0 890 900 80 70 59 49 38 28 17 10 3 0 0 900 910 82 71 61 50 40 29 19 11 4 0 0 910 920 83 73 62 52 41 31 20 12 5 0 0 920 930 85 74 64 53 43 32 22 13 6 0 0 930 940 86 76 65 55 44 34 23 14 7 0 0 940 950 88 77 67 56 46 35 25 15 8 1 0 950 960 89 79 68 58 47 37 26 16 9 2 0 960 970 91 80 70 59 49 38 28 17 10 3 0 970 980 92 82 71 61 50 40 29 19 11 4 0 980 990 94 83 73 62 52 41 31 20 12 5 0 990 1,000 95 85 74 64 53 43 32 22 13 6 0 $1,000 $1,010 $97 $86 $76 $65 $55 $44 $34 $23 $14 $7 $0 1,010 1,020 98 88 77 67 56 46 35 25 15 8 1 1,020 1,030 100 89 79 68 58 47 37 26 16 9 2 1,030 1,040 101 91 80 70 59 49 38 28 17 10 3 1,040 1,050 103 92 82 71 61 50 40 29 19 11 4 1,050 1,060 104 94 83 73 62 52 41 31 20 12 5 1,060 1,070 106 95 85 74 64 53 43 32 22 13 6 1,070 1,080 107 97 86 76 65 55 44 34 23 14 7 1,080 1,090 109 98 88 77 67 56 46 35 25 15 8 1,090 1,100 110 100 89 79 68 58 47 37 26 16 9 1,100 1,110 112 101 91 80 70 59 49 38 28 17 10 1,110 1,120 113 103 92 82 71 61 50 40 29 19 11 1,120 1,130 115 104 94 83 73 62 52 41 31 20 12 1,130 1,140 116 106 95 85 74 64 53 43 32 22 13 1,140 1,150 118 107 97 86 76 65 55 44 34 23 14 1,150 1,160 119 109 98 88 77 67 56 46 35 25 15 1,160 1,170 121 110 100 89 79 68 58 47 37 26 16 1,170 1,180 122 112 101 91 80 70 59 49 38 28 17 1,180 1,190 124 113 103 92 82 71 61 50 40 29 19 1,190 1,200 125 115 104 94 83 73 62 52 41 31 20 1,200 1,210 127 116 106 95 85 74 64 53 43 32 22 1,210 1,220 128 118 107 97 86 76 65 55 44 34 23 1,220 1,230 130 119 109 98 88 77 67 56 46 35 25 1,230 1,240 131 121 110 100 89 79 68 58 47 37 26 1,240 1,250 133 122 112 101 91 80 70 59 49 38 28 1,250 1,260 134 124 113 103 92 82 71 61 50 40 29 1,260 1,270 136 125 115 104 94 83 73 62 52 41 31 1,270 1,280 137 127 116 106 95 85 74 64 53 43 32 1,280 1,290 139 128 118 107 97 86 76 65 55 44 34 1,290 1,300 140 130 119 109 98 88 77 67 56 46 35 1,300 1,310 142 131 121 110 100 89 79 68 58 47 37 1,310 1,320 143 133 122 112 101 91 80 70 59 49 38 1,320 1,330 145 134 124 113 103 92 82 71 61 50 40 1,330 1,340 146 136 125 115 104 94 83 73 62 52 41 1,340 1,350 148 137 127 116 106 95 85 74 64 53 43 1,350 1,360 149 139 128 118 107 97 86 76 65 55 44 1,360 1,370 151 140 130 119 109 98 88 77 67 56 46 1,370 1,380 152 142 131 121 110 100 89 79 68 58 47 1,380 1,390 154 143 133 122 112 101 91 80 70 59 49 1,390 1,400 155 145 134 124 113 103 92 82 71 61 50                           $1,400 and over Use Table 1(b) for a MARRIED person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           SINGLE Persons—BIWEEKLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $280 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 280 290 1 0 0 0 0 0 0 0 0 0 0 290 300 2 0 0 0 0 0 0 0 0 0 0 300 310 3 0 0 0 0 0 0 0 0 0 0 310 320 4 0 0 0 0 0 0 0 0 0 0 320 330 5 0 0 0 0 0 0 0 0 0 0 330 340 6 0 0 0 0 0 0 0 0 0 0 340 350 7 0 0 0 0 0 0 0 0 0 0 350 360 8 0 0 0 0 0 0 0 0 0 0 360 370 9 0 0 0 0 0 0 0 0 0 0 370 380 10 0 0 0 0 0 0 0 0 0 0 380 390 11 0 0 0 0 0 0 0 0 0 0 390 400 12 0 0 0 0 0 0 0 0 0 0 400 410 13 0 0 0 0 0 0 0 0 0 0 410 420 15 0 0 0 0 0 0 0 0 0 0 420 430 16 1 0 0 0 0 0 0 0 0 0 430 440 18 2 0 0 0 0 0 0 0 0 0 440 450 19 3 0 0 0 0 0 0 0 0 0 450 460 21 4 0 0 0 0 0 0 0 0 0 460 470 22 5 0 0 0 0 0 0 0 0 0 470 480 24 6 0 0 0 0 0 0 0 0 0 480 490 25 7 0 0 0 0 0 0 0 0 0 490 500 27 8 0 0 0 0 0 0 0 0 0 500 520 29 9 0 0 0 0 0 0 0 0 0 520 540 32 11 0 0 0 0 0 0 0 0 0 540 560 35 14 0 0 0 0 0 0 0 0 0 560 580 38 17 1 0 0 0 0 0 0 0 0 580 600 41 20 3 0 0 0 0 0 0 0 0 600 620 44 23 5 0 0 0 0 0 0 0 0 620 640 47 26 7 0 0 0 0 0 0 0 0 640 660 50 29 9 0 0 0 0 0 0 0 0 660 680 53 32 11 0 0 0 0 0 0 0 0 680 700 56 35 14 0 0 0 0 0 0 0 0 700 720 59 38 17 1 0 0 0 0 0 0 0 720 740 62 41 20 3 0 0 0 0 0 0 0 740 760 65 44 23 5 0 0 0 0 0 0 0 760 780 68 47 26 7 0 0 0 0 0 0 0 780 800 71 50 29 9 0 0 0 0 0 0 0 800 820 74 53 32 11 0 0 0 0 0 0 0 820 840 77 56 35 14 0 0 0 0 0 0 0 840 860 80 59 38 17 1 0 0 0 0 0 0 860 880 83 62 41 20 3 0 0 0 0 0 0 880 900 86 65 44 23 5 0 0 0 0 0 0 900 920 89 68 47 26 7 0 0 0 0 0 0 920 940 92 71 50 29 9 0 0 0 0 0 0 940 960 95 74 53 32 11 0 0 0 0 0 0 960 980 98 77 56 35 14 0 0 0 0 0 0 980 1,000 101 80 59 38 17 1 0 0 0 0 0 1,000 1,020 104 83 62 41 20 3 0 0 0 0 0 1,020 1,040 107 86 65 44 23 5 0 0 0 0 0 1,040 1,060 110 89 68 47 26 7 0 0 0 0 0 1,060 1,080 113 92 71 50 29 9 0 0 0 0 0 1,080 1,100 116 95 74 53 32 11 0 0 0 0 0 1,100 1,120 119 98 77 56 35 14 0 0 0 0 0 1,120 1,140 122 101 80 59 38 17 1 0 0 0 0 1,140 1,160 125 104 83 62 41 20 3 0 0 0 0 1,160 1,180 128 107 86 65 44 23 5 0 0 0 0 1,180 1,200 131 110 89 68 47 26 7 0 0 0 0 1,200 1,220 134 113 92 71 50 29 9 0 0 0 0 1,220 1,240 137 116 95 74 53 32 11 0 0 0 0 1,240 1,260 140 119 98 77 56 35 14 0 0 0 0 1,260 1,280 143 122 101 80 59 38 17 1 0 0 0 1,280 1,300 146 125 104 83 62 41 20 3 0 0 0 1,300 1,320 149 128 107 86 65 44 23 5 0 0 0 1,320 1,340 152 131 110 89 68 47 26 7 0 0 0 1,340 1,360 155 134 113 92 71 50 29 9 0 0 0 1,360 1,380 158 137 116 95 74 53 32 11 0 0 0 1,380 1,400 161 140 119 98 77 56 35 13 0 0 0 1,400 1,420 166 143 122 101 80 59 38 16 1 0 0 1,420 1,440 171 146 125 104 83 62 41 19 3 0 0 $1,440 $1,460 $176 $149 $128 $107 $86 $65 $44 $22 $5 $0 $0 1,460 1,480 181 152 131 110 89 68 47 25 7 0 0 1,480 1,500 186 155 134 113 92 71 50 28 9 0 0 1,500 1,520 191 158 137 116 95 74 53 31 11 0 0 1,520 1,540 196 161 140 119 98 77 56 34 13 0 0 1,540 1,560 201 166 143 122 101 80 59 37 16 1 0 1,560 1,580 206 171 146 125 104 83 62 40 19 3 0 1,580 1,600 211 176 149 128 107 86 65 43 22 5 0 1,600 1,620 216 181 152 131 110 89 68 46 25 7 0 1,620 1,640 221 186 155 134 113 92 71 49 28 9 0 1,640 1,660 226 191 158 137 116 95 74 52 31 11 0 1,660 1,680 231 196 161 140 119 98 77 55 34 13 0 1,680 1,700 236 201 165 143 122 101 80 58 37 16 1 1,700 1,720 241 206 170 146 125 104 83 61 40 19 3 1,720 1,740 246 211 175 149 128 107 86 64 43 22 5 1,740 1,760 251 216 180 152 131 110 89 67 46 25 7 1,760 1,780 256 221 185 155 134 113 92 70 49 28 9 1,780 1,800 261 226 190 158 137 116 95 73 52 31 11 1,800 1,820 266 231 195 161 140 119 98 76 55 34 13 1,820 1,840 271 236 200 165 143 122 101 79 58 37 16 1,840 1,860 276 241 205 170 146 125 104 82 61 40 19 1,860 1,880 281 246 210 175 149 128 107 85 64 43 22 1,880 1,900 286 251 215 180 152 131 110 88 67 46 25 1,900 1,920 291 256 220 185 155 134 113 91 70 49 28 1,920 1,940 296 261 225 190 158 137 116 94 73 52 31 1,940 1,960 301 266 230 195 161 140 119 97 76 55 34 1,960 1,980 306 271 235 200 165 143 122 100 79 58 37 1,980 2,000 311 276 240 205 170 146 125 103 82 61 40 2,000 2,020 316 281 245 210 175 149 128 106 85 64 43 2,020 2,040 321 286 250 215 180 152 131 109 88 67 46 2,040 2,060 326 291 255 220 185 155 134 112 91 70 49 2,060 2,080 331 296 260 225 190 158 137 115 94 73 52 2,080 2,100 336 301 265 230 195 161 140 118 97 76 55                           $2,100 and over Use Table 2(a) for a SINGLE person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           MARRIED Persons—BIWEEKLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $620 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 620 640 2 0 0 0 0 0 0 0 0 0 0 640 660 4 0 0 0 0 0 0 0 0 0 0 660 680 6 0 0 0 0 0 0 0 0 0 0 680 700 8 0 0 0 0 0 0 0 0 0 0 700 720 10 0 0 0 0 0 0 0 0 0 0 720 740 12 0 0 0 0 0 0 0 0 0 0 740 760 14 0 0 0 0 0 0 0 0 0 0 760 780 16 2 0 0 0 0 0 0 0 0 0 780 800 18 4 0 0 0 0 0 0 0 0 0 800 820 20 6 0 0 0 0 0 0 0 0 0 820 840 22 8 0 0 0 0 0 0 0 0 0 840 860 24 10 0 0 0 0 0 0 0 0 0 860 880 26 12 0 0 0 0 0 0 0 0 0 880 900 28 14 0 0 0 0 0 0 0 0 0 900 920 30 16 2 0 0 0 0 0 0 0 0 920 940 32 18 4 0 0 0 0 0 0 0 0 940 960 35 20 6 0 0 0 0 0 0 0 0 960 980 38 22 8 0 0 0 0 0 0 0 0 980 1,000 41 24 10 0 0 0 0 0 0 0 0 1,000 1,020 44 26 12 0 0 0 0 0 0 0 0 1,020 1,040 47 28 14 0 0 0 0 0 0 0 0 1,040 1,060 50 30 16 2 0 0 0 0 0 0 0 1,060 1,080 53 32 18 4 0 0 0 0 0 0 0 1,080 1,100 56 35 20 6 0 0 0 0 0 0 0 1,100 1,120 59 38 22 8 0 0 0 0 0 0 0 1,120 1,140 62 41 24 10 0 0 0 0 0 0 0 1,140 1,160 65 44 26 12 0 0 0 0 0 0 0 1,160 1,180 68 47 28 14 0 0 0 0 0 0 0 1,180 1,200 71 50 30 16 2 0 0 0 0 0 0 1,200 1,220 74 53 32 18 4 0 0 0 0 0 0 1,220 1,240 77 56 35 20 6 0 0 0 0 0 0 1,240 1,260 80 59 38 22 8 0 0 0 0 0 0 1,260 1,280 83 62 41 24 10 0 0 0 0 0 0 1,280 1,300 86 65 44 26 12 0 0 0 0 0 0 1,300 1,320 89 68 47 28 14 0 0 0 0 0 0 1,320 1,340 92 71 50 30 16 2 0 0 0 0 0 1,340 1,360 95 74 53 32 18 4 0 0 0 0 0 1,360 1,380 98 77 56 35 20 6 0 0 0 0 0 1,380 1,400 101 80 59 38 22 8 0 0 0 0 0 1,400 1,420 104 83 62 41 24 10 0 0 0 0 0 1,420 1,440 107 86 65 44 26 12 0 0 0 0 0 1,440 1,460 110 89 68 47 28 14 0 0 0 0 0 1,460 1,480 113 92 71 50 30 16 2 0 0 0 0 1,480 1,500 116 95 74 53 32 18 4 0 0 0 0 1,500 1,520 119 98 77 56 35 20 6 0 0 0 0 1,520 1,540 122 101 80 59 38 22 8 0 0 0 0 1,540 1,560 125 104 83 62 41 24 10 0 0 0 0 1,560 1,580 128 107 86 65 44 26 12 0 0 0 0 1,580 1,600 131 110 89 68 47 28 14 0 0 0 0 1,600 1,620 134 113 92 71 50 30 16 2 0 0 0 1,620 1,640 137 116 95 74 53 32 18 4 0 0 0 1,640 1,660 140 119 98 77 56 35 20 6 0 0 0 1,660 1,680 143 122 101 80 59 38 22 8 0 0 0 1,680 1,700 146 125 104 83 62 41 24 10 0 0 0 1,700 1,720 149 128 107 86 65 44 26 12 0 0 0 1,720 1,740 152 131 110 89 68 47 28 14 0 0 0 1,740 1,760 155 134 113 92 71 50 30 16 2 0 0 1,760 1,780 158 137 116 95 74 53 32 18 4 0 0 1,780 1,800 161 140 119 98 77 56 35 20 6 0 0 1,800 1,820 164 143 122 101 80 59 38 22 8 0 0 1,820 1,840 167 146 125 104 83 62 41 24 10 0 0 1,840 1,860 170 149 128 107 86 65 44 26 12 0 0 1,860 1,880 173 152 131 110 89 68 47 28 14 0 0 1,880 1,900 176 155 134 113 92 71 50 30 16 2 0 1,900 1,920 179 158 137 116 95 74 53 32 18 4 0 1,920 1,940 182 161 140 119 98 77 56 35 20 6 0 1,940 1,960 185 164 143 122 101 80 59 38 22 8 0 1,960 1,980 188 167 146 125 104 83 62 41 24 10 0 1,980 2,000 191 170 149 128 107 86 65 44 26 12 0 $2,000 $2,020 $194 $173 $152 $131 $110 $89 $68 $47 $28 $14 $0 2,020 2,040 197 176 155 134 113 92 71 50 30 16 2 2,040 2,060 200 179 158 137 116 95 74 53 32 18 4 2,060 2,080 203 182 161 140 119 98 77 56 34 20 6 2,080 2,100 206 185 164 143 122 101 80 59 37 22 8 2,100 2,120 209 188 167 146 125 104 83 62 40 24 10 2,120 2,140 212 191 170 149 128 107 86 65 43 26 12 2,140 2,160 215 194 173 152 131 110 89 68 46 28 14 2,160 2,180 218 197 176 155 134 113 92 71 49 30 16 2,180 2,200 221 200 179 158 137 116 95 74 52 32 18 2,200 2,220 224 203 182 161 140 119 98 77 55 34 20 2,220 2,240 227 206 185 164 143 122 101 80 58 37 22 2,240 2,260 230 209 188 167 146 125 104 83 61 40 24 2,260 2,280 233 212 191 170 149 128 107 86 64 43 26 2,280 2,300 236 215 194 173 152 131 110 89 67 46 28 2,300 2,320 239 218 197 176 155 134 113 92 70 49 30 2,320 2,340 242 221 200 179 158 137 116 95 73 52 32 2,340 2,360 245 224 203 182 161 140 119 98 76 55 34 2,360 2,380 248 227 206 185 164 143 122 101 79 58 37 2,380 2,400 251 230 209 188 167 146 125 104 82 61 40 2,400 2,420 254 233 212 191 170 149 128 107 85 64 43 2,420 2,440 257 236 215 194 173 152 131 110 88 67 46 2,440 2,460 260 239 218 197 176 155 134 113 91 70 49 2,460 2,480 263 242 221 200 179 158 137 116 94 73 52 2,480 2,500 266 245 224 203 182 161 140 119 97 76 55 2,500 2,520 269 248 227 206 185 164 143 122 100 79 58 2,520 2,540 272 251 230 209 188 167 146 125 103 82 61 2,540 2,560 275 254 233 212 191 170 149 128 106 85 64 2,560 2,580 278 257 236 215 194 173 152 131 109 88 67 2,580 2,600 281 260 239 218 197 176 155 134 112 91 70 2,600 2,620 284 263 242 221 200 179 158 137 115 94 73 2,620 2,640 287 266 245 224 203 182 161 140 118 97 76 2,640 2,660 290 269 248 227 206 185 164 143 121 100 79 2,660 2,680 293 272 251 230 209 188 167 146 124 103 82 2,680 2,700 296 275 254 233 212 191 170 149 127 106 85                           $2,700 and over Use Table 2(b) for a MARRIED person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           SINGLE Persons—SEMIMONTHLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $300 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 300 310 1 0 0 0 0 0 0 0 0 0 0 310 320 2 0 0 0 0 0 0 0 0 0 0 320 330 3 0 0 0 0 0 0 0 0 0 0 330 340 4 0 0 0 0 0 0 0 0 0 0 340 350 5 0 0 0 0 0 0 0 0 0 0 350 360 6 0 0 0 0 0 0 0 0 0 0 360 370 7 0 0 0 0 0 0 0 0 0 0 370 380 8 0 0 0 0 0 0 0 0 0 0 380 390 9 0 0 0 0 0 0 0 0 0 0 390 400 10 0 0 0 0 0 0 0 0 0 0 400 410 11 0 0 0 0 0 0 0 0 0 0 410 420 12 0 0 0 0 0 0 0 0 0 0 420 430 13 0 0 0 0 0 0 0 0 0 0 430 440 14 0 0 0 0 0 0 0 0 0 0 440 450 15 0 0 0 0 0 0 0 0 0 0 450 460 17 0 0 0 0 0 0 0 0 0 0 460 470 18 1 0 0 0 0 0 0 0 0 0 470 480 20 2 0 0 0 0 0 0 0 0 0 480 490 21 3 0 0 0 0 0 0 0 0 0 490 500 23 4 0 0 0 0 0 0 0 0 0 500 520 25 6 0 0 0 0 0 0 0 0 0 520 540 28 8 0 0 0 0 0 0 0 0 0 540 560 31 10 0 0 0 0 0 0 0 0 0 560 580 34 12 0 0 0 0 0 0 0 0 0 580 600 37 14 0 0 0 0 0 0 0 0 0 600 620 40 17 1 0 0 0 0 0 0 0 0 620 640 43 20 3 0 0 0 0 0 0 0 0 640 660 46 23 5 0 0 0 0 0 0 0 0 660 680 49 26 7 0 0 0 0 0 0 0 0 680 700 52 29 9 0 0 0 0 0 0 0 0 700 720 55 32 11 0 0 0 0 0 0 0 0 720 740 58 35 13 0 0 0 0 0 0 0 0 740 760 61 38 15 0 0 0 0 0 0 0 0 760 780 64 41 18 1 0 0 0 0 0 0 0 780 800 67 44 21 3 0 0 0 0 0 0 0 800 820 70 47 24 5 0 0 0 0 0 0 0 820 840 73 50 27 7 0 0 0 0 0 0 0 840 860 76 53 30 9 0 0 0 0 0 0 0 860 880 79 56 33 11 0 0 0 0 0 0 0 880 900 82 59 36 13 0 0 0 0 0 0 0 900 920 85 62 39 16 0 0 0 0 0 0 0 920 940 88 65 42 19 2 0 0 0 0 0 0 940 960 91 68 45 22 4 0 0 0 0 0 0 960 980 94 71 48 25 6 0 0 0 0 0 0 980 1,000 97 74 51 28 8 0 0 0 0 0 0 1,000 1,020 100 77 54 31 10 0 0 0 0 0 0 1,020 1,040 103 80 57 34 12 0 0 0 0 0 0 1,040 1,060 106 83 60 37 15 0 0 0 0 0 0 1,060 1,080 109 86 63 40 18 1 0 0 0 0 0 1,080 1,100 112 89 66 43 21 3 0 0 0 0 0 1,100 1,120 115 92 69 46 24 5 0 0 0 0 0 1,120 1,140 118 95 72 49 27 7 0 0 0 0 0 1,140 1,160 121 98 75 52 30 9 0 0 0 0 0 1,160 1,180 124 101 78 55 33 11 0 0 0 0 0 1,180 1,200 127 104 81 58 36 13 0 0 0 0 0 1,200 1,220 130 107 84 61 39 16 0 0 0 0 0 1,220 1,240 133 110 87 64 42 19 2 0 0 0 0 1,240 1,260 136 113 90 67 45 22 4 0 0 0 0 1,260 1,280 139 116 93 70 48 25 6 0 0 0 0 1,280 1,300 142 119 96 73 51 28 8 0 0 0 0 1,300 1,320 145 122 99 76 54 31 10 0 0 0 0 1,320 1,340 148 125 102 79 57 34 12 0 0 0 0 1,340 1,360 151 128 105 82 60 37 14 0 0 0 0 1,360 1,380 154 131 108 85 63 40 17 1 0 0 0 1,380 1,400 157 134 111 88 66 43 20 3 0 0 0 1,400 1,420 160 137 114 91 69 46 23 5 0 0 0 1,420 1,440 163 140 117 94 72 49 26 7 0 0 0 1,440 1,460 166 143 120 97 75 52 29 9 0 0 0 1,460 1,480 169 146 123 100 78 55 32 11 0 0 0 $1,480 $1,500 $172 $149 $126 $103 $81 $58 $35 $13 $0 $0 $0 1,500 1,520 175 152 129 106 84 61 38 15 0 0 0 1,520 1,540 180 155 132 109 87 64 41 18 1 0 0 1,540 1,560 185 158 135 112 90 67 44 21 3 0 0 1,560 1,580 190 161 138 115 93 70 47 24 5 0 0 1,580 1,600 195 164 141 118 96 73 50 27 7 0 0 1,600 1,620 200 167 144 121 99 76 53 30 9 0 0 1,620 1,640 205 170 147 124 102 79 56 33 11 0 0 1,640 1,660 210 173 150 127 105 82 59 36 13 0 0 1,660 1,680 215 177 153 130 108 85 62 39 16 0 0 1,680 1,700 220 182 156 133 111 88 65 42 19 2 0 1,700 1,720 225 187 159 136 114 91 68 45 22 4 0 1,720 1,740 230 192 162 139 117 94 71 48 25 6 0 1,740 1,760 235 197 165 142 120 97 74 51 28 8 0 1,760 1,780 240 202 168 145 123 100 77 54 31 10 0 1,780 1,800 245 207 171 148 126 103 80 57 34 12 0 1,800 1,820 250 212 174 151 129 106 83 60 37 15 0 1,820 1,840 255 217 179 154 132 109 86 63 40 18 1 1,840 1,860 260 222 184 157 135 112 89 66 43 21 3 1,860 1,880 265 227 189 160 138 115 92 69 46 24 5 1,880 1,900 270 232 194 163 141 118 95 72 49 27 7 1,900 1,920 275 237 199 166 144 121 98 75 52 30 9 1,920 1,940 280 242 204 169 147 124 101 78 55 33 11 1,940 1,960 285 247 209 172 150 127 104 81 58 36 13 1,960 1,980 290 252 214 176 153 130 107 84 61 39 16 1,980 2,000 295 257 219 181 156 133 110 87 64 42 19 2,000 2,020 300 262 224 186 159 136 113 90 67 45 22 2,020 2,040 305 267 229 191 162 139 116 93 70 48 25 2,040 2,060 310 272 234 196 165 142 119 96 73 51 28 2,060 2,080 315 277 239 201 168 145 122 99 76 54 31 2,080 2,100 320 282 244 206 171 148 125 102 79 57 34 2,100 2,120 325 287 249 211 174 151 128 105 82 60 37 2,120 2,140 330 292 254 216 178 154 131 108 85 63 40                           $2,140 and over Use Table 3(a) for a SINGLE person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           MARRIED Persons—SEMIMONTHLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $660 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 660 680 1 0 0 0 0 0 0 0 0 0 0 680 700 3 0 0 0 0 0 0 0 0 0 0 700 720 5 0 0 0 0 0 0 0 0 0 0 720 740 7 0 0 0 0 0 0 0 0 0 0 740 760 9 0 0 0 0 0 0 0 0 0 0 760 780 11 0 0 0 0 0 0 0 0 0 0 780 800 13 0 0 0 0 0 0 0 0 0 0 800 820 15 0 0 0 0 0 0 0 0 0 0 820 840 17 2 0 0 0 0 0 0 0 0 0 840 860 19 4 0 0 0 0 0 0 0 0 0 860 880 21 6 0 0 0 0 0 0 0 0 0 880 900 23 8 0 0 0 0 0 0 0 0 0 900 920 25 10 0 0 0 0 0 0 0 0 0 920 940 27 12 0 0 0 0 0 0 0 0 0 940 960 29 14 0 0 0 0 0 0 0 0 0 960 980 31 16 1 0 0 0 0 0 0 0 0 980 1,000 33 18 3 0 0 0 0 0 0 0 0 1,000 1,020 35 20 5 0 0 0 0 0 0 0 0 1,020 1,040 38 22 7 0 0 0 0 0 0 0 0 1,040 1,060 41 24 9 0 0 0 0 0 0 0 0 1,060 1,080 44 26 11 0 0 0 0 0 0 0 0 1,080 1,100 47 28 13 0 0 0 0 0 0 0 0 1,100 1,120 50 30 15 0 0 0 0 0 0 0 0 1,120 1,140 53 32 17 2 0 0 0 0 0 0 0 1,140 1,160 56 34 19 4 0 0 0 0 0 0 0 1,160 1,180 59 36 21 6 0 0 0 0 0 0 0 1,180 1,200 62 39 23 8 0 0 0 0 0 0 0 1,200 1,220 65 42 25 10 0 0 0 0 0 0 0 1,220 1,240 68 45 27 12 0 0 0 0 0 0 0 1,240 1,260 71 48 29 14 0 0 0 0 0 0 0 1,260 1,280 74 51 31 16 1 0 0 0 0 0 0 1,280 1,300 77 54 33 18 3 0 0 0 0 0 0 1,300 1,320 80 57 35 20 5 0 0 0 0 0 0 1,320 1,340 83 60 37 22 7 0 0 0 0 0 0 1,340 1,360 86 63 40 24 9 0 0 0 0 0 0 1,360 1,380 89 66 43 26 11 0 0 0 0 0 0 1,380 1,400 92 69 46 28 13 0 0 0 0 0 0 1,400 1,420 95 72 49 30 15 0 0 0 0 0 0 1,420 1,440 98 75 52 32 17 1 0 0 0 0 0 1,440 1,460 101 78 55 34 19 3 0 0 0 0 0 1,460 1,480 104 81 58 36 21 5 0 0 0 0 0 1,480 1,500 107 84 61 39 23 7 0 0 0 0 0 1,500 1,520 110 87 64 42 25 9 0 0 0 0 0 1,520 1,540 113 90 67 45 27 11 0 0 0 0 0 1,540 1,560 116 93 70 48 29 13 0 0 0 0 0 1,560 1,580 119 96 73 51 31 15 0 0 0 0 0 1,580 1,600 122 99 76 54 33 17 2 0 0 0 0 1,600 1,620 125 102 79 57 35 19 4 0 0 0 0 1,620 1,640 128 105 82 60 37 21 6 0 0 0 0 1,640 1,660 131 108 85 63 40 23 8 0 0 0 0 1,660 1,680 134 111 88 66 43 25 10 0 0 0 0 1,680 1,700 137 114 91 69 46 27 12 0 0 0 0 1,700 1,720 140 117 94 72 49 29 14 0 0 0 0 1,720 1,740 143 120 97 75 52 31 16 1 0 0 0 1,740 1,760 146 123 100 78 55 33 18 3 0 0 0 1,760 1,780 149 126 103 81 58 35 20 5 0 0 0 1,780 1,800 152 129 106 84 61 38 22 7 0 0 0 1,800 1,820 155 132 109 87 64 41 24 9 0 0 0 1,820 1,840 158 135 112 90 67 44 26 11 0 0 0 1,840 1,860 161 138 115 93 70 47 28 13 0 0 0 1,860 1,880 164 141 118 96 73 50 30 15 0 0 0 1,880 1,900 167 144 121 99 76 53 32 17 2 0 0 1,900 1,920 170 147 124 102 79 56 34 19 4 0 0 1,920 1,940 173 150 127 105 82 59 36 21 6 0 0 1,940 1,960 176 153 130 108 85 62 39 23 8 0 0 1,960 1,980 179 156 133 111 88 65 42 25 10 0 0 1,980 2,000 182 159 136 114 91 68 45 27 12 0 0 2,000 2,020 185 162 139 117 94 71 48 29 14 0 0 2,020 2,040 188 165 142 120 97 74 51 31 16 1 0 $2,040 $2,060 $191 $168 $145 $123 $100 $77 $54 $33 $18 $3 $0 2,060 2,080 194 171 148 126 103 80 57 35 20 5 0 2,080 2,100 197 174 151 129 106 83 60 37 22 7 0 2,100 2,120 200 177 154 132 109 86 63 40 24 9 0 2,120 2,140 203 180 157 135 112 89 66 43 26 11 0 2,140 2,160 206 183 160 138 115 92 69 46 28 13 0 2,160 2,180 209 186 163 141 118 95 72 49 30 15 0 2,180 2,200 212 189 166 144 121 98 75 52 32 17 1 2,200 2,220 215 192 169 147 124 101 78 55 34 19 3 2,220 2,240 218 195 172 150 127 104 81 58 36 21 5 2,240 2,260 221 198 175 153 130 107 84 61 38 23 7 2,260 2,280 224 201 178 156 133 110 87 64 41 25 9 2,280 2,300 227 204 181 159 136 113 90 67 44 27 11 2,300 2,320 230 207 184 162 139 116 93 70 47 29 13 2,320 2,340 233 210 187 165 142 119 96 73 50 31 15 2,340 2,360 236 213 190 168 145 122 99 76 53 33 17 2,360 2,380 239 216 193 171 148 125 102 79 56 35 19 2,380 2,400 242 219 196 174 151 128 105 82 59 37 21 2,400 2,420 245 222 199 177 154 131 108 85 62 40 23 2,420 2,440 248 225 202 180 157 134 111 88 65 43 25 2,440 2,460 251 228 205 183 160 137 114 91 68 46 27 2,460 2,480 254 231 208 186 163 140 117 94 71 49 29 2,480 2,500 257 234 211 189 166 143 120 97 74 52 31 2,500 2,520 260 237 214 192 169 146 123 100 77 55 33 2,520 2,540 263 240 217 195 172 149 126 103 80 58 35 2,540 2,560 266 243 220 198 175 152 129 106 83 61 38 2,560 2,580 269 246 223 201 178 155 132 109 86 64 41 2,580 2,600 272 249 226 204 181 158 135 112 89 67 44 2,600 2,620 275 252 229 207 184 161 138 115 92 70 47 2,620 2,640 278 255 232 210 187 164 141 118 95 73 50 2,640 2,660 281 258 235 213 190 167 144 121 98 76 53 2,660 2,680 284 261 238 216 193 170 147 124 101 79 56 2,680 2,700 287 264 241 219 196 173 150 127 104 82 59 2,700 2,720 290 267 244 222 199 176 153 130 107 85 62 2,720 2,740 293 270 247 225 202 179 156 133 110 88 65                           $2,740 and over Use Table 3(b) for a MARRIED person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           SINGLE Persons—MONTHLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $600 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 600 640 2 0 0 0 0 0 0 0 0 0 0 640 680 6 0 0 0 0 0 0 0 0 0 0 680 720 10 0 0 0 0 0 0 0 0 0 0 720 760 14 0 0 0 0 0 0 0 0 0 0 760 800 18 0 0 0 0 0 0 0 0 0 0 800 840 22 0 0 0 0 0 0 0 0 0 0 840 880 26 0 0 0 0 0 0 0 0 0 0 880 920 32 0 0 0 0 0 0 0 0 0 0 920 960 38 4 0 0 0 0 0 0 0 0 0 960 1,000 44 8 0 0 0 0 0 0 0 0 0 1,000 1,040 50 12 0 0 0 0 0 0 0 0 0 1,040 1,080 56 16 0 0 0 0 0 0 0 0 0 1,080 1,120 62 20 0 0 0 0 0 0 0 0 0 1,120 1,160 68 24 0 0 0 0 0 0 0 0 0 1,160 1,200 74 28 0 0 0 0 0 0 0 0 0 1,200 1,240 80 34 1 0 0 0 0 0 0 0 0 1,240 1,280 86 40 5 0 0 0 0 0 0 0 0 1,280 1,320 92 46 9 0 0 0 0 0 0 0 0 1,320 1,360 98 52 13 0 0 0 0 0 0 0 0 1,360 1,400 104 58 17 0 0 0 0 0 0 0 0 1,400 1,440 110 64 21 0 0 0 0 0 0 0 0 1,440 1,480 116 70 25 0 0 0 0 0 0 0 0 1,480 1,520 122 76 31 0 0 0 0 0 0 0 0 1,520 1,560 128 82 37 3 0 0 0 0 0 0 0 1,560 1,600 134 88 43 7 0 0 0 0 0 0 0 1,600 1,640 140 94 49 11 0 0 0 0 0 0 0 1,640 1,680 146 100 55 15 0 0 0 0 0 0 0 1,680 1,720 152 106 61 19 0 0 0 0 0 0 0 1,720 1,760 158 112 67 23 0 0 0 0 0 0 0 1,760 1,800 164 118 73 27 0 0 0 0 0 0 0 1,800 1,840 170 124 79 33 1 0 0 0 0 0 0 1,840 1,880 176 130 85 39 5 0 0 0 0 0 0 1,880 1,920 182 136 91 45 9 0 0 0 0 0 0 1,920 1,960 188 142 97 51 13 0 0 0 0 0 0 1,960 2,000 194 148 103 57 17 0 0 0 0 0 0 2,000 2,040 200 154 109 63 21 0 0 0 0 0 0 2,040 2,080 206 160 115 69 25 0 0 0 0 0 0 2,080 2,120 212 166 121 75 29 0 0 0 0 0 0 2,120 2,160 218 172 127 81 35 2 0 0 0 0 0 2,160 2,200 224 178 133 87 41 6 0 0 0 0 0 2,200 2,240 230 184 139 93 47 10 0 0 0 0 0 2,240 2,280 236 190 145 99 53 14 0 0 0 0 0 2,280 2,320 242 196 151 105 59 18 0 0 0 0 0 2,320 2,360 248 202 157 111 65 22 0 0 0 0 0 2,360 2,400 254 208 163 117 71 26 0 0 0 0 0 2,400 2,440 260 214 169 123 77 32 0 0 0 0 0 2,440 2,480 266 220 175 129 83 38 4 0 0 0 0 2,480 2,520 272 226 181 135 89 44 8 0 0 0 0 2,520 2,560 278 232 187 141 95 50 12 0 0 0 0 2,560 2,600 284 238 193 147 101 56 16 0 0 0 0 2,600 2,640 290 244 199 153 107 62 20 0 0 0 0 2,640 2,680 296 250 205 159 113 68 24 0 0 0 0 2,680 2,720 302 256 211 165 119 74 28 0 0 0 0 2,720 2,760 308 262 217 171 125 80 34 1 0 0 0 2,760 2,800 314 268 223 177 131 86 40 5 0 0 0 2,800 2,840 320 274 229 183 137 92 46 9 0 0 0 2,840 2,880 326 280 235 189 143 98 52 13 0 0 0 2,880 2,920 332 286 241 195 149 104 58 17 0 0 0 2,920 2,960 338 292 247 201 155 110 64 21 0 0 0 2,960 3,000 344 298 253 207 161 116 70 25 0 0 0 3,000 3,040 350 304 259 213 167 122 76 30 0 0 0 3,040 3,080 360 310 265 219 173 128 82 36 3 0 0 3,080 3,120 370 316 271 225 179 134 88 42 7 0 0 3,120 3,160 380 322 277 231 185 140 94 48 11 0 0 3,160 3,200 390 328 283 237 191 146 100 54 15 0 0 3,200 3,240 400 334 289 243 197 152 106 60 19 0 0 3,240 3,280 410 340 295 249 203 158 112 66 23 0 0 3,280 3,320 420 346 301 255 209 164 118 72 27 0 0 3,320 3,360 430 354 307 261 215 170 124 78 33 0 0 $3,360 $3,400 $440 $364 $313 $267 $221 $176 $130 $84 $39 $4 $0 3,400 3,440 450 374 319 273 227 182 136 90 45 8 0 3,440 3,480 460 384 325 279 233 188 142 96 51 12 0 3,480 3,520 470 394 331 285 239 194 148 102 57 16 0 3,520 3,560 480 404 337 291 245 200 154 108 63 20 0 3,560 3,600 490 414 343 297 251 206 160 114 69 24 0 3,600 3,640 500 424 349 303 257 212 166 120 75 29 0 3,640 3,680 510 434 358 309 263 218 172 126 81 35 2 3,680 3,720 520 444 368 315 269 224 178 132 87 41 6 3,720 3,760 530 454 378 321 275 230 184 138 93 47 10 3,760 3,800 540 464 388 327 281 236 190 144 99 53 14 3,800 3,840 550 474 398 333 287 242 196 150 105 59 18 3,840 3,880 560 484 408 339 293 248 202 156 111 65 22 3,880 3,920 570 494 418 345 299 254 208 162 117 71 26 3,920 3,960 580 504 428 352 305 260 214 168 123 77 32 3,960 4,000 590 514 438 362 311 266 220 174 129 83 38 4,000 4,040 600 524 448 372 317 272 226 180 135 89 44 4,040 4,080 610 534 458 382 323 278 232 186 141 95 50 4,080 4,120 620 544 468 392 329 284 238 192 147 101 56 4,120 4,160 630 554 478 402 335 290 244 198 153 107 62 4,160 4,200 640 564 488 412 341 296 250 204 159 113 68 4,200 4,240 650 574 498 422 347 302 256 210 165 119 74 4,240 4,280 660 584 508 432 356 308 262 216 171 125 80 4,280 4,320 670 594 518 442 366 314 268 222 177 131 86 4,320 4,360 680 604 528 452 376 320 274 228 183 137 92 4,360 4,400 690 614 538 462 386 326 280 234 189 143 98 4,400 4,440 700 624 548 472 396 332 286 240 195 149 104 4,440 4,480 710 634 558 482 406 338 292 246 201 155 110 4,480 4,520 720 644 568 492 416 344 298 252 207 161 116 4,520 4,560 730 654 578 502 426 350 304 258 213 167 122 4,560 4,600 740 664 588 512 436 360 310 264 219 173 128 4,600 4,640 750 674 598 522 446 370 316 270 225 179 134 4,640 4,680 760 684 608 532 456 380 322 276 231 185 140 4,680 4,720 770 694 618 542 466 390 328 282 237 191 146 4,720 4,760 780 704 628 552 476 400 334 288 243 197 152 4,760 4,800 790 714 638 562 486 410 340 294 249 203 158 4,800 4,840 800 724 648 572 496 420 346 300 255 209 164 4,840 4,880 810 734 658 582 506 430 354 306 261 215 170 4,880 4,920 820 744 668 592 516 440 364 312 267 221 176 4,920 4,960 830 754 678 602 526 450 374 318 273 227 182 4,960 5,000 840 764 688 612 536 460 384 324 279 233 188 5,000 5,040 850 774 698 622 546 470 394 330 285 239 194 5,040 5,080 860 784 708 632 556 480 404 336 291 245 200                           $5,080 and over Use Table 4(a) for a SINGLE person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           MARRIED Persons—MONTHLY Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $1,320 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 1,320 1,360 3 0 0 0 0 0 0 0 0 0 0 1,360 1,400 7 0 0 0 0 0 0 0 0 0 0 1,400 1,440 11 0 0 0 0 0 0 0 0 0 0 1,440 1,480 15 0 0 0 0 0 0 0 0 0 0 1,480 1,520 19 0 0 0 0 0 0 0 0 0 0 1,520 1,560 23 0 0 0 0 0 0 0 0 0 0 1,560 1,600 27 0 0 0 0 0 0 0 0 0 0 1,600 1,640 31 0 0 0 0 0 0 0 0 0 0 1,640 1,680 35 4 0 0 0 0 0 0 0 0 0 1,680 1,720 39 8 0 0 0 0 0 0 0 0 0 1,720 1,760 43 12 0 0 0 0 0 0 0 0 0 1,760 1,800 47 16 0 0 0 0 0 0 0 0 0 1,800 1,840 51 20 0 0 0 0 0 0 0 0 0 1,840 1,880 55 24 0 0 0 0 0 0 0 0 0 1,880 1,920 59 28 0 0 0 0 0 0 0 0 0 1,920 1,960 63 32 2 0 0 0 0 0 0 0 0 1,960 2,000 67 36 6 0 0 0 0 0 0 0 0 2,000 2,040 71 40 10 0 0 0 0 0 0 0 0 2,040 2,080 76 44 14 0 0 0 0 0 0 0 0 2,080 2,120 82 48 18 0 0 0 0 0 0 0 0 2,120 2,160 88 52 22 0 0 0 0 0 0 0 0 2,160 2,200 94 56 26 0 0 0 0 0 0 0 0 2,200 2,240 100 60 30 0 0 0 0 0 0 0 0 2,240 2,280 106 64 34 4 0 0 0 0 0 0 0 2,280 2,320 112 68 38 8 0 0 0 0 0 0 0 2,320 2,360 118 72 42 12 0 0 0 0 0 0 0 2,360 2,400 124 78 46 16 0 0 0 0 0 0 0 2,400 2,440 130 84 50 20 0 0 0 0 0 0 0 2,440 2,480 136 90 54 24 0 0 0 0 0 0 0 2,480 2,520 142 96 58 28 0 0 0 0 0 0 0 2,520 2,560 148 102 62 32 1 0 0 0 0 0 0 2,560 2,600 154 108 66 36 5 0 0 0 0 0 0 2,600 2,640 160 114 70 40 9 0 0 0 0 0 0 2,640 2,680 166 120 75 44 13 0 0 0 0 0 0 2,680 2,720 172 126 81 48 17 0 0 0 0 0 0 2,720 2,760 178 132 87 52 21 0 0 0 0 0 0 2,760 2,800 184 138 93 56 25 0 0 0 0 0 0 2,800 2,840 190 144 99 60 29 0 0 0 0 0 0 2,840 2,880 196 150 105 64 33 3 0 0 0 0 0 2,880 2,920 202 156 111 68 37 7 0 0 0 0 0 2,920 2,960 208 162 117 72 41 11 0 0 0 0 0 2,960 3,000 214 168 123 77 45 15 0 0 0 0 0 3,000 3,040 220 174 129 83 49 19 0 0 0 0 0 3,040 3,080 226 180 135 89 53 23 0 0 0 0 0 3,080 3,120 232 186 141 95 57 27 0 0 0 0 0 3,120 3,160 238 192 147 101 61 31 0 0 0 0 0 3,160 3,200 244 198 153 107 65 35 4 0 0 0 0 3,200 3,240 250 204 159 113 69 39 8 0 0 0 0 3,240 3,280 256 210 165 119 73 43 12 0 0 0 0 3,280 3,320 262 216 171 125 79 47 16 0 0 0 0 3,320 3,360 268 222 177 131 85 51 20 0 0 0 0 3,360 3,400 274 228 183 137 91 55 24 0 0 0 0 3,400 3,440 280 234 189 143 97 59 28 0 0 0 0 3,440 3,480 286 240 195 149 103 63 32 2 0 0 0 3,480 3,520 292 246 201 155 109 67 36 6 0 0 0 3,520 3,560 298 252 207 161 115 71 40 10 0 0 0 3,560 3,600 304 258 213 167 121 76 44 14 0 0 0 3,600 3,640 310 264 219 173 127 82 48 18 0 0 0 3,640 3,680 316 270 225 179 133 88 52 22 0 0 0 3,680 3,720 322 276 231 185 139 94 56 26 0 0 0 3,720 3,760 328 282 237 191 145 100 60 30 0 0 0 3,760 3,800 334 288 243 197 151 106 64 34 3 0 0 3,800 3,840 340 294 249 203 157 112 68 38 7 0 0 3,840 3,880 346 300 255 209 163 118 72 42 11 0 0 3,880 3,920 352 306 261 215 169 124 78 46 15 0 0 3,920 3,960 358 312 267 221 175 130 84 50 19 0 0 3,960 4,000 364 318 273 227 181 136 90 54 23 0 0 4,000 4,040 370 324 279 233 187 142 96 58 27 0 0 4,040 4,080 376 330 285 239 193 148 102 62 31 1 0 $4,080 $4,120 $382 $336 $291 $245 $199 $154 $108 $66 $35 $5 $0 4,120 4,160 388 342 297 251 205 160 114 70 39 9 0 4,160 4,200 394 348 303 257 211 166 120 75 43 13 0 4,200 4,240 400 354 309 263 217 172 126 81 47 17 0 4,240 4,280 406 360 315 269 223 178 132 87 51 21 0 4,280 4,320 412 366 321 275 229 184 138 93 55 25 0 4,320 4,360 418 372 327 281 235 190 144 99 59 29 0 4,360 4,400 424 378 333 287 241 196 150 105 63 33 3 4,400 4,440 430 384 339 293 247 202 156 111 67 37 7 4,440 4,480 436 390 345 299 253 208 162 117 71 41 11 4,480 4,520 442 396 351 305 259 214 168 123 77 45 15 4,520 4,560 448 402 357 311 265 220 174 129 83 49 19 4,560 4,600 454 408 363 317 271 226 180 135 89 53 23 4,600 4,640 460 414 369 323 277 232 186 141 95 57 27 4,640 4,680 466 420 375 329 283 238 192 147 101 61 31 4,680 4,720 472 426 381 335 289 244 198 153 107 65 35 4,720 4,760 478 432 387 341 295 250 204 159 113 69 39 4,760 4,800 484 438 393 347 301 256 210 165 119 73 43 4,800 4,840 490 444 399 353 307 262 216 171 125 79 47 4,840 4,880 496 450 405 359 313 268 222 177 131 85 51 4,880 4,920 502 456 411 365 319 274 228 183 137 91 55 4,920 4,960 508 462 417 371 325 280 234 189 143 97 59 4,960 5,000 514 468 423 377 331 286 240 195 149 103 63 5,000 5,040 520 474 429 383 337 292 246 201 155 109 67 5,040 5,080 526 480 435 389 343 298 252 207 161 115 71 5,080 5,120 532 486 441 395 349 304 258 213 167 121 76 5,120 5,160 538 492 447 401 355 310 264 219 173 127 82 5,160 5,200 544 498 453 407 361 316 270 225 179 133 88 5,200 5,240 550 504 459 413 367 322 276 231 185 139 94 5,240 5,280 556 510 465 419 373 328 282 237 191 145 100 5,280 5,320 562 516 471 425 379 334 288 243 197 151 106 5,320 5,360 568 522 477 431 385 340 294 249 203 157 112 5,360 5,400 574 528 483 437 391 346 300 255 209 163 118 5,400 5,440 580 534 489 443 397 352 306 261 215 169 124 5,440 5,480 586 540 495 449 403 358 312 267 221 175 130 5,480 5,520 592 546 501 455 409 364 318 273 227 181 136 5,520 5,560 598 552 507 461 415 370 324 279 233 187 142 5,560 5,600 604 558 513 467 421 376 330 285 239 193 148 5,600 5,640 610 564 519 473 427 382 336 291 245 199 154 5,640 5,680 616 570 525 479 433 388 342 297 251 205 160 5,680 5,720 622 576 531 485 439 394 348 303 257 211 166 5,720 5,760 628 582 537 491 445 400 354 309 263 217 172 5,760 5,800 634 588 543 497 451 406 360 315 269 223 178 5,800 5,840 640 594 549 503 457 412 366 321 275 229 184 5,840 5,880 646 600 555 509 463 418 372 327 281 235 190                           $5,880 and over Use Table 4(b) for a MARRIED person on page 5. Free efile 1040ez Also see the instructions on page 3. Free efile 1040ez                           SINGLE Persons—DAILY OR MISCELLANEOUS Payroll Period (For Wages Paid Through December 2009) If the wages are– And the number of withholding allowances claimed is— At least But less than 0 1 2 3 4 5 6 7 8 9 10 The amount of income tax to be withheld is— $0 $33 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 33 36 1 0 0 0 0 0 0 0 0 0 0 36 39
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Education

Family, Health and Safety

Besucher in die Vereinigten Staaten / Visitors to the United States

The Free Efile 1040ez

Free efile 1040ez 3. Free efile 1040ez   Unrelated Trade or Business Table of Contents Selling of products of exempt functions. Free efile 1040ez Dual use of assets or facilities. Free efile 1040ez Exploitation of exempt functions. Free efile 1040ez ExamplesExceptions. Free efile 1040ez Excluded Trade or Business ActivitiesQualified sponsorship payment. Free efile 1040ez Advertising. Free efile 1040ez Exception for contingent payments. Free efile 1040ez Exception for periodicals. Free efile 1040ez Exception for conventions and trade shows. Free efile 1040ez Legal definition. Free efile 1040ez Legal where played. Free efile 1040ez No for-profit games where played. Free efile 1040ez Unrelated business income. Free efile 1040ez   Unrelated business income is the income from a trade or business regularly conducted by an exempt organization and not substantially related to the performance by the organization of its exempt purpose or function, except that the organization uses the profits derived from this activity. Free efile 1040ez   Certain trade or business activities are not treated as an unrelated trade or business. Free efile 1040ez See Excluded Trade or Business Activities, later. Free efile 1040ez Trade or business. Free efile 1040ez   The term “trade or business” generally includes any activity conducted for the production of income from selling goods or performing services. Free efile 1040ez An activity does not lose its identity as a trade or business merely because it is conducted within a larger group of similar activities that may or may not be related to the exempt purposes of the organization. Free efile 1040ez   For example, the regular sale of pharmaceutical supplies to the general public by a hospital pharmacy does not lose its identity as a trade or business, even though the pharmacy also furnishes supplies to the hospital and patients of the hospital in accordance with its exempt purpose. Free efile 1040ez Similarly, soliciting, selling, and publishing commercial advertising is a trade or business even though the advertising is published in an exempt organization's periodical that contains editorial matter related to the organization's exempt purpose. Free efile 1040ez Regularly conducted. Free efile 1040ez   Business activities of an exempt organization ordinarily are considered regularly conducted if they show a frequency and continuity, and are pursued in a manner similar to comparable commercial activities of nonexempt organizations. Free efile 1040ez   For example, a hospital auxiliary's operation of a sandwich stand for 2 weeks at a state fair would not be the regular conduct of a trade or business. Free efile 1040ez The stand would not compete with similar facilities that a nonexempt organization would ordinarily operate year-round. Free efile 1040ez However, operating a commercial parking lot every Saturday, year-round, would be the regular conduct of a trade or business. Free efile 1040ez Not substantially related. Free efile 1040ez    A business activity is not substantially related to an organization's exempt purpose if it does not contribute importantly to accomplishing that purpose (other than through the production of funds). Free efile 1040ez Whether an activity contributes importantly depends in each case on the facts involved. Free efile 1040ez   In determining whether activities contribute importantly to the accomplishment of an exempt purpose, the size and extent of the activities involved must be considered in relation to the nature and extent of the exempt function that they intend to serve. Free efile 1040ez For example, to the extent an activity is conducted on a scale larger than is reasonably necessary to perform an exempt purpose, it does not contribute importantly to the accomplishment of the exempt purpose. Free efile 1040ez The part of the activity that is more than needed to accomplish the exempt purpose is an unrelated trade or business. Free efile 1040ez   Also in determining whether activities contribute importantly to the accomplishment of an exempt purpose, the following principles apply. Free efile 1040ez Selling of products of exempt functions. Free efile 1040ez   Ordinarily, selling products that result from the performance of exempt functions is not an unrelated trade or business if the product is sold in substantially the same state it is in when the exempt functions are completed. Free efile 1040ez Thus, for an exempt organization engaged in rehabilitating handicapped persons (its exempt function), selling articles made by these persons as part of their rehabilitation training is not an unrelated trade or business. Free efile 1040ez   However, if a completed product resulting from an exempt function is used or exploited in further business activity beyond what is reasonably appropriate or necessary to dispose of it as is, the activity is an unrelated trade or business. Free efile 1040ez For example, if an exempt organization maintains an experimental dairy herd for scientific purposes, the sale of milk and cream produced in the ordinary course of operation of the project is not an unrelated trade or business. Free efile 1040ez But if the organization uses the milk and cream in the further manufacture of food items such as ice cream, pastries, etc. Free efile 1040ez , the sale of these products is an unrelated trade or business unless the manufacturing activities themselves contribute importantly to the accomplishment of an exempt purpose of the organization. Free efile 1040ez Dual use of assets or facilities. Free efile 1040ez   If an asset or facility necessary to the conduct of exempt functions is also used in commercial activities, its use for exempt functions does not, by itself, make the commercial activities a related trade or business. Free efile 1040ez The test, as discussed earlier, is whether the activities contribute importantly to the accomplishment of exempt purposes. Free efile 1040ez   For example, a museum has a theater auditorium designed for showing educational films in connection with its program of public education in the arts and sciences. Free efile 1040ez The theater is a principal feature of the museum and operates continuously while the museum is open to the public. Free efile 1040ez If the organization also operates the theater as a motion picture theater for the public when the museum is closed, the activity is an unrelated trade or business. Free efile 1040ez   For information on allocating expenses for the dual use of assets or facilities, see Deductions in chapter 4. Free efile 1040ez Exploitation of exempt functions. Free efile 1040ez   Exempt activities sometimes create goodwill or other intangibles that can be exploited in a commercial way. Free efile 1040ez When an organization exploits such an intangible in commercial activities, the fact that the income depends in part upon an exempt function of the organization does not make the commercial activities a related trade or business. Free efile 1040ez Unless the commercial exploitation contributes importantly to the accomplishment of the exempt purpose, the commercial activities are an unrelated trade or business. Free efile 1040ez   For the treatment of expenses attributable to the exploitation of exempt activities, see Deductions in chapter 4. Free efile 1040ez Examples The following are examples of activities that were determined to be (or not to be) unrelated trades or businesses using the definitions and principles just discussed. Free efile 1040ez Sales commissions. Free efile 1040ez   An agricultural organization, whose exempt purposes are to promote better conditions for cattle breeders and to improve the breed generally, engages in an unrelated trade or business when it regularly sells cattle for its members on a commission basis. Free efile 1040ez Artists' facilities. Free efile 1040ez   An organization whose exempt purpose is to stimulate and foster public interest in the fine arts by promoting art exhibits, sponsoring cultural events, and furnishing information about fine arts leases studio apartments to artist tenants and operates a dining hall primarily for these tenants. Free efile 1040ez These two activities do not contribute importantly to accomplishing the organization's exempt purpose. Free efile 1040ez Therefore, they are unrelated trades or businesses. Free efile 1040ez Membership list sales. Free efile 1040ez   An exempt educational organization regularly sells membership mailing lists to business firms. Free efile 1040ez This activity does not contribute importantly to the accomplishment of the organization's exempt purpose and therefore is an unrelated trade or business. Free efile 1040ez Also see Exchange or rental of member lists under Excluded Trade or Business Activities, later. Free efile 1040ez Hospital facilities. Free efile 1040ez   An exempt hospital leases its adjacent office building and furnishes certain office services to a hospital-based medical group for a fee. Free efile 1040ez The group provides all diagnostic and therapeutic procedures to the hospital's patients and operates the hospital's emergency room on a 24-hour basis. Free efile 1040ez The leasing activity is substantially related to the hospital's exempt purpose and is not an unrelated trade or business. Free efile 1040ez   The hospital also operates a gift shop patronized by patients, visitors making purchases for patients, and employees; a cafeteria and coffee shop primarily for employees and medical staff; and a parking lot for patients and visitors only. Free efile 1040ez These activities are also substantially related to the hospital's exempt purpose and do not constitute unrelated trades or businesses. Free efile 1040ez Book publishing. Free efile 1040ez   An exempt organization engages primarily in activities that further its exempt purposes. Free efile 1040ez It also owns the publication rights to a book that does not relate to any of its exempt purposes. Free efile 1040ez The organization exploits the book in a commercial manner by arranging for printing, distribution, publicity, and advertising in connection with the sale of the book. Free efile 1040ez These activities constitute a trade or business regularly conducted. Free efile 1040ez Because exploiting the book is unrelated to the organization's exempt purposes (except for the use of the book's profits), the income is unrelated business income. Free efile 1040ez   However, if the organization transfers publication rights to a commercial publisher in return for royalties, the royalty income received will not be unrelated business income. Free efile 1040ez See Royalties under Exclusions in chapter 4. Free efile 1040ez School handicraft shop. Free efile 1040ez   An exempt vocational school operates a handicraft shop that sells articles made by students in their regular courses of instruction. Free efile 1040ez The students are paid a percentage of the sales price. Free efile 1040ez In addition, the shop sells products made by local residents who make articles at home according to the shop's specifications. Free efile 1040ez The shop manager periodically inspects the articles during their manufacture to ensure that they meet desired standards of style and quality. Free efile 1040ez Although many local participants are former students of the school, any qualified person may participate in the program. Free efile 1040ez The sale of articles made by students does not constitute an unrelated trade or business, but the sale of products made by local residents is an unrelated trade or business and is subject to unrelated business income tax. Free efile 1040ez School facilities. Free efile 1040ez   An exempt school has tennis courts and dressing rooms that it uses during the regular school year in its educational program. Free efile 1040ez During the summer, the school operates a tennis club open to the general public. Free efile 1040ez Employees of the school run the club, including collecting membership fees and scheduling court time. Free efile 1040ez   Another exempt school leases the same type of facilities to an unrelated individual who runs a tennis club for the summer. Free efile 1040ez The lease is for a fixed fee that does not depend on the income or profits derived from the leased property. Free efile 1040ez   In both situations, the exempt purpose is the advancement of education. Free efile 1040ez Furnishing tennis facilities in the manner described does not further that exempt purpose. Free efile 1040ez These activities are unrelated trades or businesses. Free efile 1040ez However, in the second situation the income derived from the leasing of the property is excluded from unrelated business taxable income as rent from real property. Free efile 1040ez See Rents under Exclusions in chapter 4. Free efile 1040ez Services provided with lease. Free efile 1040ez   An exempt university leases its football stadium during several months of the year to a professional football team for a fixed fee. Free efile 1040ez Under the lease agreement, the university furnishes heat, light, and water and is responsible for all ground maintenance. Free efile 1040ez It also provides dressing room, linen, and stadium security services for the professional team. Free efile 1040ez   Leasing of the stadium is an unrelated trade or business. Free efile 1040ez In addition, the substantial services furnished for the convenience of the lessee go beyond those usually provided with the rental of space for occupancy only. Free efile 1040ez Therefore, the income from this lease is rent from real property and unrelated business taxable income. Free efile 1040ez Broadcasting rights. Free efile 1040ez   An exempt collegiate athletic conference conducts an annual competitive athletic game between its conference champion and another collegiate team. Free efile 1040ez Income is derived from admission charges and the sale of exclusive broadcasting rights to a national radio and television network. Free efile 1040ez An athletic program is considered an integral part of the educational process of a university. Free efile 1040ez   The educational purposes served by intercollegiate athletics are identical whether conducted directly by individual universities or by their regional athletic conference. Free efile 1040ez Also, the educational purposes served by exhibiting a game before an audience that is physically present and exhibiting the game on television or radio before a much larger audience are substantially similar. Free efile 1040ez Therefore, the sale of the broadcasting rights contributes importantly to the accomplishment of the organization's exempt purpose and is not an unrelated trade or business. Free efile 1040ez   In a similar situation, an exempt organization was created as a national governing body for amateur athletes to foster interest in amateur sports and to encourage widespread public participation. Free efile 1040ez The organization receives income each year from the sale of exclusive broadcasting rights to an independent producer, who contracts with a commercial network to broadcast many of the athletic events sponsored, supervised, and regulated by the organization. Free efile 1040ez   The broadcasting of these events promotes the various amateur sports, fosters widespread public interest in the benefits of the organization's nationwide amateur program, and encourages public participation. Free efile 1040ez The sale of the rights and the broadcasting of the events contribute importantly to the organization's exempt purpose. Free efile 1040ez Therefore, the sale of the exclusive broadcasting rights is not an unrelated trade or business. Free efile 1040ez Yearbook advertising. Free efile 1040ez   An exempt organization receives income from the sale of advertising in its annual yearbook. Free efile 1040ez The organization hires an independent commercial firm, under a contract covering a full calendar year, to conduct an intensive advertising solicitation campaign in the organization's name. Free efile 1040ez This firm is paid a percentage of the gross advertising receipts for selling the advertising, collecting from advertisers, and printing the yearbook. Free efile 1040ez This advertising activity is an unrelated trade or business. Free efile 1040ez Pet boarding and grooming services. Free efile 1040ez   An exempt organization, organized and operated for the prevention of cruelty to animals, receives unrelated business income from providing pet boarding and grooming services for the general public. Free efile 1040ez These activities do not contribute importantly to its purpose of preventing cruelty to animals. Free efile 1040ez Museum eating facilities. Free efile 1040ez   An exempt art museum operates a dining room, a cafeteria, and a snack bar for use by the museum staff, employees, and visitors. Free efile 1040ez Eating facilities in the museum help to attract visitors and allow them to spend more time viewing the museum's exhibits without having to seek outside restaurants at mealtime. Free efile 1040ez The eating facilities also allow the museum staff and employees to remain in the museum throughout the day. Free efile 1040ez Thus, the museum's operation of the eating facilities contributes importantly to the accomplishment of its exempt purposes and is not unrelated trade or business. Free efile 1040ez Halfway house workshop. Free efile 1040ez   A halfway house organized to provide room, board, therapy, and counseling for persons discharged from alcoholic treatment centers also operates a furniture shop to provide full-time employment for its residents. Free efile 1040ez The profits are applied to the operating costs of the halfway house. Free efile 1040ez The income from this venture is not unrelated trade or business income because the furniture shop contributes importantly to the organization's purpose of aiding its residents' transition from treatment to a normal and productive life. Free efile 1040ez Travel tour programs. Free efile 1040ez   Travel tour activities that are a trade or business are an unrelated trade or business if the activities are not substantially related to the purpose for which tax exemption was granted to the organization. Free efile 1040ez Example 1. Free efile 1040ez A tax-exempt university alumni association provides a travel tour program for its members and their families. Free efile 1040ez The organization works with various travel agencies and schedules approximately ten tours a year to various places around the world. Free efile 1040ez It mails out promotional material and accepts reservations for fees paid by the travel agencies on a per-person basis. Free efile 1040ez The organization provides an employee for each tour as a tour leader. Free efile 1040ez There is no formal educational program conducted with these tours, and they do not differ from regular commercially operated tours. Free efile 1040ez By providing travel tours to its members, the organization is engaging in a regularly conducted trade or business. Free efile 1040ez Even if the tours it offers support the university, financially and otherwise, and encourage alumni to do the same, they do not contribute importantly to the organization's exempt purpose of promoting education. Free efile 1040ez Therefore, the sale of the travel tours is an unrelated trade or business. Free efile 1040ez Example 2. Free efile 1040ez A tax-exempt organization formed for the purpose of educating individuals about the geography and the culture of the United States provides study tours to national parks and other locations within the United States. Free efile 1040ez These tours are conducted by teachers and others certified by the state board of education. Free efile 1040ez The tours are primarily designed for students enrolled in degree programs at state educational institutions but are open to all who agree to participate in the required study program associated with the tour taken. Free efile 1040ez A tour's study program consists of instruction on subjects related to the location being visited on the tour. Free efile 1040ez Each tour group brings along a library of material related to the subjects being studied on the tour. Free efile 1040ez During the tour, 5 or 6 hours per day are devoted to organized study, preparation of reports, lectures, instruction, and recitation by the students. Free efile 1040ez Examinations are given at the end of each tour. Free efile 1040ez The state board of education awards academic credit for tour participation. Free efile 1040ez Because these tours are substantially related to the organization's exempt purpose, they are not an unrelated trade or business. Free efile 1040ez Insurance programs. Free efile 1040ez   An organization that acts as a group insurance policyholder for its members and collects a fee for performing administrative services is normally carrying on an unrelated trade or business. Free efile 1040ez Exceptions. Free efile 1040ez   Organizations whose exempt activities may include the provision of insurance benefits, such as fraternal beneficiary societies, voluntary employees beneficiary associations, and labor organizations, are generally exceptions to this rule. Free efile 1040ez Magazine publishing. Free efile 1040ez   An association of credit unions with tax-exempt status as a business league publishes a consumer-oriented magazine four times a year and makes it available to member credit unions for purchase. Free efile 1040ez   By selling a magazine to its members as a promotional device, the organization furnishes its members with a regular commercial service they can use in their own operations. Free efile 1040ez This service does not promote the improvement of business conditions of one or more lines of business, which is the exempt purpose of a business league. Free efile 1040ez   Since the activity does not contribute importantly to the organization's exempt function, it is an unrelated trade or business. Free efile 1040ez Directory of members. Free efile 1040ez   A business league publishes an annual directory that contains a list of all its members, their addresses, and their area of expertise. Free efile 1040ez Each member has the same amount of space in the directory, and its format does not emphasize the relative importance or reputation of any member. Free efile 1040ez The directory contains no commercial advertisement and is sold only to the organization's members. Free efile 1040ez   The directory facilitates communication among the members and encourages the exchange of ideas and expertise. Free efile 1040ez Because the directory lists the members in a similar noncommercial format without advertising and is not distributed to the public, its sale does not confer private commercial benefits on the members. Free efile 1040ez The sale of the directory does contribute importantly to the organization's exempt purpose and is not an unrelated trade or business. Free efile 1040ez This directory differs from the publication discussed next because of its noncommercial characteristics. Free efile 1040ez Sales of advertising space. Free efile 1040ez   A national association of law enforcement officials publishes a monthly journal that contains articles and other editorial material of professional interest to its members. Free efile 1040ez The journal is distributed without charge, mainly to the organization's members. Free efile 1040ez   The organization sells advertising space in the journal either for conventional advertising or to merely identify the purchaser without a commercial message. Free efile 1040ez Some of the noncommercial advertising identifies the purchaser in a separate space, and some consists of listings of 60 or more purchasers per page. Free efile 1040ez A business firm identified in a separate space is further identified in an Index of Advertisers. Free efile 1040ez   The organization solicits advertising by personal contacts. Free efile 1040ez Advertising from large firms is solicited by contacting their chief executive officer or community relations officer rather than their advertising manager. Free efile 1040ez The organization also solicits advertising in form letters appealing for corporate and personal contributions. Free efile 1040ez   An exempt organization's sale of advertising placed for the purchaser's commercial benefit is a commercial activity. Free efile 1040ez Goodwill derived by the purchaser from being identified as a patron of the organization is usually considered a form of commercial benefit. Free efile 1040ez Therefore, advertising in an exempt organization's publication is generally presumed to be placed for the purchaser's commercial benefit, even if it has no commercial message. Free efile 1040ez However, this presumption is not conclusive if the purchaser's patronage would be difficult to justify commercially in view of the facts and circumstances. Free efile 1040ez In that case, other factors should also be considered in determining whether a commercial benefit can be expected. Free efile 1040ez Those other factors include: The normal manner in which the publication is circulated; The territorial scope of the circulation; The extent to which its readers, promoters, or the like could reasonably be expected to further, either directly or indirectly, the commercial interest of the advertisers; The eligibility of the publishing organization to receive tax-deductible contributions; and The commercial or noncommercial methods used to solicit the advertisers. Free efile 1040ez   In this situation, the purchaser of a separate advertising space without a commercial message can nevertheless expect a commercial benefit from the goodwill derived from being identified in that manner as a patron of the organization. Free efile 1040ez However, the purchaser of a listing cannot expect more than an inconsequential benefit. Free efile 1040ez Therefore, the sale of separate spaces, but not the listings, is an unrelated trade or business. Free efile 1040ez Publishing legal notices. Free efile 1040ez   A bar association publishes a legal journal containing opinions of the county court, articles of professional interest to lawyers, advertisements for products and services used by the legal profession, and legal notices. Free efile 1040ez The legal notices are published to satisfy state laws requiring publication of notices in connection with legal proceedings, such as the administration of estates and actions to quiet title to real property. Free efile 1040ez The state designated the bar association's journal as the place to publish the required notices. Free efile 1040ez   The publication of ordinary commercial advertising does not advance the exempt purposes of the association even when published in a periodical that contains material related to exempt purposes. Free efile 1040ez Although the advertising is directed specifically to members of the legal profession, it is still commercial in nature and does not contribute importantly to the exempt purposes of the association. Free efile 1040ez Therefore, the advertising income is unrelated trade or business income. Free efile 1040ez   On the other hand, the publication of legal notices is distinguishable from ordinary commercial advertising in that its purpose is to inform the general public of significant legal events rather than to stimulate demand for the products or services of an advertiser. Free efile 1040ez This promotes the common interests of the legal profession and contributes importantly to the association's exempt purposes. Free efile 1040ez Therefore, the publishing of legal notices does not constitute an unrelated trade or business. Free efile 1040ez Museum greeting card sales. Free efile 1040ez    An art museum that exhibits modern art sells greeting cards that display printed reproductions of selected works from other art collections. Free efile 1040ez Each card is imprinted with the name of the artist, the title or subject matter of the work, the date or period of its creation, if known, and the museum's name. Free efile 1040ez The cards contain appropriate greetings and are personalized on request. Free efile 1040ez   The organization sells the cards in the shop it operates in the museum and sells them at quantity discounts to retail stores. Free efile 1040ez It also sells them by mail order through a catalog that is advertised in magazines and other publications throughout the year. Free efile 1040ez As a result, a large number of cards are sold at a significant profit. Free efile 1040ez   The museum is exempt as an educational organization on the basis of its ownership, maintenance, and exhibition for public viewing of works of art. Free efile 1040ez The sale of greeting cards with printed reproductions of artworks contributes importantly to the achievement of the museum's exempt educational purposes by enhancing public awareness, interest, and appreciation of art. Free efile 1040ez The cards may encourage more people to visit the museum itself to share in its educational programs. Free efile 1040ez The fact that the cards are promoted and sold in a commercial manner at a profit and in competition with commercial greeting card publishers does not alter the fact that the activity is related to the museum's exempt purpose. Free efile 1040ez Therefore, these sales activities are not an unrelated trade or business. Free efile 1040ez Museum shop. Free efile 1040ez   An art museum maintained and operated for the exhibition of American folk art operates a shop in the museum that sells: Reproductions of works in the museum's own collection and reproductions of artistic works from the collections of other art museums (prints suitable for framing, postcards, greeting cards, and slides); Metal, wood, and ceramic copies of American folk art objects from its own collection and similar copies of art objects from other collections of artworks; Instructional literature and scientific books and souvenir items concerning the history and development of art and, in particular, of American folk art; and Scientific books and souvenir items of the city in which the museum is located. Free efile 1040ez   The shop also rents originals or reproductions of paintings contained in its collection. Free efile 1040ez All of its reproductions are imprinted with the name of the artist, the title or subject matter of the work from which it is reproduced, and the museum's name. Free efile 1040ez   Each line of merchandise must be considered separately to determine if sales are related to the exempt purpose. Free efile 1040ez   The sale and rental of reproductions and copies of works from the museum's own collection and reproductions of artistic works not owned by the museum contribute importantly to the achievement of the museum's exempt educational purpose by making works of art familiar to a broader segment of the public, thereby enhancing the public's understanding and appreciation of art. Free efile 1040ez The same is true for the sale of literature relating to art. Free efile 1040ez Therefore, these sales activities are not an unrelated trade or business. Free efile 1040ez   On the other hand, the sale of scientific books and souvenir items of the city where the museum is located has no causal relationship to art or to artistic endeavor and, therefore, does not contribute importantly to the accomplishment of the museum's exempt educational purposes. Free efile 1040ez The fact that selling some of these items could, under different circumstances, be held related to the exempt educational purpose of some other exempt educational organization does not change this conclusion. Free efile 1040ez Additionally, the sale of these items does not lose its identity as a trade or business merely because the museum also sells articles which do contribute importantly to the accomplishment of its exempt function. Free efile 1040ez Therefore, these sales are an unrelated trade or business. Free efile 1040ez Business league's parking and bus services. Free efile 1040ez   A business league, whose purpose is to retain and stimulate trade in a downtown area that has inadequate parking facilities, operates a fringe parking lot and shuttle bus service. Free efile 1040ez It also operates, as an insubstantial part of its activities, a park and shop plan. Free efile 1040ez   The fringe parking lot and shuttle bus service operate in a manner that does not favor any individual or group of downtown merchants. Free efile 1040ez The merchants cannot offer free or discount parking or bus fares to their customers. Free efile 1040ez   The park and shop plan allows customers of particular merchants to park free at certain parking lots in the area. Free efile 1040ez Merchants participating in this plan buy parking stamps, which they distribute to their customers to use to pay for parking. Free efile 1040ez   Operating the fringe parking lot and shuttle bus service provides easy and convenient access to the downtown area and, therefore, stimulates and improves business conditions in the downtown area generally. Free efile 1040ez That activity contributes importantly to the organization's accomplishing its exempt purpose and is not an unrelated trade or business. Free efile 1040ez   The park and shop plan encourages customers to use a limited number of participating member merchants in order to obtain free parking. Free efile 1040ez This provides a particular service to individual members of the organization and does not further its exempt purpose. Free efile 1040ez Therefore, operating the park and shop plan is an unrelated trade or business. Free efile 1040ez Youth residence. Free efile 1040ez   An exempt organization, whose purpose is to provide for the welfare of young people, rents rooms primarily to people under age 25. Free efile 1040ez The residence units are operated on, and as a part of, the premises in which the organization carries on the social, recreational, and guidance programs for which it was recognized as exempt. Free efile 1040ez The facilities are under the management and supervision of trained career professionals who provide residents with personal counseling, physical education programs, and group recreational activities. Free efile 1040ez The rentals are not an unrelated trade or business because renting the rooms is substantially related to the organization's exempt purpose. Free efile 1040ez Health club program. Free efile 1040ez   An exempt charitable organization's purpose is to provide for the welfare of young people. Free efile 1040ez The organization conducts charitable activities and maintains facilities that will contribute to the physical, social, mental, and spiritual health of young people at minimum or no cost to them. Free efile 1040ez Nominal annual dues are charged for membership in the organization and use of the facilities. Free efile 1040ez   In addition, the organization organized a health club program that its members could join for an annual fee in addition to the annual dues. Free efile 1040ez The annual fee is comparable to fees charged by similar local commercial health clubs and is sufficiently high to restrict participation in the program to a limited number of members of the community. Free efile 1040ez   The health club program is in addition to the general physical fitness program of the organization. Free efile 1040ez Operating this program does not contribute importantly to the organization's accomplishing its exempt purpose and, therefore, is an unrelated trade or business. Free efile 1040ez Miniature golf course. Free efile 1040ez   An exempt youth welfare organization operates a miniature golf course that is open to the general public. Free efile 1040ez The course, which is managed by salaried employees, is substantially similar to commercial courses. Free efile 1040ez The admission fees charged are comparable to fees of commercial facilities and are designed to return a profit. Free efile 1040ez   The operation of the miniature golf course in a commercial manner does not contribute importantly to the accomplishment of the organization's exempt purpose and, therefore, is an unrelated trade or business. Free efile 1040ez Sales of hearing aids. Free efile 1040ez   A tax-exempt hospital, whose primary activity is rehabilitation, sells hearing aids to patients. Free efile 1040ez This activity is an essential part of the hospital's program to test and evaluate patients with hearing deficiencies and contributes importantly to its exempt purpose. Free efile 1040ez It is not an unrelated trade or business. Free efile 1040ez Nonpatient laboratory testing. Free efile 1040ez   Nonpatient laboratory testing performed by a tax-exempt teaching hospital on specimens needed for the conduct of its teaching activities is not an unrelated trade or business. Free efile 1040ez However, laboratory testing performed by a tax-exempt non-teaching hospital on referred specimens from private office patients of staff physicians is an unrelated trade or business if these services are otherwise available in the community. Free efile 1040ez Selling endorsements. Free efile 1040ez   An exempt scientific organization enjoys an excellent reputation in the field of biological research. Free efile 1040ez It exploits this reputation regularly by selling endorsements of laboratory equipment to manufacturers. Free efile 1040ez Endorsing laboratory equipment does not contribute importantly to the accomplishment of any purpose for which exemption is granted to the organization. Free efile 1040ez Accordingly, the sale of endorsements is an unrelated trade or business. Free efile 1040ez Sponsoring entertainment events. Free efile 1040ez   An exempt university has a regular faculty and a regularly enrolled student body. Free efile 1040ez During the school year, the university sponsors the appearance of professional theater companies and symphony orchestras that present drama and musical performances for the students and faculty members. Free efile 1040ez Members of the general public also are admitted. Free efile 1040ez The university advertises these performances and supervises advance ticket sales at various places, including such university facilities as the cafeteria and the university bookstore. Free efile 1040ez Although the presentation of the performances makes use of an intangible generated by the university's exempt educational functions—the presence of the student body and faculty—such drama and music events contribute importantly to the overall educational and cultural functions of the university. Free efile 1040ez Therefore, the activity is not an unrelated trade or business. Free efile 1040ez Excluded Trade or Business Activities The following activities are specifically excluded from the definition of unrelated trade or business. Free efile 1040ez Volunteer workforce. Free efile 1040ez   Any trade or business in which substantially all the work is performed for the organization without compensation is not an unrelated trade or business. Free efile 1040ez Example 1. Free efile 1040ez A retail store operated by an exempt orphanage where unpaid volunteers perform substantially all the work in carrying on the business is not an unrelated trade or business. Free efile 1040ez Example 2. Free efile 1040ez A volunteer fire company conducts weekly public dances. Free efile 1040ez Holding public dances and charging admission on a regular basis may, given the facts and circumstances of a particular case, be considered an unrelated trade or business. Free efile 1040ez However, because the work at the dances is performed by unpaid volunteers, the activity is not an unrelated trade or business. Free efile 1040ez Convenience of members. Free efile 1040ez   A trade or business conducted by a 501(c)(3) organization or by a governmental college or university primarily for the convenience of its members, students, patients, officers, or employees is not an unrelated trade or business. Free efile 1040ez For example, a laundry operated by a college for the purpose of laundering dormitory linens and students' clothing is not an unrelated trade or business. Free efile 1040ez Qualified sponsorship activities. Free efile 1040ez   Soliciting and receiving qualified sponsorship payments is not an unrelated trade or business, and the payments are not subject to unrelated business income tax. Free efile 1040ez Qualified sponsorship payment. Free efile 1040ez   This is any payment made by a person engaged in a trade or business for which the person will receive no substantial benefit other than the use or acknowledgment of the business name, logo, or product lines in connection with the organization's activities. Free efile 1040ez “Use or acknowledgment” does not include advertising the sponsor's products or services. Free efile 1040ez The organization's activities include all its activities, whether or not related to its exempt purposes. Free efile 1040ez   For example, if, in return for receiving a sponsorship payment, an organization promises to use the sponsor's name or logo in acknowledging the sponsor's support for an educational or fundraising event, the payment is a qualified sponsorship payment and is not subject to the unrelated business income tax. Free efile 1040ez   Providing facilities, services, or other privileges (for example, complimentary tickets, pro-am playing spots in golf tournaments, or receptions for major donors) to a sponsor or the sponsor's designees in connection with a sponsorship payment does not affect whether the payment is a qualified sponsorship payment. Free efile 1040ez Instead, providing these goods or services is treated as a separate transaction in determining whether the organization has unrelated business income from the event. Free efile 1040ez Generally, if the services or facilities are not a substantial benefit or if providing them is a related business activity, the payments will not be subject to the unrelated business income tax. Free efile 1040ez   Similarly, the sponsor's receipt of a license to use an intangible asset (for example, a trademark, logo, or designation) of the organization is treated as separate from the qualified sponsorship transaction in determining whether the organization has unrelated business taxable income. Free efile 1040ez   If part of a payment would be a qualified sponsorship payment if paid separately, that part is treated as a separate payment. Free efile 1040ez For example, if a sponsorship payment entitles the sponsor to both product advertising and the use or acknowledgment of the sponsor's name or logo by the organization, then the unrelated business income tax does not apply to the part of the payment that is more than the fair market value of the product advertising. Free efile 1040ez Advertising. Free efile 1040ez   A payment is not a qualified sponsorship payment if, in return, the organization advertises the sponsor's products or services. Free efile 1040ez For information on the treatment of payments for advertising, see Exploitation of Exempt Activity—Advertising Sales in chapter 4. Free efile 1040ez   Advertising includes: Messages containing qualitative or comparative language, price information, or other indications of savings or value; Endorsements; and Inducements to purchase, sell, or use the products or services. Free efile 1040ez   The use of promotional logos or slogans that are an established part of the sponsor's identity is not, by itself, advertising. Free efile 1040ez In addition, mere distribution or display of a sponsor's product by the organization to the public at a sponsored event, whether for free or for remuneration, is considered use or acknowledgment of the product rather than advertising. Free efile 1040ez Exception for contingent payments. Free efile 1040ez   A payment is not a qualified sponsorship payment if its amount is contingent, by contract or otherwise, upon the level of attendance at one or more events, broadcast ratings, or other factors indicating the degree of public exposure to one or more events. Free efile 1040ez However, the fact that a sponsorship payment is contingent upon an event actually taking place or being broadcast does not, by itself, affect whether a payment qualifies. Free efile 1040ez Exception for periodicals. Free efile 1040ez   A payment is not a qualified sponsorship payment if it entitles the payer to the use or acknowledgment of the business name, logo, or product lines in the organization's periodical. Free efile 1040ez For this purpose, a periodical is any regularly scheduled and printed material (for example, a monthly journal) published by or on behalf of the organization. Free efile 1040ez It does not include material that is related to and primarily distributed in connection with a specific event conducted by the organization (for example, a program or brochure distributed at a sponsored event). Free efile 1040ez   The treatment of payments that entitle the payer to the depiction of the payer's name, logo, or products lines in an organization's periodical is determined under the rules that apply to advertising activities. Free efile 1040ez See Sales of advertising space under Examples, earlier in this chapter. Free efile 1040ez Also see Exploitation of Exempt Activity—Advertising Sales in chapter 4. Free efile 1040ez Exception for conventions and trade shows. Free efile 1040ez   A payment is not a qualified sponsorship payment if it is made in connection with any qualified convention or trade show activity. Free efile 1040ez The exclusion of qualified convention or trade show activities from the definition of unrelated trade or business is explained later under Convention or trade show activity. Free efile 1040ez Selling donated merchandise. Free efile 1040ez   A trade or business that consists of selling merchandise, substantially all of which the organization received as gifts or contributions, is not an unrelated trade or business. Free efile 1040ez For example, a thrift shop operated by a tax-exempt organization that sells donated clothes and books to the general public, with the proceeds going to the exempt organization, is not an unrelated trade or business. Free efile 1040ez Employee association sales. Free efile 1040ez   The sale of certain items by a local association of employees described in section 501(c)(4), organized before May 17, 1969, is not an unrelated trade or business if the items are sold for the convenience of the association's members at their usual place of employment. Free efile 1040ez This exclusion applies only to the sale of work-related clothes and equipment and items normally sold through vending machines, food dispensing facilities, or by snack bars. Free efile 1040ez Bingo games. Free efile 1040ez   Certain bingo games are not included in the term “unrelated trade or business. Free efile 1040ez ” To qualify for this exclusion, the bingo game must meet the following requirements. Free efile 1040ez It meets the legal definition of bingo. Free efile 1040ez It is legal where it is played. Free efile 1040ez It is played in a jurisdiction where bingo games are not regularly conducted by for-profit organizations. Free efile 1040ez Legal definition. Free efile 1040ez   For a game to meet the legal definition of bingo, wagers must be placed, winners must be determined, and prizes or other property must be distributed in the presence of all persons placing wagers in that game. Free efile 1040ez   A wagering game that does not meet the legal definition of bingo does not qualify for the exclusion, regardless of its name. Free efile 1040ez For example, “instant bingo,” in which a player buys a pre-packaged bingo card with pull-tabs that the player removes to determine if he or she is a winner, does not qualify. Free efile 1040ez Legal where played. Free efile 1040ez   This exclusion applies only if bingo is legal under the laws of the jurisdiction where it is conducted. Free efile 1040ez The fact that a jurisdiction's law that prohibits bingo is rarely enforced or is widely disregarded does not make the conduct of bingo legal for this purpose. Free efile 1040ez No for-profit games where played. Free efile 1040ez   This exclusion applies only if for-profit organizations cannot regularly conduct bingo games in any part of the same jurisdiction. Free efile 1040ez Jurisdiction is normally the entire state; however, in certain situations, local jurisdiction will control. Free efile 1040ez Example. Free efile 1040ez Tax-exempt organizations X and Y are organized under the laws of state N, which has a law that permits exempt organizations to conduct bingo games. Free efile 1040ez In addition, for-profit organizations are permitted to conduct bingo games in city S, a resort community located in county R. Free efile 1040ez Several for-profit organizations conduct nightly games. Free efile 1040ez Y conducts weekly bingo games in city S, while X conducts weekly games in county R. Free efile 1040ez Since state law confines the for-profit organizations to city S, local jurisdiction controls. Free efile 1040ez Y's bingo games conducted in city S are an unrelated trade or business. Free efile 1040ez However, X's bingo games conducted in county R outside of city S are not an unrelated trade or business. Free efile 1040ez Gambling activities other than bingo. Free efile 1040ez   Any game of chance conducted by an exempt organization in North Dakota is not an unrelated trade or business if conducting the game does not violate any state or local law. Free efile 1040ez Pole rentals. Free efile 1040ez   The term unrelated trade or business does not include qualified pole rentals by a mutual or cooperative telephone or electric company described in section 501(c)(12). Free efile 1040ez A qualified pole rental is the rental of a pole (or other structure used to support wires) if the pole (or other structure) is used: By the telephone or electric company to support one or more wires that the company uses in providing telephone or electric services to its members, and According to the rental, to support one or more wires (in addition to the wires described in 1 ) for use in connection with the transmission by wire of electricity or of telephone or other communications. Free efile 1040ez For this purpose, the term rental includes any sale of the right to use the pole (or other structure). Free efile 1040ez Distribution of low cost articles. Free efile 1040ez   The term unrelated trade or business does not include activities relating to the distribution of low cost articles incidental to soliciting charitable contributions. Free efile 1040ez This applies to organizations described in section 501 that are eligible to receive charitable contributions. Free efile 1040ez   A distribution is considered incidental to the solicitation of a charitable contribution if: The recipient did not request the distribution, The distribution is made without the express consent of the recipient, and The article is accompanied by a request for a charitable contribution to the organization and a statement that the recipient may keep the low cost article regardless of whether a contribution is made. Free efile 1040ez   An article is considered low cost if the cost of an item (or the aggregate costs if more than one item) distributed to a single recipient in a tax year is not more than $5, indexed annually for inflation. Free efile 1040ez The maximum cost of a low cost article is $9. Free efile 1040ez 70 for 2011. Free efile 1040ez The cost of an article is the cost to the organization that distributes the item or on whose behalf it is distributed. Free efile 1040ez Exchange or rental of member lists. Free efile 1040ez   The exchange or rental of member or donor lists between organizations described in section 501 that are eligible to receive charitable contributions is not included in the term unrelated trade or business. Free efile 1040ez Hospital services. Free efile 1040ez   The providing of certain services at or below cost by an exempt hospital to other exempt hospitals that have facilities for 100 or fewer inpatients is not an unrelated trade or business. Free efile 1040ez This exclusion applies only to services described in section 501(e)(1)(A). Free efile 1040ez Public entertainment activity. Free efile 1040ez   An unrelated trade or business does not include a qualified public entertainment activity. Free efile 1040ez A public entertainment activity is one traditionally conducted at a fair or exposition promoting agriculture and education, including any activity whose purpose is designed to attract the public to fairs or expositions or to promote the breeding of animals or the development of products or equipment. Free efile 1040ez   A qualified public entertainment activity is one conducted by a qualifying organization: In conjunction with an international, national, state, regional, or local fair or exposition; In accordance with state law that permits the activity to be operated or conducted solely by such an organization or by an agency, instrumentality, or political subdivision of the state; or In accordance with state law that permits an organization to be granted a license to conduct an activity for not more than 20 days on paying the state a lower percentage of the revenue from the activity than the state charges nonqualifying organizations that hold similar activities. Free efile 1040ez   For these purposes, a qualifying organization is an organization described in section 501(c)(3), 501(c)(4), or 501(c)(5) that regularly conducts an agricultural and educational fair or exposition as one of its substantial exempt purposes. Free efile 1040ez Its conducting qualified public entertainment activities will not affect determination of its exempt status. Free efile 1040ez Convention or trade show activity. Free efile 1040ez   An unrelated trade or business does not include qualified convention or trade show activities conducted at a convention, annual meeting, or trade show. Free efile 1040ez   A qualified convention or trade show activity is any activity of a kind traditionally conducted by a qualifying organization in conjunction with an international, national, state, regional, or local convention, annual meeting, or show if: One of the purposes of the organization in sponsoring the activity is promoting and stimulating interest in, and demand for, the products and services of that industry or educating the persons in attendance regarding new products and services or new rules and regulations affecting the industry; and The show is designed to achieve its purpose through the character of the exhibits and the extent of the industry products that are displayed. Free efile 1040ez   For these purposes, a qualifying organization is one described in section 501(c)(3), 501(c)(4), 501(c)(5), or 501(c)(6). Free efile 1040ez The organization must regularly conduct, as one of its substantial exempt purposes, a qualified convention or trade show activity. Free efile 1040ez   The rental of display space to exhibitors (including exhibitors who are suppliers) at a qualified convention or trade show is not an unrelated trade or business even if the exhibitors who rent the space are permitted to sell or solicit orders. Free efile 1040ez For this purpose, a supplier's exhibit is one in which the exhibitor displays goods or services that are supplied to, rather than by, members of the qualifying organization in the conduct of these members' own trades or businesses. Free efile 1040ez    Certain Internet activities conducted by a trade association described in section 501(c)(6) will be considered qualified convention and trade show activity if conducted on a special supplementary section of the association's website in conjunction with a trade show conducted by the association. Free efile 1040ez The trade show itself must be a qualified convention and trade show activity. Free efile 1040ez The supplementary section of the website must be ancillary to, and serve to augment and enhance, the trade show, as when it makes available the same information available at the trade show and is available only during a time period that coincides with the time period that the trade show is in operation. Free efile 1040ez Conversely, Internet activities that are not conducted in conjunction with a qualified convention and trade show activity and that do not augment and enhance the trade show cannot themselves be qualified convention and trade show activity. Free efile 1040ez Prev  Up  Next   Home   More Online Publications