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

TurboTax Federal Free Edition - File Taxes Online

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

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


© 2012 - 2018 All rights reserved.

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

Irs Gov 1040ez Form

Free E File Tax ExtensionDownload 2011 Tax Forms2010 1040How Can I File My 2012 Taxes For Free1040x Amended Tax ReturnWww Freefilefillableforms ComIncome Tax 2012 Forms1040ez Tax ReturnHow To File 2010 Taxes OnlineTax Act 2011 Free Download1040x FreeH&r Block 1040nrHow To Amend Your Tax ReturnWww H & R Block ComHr Block TaxesAmendment TaxesHow Can I File Taxes For 20122012 Irs Form 1040 EzAmending A Tax Return With TurbotaxFree Turbotax For StudentsFree Tax Filing H&r BlockFree Tax Filing 2013 Low IncomeTax Debt Help1040nr Tax ReturnCan I File 2011 Taxes In 2013How To Amend A Tax Return 2011H&r Block Free Tax FormFederal1040x AmendmentHow To Amend Your Tax Return Online040ezCan You File 2012 Taxes In 2014Filing State ReturnWww.my Freetax.comFederal Tax Forms 1040x1040x FileFree Tax Amendment1040ez BookletPrint Tax Form 1040xIrs Tax Forms 20112012 Form 1040ez

Irs Gov 1040ez Form

Irs gov 1040ez form Publication 536 - Main Content Table of Contents NOL Steps How To Figure an NOLNonbusiness deductions (line 6). Irs gov 1040ez form Nonbusiness income (line 7). Irs gov 1040ez form Nonbusiness capital losses. Irs gov 1040ez form Business capital losses. Irs gov 1040ez form Illustrated Form 1045, Schedule A When To Use an NOLExceptions to 2-Year Carryback Rule Waiving the Carryback Period How To Carry an NOL Back or Forward How To Claim an NOL DeductionDeducting a Carryback Deducting a Carryforward Change in Marital Status Change in Filing Status Illustrated Form 1045 How To Figure an NOL CarryoverIllustrated Form 1045, Schedule B NOL Carryover From 2013 to 2014Worksheet Instructions How To Get Tax HelpLow Income Taxpayer Clinics NOL Steps Follow Steps 1 through 5 to figure and use your NOL. Irs gov 1040ez form Step 1. Irs gov 1040ez form   Complete your tax return for the year. Irs gov 1040ez form You may have an NOL if a negative figure appears on the line below: Individuals — Form 1040, line 41, or Form 1040NR, line 39. Irs gov 1040ez form Estates and trusts — Form 1041, line 22. Irs gov 1040ez form   If the amount on that line is not negative, stop here — you do not have an NOL. Irs gov 1040ez form Step 2. Irs gov 1040ez form   Determine whether you have an NOL and its amount. Irs gov 1040ez form See How To Figure an NOL , later. Irs gov 1040ez form If you do not have an NOL, stop here. Irs gov 1040ez form Step 3. Irs gov 1040ez form   Decide whether to carry the NOL back to a past year or to waive the carryback period and instead carry the NOL forward to a future year. Irs gov 1040ez form See When To Use an NOL , later. Irs gov 1040ez form Step 4. Irs gov 1040ez form   Deduct the NOL in the carryback or carryforward year. Irs gov 1040ez form See How To Claim an NOL Deduction , later. Irs gov 1040ez form If your NOL deduction is equal to or less than your taxable income without the deduction, stop here — you have used up your NOL. Irs gov 1040ez form Step 5. Irs gov 1040ez form   Determine the amount of your unused NOL. Irs gov 1040ez form See How To Figure an NOL Carryover , later. Irs gov 1040ez form Carry over the unused NOL to the next carryback or carryforward year and begin again at Step 4. Irs gov 1040ez form Note. Irs gov 1040ez form   If your NOL deduction includes more than one NOL amount, apply Step 5 separately to each NOL amount, starting with the amount from the earliest year. Irs gov 1040ez form How To Figure an NOL If your deductions for the year are more than your income for the year, you may have an NOL. Irs gov 1040ez form There are rules that limit what you can deduct when figuring an NOL. Irs gov 1040ez form In general, the following items are not allowed when figuring an NOL. Irs gov 1040ez form Any deduction for personal exemptions. Irs gov 1040ez form Capital losses in excess of capital gains. Irs gov 1040ez form The section 1202 exclusion of the gain from the sale or exchange of qualified small business stock. Irs gov 1040ez form Nonbusiness deductions in excess of nonbusiness income. Irs gov 1040ez form The net operating loss deduction. Irs gov 1040ez form The domestic production activities deduction. Irs gov 1040ez form Form 1045, Schedule A. Irs gov 1040ez form   Use Form 1045, Schedule A, to figure an NOL. Irs gov 1040ez form The following discussion explains Schedule A and includes an illustrated example. Irs gov 1040ez form   First, complete Form 1045, Schedule A, line 1, using amounts from your return. Irs gov 1040ez form If line 1 is a negative amount, you may have an NOL. Irs gov 1040ez form   Next, complete the rest of Form 1045, Schedule A, to figure your NOL. Irs gov 1040ez form Nonbusiness deductions (line 6). Irs gov 1040ez form   Enter on line 6 deductions that are not connected to your trade or business or your employment. Irs gov 1040ez form Examples of deductions not related to your trade or business are: Alimony paid, Deductions for contributions to an IRA or a self-employed retirement plan, Health savings account deduction, Archer medical savings account deduction, Most itemized deductions (except for casualty and theft losses, state income tax on trade and business income, and any employee business expenses), and The standard deduction. Irs gov 1040ez form   Do not include on line 6 the deduction for personal exemptions for you, your spouse, or your dependents. Irs gov 1040ez form   Do not enter business deductions on line 6. Irs gov 1040ez form These are deductions that are connected to your trade or business. Irs gov 1040ez form They include the following. Irs gov 1040ez form State income tax on income attributable to trade or business (including wages, salary, and unemployment compensation). Irs gov 1040ez form Moving expenses. Irs gov 1040ez form Educator expenses. Irs gov 1040ez form The deduction for the deductible part of self-employed health insurance. Irs gov 1040ez form Domestic production activities deduction. Irs gov 1040ez form Rental losses. Irs gov 1040ez form Loss on the sale or exchange of business real estate or depreciable property. Irs gov 1040ez form Your share of a business loss from a partnership or an S corporation. Irs gov 1040ez form Ordinary loss on the sale or exchange of stock in a small business corporation or a small business investment company. Irs gov 1040ez form If you itemize your deductions, casualty and theft losses (even if they involve nonbusiness property) and employee business expenses (such as union dues, uniforms, tools, education expenses, and travel and transportation expenses). Irs gov 1040ez form Loss on the sale of accounts receivable (if you use an accrual method of accounting). Irs gov 1040ez form Interest and litigation expenses on state and federal income taxes related to your business. Irs gov 1040ez form Unrecovered investment in a pension or annuity claimed on a decedent's final return. Irs gov 1040ez form Payment by a federal employee to buy back sick leave used in an earlier year. Irs gov 1040ez form Nonbusiness income (line 7). Irs gov 1040ez form   Enter on line 7 only income that is not related to your trade or business or your employment. Irs gov 1040ez form For example, enter your annuity income, dividends, and interest on investments. Irs gov 1040ez form Also, include your share of nonbusiness income from partnerships and S corporations. Irs gov 1040ez form   Do not include on line 7 the income you receive from your trade or business or your employment. Irs gov 1040ez form This includes salaries and wages, self-employment income, unemployment compensation included in your gross income, and your share of business income from partnerships and S corporations. Irs gov 1040ez form Also, do not include rental income or ordinary gain from the sale or other disposition of business real estate or depreciable business property. Irs gov 1040ez form Adjustment for section 1202 exclusion (line 17). Irs gov 1040ez form   Enter on line 17 any gain you excluded under section 1202 on the sale or exchange of qualified small business stock. Irs gov 1040ez form Adjustments for capital losses (lines 19–22). Irs gov 1040ez form   The amount deductible for capital losses is limited based on whether the losses are business capital losses or nonbusiness capital losses. Irs gov 1040ez form Nonbusiness capital losses. Irs gov 1040ez form   You can deduct your nonbusiness capital losses (line 2) only up to the amount of your nonbusiness capital gains without regard to any section 1202 exclusion (line 3). Irs gov 1040ez form If your nonbusiness capital losses are more than your nonbusiness capital gains without regard to any section 1202 exclusion, you cannot deduct the excess. Irs gov 1040ez form Business capital losses. Irs gov 1040ez form   You can deduct your business capital losses (line 11) only up to the total of: Your nonbusiness capital gains that are more than the total of your nonbusiness capital losses and excess nonbusiness deductions (line 10), and Your total business capital gains without regard to any section 1202 exclusion (line 12). Irs gov 1040ez form Domestic production activities deduction (line 23). Irs gov 1040ez form   You cannot take the domestic production activities deduction when figuring your NOL. Irs gov 1040ez form Enter on line 23 any domestic production activities deduction claimed on your return. Irs gov 1040ez form NOLs from other years (line 24). Irs gov 1040ez form   You cannot deduct any NOL carryovers or carrybacks from other years. Irs gov 1040ez form Enter the total amount of your NOL deduction for losses from other years. Irs gov 1040ez form Illustrated Form 1045, Schedule A The following example illustrates how to figure an NOL. Irs gov 1040ez form It includes filled-in pages 1 and 2 of Form 1040 and Form 1045, Schedule A. Irs gov 1040ez form Example. Irs gov 1040ez form Glenn Johnson is in the retail record business. Irs gov 1040ez form He is single and has the following income and deductions on his Form 1040 for 2013. Irs gov 1040ez form See the illustrated Form 1040 , later. Irs gov 1040ez form INCOME   Wages from part-time job $1,225 Interest on savings 425 Net long-term capital gain on sale of real estate used in business 2,000 Glenn's total income $3,650 DEDUCTIONS   Net loss from business (gross income of $67,000 minus expenses of $72,000) $5,000 Net short-term capital loss on sale of stock 1,000 Standard deduction 6,100 Personal exemption 3,900 Glenn's total deductions $16,000 Glenn's deductions exceed his income by $12,350 ($16,000 − $3,650). Irs gov 1040ez form However, to figure whether he has an NOL, certain deductions are not allowed. Irs gov 1040ez form He uses Form 1045, Schedule A, to figure his NOL. Irs gov 1040ez form See the Illustrated Form 1045, Schedule A , later. Irs gov 1040ez form The following items are not allowed on Form 1045, Schedule A. Irs gov 1040ez form Nonbusiness net short-term capital loss $1,000 Nonbusiness deductions (standard deduction, $6,100) minus nonbusiness income (interest, $425) 5,675 Deduction for personal exemption 3,900 Total adjustments to net loss $10,575     Therefore, Glenn's NOL for 2013 is figured as follows: Glenn's total 2013 income $3,650 Less:     Glenn's original 2013 total deductions $16,000   Reduced by the disallowed items − 10,575 − 5,425 Glenn's NOL for 2013 $1,775 This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1040, page 1 This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1040, page 2 This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1045, page 2 When To Use an NOL Generally, if you have an NOL for a tax year ending in 2013, you must carry back the entire amount of the NOL to the 2 tax years before the NOL year (the carryback period), and then carry forward any remaining NOL for up to 20 years after the NOL year (the carryforward period). Irs gov 1040ez form You can, however, choose not to carry back an NOL and only carry it forward. Irs gov 1040ez form See Waiving the Carryback Period , later. Irs gov 1040ez form You cannot deduct any part of the NOL remaining after the 20-year carryforward period. Irs gov 1040ez form NOL year. Irs gov 1040ez form   This is the year in which the NOL occurred. Irs gov 1040ez form Exceptions to 2-Year Carryback Rule Eligible losses, farming losses, qualified disaster losses, and specified liability losses, all defined next, qualify for longer carryback periods. Irs gov 1040ez form Eligible loss. Irs gov 1040ez form   The carryback period for eligible losses is 3 years. Irs gov 1040ez form Only the eligible loss portion of the NOL can be carried back 3 years. Irs gov 1040ez form An eligible loss is any part of an NOL that: Is from a casualty or theft, or Is attributable to a federally declared disaster for a qualified small business or certain qualified farming businesses. Irs gov 1040ez form Qualified small business. Irs gov 1040ez form   A qualified small business is a sole proprietorship or a partnership that has average annual gross receipts (reduced by returns and allowances) of $5 million or less during the 3-year period ending with the tax year of the NOL. Irs gov 1040ez form If the business did not exist for this entire 3-year period, use the period the business was in existence. Irs gov 1040ez form   An eligible loss does not include a farming loss or a qualified disaster loss. Irs gov 1040ez form Farming loss. Irs gov 1040ez form   The carryback period for a farming loss is 5 years. Irs gov 1040ez form Only the farming loss portion of the NOL can be carried back 5 years. Irs gov 1040ez form A farming loss is the smaller of: The amount that would be the NOL for the tax year if only income and deductions attributable to farming businesses were taken into account, or The NOL for the tax year. Irs gov 1040ez form Farming business. Irs gov 1040ez form   A farming business is a trade or business involving cultivation of land or the raising or harvesting of any agricultural or horticultural commodity. Irs gov 1040ez form A farming business can include operating a nursery or sod farm or raising or harvesting most ornamental trees or trees bearing fruit, nuts, or other crops. Irs gov 1040ez form The raising, shearing, feeding, caring for, training, and management of animals is also considered a farming business. Irs gov 1040ez form   A farming business does not include contract harvesting of an agricultural or horticultural commodity grown or raised by someone else. Irs gov 1040ez form It also does not include a business in which you merely buy or sell plants or animals grown or raised entirely by someone else. Irs gov 1040ez form Waiving the 5-year carryback. Irs gov 1040ez form   You can choose to figure the carryback period for a farming loss without regard to the special 5-year carryback rule. Irs gov 1040ez form To make this choice for 2013, attach to your 2013 income tax return filed by the due date (including extensions) a statement that you are choosing to treat any 2013 farming losses without regard to the special 5-year carryback rule. Irs gov 1040ez form If you filed your original return on time but did not file the statement with it, you can make this choice on an amended return filed within 6 months after the due date of the return (excluding extensions). Irs gov 1040ez form Attach an election statement to your amended return, and write “Filed pursuant to section 301. Irs gov 1040ez form 9100-2” at the top of the statement. Irs gov 1040ez form Once made, this choice is irrevocable. Irs gov 1040ez form Qualified disaster loss. Irs gov 1040ez form   The carryback period for a qualified disaster loss is 5 years. Irs gov 1040ez form Only the qualified disaster loss portion of the NOL can be carried back 5 years. Irs gov 1040ez form A qualified disaster loss is the smaller of: The sum of: Any losses attributable to a federally declared disaster and occurring before January 1, 2010, in the disaster area, plus Any allowable qualified disaster expenses (even if you did not choose to treat those expenses as deductions in the current year), or The NOL for the tax year. Irs gov 1040ez form Qualified disaster expenses. Irs gov 1040ez form   A qualified disaster expense is any capital expense paid or incurred in connection with a trade or business or with business-related property which is: For the abatement or control of hazardous substances that were released as a result of a federally declared disaster occurring before January 1, 2010, For the removal of debris from, or the demolition of structures on, real property which is business-related property damaged or destroyed as a result of a federally declared disaster occurring before January 1, 2010, or For the repair of business-related property damaged as a result of a federally declared disaster occurring before January 1, 2010. Irs gov 1040ez form Business-related property is property held for use in a trade or business, property held for the production of income, or inventory property. Irs gov 1040ez form Note. Irs gov 1040ez form Section 198A allows taxpayers to treat certain capital expenses (qualified disaster expenses) as deductions in the year the expenses were paid or incurred. Irs gov 1040ez form Excluded losses. Irs gov 1040ez form   A qualified disaster loss does not include any losses from property used in connection with any private or commercial golf course, country club, massage parlor, hot tub facility, suntan facility, or any store for which the principal business is the sale of alcoholic beverages for consumption off premises. Irs gov 1040ez form   A qualified disaster loss also does not include any losses from any gambling or animal racing property. Irs gov 1040ez form Gambling or animal racing property is any equipment, furniture, software, or other property used directly in connection with gambling, the racing of animals, or the on-site viewing of such racing, and the portion of any real property (determined by square footage) that is dedicated to gambling, the racing of animals, or the on-site viewing of such racing, unless this portion is less than 100 square feet. Irs gov 1040ez form Specified liability loss. Irs gov 1040ez form   The carryback period for a specified liability loss is 10 years. Irs gov 1040ez form Only the specified liability loss portion of the NOL can be carried back 10 years. Irs gov 1040ez form Generally, a specified liability loss is a loss arising from: Product liability and expenses incurred in the investigation or settlement of, or opposition to, product liability claims, or An act (or failure to act) that occurred at least 3 years before the beginning of the loss year and resulted in a liability under a federal or state law requiring: Reclamation of land, Dismantling of a drilling platform, Remediation of environmental contamination, or Payment under any workers compensation act. Irs gov 1040ez form   Any loss from a liability arising from (1) through (4) above can be taken into account as a specified liability loss only if you used an accrual method of accounting throughout the period in which the act (or failure to act) occurred. Irs gov 1040ez form For details, see section 172(f). Irs gov 1040ez form Waiving the 10-year carryback. Irs gov 1040ez form   You can choose to figure the carryback period for a specified liability loss without regard to the special 10-year carryback rule. Irs gov 1040ez form To make this choice for 2013 attach to your 2013 income tax return filed by the due date (including extensions) a statement that you are choosing to treat any 2013 specified liability losses without regard to the special 10-year carryback rule. Irs gov 1040ez form If you filed your original return on time but did not file the statement with it, you can make this choice on an amended return filed within 6 months after the due date of the return (excluding extensions). Irs gov 1040ez form Attach a statement to your amended return and write “Filed pursuant to section 301. Irs gov 1040ez form 9100-2” at the top of the statement. Irs gov 1040ez form Once made, this choice is irrevocable. Irs gov 1040ez form Waiving the Carryback Period You can choose not to carry back your NOL. Irs gov 1040ez form If you make this choice, then you can use your NOL only in the 20-year carryforward period. Irs gov 1040ez form (This choice means you also choose not to carry back any alternative tax NOL. Irs gov 1040ez form ) To make this choice, attach a statement to your original return filed by the due date (including extensions) for the NOL year. Irs gov 1040ez form This statement must show that you are choosing to waive the carryback period under section 172(b)(3). Irs gov 1040ez form If you filed your original return on time but did not file the statement with it, you can make this choice on an amended return filed within 6 months of the due date of the return (excluding extensions). Irs gov 1040ez form Attach a statement to your amended return, and write “Filed pursuant to section 301. Irs gov 1040ez form 9100-2” at the top of the statement. Irs gov 1040ez form Once you choose to waive the carryback period, it generally is irrevocable. Irs gov 1040ez form If you choose to waive the carryback period for more than one NOL, you must make a separate choice and attach a separate statement for each NOL year. Irs gov 1040ez form If you do not file this statement on time, you cannot waive the carryback period. Irs gov 1040ez form How To Carry an NOL Back or Forward If you choose to carry back the NOL, you must first carry the entire NOL to the earliest carryback year. Irs gov 1040ez form If your NOL is not used up, you can carry the rest to the next earliest carryback year, and so on. Irs gov 1040ez form If you waive the carryback period or do not use up the NOL in the carryback period, carry forward what remains of the NOL to the 20 tax years following the NOL year. Irs gov 1040ez form Start by carrying it to the first tax year after the NOL year. Irs gov 1040ez form If you do not use it up, carry the unused part to the next year. Irs gov 1040ez form Continue to carry any unused part of the NOL forward until the NOL is used up or you complete the 20-year carryforward period. Irs gov 1040ez form Example 1. Irs gov 1040ez form You started your business as a sole proprietor in 2013 and had a $42,000 NOL for the year. Irs gov 1040ez form No part of the NOL qualifies for the 3-year, 5-year, or 10-year carryback. Irs gov 1040ez form You begin using your NOL in 2011, the second year before the NOL year, as shown in the following chart. Irs gov 1040ez form Year   Carryback/  Carryover Unused  Loss 2011 $42,000 $40,000 2012 40,000 37,000 2013 (NOL year)     2014 37,000 31,500 2015 31,500 22,500 2016 22,500 12,700 2017 12,700 4,000 2018 4,000 -0- If your loss were larger, you could carry it forward until the year 2033. Irs gov 1040ez form If you still had an unused 2013 carryforward after the year 2033, you would not be allowed to deduct it. Irs gov 1040ez form Example 2. Irs gov 1040ez form Assume the same facts as in Example 1 , except that $4,000 of the NOL is attributable to a casualty loss and this loss qualifies for a 3-year carryback period. Irs gov 1040ez form You begin using the $4,000 in 2010. Irs gov 1040ez form As shown in the following chart, $3,000 of this NOL is used in 2010. Irs gov 1040ez form The remaining $1,000 is carried to 2011 with the $38,000 NOL that you must begin using in 2011. Irs gov 1040ez form Year   Carryback/  Carryover Unused  Loss 2010 $4,000 $1,000 2011 39,000 37,000 2012 37,000 34,000 2013 (NOL year)     2014 34,000 28,500 2015 28,500 19,500 2016 19,500 9,700 2017 9,700 1,000 2018 1,000 -0- How To Claim an NOL Deduction If you have not already carried the NOL to an earlier year, your NOL deduction is the total NOL. Irs gov 1040ez form If you carried the NOL to an earlier year, your NOL deduction is the carried over NOL minus the NOL amount you used in the earlier year or years. Irs gov 1040ez form If you carry more than one NOL to the same year, your NOL deduction is the total of these carrybacks and carryovers. Irs gov 1040ez form NOL resulting in no taxable income. Irs gov 1040ez form   If your NOL is more than the taxable income of the year you carry it to (figured before deducting the NOL), you generally will have an NOL carryover to the next year. Irs gov 1040ez form See How To Figure an NOL Carryover , later, to determine how much NOL you have used and how much you carry to the next year. Irs gov 1040ez form Deducting a Carryback If you carry back your NOL, you can use either Form 1045 or Form 1040X. Irs gov 1040ez form You can get your refund faster by using Form 1045, but you have a shorter time to file it. Irs gov 1040ez form You can use Form 1045 to apply an NOL to all carryback years. Irs gov 1040ez form If you use Form 1040X, you must use a separate Form 1040X for each carryback year to which you apply the NOL. Irs gov 1040ez form Estates and trusts that do not file Form 1045 must file an amended Form 1041 (instead of Form 1040X) for each carryback year to which NOLs are applied. Irs gov 1040ez form Use a copy of the appropriate year's Form 1041, check the “Amended return” box, and follow the Form 1041 instructions for amended returns. Irs gov 1040ez form Include the NOL deduction with other deductions not subject to the 2% limit (line 15a). Irs gov 1040ez form Also, see the special procedures for filing an amended return due to an NOL carryback, explained under Form 1040X , later. Irs gov 1040ez form Form 1045. Irs gov 1040ez form   You can apply for a quick refund by filing Form 1045. Irs gov 1040ez form This form results in a tentative adjustment of tax in the carryback year. Irs gov 1040ez form See the Illustrated Form 1045 . Irs gov 1040ez form at the end of this discussion. Irs gov 1040ez form   If the IRS refunds or credits an amount to you from Form 1045 and later determines that the refund or credit is too much, the IRS may assess and collect the excess immediately. Irs gov 1040ez form   Generally, you must file Form 1045 on or after the date you file your tax return for the NOL year, but not later than one year after the end of the NOL year. Irs gov 1040ez form If the last day of the NOL year falls on a Saturday, Sunday, or holiday, the form will be considered timely if postmarked on the next business day. Irs gov 1040ez form For example, if you are a calendar year taxpayer with a carryback from 2013 to 2011, you must file Form 1045 on or after the date you file your tax return for 2013, but no later than December 31, 2014. Irs gov 1040ez form Form 1040X. Irs gov 1040ez form   If you do not file Form 1045, you can file Form 1040X to get a refund of tax because of an NOL carryback. Irs gov 1040ez form File Form 1040X within 3 years after the due date, including extensions, for filing the return for the NOL year. Irs gov 1040ez form For example, if you are a calendar year taxpayer and filed your 2011 return by the April 15, 2012, due date, you must file a claim for refund of 2008 tax because of an NOL carryback from 2011 by April 15, 2015. Irs gov 1040ez form   Attach a computation of your NOL using Form 1045, Schedule A, and, if it applies, your NOL carryover using Form 1045, Schedule B, discussed later . Irs gov 1040ez form Refiguring your tax. Irs gov 1040ez form   To refigure your total tax liability for a carryback year, first refigure your adjusted gross income for that year. Irs gov 1040ez form (On Form 1045, use lines 10 and 11 and the “After carryback” column for the applicable carryback year. Irs gov 1040ez form ) Use your adjusted gross income after applying the NOL deduction to refigure income or deduction items that are based on, or limited to, a percentage of your adjusted gross income. Irs gov 1040ez form Refigure the following items. Irs gov 1040ez form The special allowance for passive activity losses from rental real estate activities. Irs gov 1040ez form Taxable social security and tier 1 railroad retirement benefits. Irs gov 1040ez form IRA deductions. Irs gov 1040ez form Excludable savings bond interest. Irs gov 1040ez form Excludable employer-provided adoption benefits. Irs gov 1040ez form The student loan interest deduction. Irs gov 1040ez form The tuition and fees deduction. Irs gov 1040ez form   If more than one of these items apply, refigure them in the order listed above, using your adjusted gross income after applying the NOL deduction and any previous item. Irs gov 1040ez form (Enter your NOL deduction on Form 1045, line 10. Irs gov 1040ez form On line 11, using the “After carryback” column, enter your adjusted gross income refigured after applying the NOL deduction and after refiguring any above items. Irs gov 1040ez form )   Next, refigure your taxable income. Irs gov 1040ez form (On Form 1045, use lines 12 through 15 and the “After carryback” column. Irs gov 1040ez form ) Use your refigured adjusted gross income (Form 1045, line 11, using the “After carryback” column) to refigure certain deductions and other items that are based on or limited to a percentage of your adjusted gross income. Irs gov 1040ez form Refigure the following items. Irs gov 1040ez form The itemized deduction for medical expenses. Irs gov 1040ez form The itemized deduction for qualified mortgage insurance premiums. Irs gov 1040ez form The itemized deduction for casualty losses. Irs gov 1040ez form Miscellaneous itemized deductions subject to the 2% limit. Irs gov 1040ez form The overall limit on itemized deductions (do not apply to carryback years beginning after December 31, 2009). Irs gov 1040ez form The phaseout of the deduction for exemptions (do not apply to carryback years beginning after December 31, 2009). Irs gov 1040ez form Qualified motor vehicle tax (do not apply to carryback years beginning after December 31, 2009). Irs gov 1040ez form    Do not refigure the itemized deduction for charitable contributions. Irs gov 1040ez form   Finally, use your refigured taxable income (Form 1045, line 15, using the “After carryback” column) to refigure your total tax liability. Irs gov 1040ez form Refigure your income tax, your alternative minimum tax, and any credits that are based on or limited by your adjusted gross income (AGI), modified adjusted gross income (MAGI), or tax liability. Irs gov 1040ez form (On Form 1045, use lines 16 through 25, and the “After carryback” column. Irs gov 1040ez form ) The earned income credit, for example, may be affected by changes to adjusted gross income or the amount of tax (or both) and, therefore, must be recomputed. Irs gov 1040ez form If you become eligible for a credit because of the carryback, complete the form for that specific credit (such as the EIC Worksheet) for that year. Irs gov 1040ez form   While it is necessary to refigure your income tax, alternative minimum tax, and credits, do not refigure your self-employment tax. Irs gov 1040ez form Deducting a Carryforward If you carry forward your NOL to a tax year after the NOL year, list your NOL deduction as a negative figure on the “Other income” line of Form 1040 or Form 1040NR (line 21 for 2013). Irs gov 1040ez form Estates and trusts include an NOL deduction on Form 1041 with other deductions not subject to the 2% limit (line 15a for 2013). Irs gov 1040ez form You must attach a statement that shows all the important facts about the NOL. Irs gov 1040ez form Your statement should include a computation showing how you figured the NOL deduction. Irs gov 1040ez form If you deduct more than one NOL in the same year, your statement must cover each of them. Irs gov 1040ez form Change in Marital Status If you and your spouse were not married to each other in all years involved in figuring NOL carrybacks and carryovers, only the spouse who had the loss can take the NOL deduction. Irs gov 1040ez form If you file a joint return, the NOL deduction is limited to the income of that spouse. Irs gov 1040ez form For example, if your marital status changes because of death or divorce, and in a later year you have an NOL, you can carry back that loss only to the part of the income reported on the joint return (filed with your former spouse) that was related to your taxable income. Irs gov 1040ez form After you deduct the NOL in the carryback year, the joint rates apply to the resulting taxable income. Irs gov 1040ez form Refund limit. Irs gov 1040ez form   If you are not married in the NOL year (or are married to a different spouse), and in the carryback year you were married and filed a joint return, your refund for the overpaid joint tax may be limited. Irs gov 1040ez form You can claim a refund for the difference between your share of the refigured tax and your contribution toward the tax paid on the joint return. Irs gov 1040ez form The refund cannot be more than the joint overpayment. Irs gov 1040ez form Attach a statement showing how you figured your refund. Irs gov 1040ez form Figuring your share of a joint tax liability. Irs gov 1040ez form   There are five steps for figuring your share of the refigured joint tax liability. Irs gov 1040ez form Figure your total tax as though you had filed as married filing separately. Irs gov 1040ez form Figure your spouse's total tax as though your spouse had also filed as married filing separately. Irs gov 1040ez form Add the amounts in (1) and (2). Irs gov 1040ez form Divide the amount in (1) by the amount in (3). Irs gov 1040ez form Multiply the refigured tax on your joint return by the amount figured in (4). Irs gov 1040ez form This is your share of the joint tax liability. Irs gov 1040ez form Figuring your contribution toward tax paid. Irs gov 1040ez form   Unless you have an agreement or clear evidence of each spouse's contributions toward the payment of the joint tax liability, figure your contribution by adding the tax withheld on your wages and your share of joint estimated tax payments or tax paid with the return. Irs gov 1040ez form If the original return for the carryback year resulted in an overpayment, reduce your contribution by your share of the tax refund. Irs gov 1040ez form Figure your share of a joint payment or refund by the same method used in figuring your share of the joint tax liability. Irs gov 1040ez form Use your taxable income as originally reported on the joint return in steps (1) and (2) above, and substitute the joint payment or refund for the refigured joint tax in step (5). Irs gov 1040ez form Change in Filing Status If you and your spouse were married and filed a joint return for each year involved in figuring NOL carrybacks and carryovers, figure the NOL deduction on a joint return as you would for an individual. Irs gov 1040ez form However, treat the NOL deduction as a joint NOL. Irs gov 1040ez form If you and your spouse were married and filed separate returns for each year involved in figuring NOL carrybacks and carryovers, the spouse who sustained the loss may take the NOL deduction on a separate return. Irs gov 1040ez form Special rules apply for figuring the NOL carrybacks and carryovers of married people whose filing status changes for any tax year involved in figuring an NOL carryback or carryover. Irs gov 1040ez form Separate to joint return. Irs gov 1040ez form   If you and your spouse file a joint return for a carryback or carryforward year, and were married but filed separate returns for any of the tax years involved in figuring the NOL carryback or carryover, treat the separate carryback or carryover as a joint carryback or carryover. Irs gov 1040ez form Joint to separate returns. Irs gov 1040ez form   If you and your spouse file separate returns for a carryback or carryforward year, but filed a joint return for any or all of the tax years involved in figuring the NOL carryover, figure each of your carryovers separately. Irs gov 1040ez form Joint return in NOL year. Irs gov 1040ez form   Figure each spouse's share of the joint NOL through the following steps. Irs gov 1040ez form Figure each spouse's NOL as if he or she filed a separate return. Irs gov 1040ez form See How To Figure an NOL , earlier. Irs gov 1040ez form If only one spouse has an NOL, stop here. Irs gov 1040ez form All of the joint NOL is that spouse's NOL. Irs gov 1040ez form If both spouses have an NOL, multiply the joint NOL by a fraction, the numerator of which is spouse A's NOL figured in (1) and the denominator of which is the total of the spouses' NOLs figured in (1). Irs gov 1040ez form The result is spouse A's share of the joint NOL. Irs gov 1040ez form The rest of the joint NOL is spouse B's share. Irs gov 1040ez form Example 1. Irs gov 1040ez form Mark and Nancy are married and file a joint return for 2013. Irs gov 1040ez form They have an NOL of $5,000. Irs gov 1040ez form They carry the NOL back to 2011, a year in which Mark and Nancy filed separate returns. Irs gov 1040ez form Figured separately, Nancy's 2013 deductions were more than her income, and Mark's income was more than his deductions. Irs gov 1040ez form Mark does not have any NOL to carry back. Irs gov 1040ez form Nancy can carry back the entire $5,000 NOL to her 2011 separate return. Irs gov 1040ez form Example 2. Irs gov 1040ez form Assume the same facts as in Example 1 , except that both Mark and Nancy had deductions in 2013 that were more than their income. Irs gov 1040ez form Figured separately, his NOL is $1,800 and her NOL is $3,000. Irs gov 1040ez form The sum of their separate NOLs ($4,800) is less than their $5,000 joint NOL because his deductions included a $200 net capital loss that is not allowed in figuring his separate NOL. Irs gov 1040ez form The loss is allowed in figuring their joint NOL because it was offset by Nancy's capital gains. Irs gov 1040ez form Mark's share of their $5,000 joint NOL is $1,875 ($5,000 × $1,800/$4,800) and Nancy's is $3,125 ($5,000 − $1,875). Irs gov 1040ez form Joint return in previous carryback or carryforward year. Irs gov 1040ez form   If only one spouse had an NOL deduction on the previous year's joint return, all of the joint carryover is that spouse's carryover. Irs gov 1040ez form If both spouses had an NOL deduction (including separate carryovers of a joint NOL, figured as explained in the previous discussion ), figure each spouse's share of the joint carryover through the following steps. Irs gov 1040ez form Figure each spouse's modified taxable income as if he or she filed a separate return. Irs gov 1040ez form See Modified taxable income under How To Figure an NOL Carryover , later. Irs gov 1040ez form Multiply the joint modified taxable income you used to figure the joint carryover by a fraction, the numerator of which is spouse A's modified taxable income figured in (1) and the denominator of which is the total of the spouses' modified taxable incomes figured in (1). Irs gov 1040ez form This is spouse A's share of the joint modified taxable income. Irs gov 1040ez form Subtract the amount figured in (2) from the joint modified taxable income. Irs gov 1040ez form This is spouse B's share of the joint modified taxable income. Irs gov 1040ez form Reduce the amount figured in (3), but not below zero, by spouse B's NOL deduction. Irs gov 1040ez form Add the amounts figured in (2) and (4). Irs gov 1040ez form Subtract the amount figured in (5) from spouse A's NOL deduction. Irs gov 1040ez form This is spouse A's share of the joint carryover. Irs gov 1040ez form The rest of the joint carryover is spouse B's share. Irs gov 1040ez form Example. Irs gov 1040ez form Sam and Wanda filed a joint return for 2011 and separate returns for 2012 and 2013. Irs gov 1040ez form In 2013, Sam had an NOL of $18,000 and Wanda had an NOL of $2,000. Irs gov 1040ez form They choose to carry back both NOLs 2 years to their 2011 joint return and claim a $20,000 NOL deduction. Irs gov 1040ez form Their joint modified taxable income (MTI) for 2011 is $15,000, and their joint NOL carryover to 2012 is $5,000 ($20,000 – $15,000). Irs gov 1040ez form Sam and Wanda each figure their separate MTI for 2011 as if they had filed separate returns. Irs gov 1040ez form Then they figure their shares of the $5,000 carryover as follows. Irs gov 1040ez form Step 1. Irs gov 1040ez form   Sam's separate MTI $9,000 Wanda's separate MTI + 3,000 Total MTI $12,000 Step 2. Irs gov 1040ez form   Joint MTI $15,000 Sam's MTI ÷ total MTI ($9,000 ÷ $12,000) × . Irs gov 1040ez form 75 Sam's share of joint MTI $11,250 Step 3. Irs gov 1040ez form   Joint MTI $15,000 Sam's share of joint MTI − 11,250 Wanda's share of joint MTI $3,750 Step 4. Irs gov 1040ez form   Wanda's share of joint MTI $3,750 Wanda's NOL deduction − 2,000 Wanda's remaining share $1,750 Step 5. Irs gov 1040ez form   Sam's share of joint MTI $11,250 Wanda's remaining share + 1,750 Joint MTI to be offset $13,000 Step 6. Irs gov 1040ez form   Sam's NOL deduction $18,000 Joint MTI to be offset − 13,000 Sam's carryover to 2012 $5,000 Joint carryover to 2012 $5,000 Sam's carryover − 5,000 Wanda's carryover to 2012 $-0- Wanda's $2,000 NOL deduction offsets $2,000 of her $3,750 share of the joint modified taxable income and is completely used up. Irs gov 1040ez form She has no carryover to 2012. Irs gov 1040ez form Sam's $18,000 NOL deduction offsets all of his $11,250 share of joint modified taxable income and the remaining $1,750 of Wanda's share. Irs gov 1040ez form His carryover to 2012 is $5,000. Irs gov 1040ez form Illustrated Form 1045 The following example illustrates how to use Form 1045 to claim an NOL deduction in a carryback year. Irs gov 1040ez form It includes a filled-in page 1 of Form 1045. Irs gov 1040ez form Example. Irs gov 1040ez form Martha Sanders is a self-employed contractor. Irs gov 1040ez form Martha's 2013 deductions are more than her 2013 income because of a business loss. Irs gov 1040ez form She uses Form 1045 to carry back her NOL 2 years and claim an NOL deduction in 2011. Irs gov 1040ez form Her filing status in both years was single. Irs gov 1040ez form See the filled-in Form 1045 later. Irs gov 1040ez form Martha figures her 2013 NOL on Form 1045, Schedule A (not shown). Irs gov 1040ez form (For an example using Form 1045, Schedule A, see Illustrated Form 1045, Schedule A under How To Figure an NOL , earlier. Irs gov 1040ez form ) She enters the $10,000 NOL from Form 1045, Schedule A, line 25, on Form 1045, line 1a. Irs gov 1040ez form Martha completes lines 10 through 25, using the “Before carryback” column under the column for the second preceding tax year ended 12/31/11 on page 1 of Form 1045 using the following amounts from her 2011 return. Irs gov 1040ez form 2011 Adjusted gross income $50,000 Itemized deductions:     Medical expenses [$6,000 − ($50,000 × 7. Irs gov 1040ez form 5%)] $2,250   State income tax + 2,000   Real estate tax + 4,000   Home mortgage interest + 5,000   Total itemized deductions $13,250 Exemption $3,700 Income tax $4,550 Self-employment tax $6,120   Martha refigures her taxable income for 2011 after carrying back her 2013 NOL as follows: 2011 Adjusted gross income $50,000 Less:     NOL from 2013 −10,000 2011 Adjusted gross income after carryback $40,000 Less:     Itemized deductions:     Medical expenses [$6,000 − ($40,000 × 7. Irs gov 1040ez form 5%)] $3,000   State income tax + 2,000   Real estate tax + 4,000   Home mortgage interest + 5,000   Total itemized deductions −14,000 Less:     Exemption − 3,700 2011 Taxable income after carryback $22,300 Martha then completes lines 10 through 25, using the “After carryback” column under the column for the second preceding tax year ended 12/31/11. Irs gov 1040ez form On line 10, Martha enters her $10,000 NOL deduction. Irs gov 1040ez form Her new adjusted gross income on line 11 is $40,000 ($50,000 − $10,000). Irs gov 1040ez form To complete line 12, she must refigure her medical expense deduction using her new adjusted gross income. Irs gov 1040ez form Her refigured medical expense deduction is $3,000 [$6,000 − ($40,000 × 7. Irs gov 1040ez form 5%)]. Irs gov 1040ez form This increases her total itemized deductions to $14,000 [$13,250 + ($3,000 − $2,250)]. Irs gov 1040ez form Martha uses her refigured taxable income ($22,300) from line 15, and the tax tables in her 2011 Form 1040 instructions to find her income tax. Irs gov 1040ez form She enters the new amount, $2,924, on line 16, and her new total tax liability, $9,044, on line 25. Irs gov 1040ez form Martha used up her $10,000 NOL in 2011 so she does not complete a column for the first preceding tax year ended 12/31/2012. Irs gov 1040ez form The decrease in tax because of her NOL deduction (line 27) is $1,612. Irs gov 1040ez form Martha files Form 1045 after filing her 2013 return, but no later than December 31, 2014. Irs gov 1040ez form She mails it to the Internal Revenue Service Center for the place where she lives as shown in the 2013 instructions for Form 1040 and attaches a copy of her 2013 return (including the applicable forms and schedules). Irs gov 1040ez form This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1045, page 1 How To Figure an NOL Carryover If your NOL is more than your taxable income for the year to which you carry it (figured before deducting the NOL), you may have an NOL carryover. Irs gov 1040ez form You must make certain modifications to your taxable income to determine how much NOL you will use up in that year and how much you can carry over to the next tax year. Irs gov 1040ez form Your carryover is the excess of your NOL deduction over your modified taxable income for the carryback or carryforward year. Irs gov 1040ez form If your NOL deduction includes more than one NOL, apply the NOLs against your modified taxable income in the same order in which you incurred them, starting with the earliest. Irs gov 1040ez form Modified taxable income. Irs gov 1040ez form   Your modified taxable income is your taxable income figured with the following changes. Irs gov 1040ez form You cannot claim an NOL deduction for the NOL carryover you are figuring or for any later NOL. Irs gov 1040ez form You cannot claim a deduction for capital losses in excess of your capital gains. Irs gov 1040ez form Also, you must increase your taxable income by the amount of any section 1202 exclusion. Irs gov 1040ez form You cannot claim the domestic production activities deduction. Irs gov 1040ez form You cannot claim a deduction for your exemptions for yourself, your spouse, or dependents. Irs gov 1040ez form You must figure any item affected by the amount of your adjusted gross income after making the changes in (1), (2), and (3), above, and certain other changes to your adjusted gross income that result from (1), (2), and (3). Irs gov 1040ez form This includes income and deduction items used to figure adjusted gross income (for example, IRA deductions), as well as certain itemized deductions. Irs gov 1040ez form To figure a charitable contribution deduction, do not include deductions for NOL carrybacks in the change in (1) but do include deductions for NOL carryforwards from tax years before the NOL year. Irs gov 1040ez form   Your taxable income as modified cannot be less than zero. Irs gov 1040ez form Form 1045, Schedule B. Irs gov 1040ez form   You can use Form 1045, Schedule B, to figure your modified taxable income for carryback years and your carryover from each of those years. Irs gov 1040ez form Do not use Form 1045, Schedule B, for a carryforward year. Irs gov 1040ez form If your 2013 return includes an NOL deduction from an NOL year before 2013 that reduced your taxable income to zero (to less than zero, if an estate or trust), see NOL Carryover From 2013 to 2014 , later. Irs gov 1040ez form Illustrated Form 1045, Schedule B The following example illustrates how to figure an NOL carryover from a carryback year. Irs gov 1040ez form It includes a filled-in Form 1045, Schedule B. Irs gov 1040ez form Example. Irs gov 1040ez form Ida Brown runs a small clothing shop. Irs gov 1040ez form In 2013, she has an NOL of $36,000 that she carries back to 2011. Irs gov 1040ez form She has no other carrybacks or carryforwards to 2011. Irs gov 1040ez form Ida's adjusted gross income in 2011 was $35,000, consisting of her salary of $36,000 minus a $1,000 capital loss deduction. Irs gov 1040ez form She is single and claimed only one personal exemption of $3,700. Irs gov 1040ez form During that year, she gave $1,450 in charitable contributions. Irs gov 1040ez form Her medical expenses were $3,000. Irs gov 1040ez form She also deducted $1,650 in taxes and $3,125 in home mortgage interest. Irs gov 1040ez form Her deduction for charitable contributions was not limited because her contributions, $1,450, were less than 50% of her adjusted gross income. Irs gov 1040ez form The deduction for medical expenses was limited to expenses over 7. Irs gov 1040ez form 5% of adjusted gross income (. Irs gov 1040ez form 075 × $35,000 = $2,625; $3,000 − $2,625 = $375). Irs gov 1040ez form The deductions for taxes and home mortgage interest were not subject to any limits. Irs gov 1040ez form She was able to claim $6,600 ($1,450 + $375 + $1,650 + $3,125) in itemized deductions and a personal exemption deduction of $3,700 for 2011. Irs gov 1040ez form She had no other deductions in 2011 (except the NOL deduction). Irs gov 1040ez form Her taxable income (figured without the NOL deduction) for the year was $24,700. Irs gov 1040ez form Ida's adjusted gross income in 2012 was $9,325, consisting of net business income from the clothing shop of $12,325 and a net capital loss of $3,000. Irs gov 1040ez form She did not itemize her deductions in 2012. Irs gov 1040ez form She deducted the standard deduction of $5,950 and the personal exemption deduction of $3,800. Irs gov 1040ez form She had no other deductions in 2012 (other than the NOL deduction). Irs gov 1040ez form Her taxable income, therefore, was ($425). Irs gov 1040ez form Ida's $36,000 carryback will result in her having 2011 taxable income of zero. Irs gov 1040ez form She then completes the column for the second preceding tax year ended 12/31/11 on Form 1045, Schedule B, to figure how much of her NOL she uses up in 2011 and how much she can carry over to 2012. Irs gov 1040ez form She completes the column for the first preceding tax year ended 12/31/12. Irs gov 1040ez form See the illustrated Form 1045, Schedule B , shown later. Irs gov 1040ez form Column 1, line 1. Irs gov 1040ez form Ida enters $36,000, her 2013 net operating loss, on line 1. Irs gov 1040ez form Column 1, line 2. Irs gov 1040ez form She enters $24,700, her 2011 taxable income (figured without the NOL deduction), on line 2. Irs gov 1040ez form Column 1, line 3. Irs gov 1040ez form Ida enters her net capital loss deduction of $1,000 on line 3. Irs gov 1040ez form Column 1, lines 4 and 5. Irs gov 1040ez form Ida had no section 1202 exclusion or domestic production activities deduction in 2011. Irs gov 1040ez form She enters zero on lines 4 and 5. Irs gov 1040ez form Column 1, line 6. Irs gov 1040ez form Although Ida's entry on line 3 modifies her adjusted gross income, that does not affect any other items included in her adjusted gross income. Irs gov 1040ez form Ida enters zero on line 6. Irs gov 1040ez form Column 1, line 7. Irs gov 1040ez form Ida had itemized deductions and entered $1,000 on line 3, so she completes lines 11 through 38 to figure her adjustment to itemized deductions. Irs gov 1040ez form On line 7, she enters the total adjustment from line 38. Irs gov 1040ez form Column 1, line 8. Irs gov 1040ez form Ida enters the deduction for her personal exemption of $3,700 for 2011. Irs gov 1040ez form Column 1, line 9. Irs gov 1040ez form After combining lines 2 through 8, Ida's modified taxable income is $29,475. Irs gov 1040ez form Column 1, line 10. Irs gov 1040ez form Ida figures her carryover to 2012 by subtracting her modified taxable income (line 9) from her NOL deduction (line 1). Irs gov 1040ez form She enters the $6,525 carryover on line 10. Irs gov 1040ez form She also enters the $6,525 as her NOL deduction for 2012 on Form 1045, page 1, line 10, in the “After carryback” column under the column for the first preceding tax year ended 12/31/12. Irs gov 1040ez form (For an illustrated example of page 1 of Form 1045, see Illustrated Form 1045 under How To Claim an NOL Deduction , earlier. Irs gov 1040ez form ) Next, Ida completes column 2 for the first preceding tax year ended 12/31/12. Irs gov 1040ez form Column 1, line 11. Irs gov 1040ez form Ida's adjusted gross income for 2011 was $35,000. Irs gov 1040ez form Column 1, line 12. Irs gov 1040ez form She adds lines 3 through 6 and enters $1,000 on line 12. Irs gov 1040ez form (This is her net capital loss deduction added back, which modifies her adjusted gross income. Irs gov 1040ez form ) Column 1, line 13. Irs gov 1040ez form Her modified adjusted gross income for 2011 is now $36,000. Irs gov 1040ez form Column 1, line 14. Irs gov 1040ez form On her 2011 tax return, she deducted $375 as medical expenses. Irs gov 1040ez form Column 1, line 15. Irs gov 1040ez form Her actual medical expenses were $3,000. Irs gov 1040ez form Column 1, line 16. Irs gov 1040ez form She multiplies her modified adjusted gross income, $36,000, by . Irs gov 1040ez form 075. Irs gov 1040ez form She enters $2,700 on line 16. Irs gov 1040ez form Column 1, line 17. Irs gov 1040ez form She substracts $2,700 from her actual medical expenses, $3,000. Irs gov 1040ez form She enters $300 on line 17. Irs gov 1040ez form This is her modified medical deduction. Irs gov 1040ez form Column 1, line 18. Irs gov 1040ez form The difference between her medical deduction and her modified medical deduction is $75. Irs gov 1040ez form She enters this on line 18. Irs gov 1040ez form Column 1, lines 19 through 21. Irs gov 1040ez form Ida had no deduction for qualified mortgage insurance premiums in 2011. Irs gov 1040ez form She skips lines 19 and 20 and enters zero on line 21. Irs gov 1040ez form Column 1, line 22. Irs gov 1040ez form She enters her modified adjusted gross income of $36,000 on line 22. Irs gov 1040ez form Column 1, line 23. Irs gov 1040ez form She had no other carrybacks to 2011 and enters zero on line 23. Irs gov 1040ez form Column 1, line 24. Irs gov 1040ez form Her modified adjusted gross income remains $36,000. Irs gov 1040ez form Column 1, line 25. Irs gov 1040ez form Her actual contributions for 2011 were $1,450, which she enters on line 25. Irs gov 1040ez form Column 1, line 26. Irs gov 1040ez form She now refigures her charitable contributions based on her modified adjusted gross income. Irs gov 1040ez form Her contributions are well below the 50% limit, so she enters $1,450 on line 26. Irs gov 1040ez form Column 1, line 27. Irs gov 1040ez form The difference is zero. Irs gov 1040ez form Column 1, lines 28 through 37. Irs gov 1040ez form Ida had no casualty losses or deductions for miscellaneous items in 2011. Irs gov 1040ez form She skips lines 28 through 31 and lines 33 through 36. Irs gov 1040ez form Ida enters zero on lines 32 and 37. Irs gov 1040ez form Column 1, line 38. Irs gov 1040ez form She combines lines 18, 21, 27, 32, and 37 and enters $75 on line 38. Irs gov 1040ez form She carries this figure to line 7. Irs gov 1040ez form Column 2, line 1. Irs gov 1040ez form Ida enters $6,525, the carryback of her 2013 NOL to 2012, from column 1, line 10, on line 1. Irs gov 1040ez form Column 2, line 2. Irs gov 1040ez form She enters ($425), her 2012 taxable income, on line 2. Irs gov 1040ez form Column 2, line 3. Irs gov 1040ez form Ida enters her net capital loss deduction of $3,000 on line 3. Irs gov 1040ez form Column 2, lines 4 and 5. Irs gov 1040ez form Ida had no section 1202 exclusion or domestic production activities deduction in 2012. Irs gov 1040ez form She enters zero on lines 4 and 5. Irs gov 1040ez form Column 2, line 6. Irs gov 1040ez form Although Ida's entry on line 3 modifies her adjusted gross income, that does not affect any other items included in her adjusted gross income. Irs gov 1040ez form Ida enters zero on line 6. Irs gov 1040ez form Column 2, line 7. Irs gov 1040ez form Because Ida did not itemize deductions on her 2012 tax return, she enters zero on line 7. Irs gov 1040ez form Column 2, line 8. Irs gov 1040ez form Ida enters the deduction for her personal exemption of $3,800 for 2012. Irs gov 1040ez form Column 2, line 9. Irs gov 1040ez form After combining lines 2 through 8, Ida's modified taxable income is $6,375. Irs gov 1040ez form Column 2, line 10. Irs gov 1040ez form Ida figures her carryforward to 2014 by subtracting her modified taxable income (line 9) from her NOL deduction (line 1). Irs gov 1040ez form She enters the $150 carryover on line 10. Irs gov 1040ez form This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1045, page 3 This image is too large to be displayed in the current screen. Irs gov 1040ez form Please click the link to view the image. Irs gov 1040ez form Form 1045, page 4 NOL Carryover From 2013 to 2014 If you had an NOL deduction carried forward from a year prior to 2013 that resulted in your having taxable income on your 2013 return of zero (of less than zero, if an estate or trust), complete Table 1 , Worksheet for NOL Carryover From 2013 to 2014, on the following pages. Irs gov 1040ez form It will help you figure your NOL to carry to 2014. Irs gov 1040ez form Keep the worksheet for your records. Irs gov 1040ez form Worksheet Instructions At the top of the worksheet, enter the NOL year for which you are figuring the carryover. Irs gov 1040ez form More than one NOL. Irs gov 1040ez form   If your 2013 NOL deduction includes amounts for more than one loss year, complete this worksheet only for one loss year. Irs gov 1040ez form To determine which year, start with your earliest NOL and subtract each NOL separately from your taxable income figured without the NOL deduction. Irs gov 1040ez form Complete this worksheet for the earliest NOL that results in your having taxable income below zero. Irs gov 1040ez form Your NOL carryover to 2014 is the total of the amount on line 10 of the worksheet and all later NOL amounts. Irs gov 1040ez form Example. Irs gov 1040ez form Your taxable income for 2013 is $5,000 without your $9,000 NOL deduction. Irs gov 1040ez form Your NOL deduction includes a $2,000 carryover from 2011 and a $7,000 carryover from 2012. Irs gov 1040ez form Subtract your 2011 NOL of $2,000 from $5,000. Irs gov 1040ez form This gives you taxable income of $3,000. Irs gov 1040ez form Your 2011 NOL is now completely used up. Irs gov 1040ez form Subtract your $7,000 2012 NOL from $3,000. Irs gov 1040ez form This gives you taxable income of ($4,000). Irs gov 1040ez form You now complete the worksheet for your 2012 NOL. Irs gov 1040ez form Your NOL carryover to 2014 is the unused part of your 2012 NOL from line 10 of the worksheet. Irs gov 1040ez form Line 2. Irs gov 1040ez form   Treat your NOL deduction for the NOL year entered at the top of the worksheet and later years as a positive amount. Irs gov 1040ez form Add it to your negative taxable income (figured without the NOL deduction). Irs gov 1040ez form Enter the result on line 2. Irs gov 1040ez form Line 6. Irs gov 1040ez form   You must refigure the following income and deductions based on adjusted gross income. Irs gov 1040ez form The special allowance for passive activity losses from rental real estate activities. Irs gov 1040ez form Taxable social security and tier 1 railroad retirement benefits. Irs gov 1040ez form IRA deductions. Irs gov 1040ez form Excludable savings bond interest. Irs gov 1040ez form Excludable employer-provided adoption benefits. Irs gov 1040ez form The student loan interest deduction. Irs gov 1040ez form The tuition and fees deduction. Irs gov 1040ez form   If none of these items apply to you, enter zero on line 6. Irs gov 1040ez form Otherwise, increase your adjusted gross income by the total of lines 3 through 5 and your NOL deduction for the NOL year entered at the top of the worksheet and later years. Irs gov 1040ez form Using this increased adjusted gross income, refigure the items that apply, in the order listed above. Irs gov 1040ez form Your adjustment for each item is the difference between the refigured amount and the amount included on your return. Irs gov 1040ez form Combine the adjustments for previous items with your adjusted gross income before refiguring the next item. Irs gov 1040ez form Keep a record of your computations. Irs gov 1040ez form   Enter your total adjustments for the above items on line 6. Irs gov 1040ez form Line 7. Irs gov 1040ez form   Enter zero if you claimed the standard deduction or the amounts on lines 3 through 5 are zero. Irs gov 1040ez form Otherwise, use lines 11 through 33 of the worksheet to figure the amount to enter on this line. Irs gov 1040ez form Complete only those sections that apply to you. Irs gov 1040ez form Estates and trusts. Irs gov 1040ez form   Enter zero on line 7 if you did not claim any miscellaneous deductions on Form 1041, line 15c, or a casualty or theft loss. Irs gov 1040ez form Otherwise, refigure these deductions by substituting modified adjusted gross income (see below ) for adjusted gross income. Irs gov 1040ez form Subtract the recomputed deductions from those claimed on the return. Irs gov 1040ez form Enter the result on line 7. Irs gov 1040ez form Modified adjusted gross income. Irs gov 1040ez form   To refigure miscellaneous itemized deductions of an estate or trust (Form 1041, line 15c), modified adjusted gross income is the total of the following amounts. Irs gov 1040ez form The adjusted gross income on the return. Irs gov 1040ez form The amounts from lines 3 through 5 of the worksheet. Irs gov 1040ez form The exemption amount from Form 1041, line 20. Irs gov 1040ez form The NOL deduction for the NOL year entered at the top of the worksheet and for later years. Irs gov 1040ez form   To refigure the casualty and theft loss deduction of an estate or trust, modified adjusted gross income is the total of the following amounts. Irs gov 1040ez form The adjusted gross income amount you used to figure the deduction claimed on the return. Irs gov 1040ez form The amounts from lines 3 through 5 of the worksheet. Irs gov 1040ez form The NOL deduction for the NOL year entered at the top of the worksheet and for later years. Irs gov 1040ez form Line 11. Irs gov 1040ez form   Treat your NOL deduction for the NOL year entered at the top of the worksheet and for later years as a positive amount. Irs gov 1040ez form Add it to your adjusted gross income. Irs gov 1040ez form Enter the result on line 11. Irs gov 1040ez form Line 20. Irs gov 1040ez form   Is your modified adjusted gross income from line 13 of this worksheet more than $100,000 ($50,000 if married filing separately)?   □ Yes. Irs gov 1040ez form Your deduction is limited. Irs gov 1040ez form Refigure your deduction using the Mortgage Insurance Premiums Deduction Worksheet in the 2013 Instructions for Form 1045. Irs gov 1040ez form On line 2 of the Mortgage Insurance Premiums Deduction Worksheet, enter the amount from line 13 of this worksheet. Irs gov 1040ez form   □ No. Irs gov 1040ez form Your deduction is not limited. Irs gov 1040ez form Enter the amount from line 19 on line 20 and enter -0- on line 21. Irs gov 1040ez form Line 23. Irs gov 1040ez form   If you had a contributions carryover from 2012 to 2013 and your NOL deduction includes an amount from an NOL year before 2012, you may have to reduce your contributions carryover. Irs gov 1040ez form Reduce the contributions carryover by the amount of any adjustment you made to your 2012 charitable contributions deduction when figuring your NOL carryover to 2013. Irs gov 1040ez form Use the reduced contributions carryover to figure the amount to enter on line 23. Irs gov 1040ez form Please click here for the text description of the image. Irs gov 1040ez form Worksheet for NOL Carryover Worksheet for NOL Carryover (Continued) How To Get Tax Help Whether it's help with a tax issue, preparing your tax return or a need for a free publication or form, get the help you need the way you want it: online, use a smart phone, call or walk in to an IRS office or volunteer site near you. Irs gov 1040ez form Free help with your tax return. Irs gov 1040ez form   You can get free help preparing your return nationwide from IRS-certified volunteers. Irs gov 1040ez form The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. Irs gov 1040ez form The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Irs gov 1040ez form Most VITA and TCE sites offer free electronic filing and all volunteers will let you know about credits and deductions you may be entitled to claim. Irs gov 1040ez form In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. Irs gov 1040ez form To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. Irs gov 1040ez form gov, download the IRS2Go app, or call 1-800-906-9887. Irs gov 1040ez form   As part of the TCE program, AARP offers the Tax-Aide counseling program. Irs gov 1040ez form To find the nearest AARP Tax-Aide site, visit AARP's website at www. Irs gov 1040ez form aarp. Irs gov 1040ez form org/money/taxaide or call 1-888-227-7669. Irs gov 1040ez form For more information on these programs, go to IRS. Irs gov 1040ez form gov and enter “VITA” in the search box. Irs gov 1040ez form Internet. Irs gov 1040ez form    IRS. Irs gov 1040ez form gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. Irs gov 1040ez form Download the free IRS2Go app from the iTunes app store or from Google Play. Irs gov 1040ez form Use it to check your refund status, order transcripts of your tax returns or tax account, watch the IRS YouTube channel, get IRS news as soon as it's released to the public, subscribe to filing season updates or daily tax tips, and follow the IRS Twitter news feed, @IRSnews, to get the latest federal tax news, including information about tax law changes and important IRS programs. Irs gov 1040ez form Check the status of your 2013 refund with the Where's My Refund? application on IRS. Irs gov 1040ez form gov or download the IRS2Go app and select the Refund Status option. Irs gov 1040ez form The IRS issues more than 9 out of 10 refunds in less than 21 days. Irs gov 1040ez form Using these applications, you can start checking on the status of your return within 24 hours after we receive your e-filed return or 4 weeks after you mail a paper return. Irs gov 1040ez form You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. Irs gov 1040ez form The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Irs gov 1040ez form Use the Interactive Tax Assistant (ITA) to research your tax questions. Irs gov 1040ez form No need to wait on the phone or stand in line. Irs gov 1040ez form The ITA is available 24 hours a day, 7 days a week, and provides you with a variety of tax information related to general filing topics, deductions, credits, and income. Irs gov 1040ez form When you reach the response screen, you can print the entire interview and the final response for your records. Irs gov 1040ez form New subject areas are added on a regular basis. Irs gov 1040ez form  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. Irs gov 1040ez form gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. Irs gov 1040ez form You can use the IRS Tax Map to search publications and instructions by topic or keyword. Irs gov 1040ez form The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. Irs gov 1040ez form When the user searches the IRS Tax Map, they will be provided with links to related content in existing IRS publications, forms and instructions, questions and answers, and Tax Topics. Irs gov 1040ez form Coming this filing season, you can immediately view and print for free all 5 types of individual federal tax transcripts (tax returns, tax account, record of account, wage and income statement, and certification of non-filing) using Get Transcript. Irs gov 1040ez form You can also ask the IRS to mail a return or an account transcript to you. Irs gov 1040ez form Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. Irs gov 1040ez form gov or by calling 1-800-908-9946. Irs gov 1040ez form Tax return and tax account transcripts are generally available for the current year and the past three years. Irs gov 1040ez form Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. Irs gov 1040ez form Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. Irs gov 1040ez form If you received the First Time Homebuyer Credit, you can use the First Time Homebuyer Credit Account Look-up tool for information on your repayments and account balance. Irs gov 1040ez form Check the status of your amended return using Where's My Amended Return? Go to IRS. Irs gov 1040ez form gov and enter Where's My Amended Return? in the search box. Irs gov 1040ez form You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Irs gov 1040ez form It can take up to 3 weeks from the date you mailed it to show up in our system. Irs gov 1040ez form Make a payment using one of several safe and convenient electronic payment options available on IRS. Irs gov 1040ez form gov. Irs gov 1040ez form Select the Payment tab on the front page of IRS. Irs gov 1040ez form gov for more information. Irs gov 1040ez form Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. Irs gov 1040ez form Figure your income tax withholding with the IRS Withholding Calculator on IRS. Irs gov 1040ez form gov. Irs gov 1040ez form Use it if you've had too much or too little withheld, your personal situation has changed, you're starting a new job or you just want to see if you're having the right amount withheld. Irs gov 1040ez form Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. Irs gov 1040ez form gov. Irs gov 1040ez form Request an Electronic Filing PIN by going to IRS. Irs gov 1040ez form gov and entering Electronic Filing PIN in the search box. Irs gov 1040ez form Download forms, instructions and publications, including accessible versions for people with disabilities. Irs gov 1040ez form Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. Irs gov 1040ez form gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. Irs gov 1040ez form An employee can answer questions about your tax account or help you set up a payment plan. Irs gov 1040ez form Before you visit, check the Office Locator on IRS. Irs gov 1040ez form gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. Irs gov 1040ez form If you have a special need, such as a disability, you can request an appointment. Irs gov 1040ez form Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. Irs gov 1040ez form Apply for an Employer Identification Number (EIN). Irs gov 1040ez form Go to IRS. Irs gov 1040ez form gov and enter Apply for an EIN in the search box. Irs gov 1040ez form Read the Internal Revenue Code, regulations, or other official guidance. Irs gov 1040ez form Read Internal Revenue Bulletins. Irs gov 1040ez form Sign up to receive local and national tax news and more by email. Irs gov 1040ez form Just click on “subscriptions” above the search box on IRS. Irs gov 1040ez form gov and choose from a variety of options. Irs gov 1040ez form Phone. Irs gov 1040ez form    You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. Irs gov 1040ez form Download the free IRS2Go app from the iTunes app store or from Google Play. Irs gov 1040ez form Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. Irs gov 1040ez form gov, or download the IRS2Go app. Irs gov 1040ez form Low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. Irs gov 1040ez form The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Irs gov 1040ez form Most VITA and TCE sites offer free electronic filing. Irs gov 1040ez form Some VITA and TCE sites provide IRS-certified volunteers who can help prepare your tax return. Irs gov 1040ez form Through the TCE program, AARP offers the Tax-Aide counseling program; call 1-888-227-7669 to find the nearest Tax-Aide location. Irs gov 1040ez form Call the automated Where's My Refund? information hotline to check the status of your 2013 refund 24 hours a day, 7 days a week at 1-800-829-1954. Irs gov 1040ez form If you e-file, you can start checking on the status of your return within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. Irs gov 1040ez form The IRS issues more than 9 out of 10 refunds in less than 21 days. Irs gov 1040ez form Where's My Refund? will give you a personalized refund date as soon as the IRS processes your tax return and approves your refund. Irs gov 1040ez form Before you call this automated hotline, have your 2013 tax return handy so you can enter your social security number, your filing status, and the exact whole dollar amount of your refund. Irs gov 1040ez form The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Irs gov 1040ez form Note, the above information is for our automated hotline. Irs gov 1040ez form Our live phone and walk-in assistors can research the status of your refund only if it's been 21 days or more since you filed electronically or more than 6 weeks since you mailed your paper return. Irs gov 1040ez form Call the Amended Return Hotline, 1-866-464-2050, to check the status of your amended return. Irs gov 1040ez form You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Irs gov 1040ez form It can take up to 3 weeks from the date you mailed it to show up in our system. Irs gov 1040ez form Call 1-800-TAX-FORM (1-800-829-3676) to order current-year forms, instructions, publications, and prior-year forms and instructions (limited to 5 years). Irs gov 1040ez form You should receive your order within 10 business days. Irs gov 1040ez form Call TeleTax, 1-800-829-4477, to listen to pre-recorded messages covering general and business tax information. Irs gov 1040ez form If, between January and April 15, you still have questions about the Form 1040, 1040A, or 1040EZ (like filing requirements, dependents, credits, Schedule D, pensions and IRAs or self-employment taxes), call 1-800-829-1040. Irs gov 1040ez form Call using TTY/TDD equipment, 1-800-829-4059 to ask tax questions or order forms and publications. Irs gov 1040ez form The TTY/TDD telephone number is for people who are deaf, hard of hearing, or have a speech disability. Irs gov 1040ez form These individuals can also contact the IRS through relay services such as the Federal Relay Service. Irs gov 1040ez form Walk-in. Irs gov 1040ez form   You can find a selection of forms, publications and services — in person. Irs gov 1040ez form Products. Irs gov 1040ez form You can walk in to some post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. Irs gov 1040ez form Some IRS offices, libraries, and city and county government offices have a collection of products available to photocopy from reproducible proofs. Irs gov 1040ez form Services. Irs gov 1040ez form You can walk in to your local TAC for face-to-face tax help. Irs gov 1040ez form An employee can answer questions about your tax account or help you set up a payment plan. Irs gov 1040ez form Before visiting, use the Office Locator tool on IRS. Irs gov 1040ez form gov, or choose the Contact Us option on the IRS2Go app and search Local Offices for days and hours of operation, and services provided. Irs gov 1040ez form Mail. Irs gov 1040ez form   You can send your order for forms, instructions, and publications to the address below. Irs gov 1040ez form You should receive a response within 10 business days after your request is received. Irs gov 1040ez form Internal Revenue Service 1201 N. Irs gov 1040ez form Mitsubishi Motorway Bloomington, IL 61705-6613    The Taxpayer Advocate Service Is Here to Help You. Irs gov 1040ez form The Taxpayer Advocate Service (TAS) is your voice at the IRS. Irs gov 1040ez form Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. Irs gov 1040ez form   What can TAS do for you? We can offer you free help with IRS problems that you can't resolve on your own. Irs gov 1040ez form We know this process can be confusing, but the worst thing you can do is nothing at all! TAS can help if you can't resolve your tax problem and: Your problem is causing financial difficulties for you, your family, or your business. Irs gov 1040ez form You face (or your business is facing) an immediate threat of adverse action. Irs gov 1040ez form You've tried repeatedly to contact the IRS but no one has responded, or the IRS hasn't responded by the date promised. Irs gov 1040ez form   If you qualify for our help, you'll be assigned to one advocate who'll be with you at every turn and will do everything possible to resolve your problem. Irs gov 1040ez form Here's why we can help: TAS is an independent organization within the IRS. Irs gov 1040ez form Our advocates know how to work with the IRS. Irs gov 1040ez form Our services are free and tailored to meet your needs. Irs gov 1040ez form We have offices in every state, the District of Columbia, and Puerto Rico. Irs gov 1040ez form   How can you reach us? If you think TAS can help you, call your local advocate, whose number is in your local directory and at Taxpayer Advocate, or call us toll-free at 1-877-777-4778. Irs gov 1040ez form   How else does TAS help taxpayers?  TAS also works to resolve large-scale, systemic problems that affect many taxpayers. Irs gov 1040ez form If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System. Irs gov 1040ez form Low Income Taxpayer Clinics Low Income
Español

Art and Architecture

Explore architecture, art history, grants, kids' websites, and more.

The Irs Gov 1040ez Form

Irs gov 1040ez form Publication 721 - Main Content Table of Contents Part I General InformationRefund of Contributions Tax Withholding and Estimated Tax Filing Requirements Part II Rules for RetireesAnnuity starting date. Irs gov 1040ez form Gross monthly rate. Irs gov 1040ez form Your cost. Irs gov 1040ez form Choosing a survivor annuity after retirement. Irs gov 1040ez form Canceling a survivor annuity after retirement. Irs gov 1040ez form Annuity starting date after 1986. Irs gov 1040ez form Annuity starting date before 1987. Irs gov 1040ez form Simplified Method General Rule Three-Year Rule Alternative Annuity Option Federal Gift Tax Retirement During the Past Year Reemployment After Retirement Nonresident Aliens Thrift Savings Plan Rollover Rules Distributions Used To Pay Insurance Premiums for Public Safety Officers How To Report Benefits Part III Rules for Disability Retirement and Credit for the Elderly or the DisabledDisability Annuity Other Benefits Credit for the Elderly or the Disabled Part IV Rules for Survivors of Federal EmployeesFERS Death Benefit CSRS or FERS Survivor Annuity Lump-Sum CSRS or FERS Payment Thrift Savings Plan Federal Estate Tax Part V Rules for Survivors of Federal RetireesCSRS or FERS Survivor Annuity Lump-Sum CSRS or FERS Payment Voluntary Contributions Thrift Savings Plan Federal Estate Tax Income Tax Deduction for Estate Tax Paid How To Get Tax HelpLow Income Taxpayer Clinics Part I General Information This part of the publication contains information that can apply to most recipients of civil service retirement benefits. Irs gov 1040ez form Refund of Contributions If you leave federal government service or transfer to a job not under the CSRS or FERS and you are not eligible for an immediate annuity, you can choose to receive a refund of the money in your CSRS or FERS retirement account. Irs gov 1040ez form The refund will include both regular and voluntary contributions you made to the fund, plus any interest payable. Irs gov 1040ez form If the refund includes only your contributions, none of the refund is taxable. Irs gov 1040ez form If it includes any interest, the interest is taxable unless you roll it over directly into another qualified plan or a traditional individual retirement arrangement (IRA). Irs gov 1040ez form If you do not have the Office of Personnel Management (OPM) transfer the interest to an IRA or other plan in a direct rollover, tax will be withheld at a 20% rate. Irs gov 1040ez form See Rollover Rules in Part II for information on how to make a rollover. Irs gov 1040ez form Interest is not paid on contributions to the CSRS for service after 1956 unless your service was for more than 1 year but not more than 5 years. Irs gov 1040ez form Therefore, many employees who withdraw their contributions under the CSRS do not get interest and do not owe any tax on their refund. Irs gov 1040ez form If you do not roll over interest included in your refund, it may qualify as a lump-sum distribution eligible for capital gain treatment or the 10-year tax option. Irs gov 1040ez form If you separate from service before the calendar year in which you reach age 55, it may be subject to an additional 10% tax on early distributions. Irs gov 1040ez form For more information, see Lump-Sum Distributions and Tax on Early Distributions in Publication 575. Irs gov 1040ez form A lump-sum distribution is eligible for capital gain treatment or the 10-year tax option only if the plan participant was born before January 2, 1936. Irs gov 1040ez form Tax Withholding and Estimated Tax The CSRS or FERS annuity you receive is subject to federal income tax withholding, unless you choose not to have tax withheld. Irs gov 1040ez form OPM will tell you how to make the choice. Irs gov 1040ez form The choice for no withholding remains in effect until you change it. Irs gov 1040ez form These withholding rules also apply to a disability annuity, whether received before or after minimum retirement age. Irs gov 1040ez form If you choose not to have tax withheld, or if you do not have enough tax withheld, you may have to make estimated tax payments. Irs gov 1040ez form You may owe a penalty if the total of your withheld tax and estimated tax does not cover most of the tax shown on your return. Irs gov 1040ez form Generally, you will owe the penalty for 2014 if the additional tax you must pay with your return is $1,000 or more and more than 10% of the tax to be shown on your 2014 return. Irs gov 1040ez form For more information, including exceptions to the penalty, see chapter 4 of Publication 505, Tax Withholding and Estimated Tax. Irs gov 1040ez form Form CSA 1099R. Irs gov 1040ez form   Form CSA 1099R is mailed to you by OPM each year. Irs gov 1040ez form It will show any tax you had withheld. Irs gov 1040ez form File a copy of Form CSA 1099R with your tax return if any federal income tax was withheld. Irs gov 1040ez form    You also can view and download your Form CSA 1099R by visiting the OPM website at  www. Irs gov 1040ez form servicesonline. Irs gov 1040ez form opm. Irs gov 1040ez form gov. Irs gov 1040ez form To log in, you will need your retirement CSA claim number and your personal identification number. Irs gov 1040ez form Choosing no withholding on payments outside the United States. Irs gov 1040ez form   The choice for no withholding generally cannot be made for annuity payments to be delivered outside the United States and its possessions. Irs gov 1040ez form   To choose no withholding if you are a U. Irs gov 1040ez form S. Irs gov 1040ez form citizen or resident alien, you must provide OPM with your home address in the United States or its possessions. Irs gov 1040ez form Otherwise, OPM has to withhold tax. Irs gov 1040ez form For example, OPM must withhold if you provide a U. Irs gov 1040ez form S. Irs gov 1040ez form address for a nominee, trustee, or agent (such as a bank) to whom the benefits are to be delivered, but you do not provide your own U. Irs gov 1040ez form S. Irs gov 1040ez form home address. Irs gov 1040ez form   If you do not provide a home address in the United States or its possessions, you can choose not to have tax withheld only if you certify to OPM that you are not a U. Irs gov 1040ez form S. Irs gov 1040ez form citizen, a U. Irs gov 1040ez form S. Irs gov 1040ez form resident alien, or someone who left the United States to avoid tax. Irs gov 1040ez form But if you so certify, you may be subject to the 30% flat rate withholding that applies to nonresident aliens. Irs gov 1040ez form For details, see Publication 519, U. Irs gov 1040ez form S. Irs gov 1040ez form Tax Guide for Aliens. Irs gov 1040ez form Withholding certificate. Irs gov 1040ez form   If you give OPM a Form W-4P-A, Election of Federal Income Tax Withholding, you can choose not to have tax withheld or you can choose to have tax withheld. Irs gov 1040ez form The amount of tax withheld depends on your marital status, the number of withholding allowances, and any additional amount you designate to be withheld. Irs gov 1040ez form If you do not make either of these choices, OPM must withhold as if you were married with three withholding allowances. Irs gov 1040ez form To change the amount of tax withholding or to stop withholding, call OPM's Retirement Information Office at 1-888-767-6738 (customers within the local Washington, D. Irs gov 1040ez form C. Irs gov 1040ez form calling area must call 202-606-0500). Irs gov 1040ez form No special form is needed. Irs gov 1040ez form You will need your retirement CSA or CSF claim number, your social security number, and your personal identification number (PIN) when you call. Irs gov 1040ez form If you have TTY/TDD equipment, call 1-855–887–4957. Irs gov 1040ez form If you need a PIN, call OPM's Retirement Information Office. Irs gov 1040ez form You also can change the amount of withholding or stop withholding online by visiting the OPM website at www. Irs gov 1040ez form servicesonline. Irs gov 1040ez form opm. Irs gov 1040ez form gov. Irs gov 1040ez form You will need your retirement CSA or CSF claim number and your PIN. Irs gov 1040ez form Withholding from certain lump-sum payments. Irs gov 1040ez form   If you leave the federal government before becoming eligible to retire and you apply for a refund of your CSRS or FERS contributions, or you die without leaving a survivor eligible for an annuity, you or your beneficiary will receive a distribution of your contributions to the retirement plan plus any interest payable. Irs gov 1040ez form Tax will be withheld at a 20% rate on the interest distributed. Irs gov 1040ez form However, tax will not be withheld if you have OPM transfer (roll over) the interest directly to your traditional IRA or other qualified plan. Irs gov 1040ez form If you have OPM transfer (roll over) the interest directly to a Roth IRA, the entire amount will be taxed in the current year. Irs gov 1040ez form Because no income tax will be withheld at the time of the transfer, you may want to increase your withholding or pay estimated taxes. Irs gov 1040ez form See Rollover Rules in Part II. Irs gov 1040ez form If you receive only your contributions, no tax will be withheld. Irs gov 1040ez form Withholding from Thrift Savings Plan payments. Irs gov 1040ez form   Generally, a distribution that you receive from the TSP is subject to federal income tax withholding. Irs gov 1040ez form The amount withheld is: 20% if the distribution is an eligible rollover distribution, 10% if it is a nonperiodic distribution other than an eligible rollover distribution, or An amount determined as if you were married with three withholding allowances, unless you submit a withholding certificate (Form W-4P), if it is a periodic distribution. Irs gov 1040ez form  However, you usually can choose not to have tax withheld from TSP payments other than eligible rollover distributions. Irs gov 1040ez form By January 31 after the end of the year in which you receive a distribution, the TSP will issue Form 1099-R showing the total distributions you received in the prior year and the amount of tax withheld. Irs gov 1040ez form   For a detailed discussion of withholding on distributions from the TSP, see Important Tax Information About Payments From Your TSP Account, available from your agency personnel office or from the TSP. Irs gov 1040ez form The above document is also available in the “Forms & Publications” section of the TSP website at www. Irs gov 1040ez form tsp. Irs gov 1040ez form gov. Irs gov 1040ez form Estimated tax. Irs gov 1040ez form   Generally, you must make estimated tax payments for 2014 if you expect to owe at least $1,000 in tax for 2014 (after subtracting your withholding and credits) and you expect your withholding and your credits to be less than the smaller of: 90% of the tax to be shown on your income tax return for 2014, or 100% of the tax shown on your 2013 income tax return (110% of that amount if the adjusted gross income shown on the return was more than $150,000 ($75,000 if your filing status for 2014 will be married filing separately)). Irs gov 1040ez form The return must cover all 12 months. Irs gov 1040ez form   You do not have to pay estimated tax for 2014 if you were a U. Irs gov 1040ez form S. Irs gov 1040ez form citizen or resident alien for all of 2013 and you had no tax liability for the full 12-month 2013 tax year. Irs gov 1040ez form   Publication 505 contains information that you can use to help you figure your estimated tax payments. Irs gov 1040ez form Filing Requirements If your gross income, including the taxable part of your annuity, is less than a certain amount, you generally do not have to file a federal income tax return for that year. Irs gov 1040ez form The gross income filing requirements for the tax year are in the instructions to Form 1040, 1040A, or 1040EZ. Irs gov 1040ez form Children. Irs gov 1040ez form   If you are the surviving spouse of a federal employee or retiree and your monthly annuity check includes a survivor annuity for one or more children, each child's annuity counts as his or her own income (not yours) for federal income tax purposes. Irs gov 1040ez form   If your child can be claimed as a dependent, treat the taxable part of his or her annuity as unearned income when applying the filing requirements for dependents. Irs gov 1040ez form Form CSF 1099R. Irs gov 1040ez form   Form CSF 1099R will be mailed to you by January 31 after the end of each tax year. Irs gov 1040ez form It will show the total amount of the annuity you received in the past year. Irs gov 1040ez form It also should show, separately, the survivor annuity for a child or children. Irs gov 1040ez form Only the part that is each individual's survivor annuity should be shown on that individual's Form 1040 or 1040A. Irs gov 1040ez form   If your Form CSF 1099R does not show separately the amount paid to you for a child or children, attach a statement to your return, along with a copy of Form CSF 1099R, explaining why the amount shown on the tax return differs from the amount shown on Form CSF 1099R. Irs gov 1040ez form    You also can view and download your Form CSF 1099R by visiting the OPM website at  www. Irs gov 1040ez form servicesonline. Irs gov 1040ez form opm. Irs gov 1040ez form gov. Irs gov 1040ez form To log in you will need your retirement CSF claim number and personal identification number. Irs gov 1040ez form    You may request a Summary of Payments, showing the amounts paid to you for your child(ren), from OPM by calling OPM's Retirement Information Office at 1-888-767-6738 (customers within the local Washington, D. Irs gov 1040ez form C. Irs gov 1040ez form calling area must call 202-606-0500). Irs gov 1040ez form You will need your CSF claim number and your social security number when you call. Irs gov 1040ez form Taxable part of annuity. Irs gov 1040ez form   To find the taxable part of a retiree's annuity when applying the filing requirements, see the discussion in Part II, Rules for Retirees , or Part III, Rules for Disability Retirement and Credit for the Elderly or the Disabled , whichever applies. Irs gov 1040ez form To find the taxable part of each survivor annuity when applying the filing requirements, see the discussion in Part IV, Rules for Survivors of Federal Employees , or Part V, Rules for Survivors of Federal Retirees , whichever applies. Irs gov 1040ez form Part II Rules for Retirees This part of the publication is for retirees who retired on nondisability retirement. Irs gov 1040ez form If you retired on disability before you reached your minimum retirement age, see Part III, Rules for Disability Retirement and Credit for the Elderly or the Disabled. Irs gov 1040ez form However, on the day after you reach your minimum retirement age, use the rules in this section to report your disability retirement and begin recovering your cost. Irs gov 1040ez form Annuity statement. Irs gov 1040ez form   The statement you received from OPM when your CSRS or FERS annuity was approved shows the commencing date (the annuity starting date), the gross monthly rate of your annuity benefit, and your total contributions to the retirement plan (your cost). Irs gov 1040ez form You will use this information to figure the tax-free recovery of your cost. Irs gov 1040ez form Annuity starting date. Irs gov 1040ez form   If you retire from federal government service on a regular annuity, your annuity starting date is the commencing date on your annuity statement from OPM. Irs gov 1040ez form If something delays payment of your annuity, such as a late application for retirement, it does not affect the date your annuity begins to accrue or your annuity starting date. Irs gov 1040ez form Gross monthly rate. Irs gov 1040ez form   This is the amount you were to get after any adjustment for electing a survivor's annuity or for electing the lump-sum payment under the alternative annuity option (if either applied) but before any deduction for income tax withholding, insurance premiums, etc. Irs gov 1040ez form Your cost. Irs gov 1040ez form   Your monthly annuity payment contains an amount on which you have previously paid income tax. Irs gov 1040ez form This amount represents part of your contributions to the retirement plan. Irs gov 1040ez form Even though you did not receive the money that was contributed to the plan, it was included in your gross income for federal income tax purposes in the years it was taken out of your pay. Irs gov 1040ez form   The cost of your annuity is the total of your contributions to the retirement plan, as shown on your annuity statement from OPM. Irs gov 1040ez form If you elected the alternative annuity option, it includes any deemed deposits and any deemed redeposits that were added to your lump-sum credit. Irs gov 1040ez form (See Lump-sum credit under Alternative Annuity Option, later. Irs gov 1040ez form )   If you repaid contributions that you had withdrawn from the retirement plan earlier, or if you paid into the plan to receive full credit for service not subject to retirement deductions, the entire repayment, including any interest, is a part of your cost. Irs gov 1040ez form You cannot claim an interest deduction for any interest payments. Irs gov 1040ez form You cannot treat these payments as voluntary contributions; they are considered regular employee contributions. Irs gov 1040ez form Recovering your cost tax free. Irs gov 1040ez form   How you figure the tax-free recovery of the cost of your CSRS or FERS annuity depends on your annuity starting date. Irs gov 1040ez form If your annuity starting date is before July 2, 1986, either the Three-Year Rule or the General Rule (both discussed later) applies to your annuity. Irs gov 1040ez form If your annuity starting date is after July 1, 1986, and before November 19, 1996, you could have chosen to use either the General Rule or the Simplified Method (discussed later). Irs gov 1040ez form If your annuity starting date is after November 18, 1996, you must use the Simplified Method. Irs gov 1040ez form   Under both the General Rule and the Simplified Method, each of your monthly annuity payments is made up of two parts: the tax-free part that is a return of your cost, and the taxable part that is the amount of each payment that is more than the part that represents your cost (unless such payment is used for purposes discussed under Distributions Used To Pay Insurance Premiums for Public Safety Officers , later). Irs gov 1040ez form The tax-free part is a fixed dollar amount. Irs gov 1040ez form It remains the same, even if your annuity is increased. Irs gov 1040ez form Generally, this rule applies as long as you receive your annuity. Irs gov 1040ez form However, see Exclusion limit , later. Irs gov 1040ez form Choosing a survivor annuity after retirement. Irs gov 1040ez form    If you retired without a survivor annuity and report your annuity under the Simplified Method, do not change your tax-free monthly amount even if you later choose a survivor annuity. Irs gov 1040ez form   If you retired without a survivor annuity and report your annuity under the General Rule, you must figure the tax-free part of your annuity using a new exclusion percentage if you later choose a survivor annuity and take reduced annuity payments. Irs gov 1040ez form To figure the new exclusion percentage, reduce your cost by the amount you previously recovered tax free. Irs gov 1040ez form Figure the expected return as of the date the reduced annuity begins. Irs gov 1040ez form For details on the General Rule, see Publication 939. Irs gov 1040ez form Canceling a survivor annuity after retirement. Irs gov 1040ez form   If you retired with a survivor annuity payable to your spouse upon your death and you notify OPM that your marriage has ended, your annuity might be increased to remove the reduction for a survivor benefit. Irs gov 1040ez form The increased annuity does not change the cost recovery you figured at the annuity starting date. Irs gov 1040ez form The tax-free part of each annuity payment remains the same. Irs gov 1040ez form    For more information about choosing or canceling a survivor annuity after retirement, contact OPM's Retirement Information Office at 1-888-767-6738 (customers within the local Washington, D. Irs gov 1040ez form C. Irs gov 1040ez form calling area must call 202-606-0500). Irs gov 1040ez form Exclusion limit. Irs gov 1040ez form   Your annuity starting date determines the total amount of annuity payments that you can exclude from income over the years. Irs gov 1040ez form Annuity starting date after 1986. Irs gov 1040ez form   If your annuity starting date is after 1986, the total amount of annuity income that you (or the survivor annuitant) can exclude over the years as a return of your cost cannot exceed your total cost. Irs gov 1040ez form Annuity payments you or your survivors receive after the total cost in the plan has been recovered are generally fully taxable. Irs gov 1040ez form Example. Irs gov 1040ez form Your annuity starting date is after 1986 and you exclude $100 a month under the Simplified Method. Irs gov 1040ez form If your cost is $12,000, the exclusion ends after 10 years (120 months). Irs gov 1040ez form Thereafter, your entire annuity is generally fully taxable. Irs gov 1040ez form Annuity starting date before 1987. Irs gov 1040ez form   If your annuity starting date is before 1987, you can continue to take your monthly exclusion figured under the General Rule or Simplified Method for as long as you receive your annuity. Irs gov 1040ez form If you chose a joint and survivor annuity, your survivor can continue to take that same exclusion. Irs gov 1040ez form The total exclusion may be more than your cost. Irs gov 1040ez form Deduction of unrecovered cost. Irs gov 1040ez form   If your annuity starting date is after July 1, 1986, and the cost of your annuity has not been fully recovered at your (or the survivor annuitant's) death, a deduction is allowed for the unrecovered cost. Irs gov 1040ez form The deduction is claimed on your (or your survivor's) final tax return as a miscellaneous itemized deduction (not subject to the 2%-of-adjusted-gross-income limit). Irs gov 1040ez form If your annuity starting date is before July 2, 1986, no tax benefit is allowed for any unrecovered cost at death. Irs gov 1040ez form Simplified Method If your annuity starting date is after November 18, 1996, you must use the Simplified Method to figure the tax-free part of your CSRS or FERS annuity. Irs gov 1040ez form (OPM has figured the taxable amount of your annuity shown on your Form CSA 1099R using the Simplified Method. Irs gov 1040ez form ) You could have chosen to use either the Simplified Method or the General Rule if your annuity starting date is after July 1, 1986, but before November 19, 1996. Irs gov 1040ez form The Simplified Method does not apply if your annuity starting date is before July 2, 1986. Irs gov 1040ez form Under the Simplified Method, you figure the tax-free part of each full monthly payment by dividing your cost by a number of months based on your age. Irs gov 1040ez form This number will differ depending on whether your annuity starting date is before November 19, 1996, or after November 18, 1996. Irs gov 1040ez form If your annuity starting date is after 1997 and your annuity includes a survivor benefit for your spouse, this number is based on your combined ages. Irs gov 1040ez form Worksheet A. Irs gov 1040ez form   Use Worksheet A. Irs gov 1040ez form Simplified Method (near the end of this publication), to figure your taxable annuity. Irs gov 1040ez form Be sure to keep the completed worksheet. Irs gov 1040ez form It will help you figure your taxable amounts for later years. Irs gov 1040ez form Instead of Worksheet A, you generally can use the Simplified Method Worksheet in the instructions for Form 1040, Form 1040A, or Form 1040NR to figure your taxable annuity. Irs gov 1040ez form However, you must use Worksheet A and Worksheet B in this publication if you chose the alternative annuity option, discussed later. Irs gov 1040ez form Line 2. Irs gov 1040ez form   See Your cost , earlier, for an explanation of your cost in the plan. Irs gov 1040ez form If your annuity starting date is after November 18, 1996, and you chose the alternative annuity option (explained later), you must reduce your cost by the tax-free part of the lump-sum payment you received. Irs gov 1040ez form Line 3. Irs gov 1040ez form   The number you enter on line 3 is the appropriate number from Table 1 or 2 representing approximate life expectancies in months. Irs gov 1040ez form If your annuity starting date is after 1997, use: Table 1 for an annuity without a survivor benefit, or Table 2 for an annuity with a survivor benefit. Irs gov 1040ez form If your annuity starting date is before 1998, use Table 1. Irs gov 1040ez form Line 6. Irs gov 1040ez form   If you received contributions tax free before 2013, the amount previously recovered tax free that you must enter on line 6 is the total amount from line 10 of last year's worksheet. Irs gov 1040ez form If your annuity starting date is before November 19, 1996, and you chose the alternative annuity option, this amount includes the tax-free part of the lump-sum payment you received. Irs gov 1040ez form Example. Irs gov 1040ez form Bill Smith retired from the Federal Government on March 31, 2013, under an annuity that will provide a survivor benefit for his wife, Kathy. Irs gov 1040ez form His annuity starting date is April 1, 2013, the annuity is paid in arrears, and he received his first monthly annuity payment on May 1, 2013. Irs gov 1040ez form He must use the Simplified Method to figure the tax-free part of his annuity benefits. Irs gov 1040ez form Bill's monthly annuity benefit is $1,000. Irs gov 1040ez form He had contributed $31,000 to his retirement plan and had received no distributions before his annuity starting date. Irs gov 1040ez form At his annuity starting date, he was 65 and Kathy was 57. Irs gov 1040ez form Bill's completed Worksheet A is shown later. Irs gov 1040ez form To complete line 3, he used Table 2 at the bottom of the worksheet and found that 310 is the number in the second column opposite the age range that includes 122 (his and Kathy's combined ages). Irs gov 1040ez form Bill keeps a copy of the completed worksheet for his records. Irs gov 1040ez form It will help him (and Kathy, if she survives him) figure the taxable amount of the annuity in later years. Irs gov 1040ez form Bill's tax-free monthly amount is $100. Irs gov 1040ez form (See line 4 of the worksheet. Irs gov 1040ez form ) If he lives to collect more than 310 monthly payments, he will generally have to include in his gross income the full amount of any annuity payments received after 310 payments have been made. Irs gov 1040ez form If Bill does not live to collect 310 monthly payments and his wife begins to receive monthly payments, she also will exclude $100 from each monthly payment until 310 payments (Bill's and hers) have been collected. Irs gov 1040ez form If she dies before 310 payments have been made, a miscellaneous itemized deduction (not subject to the 2%-of-adjusted- gross-income limit) will be allowed for the unrecovered cost on her final income tax return. Irs gov 1040ez form General Rule If your annuity starting date is after November 18, 1996, you cannot use the General Rule to figure the tax-free part of your CSRS or FERS annuity. Irs gov 1040ez form If your annuity starting date is after July 1, 1986, but before November 19, 1996, you could have chosen to use either the General Rule or the Simplified Method. Irs gov 1040ez form If your annuity starting date is before July 2, 1986, you could have chosen to use the General Rule only if you could not use the Three-Year Rule. Irs gov 1040ez form Under the General Rule, you figure the tax-free part of each full monthly payment by multiplying the initial gross monthly rate of your annuity by an exclusion percentage. Irs gov 1040ez form Figuring this percentage is complex and requires the use of actuarial tables. Irs gov 1040ez form For these tables and other information about using the General Rule, see Publication 939. Irs gov 1040ez form Three-Year Rule If your annuity starting date was before July 2, 1986, you probably had to report your annuity using the Three-Year Rule. Irs gov 1040ez form Under this rule, you excluded all the annuity payments from income until you fully recovered your cost. Irs gov 1040ez form After your cost was recovered, all payments became fully taxable. Irs gov 1040ez form You cannot use another rule to again exclude amounts from income. Irs gov 1040ez form The Three-Year Rule was repealed for retirees whose annuity starting date is after July 1, 1986. Irs gov 1040ez form Worksheet A. Irs gov 1040ez form Simplified Method for Bill Smith See the instructions in Part II of this publication under Simplified Method. Irs gov 1040ez form 1. Irs gov 1040ez form Enter the total pension or annuity payments received this year. Irs gov 1040ez form Also, add this amount to the total for Form 1040, line 16a; Form 1040A, line 12a; or Form 1040NR, line 17a 1. Irs gov 1040ez form $ 8,000 2. Irs gov 1040ez form Enter your cost in the plan at the annuity starting date, plus any death benefit exclusion*. Irs gov 1040ez form See Your cost in Part II, Rules for Retirees, earlier 2. Irs gov 1040ez form 31,000 Note: If your annuity starting date was before this year and you completed this worksheet last year, skip line 3 and enter the amount from line 4 of last year's worksheet on line 4 below (even if the amount of your pension or annuity has changed). Irs gov 1040ez form Otherwise, go to line 3. Irs gov 1040ez form   3. Irs gov 1040ez form Enter the appropriate number from Table 1 below. Irs gov 1040ez form But if your annuity starting date was after 1997 and the payments are for your life and that of your beneficiary, enter the appropriate number from Table 2 below. Irs gov 1040ez form 3. Irs gov 1040ez form 310 4. Irs gov 1040ez form Divide line 2 by the number on line 3 4. Irs gov 1040ez form 100 5. Irs gov 1040ez form Multiply line 4 by the number of months for which this year's payments were made. Irs gov 1040ez form If your annuity starting date was before 1987, enter this amount on line 8 below and skip lines 6, 7, 10, and 11. Irs gov 1040ez form Otherwise, go to line 6 5. Irs gov 1040ez form 800 6. Irs gov 1040ez form Enter any amounts previously recovered tax free in years after 1986. Irs gov 1040ez form This is the amount shown on line 10 of your worksheet for last year 6. Irs gov 1040ez form 0 7. Irs gov 1040ez form Subtract line 6 from line 2 7. Irs gov 1040ez form 31,000 8. Irs gov 1040ez form Enter the smaller of line 5 or line 7 8. Irs gov 1040ez form 800 9. Irs gov 1040ez form Taxable amount for year. Irs gov 1040ez form Subtract line 8 from line 1. Irs gov 1040ez form Enter the result, but not less than zero. Irs gov 1040ez form Also, add this amount to the total for Form 1040, line 16b, or Form 1040A, line 12b. Irs gov 1040ez form If you are a nonresident alien, also enter this amount on line 1 of Worksheet C. Irs gov 1040ez form If your Form CSA 1099R or Form CSF 1099R shows a larger amount, use the amount figured on this line instead. Irs gov 1040ez form If you are a retired public safety officer, see Distributions Used To Pay Insurance Premiums for Public Safety Officers in Part II before entering an amount on your tax return or Worksheet C, line 1 9. Irs gov 1040ez form $7,200 10. Irs gov 1040ez form Was your annuity starting date before 1987?   Yes. Irs gov 1040ez form Do not complete the rest of this worksheet. Irs gov 1040ez form    No. Irs gov 1040ez form Add lines 6 and 8. Irs gov 1040ez form This is the amount you have recovered tax free through 2013. Irs gov 1040ez form You will need this number if you need to fill out this worksheet next year 10. Irs gov 1040ez form 800 11. Irs gov 1040ez form Balance of cost to be recovered. Irs gov 1040ez form Subtract line 10 from line 2. Irs gov 1040ez form If zero, you will not have to complete this worksheet next year. Irs gov 1040ez form The payments you receive next year will generally be fully taxable 11. Irs gov 1040ez form $30,200 Table 1 for Line 3 Above    IF your age on your  annuity starting date was   AND your annuity starting date was—     before November 19, 1996,  THEN enter on line 3 after November 18, 1996,  THEN enter on line 3   55 or under 300 360   56–60 260 310   61–65 240 260   66–70 170 210   71 or over 120 160  Table 2 for Line 3 Above    IF the annuitants' combined ages on your annuity starting date were   THEN enter on line 3         110 or under   410         111–120   360         121–130   310         131–140   260         141 or over   210       * A death benefit exclusion of up to $5,000 applied to certain benefits received by survivors of employees who died before August 21, 1996. Irs gov 1040ez form Alternative Annuity Option If you are eligible, you may choose an alternative form of annuity. Irs gov 1040ez form If you make this choice, you will receive a lump-sum payment equal to your contributions to the plan and a reduced monthly annuity. Irs gov 1040ez form You are eligible to make this choice if you meet all of the following requirements. Irs gov 1040ez form You are retiring, but not on disability. Irs gov 1040ez form You have a life-threatening illness or other critical medical condition. Irs gov 1040ez form You do not have a former spouse entitled to court ordered benefits based on your service. Irs gov 1040ez form If you are not eligible or do not choose this alternative annuity, you can skip the following discussion and go to Federal Gift Tax , later. Irs gov 1040ez form Lump-Sum Payment The lump-sum payment you receive under the alternative annuity option generally has a tax-free part and a taxable part. Irs gov 1040ez form The tax-free part represents part of your cost. Irs gov 1040ez form The taxable part represents part of the earnings on your annuity contract. Irs gov 1040ez form Your lump-sum credit (discussed later) may include a deemed deposit or redeposit that is treated as being included in your lump-sum payment even though you do not actually receive such amounts. Irs gov 1040ez form Deemed deposits and redeposits, which are described later under Lump-sum credit , are taxable to you in the year of retirement. Irs gov 1040ez form Your taxable amount may therefore be more than the lump-sum payment you receive. Irs gov 1040ez form You must include the taxable part of the lump-sum payment in your income for the year you receive the payment unless you roll it over into another qualified plan or an IRA. Irs gov 1040ez form If you do not have OPM transfer the taxable amount to an IRA or other plan in a direct rollover, tax will be withheld at a 20% rate. Irs gov 1040ez form See Rollover Rules , later, for information on how to make a rollover. Irs gov 1040ez form OPM can make a direct rollover only up to the amount of the lump-sum payment. Irs gov 1040ez form Therefore, to defer tax on the full taxable amount if it is more than the payment, you must add funds from another source. Irs gov 1040ez form The taxable part of the lump-sum payment does not qualify as a lump-sum distribution eligible for capital gain treatment or the 10-year tax option. Irs gov 1040ez form It also may be subject to an additional 10% tax on early distributions if you separate from service before the calendar year in which you reach age 55, even if you reach age 55 in the year you receive the lump-sum payment. Irs gov 1040ez form For more information, see Lump-Sum Distributions and Tax on Early Distributions in Publication 575. Irs gov 1040ez form Worksheet B. Irs gov 1040ez form   Use Worksheet B. Irs gov 1040ez form Lump-Sum Payment (near the end of this publication), to figure the taxable part of your lump-sum payment. Irs gov 1040ez form Be sure to keep the completed worksheet for your records. Irs gov 1040ez form   To complete the worksheet, you will need to know the amount of your lump-sum credit and the present value of your annuity contract. Irs gov 1040ez form Lump-sum credit. Irs gov 1040ez form   Generally, this is the same amount as the lump-sum payment you receive (the total of your contributions to the retirement system). Irs gov 1040ez form However, for purposes of the alternative annuity option, your lump-sum credit also may include deemed deposits and redeposits that OPM advanced to your retirement account so that you are given credit for the service they represent. Irs gov 1040ez form Deemed deposits (including interest) are for federal employment during which no retirement contributions were taken out of your pay. Irs gov 1040ez form Deemed redeposits (including interest) are for any refunds of retirement contributions that you received and did not repay. Irs gov 1040ez form You are treated as if you had received a lump-sum payment equal to the amount of your lump-sum credit and then had made a repayment to OPM of the advanced amounts. Irs gov 1040ez form Present value of your annuity contract. Irs gov 1040ez form   The present value of your annuity contract is figured using actuarial tables provided by the IRS. Irs gov 1040ez form If you are receiving a lump-sum payment under the Alternative Annuity Option, you can write to the address below to find out the present value of your annuity contract. Irs gov 1040ez form Internal Revenue Service Attn: Actuarial Group 2 TE/GE SE:T:EP:RA:T:A2 NCA-629 1111 Constitution Ave. Irs gov 1040ez form , NW Washington, DC 20224-0002 Example. Irs gov 1040ez form David Brown retired from the federal government in 2013, one month after his 55th birthday. Irs gov 1040ez form He had contributed $31,000 to his retirement plan and chose to receive a lump-sum payment of that amount under the alternative annuity option. Irs gov 1040ez form The present value of his annuity contract was $155,000. Irs gov 1040ez form The tax-free part and the taxable part of the lump-sum payment are figured using Worksheet B, as shown below. Irs gov 1040ez form The taxable part ($24,800) is also his net cost in the plan, which is used to figure the taxable part of his reduced annuity payments. Irs gov 1040ez form See Reduced Annuity , later. Irs gov 1040ez form Worksheet B. Irs gov 1040ez form Lump-Sum Payment for David Brown See the instructions in Part II of this publication under Alternative Annuity Option . Irs gov 1040ez form  1. Irs gov 1040ez form Enter your lump-sum credit (your cost in the plan at the annuity starting date) 1. Irs gov 1040ez form $ 31,000 2. Irs gov 1040ez form Enter the present value of your annuity contract 2. Irs gov 1040ez form 155,000 3. Irs gov 1040ez form Divide line 1 by line 2 3. Irs gov 1040ez form . Irs gov 1040ez form 20 4. Irs gov 1040ez form Tax-free amount. Irs gov 1040ez form Multiply line 1 by line 3. Irs gov 1040ez form (Caution: Do not include this amount on line 6 of Worksheet A in this publication. Irs gov 1040ez form ) 4. Irs gov 1040ez form $6,200 5. Irs gov 1040ez form Taxable amount (net cost in the plan). Irs gov 1040ez form Subtract line 4 from line 1. Irs gov 1040ez form Include this amount in the total on Form 1040, line 16b; Form 1040A, line 12b; or Form 1040NR, line 17b. Irs gov 1040ez form Also, enter this amount on line 2 of Worksheet A in this publication. Irs gov 1040ez form 5. Irs gov 1040ez form $24,800   Lump-sum payment in installments. Irs gov 1040ez form   If you choose the alternative annuity option, you usually will receive the lump-sum payment in two equal installments. Irs gov 1040ez form You will receive the first installment after you make the choice upon retirement. Irs gov 1040ez form The second installment will be paid to you, with interest, in the next calendar year. Irs gov 1040ez form (Exceptions to the installment rule are provided for cases of critical medical need. Irs gov 1040ez form )   Even though the lump-sum payment is made in installments, the overall tax treatment (explained at the beginning of this discussion) is the same as if the whole payment were paid at once. Irs gov 1040ez form If the payment has a tax-free part, you must treat the taxable part as received first. Irs gov 1040ez form How to report. Irs gov 1040ez form   Add any actual or deemed payment of your lump-sum credit (defined earlier) to the total for Form 1040, line 16a; Form 1040A, line 12a; or Form 1040NR, line 17a. Irs gov 1040ez form Add the taxable part to the total for Form 1040, line 16b; Form 1040A, line 12b; or Form 1040NR, line 17b, unless you roll over the taxable part to your traditional IRA or a qualified retirement plan. Irs gov 1040ez form    If you receive the lump-sum payment in two installments, include any interest paid with the second installment on line 8a of either Form 1040 or Form 1040A, or on line 9a of Form 1040NR. Irs gov 1040ez form Reduced Annuity If you have chosen to receive a lump-sum payment under the alternative annuity option, you also will receive reduced monthly annuity payments. Irs gov 1040ez form These annuity payments each will have a tax-free and a taxable part. Irs gov 1040ez form To figure the tax-free part of each annuity payment, you must use the Simplified Method (Worksheet A). Irs gov 1040ez form For instructions on how to complete the worksheet, see Worksheet A under Simplified Method, earlier. Irs gov 1040ez form To complete Worksheet A, line 2, you must reduce your cost in the plan by the tax-free part of the lump-sum payment you received. Irs gov 1040ez form Enter as your net cost on line 2 the amount from Worksheet B, line 5. Irs gov 1040ez form Do not include the tax-free part of the lump-sum payment with other amounts recovered tax free (Worksheet A, line 6) when limiting your total exclusion to your total cost. Irs gov 1040ez form Example. Irs gov 1040ez form The facts are the same as in the example for David Brown in the preceding discussion. Irs gov 1040ez form In addition, David received 10 annuity payments in 2013 of $1,200 each. Irs gov 1040ez form Using Worksheet A, he figures the taxable part of his annuity payments. Irs gov 1040ez form He completes line 2 by reducing his $31,000 cost by the $6,200 tax-free part of his lump-sum payment. Irs gov 1040ez form His entry on line 2 is his $24,800 net cost in the plan (the amount from Worksheet B, line 5). Irs gov 1040ez form He does not include the tax-free part of his lump-sum payment on Worksheet A, line 6. Irs gov 1040ez form David's filled-in Worksheet A is shown on the next page. Irs gov 1040ez form Worksheet A. Irs gov 1040ez form Simplified Method for David Brown See the instructions in Part II of this publication under Simplified Method . Irs gov 1040ez form 1. Irs gov 1040ez form Enter the total pension or annuity payments received this year. Irs gov 1040ez form Also, add this amount to the total for Form 1040, line 16a; Form 1040A, line 12a; or Form 1040NR, line 17a 1. Irs gov 1040ez form $ 12,000 2. Irs gov 1040ez form Enter your cost in the plan at the annuity starting date, plus any death benefit exclusion*. Irs gov 1040ez form See Your cost in Part II, Rules for Retirees, earlier 2. Irs gov 1040ez form 24,800 Note: If your annuity starting date was before this year and you completed this worksheet last year, skip line 3 and enter the amount from line 4 of last year's worksheet on line 4 below (even if the amount of your pension or annuity has changed). Irs gov 1040ez form Otherwise, go to line 3. Irs gov 1040ez form   3. Irs gov 1040ez form Enter the appropriate number from Table 1 below. Irs gov 1040ez form But if your annuity starting date was after 1997 and the payments are for your life and that of your beneficiary, enter the appropriate number from Table 2 below. Irs gov 1040ez form 3. Irs gov 1040ez form 360 4. Irs gov 1040ez form Divide line 2 by the number on line 3 4. Irs gov 1040ez form 68. Irs gov 1040ez form 89 5. Irs gov 1040ez form Multiply line 4 by the number of months for which this year's payments were made. Irs gov 1040ez form If your annuity starting date was before 1987, enter this amount on line 8 below and skip lines 6, 7, 10, and 11. Irs gov 1040ez form Otherwise, go to line 6 5. Irs gov 1040ez form 688. Irs gov 1040ez form 90 6. Irs gov 1040ez form Enter any amounts previously recovered tax free in years after 1986. Irs gov 1040ez form This is the amount shown on line 10 of your worksheet for last year 6. Irs gov 1040ez form 0 7. Irs gov 1040ez form Subtract line 6 from line 2 7. Irs gov 1040ez form 24,800 8. Irs gov 1040ez form Enter the smaller of line 5 or line 7 8. Irs gov 1040ez form 688. Irs gov 1040ez form 90 9. Irs gov 1040ez form Taxable amount for year. Irs gov 1040ez form Subtract line 8 from line 1. Irs gov 1040ez form Enter the result, but not less than zero. Irs gov 1040ez form Also, add this amount to the total for Form 1040, line 16b, or Form 1040A, line 12b. Irs gov 1040ez form If you are a nonresident alien, also enter this amount on line 1 of Worksheet C. Irs gov 1040ez form If your Form CSA 1099R or Form CSF 1099R shows a larger amount, use the amount figured on this line instead. Irs gov 1040ez form If you are a retired public safety officer, see Distributions Used To Pay Insurance Premiums for Public Safety Officers in Part II before entering an amount on your tax return or Worksheet C, line 1 9. Irs gov 1040ez form $11,311. Irs gov 1040ez form 10 10. Irs gov 1040ez form Was your annuity starting date before 1987?   Yes. Irs gov 1040ez form Do not complete the rest of this worksheet. Irs gov 1040ez form    No. Irs gov 1040ez form Add lines 6 and 8. Irs gov 1040ez form This is the amount you have recovered tax free through 2013. Irs gov 1040ez form You will need this number if you need to fill out this worksheet next year 10. Irs gov 1040ez form 688. Irs gov 1040ez form 90 11. Irs gov 1040ez form Balance of cost to be recovered. Irs gov 1040ez form Subtract line 10 from line 2. Irs gov 1040ez form If zero, you will not have to complete this worksheet next year. Irs gov 1040ez form The payments you receive next year will generally be fully taxable 11. Irs gov 1040ez form $24,111. Irs gov 1040ez form 10 Table 1 for Line 3 Above    IF your age on your annuity starting date was   AND your annuity starting date was—     before November 19, 1996,  THEN enter on line 3 after November 18, 1996,  THEN enter on line 3   55 or under 300 360   56–60 260 310   61–65 240 260   66–70 170 210   71 or over 120 160  Table 2 for Line 3 Above    IF the annuitants' combined ages on your annuity starting date were   THEN enter on line 3         110 or under   410         111–120   360         121–130   310         131–140   260         141 or over   210       * A death benefit exclusion of up to $5,000 applied to certain benefits received by survivors of employees who died before August 21, 1996. Irs gov 1040ez form Reemployment after choosing the alternative annuity option. Irs gov 1040ez form If you chose this option when you retired and then you were reemployed by the Federal Government before retiring again, your Form CSA 1099R may show only the amount of your contributions to your retirement plan during your reemployment. Irs gov 1040ez form If the amount on the form does not include all your contributions, disregard it and use your total contributions to figure the taxable part of your annuity payments. Irs gov 1040ez form Annuity starting date before November 19, 1996. Irs gov 1040ez form   If your annuity starting date is before November 19, 1996, and you chose the alternative annuity option, the taxable and tax-free parts of your lump-sum payment and your annuity payments are figured using different rules. Irs gov 1040ez form Under those rules, you do not reduce your cost in the plan (Worksheet A, line 2) by the tax-free part of the lump-sum payment. Irs gov 1040ez form However, you must include that tax-free amount with other amounts previously recovered tax free (Worksheet A, line 6) when limiting your total exclusion to your total cost. Irs gov 1040ez form Federal Gift Tax If, through the exercise or nonexercise of an election or option, you provide an annuity for your beneficiary at or after your death, you have made a gift. Irs gov 1040ez form The gift may be taxable for gift tax purposes. Irs gov 1040ez form The value of the gift is equal to the value of the annuity. Irs gov 1040ez form Joint and survivor annuity. Irs gov 1040ez form   If the gift is an interest in a joint and survivor annuity where only you and your spouse can receive payments before the death of the last spouse to die, the gift generally will qualify for the unlimited marital deduction. Irs gov 1040ez form This will eliminate any gift tax liability with regard to that gift. Irs gov 1040ez form   If you provide survivor annuity benefits for someone other than your current spouse, such as your former spouse, the unlimited marital deduction will not apply. Irs gov 1040ez form This may result in a taxable gift. Irs gov 1040ez form More information. Irs gov 1040ez form   For information about the gift tax, see Publication 950, Introduction to Estate and Gift Taxes, and Form 709, United States Gift (and Generation-Skipping Transfer) Tax Return, and its instructions. Irs gov 1040ez form Retirement During the Past Year If you have recently retired, the following discussions covering annual leave, voluntary contributions, and community property may apply to you. Irs gov 1040ez form Annual leave. Irs gov 1040ez form   A payment for accrued annual leave received on retirement is a salary payment. Irs gov 1040ez form It is taxable as wages in the tax year you receive it. Irs gov 1040ez form Voluntary contributions. Irs gov 1040ez form   Voluntary contributions to the retirement fund are those made in addition to the regular contributions that were deducted from your salary. Irs gov 1040ez form They also include the regular contributions withheld from your salary after you have the years of service necessary for the maximum annuity allowed by law. Irs gov 1040ez form Voluntary contributions are not the same as employee contributions to the Thrift Savings Plan. Irs gov 1040ez form See Thrift Savings Plan , later. Irs gov 1040ez form Additional annuity benefit. Irs gov 1040ez form   If you choose to receive an additional annuity benefit from your voluntary contributions, it is treated separately from the annuity benefit that comes from the regular contributions deducted from your salary. Irs gov 1040ez form This separate treatment applies for figuring the amounts to be excluded from, and included in, gross income. Irs gov 1040ez form It does not matter that you receive only one monthly check covering both benefits. Irs gov 1040ez form Each year you will receive a Form CSA 1099R that will show how much of your total annuity received in the past year was from each type of benefit. Irs gov 1040ez form   Figure the taxable and tax-free parts of your additional monthly benefits from voluntary contributions using the rules that apply to regular CSRS and FERS annuities, as explained earlier. Irs gov 1040ez form Refund of voluntary contributions. Irs gov 1040ez form   If you choose to receive a refund of your voluntary contributions plus accrued interest, the interest is taxable to you in the tax year it is distributed unless you roll it over to a traditional IRA or another qualified retirement plan. Irs gov 1040ez form If you do not have OPM transfer the interest to a traditional IRA or other qualified retirement plan in a direct rollover, tax will be withheld at a 20% rate. Irs gov 1040ez form See Rollover Rules , later. Irs gov 1040ez form The interest does not qualify as a lump-sum distribution eligible for capital gain treatment or the 10-year tax option. Irs gov 1040ez form It also may be subject to an additional 10% tax on early distributions if you separate from service before the calendar year in which you reach age 55. Irs gov 1040ez form For more information, see Lump-Sum Distributions and Tax on Early Distributions in Publication 575. Irs gov 1040ez form Community property laws. Irs gov 1040ez form   State community property laws apply to your annuity. Irs gov 1040ez form These laws will affect your income tax only if you file a return separately from your spouse. Irs gov 1040ez form   Generally, the determination of whether your annuity is separate income (taxable to you) or community income (taxable to both you and your spouse) is based on your marital status and domicile when you were working. Irs gov 1040ez form Regardless of whether you are now living in a community property state or a noncommunity property state, your current annuity may be community income if it is based on services you performed while married and domiciled in a community property state. Irs gov 1040ez form   At any time, you have only one domicile even though you may have more than one home. Irs gov 1040ez form Your domicile is your fixed and permanent legal home that you intend to use for an indefinite or unlimited period, and to which, when absent, you intend to return. Irs gov 1040ez form The question of your domicile is mainly a matter of your intentions as indicated by your actions. Irs gov 1040ez form   If your annuity is a mixture of community income and separate income, you must divide it between the two kinds of income. Irs gov 1040ez form The division is based on your periods of service and domicile in community and noncommunity property states while you were married. Irs gov 1040ez form   For more information, see Publication 555, Community Property. Irs gov 1040ez form Reemployment After Retirement If you retired from federal service and are later rehired by the Federal Government as an employee, you can continue to receive your annuity during reemployment. Irs gov 1040ez form The employing agency usually will pay you the difference between your salary for your period of reemployment and your annuity. Irs gov 1040ez form This amount is taxable as wages. Irs gov 1040ez form Your annuity will continue to be taxed just as it was before. Irs gov 1040ez form If you are still recovering your cost, you continue to do so. Irs gov 1040ez form If you have recovered your cost, the annuity you receive while you are reemployed generally is fully taxable. Irs gov 1040ez form Nonresident Aliens The following special rules apply to nonresident alien federal employees performing services outside the United States and to nonresident alien retirees and beneficiaries. Irs gov 1040ez form A nonresident alien is an individual who is not a citizen or a resident alien of the United States. Irs gov 1040ez form Special rule for figuring your total contributions. Irs gov 1040ez form   Your contributions to the retirement plan (your cost) also include the government's contributions to the plan to a certain extent. Irs gov 1040ez form You include government contributions that would not have been taxable to you at the time they were contributed if they had been paid directly to you. Irs gov 1040ez form For example, government contributions would not have been taxable to you if, at the time made, your services were performed outside the United States. Irs gov 1040ez form Thus, your cost is increased by these government contributions and the benefits that you, or your beneficiary, must include in income are reduced. Irs gov 1040ez form   This method of figuring your total contributions does not apply to any contributions the government made on your behalf after you became a citizen or a resident alien of the United States. Irs gov 1040ez form Limit on taxable amount. Irs gov 1040ez form   There is a limit on the taxable amount of payments received from the CSRS, the FERS, or the TSP by a nonresident alien retiree or nonresident alien beneficiary. Irs gov 1040ez form Figure this limited taxable amount by multiplying the otherwise taxable amount by a fraction. Irs gov 1040ez form The numerator of the fraction is the retiree's total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay, other than tax-exempt pay for services performed outside the United States. Irs gov 1040ez form The denominator is the retiree's total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay for all services. Irs gov 1040ez form    Basic pay includes regular pay plus any standby differential. Irs gov 1040ez form It does not include bonuses, overtime pay, certain retroactive pay, uniform or other allowances, or lump-sum leave payments. Irs gov 1040ez form   To figure the limited taxable amount of your CSRS or FERS annuity or your TSP distributions, use Worksheet C. Irs gov 1040ez form (For an annuity, first complete Worksheet A in this publication. Irs gov 1040ez form ) Worksheet C. Irs gov 1040ez form Limited Taxable Amount for Nonresident Alien 1. Irs gov 1040ez form Enter the otherwise taxable amount of the CSRS or FERS annuity (from line 9 of Worksheet A or from Forms CSA 1099R or CSF 1099R) or TSP distributions (from Form 1099R) 1. Irs gov 1040ez form   2. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay other than tax-exempt pay for services performed outside the United States 2. Irs gov 1040ez form   3. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay for all services 3. Irs gov 1040ez form   4. Irs gov 1040ez form Divide line 2 by line 3 4. Irs gov 1040ez form   5. Irs gov 1040ez form Limited taxable amount. Irs gov 1040ez form Multiply line 1 by line 4. Irs gov 1040ez form Enter this amount on Form 1040NR, line 17b 5. Irs gov 1040ez form   Example 1. Irs gov 1040ez form You are a nonresident alien who performed all services for the U. Irs gov 1040ez form S. Irs gov 1040ez form Government abroad as a nonresident alien. Irs gov 1040ez form You retired and began to receive a monthly annuity of $200. Irs gov 1040ez form Your total basic pay for all services for the U. Irs gov 1040ez form S. Irs gov 1040ez form Government was $100,000. Irs gov 1040ez form All of your basic pay was tax exempt because it was not U. Irs gov 1040ez form S. Irs gov 1040ez form source income. Irs gov 1040ez form The taxable amount of your annuity using Worksheet A in this publication is $720. Irs gov 1040ez form You are a nonresident alien, so you figure the limited taxable amount of your annuity using Worksheet C as follows. Irs gov 1040ez form Worksheet C. Irs gov 1040ez form Limited Taxable Amount for Nonresident Alien — Example 1 1. Irs gov 1040ez form Enter the otherwise taxable amount of the CSRS or FERS annuity (from line 9 of Worksheet A or from Forms CSA 1099R or CSF 1099R) or TSP distributions (from Form 1099R) 1. Irs gov 1040ez form $ 720 2. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay other than tax-exempt pay for services performed outside the United States 2. Irs gov 1040ez form 0 3. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay for all services 3. Irs gov 1040ez form 100,000 4. Irs gov 1040ez form Divide line 2 by line 3 4. Irs gov 1040ez form 0 5. Irs gov 1040ez form Limited taxable amount. Irs gov 1040ez form Multiply line 1 by line 4. Irs gov 1040ez form Enter this amount on Form 1040NR, line 17b 5. Irs gov 1040ez form 0 Example 2. Irs gov 1040ez form You are a nonresident alien who performed services for the U. Irs gov 1040ez form S. Irs gov 1040ez form Government as a nonresident alien both within the United States and abroad. Irs gov 1040ez form You retired and began to receive a monthly annuity of $240. Irs gov 1040ez form Your total basic pay for your services for the U. Irs gov 1040ez form S. Irs gov 1040ez form Government was $120,000; $40,000 was for work done in the United States and $80,000 was for your work done in a foreign country. Irs gov 1040ez form The part of your total basic pay for your work done in a foreign country was tax exempt because it was not U. Irs gov 1040ez form S. Irs gov 1040ez form source income. Irs gov 1040ez form The taxable amount of your annuity figured using Worksheet A in this publication is $1,980. Irs gov 1040ez form You are a nonresident alien, so you figure the limited taxable amount of your annuity using Worksheet C as follows. Irs gov 1040ez form Worksheet C. Irs gov 1040ez form Limited Taxable Amount for Nonresident Alien — Example 2 1. Irs gov 1040ez form Enter the otherwise taxable amount of the CSRS or FERS annuity (from line 9 of Worksheet A or from Forms CSA 1099R or CSF 1099R) or TSP distributions (from Form 1099R) 1. Irs gov 1040ez form $ 1,980 2. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay other than tax-exempt pay for services performed outside the United States 2. Irs gov 1040ez form 40,000 3. Irs gov 1040ez form Enter the total U. Irs gov 1040ez form S. Irs gov 1040ez form Government basic pay for all services 3. Irs gov 1040ez form 120,000 4. Irs gov 1040ez form Divide line 2 by line 3 4. Irs gov 1040ez form . Irs gov 1040ez form 333 5. Irs gov 1040ez form Limited taxable amount. Irs gov 1040ez form Multiply line 1 by line 4. Irs gov 1040ez form Enter this amount on Form 1040NR, line 17b 5. Irs gov 1040ez form 659 Thrift Savings Plan Generally, all of the money in your TSP account is taxed as ordinary income when you receive it. Irs gov 1040ez form (However, see Roth TSP balance and Uniformed services TSP accounts, next. Irs gov 1040ez form ) This is because neither the contributions to your traditional TSP balance nor its earnings have been included previously in your taxable income. Irs gov 1040ez form The way that you withdraw your account balance determines when you must pay the tax. Irs gov 1040ez form Roth TSP balance. Irs gov 1040ez form   The TSP also offers a Roth TSP option, which allows you to make after-tax contributions into your TSP account. Irs gov 1040ez form This means Roth TSP contributions are included in your income. Irs gov 1040ez form The contribution limits are the same as the traditional TSP. Irs gov 1040ez form You can elect to have part or all of your TSP contributions designated as a Roth TSP. Irs gov 1040ez form Agency contributions will be part of your traditional TSP balance. Irs gov 1040ez form Also, you cannot roll over any portion of your traditional TSP into your Roth TSP. Irs gov 1040ez form   Qualified distributions from your Roth TSP are not included in income. Irs gov 1040ez form This applies to both your cost in the account and income earned on that account. Irs gov 1040ez form A qualified distribution is generally a distribution that is: Made after a 5-tax-year period of participation, and Made on or after the date you reach age 59½, made to a beneficiary or your estate on or after your death, or attributable to your being disabled. Irs gov 1040ez form   For more information, go to the TSP website, www. Irs gov 1040ez form tsp. Irs gov 1040ez form gov, or the TSP Service Office. Irs gov 1040ez form See Publication 575, Pension and Annuity Income, for more information about designated Roth accounts. Irs gov 1040ez form Uniformed services TSP accounts. Irs gov 1040ez form   If you have a uniformed services TSP account that includes contributions from combat zone pay, the distributions attributable to those contributions are tax exempt. Irs gov 1040ez form However, any earnings on those contributions to a traditional TSP balance are subject to tax when they are distributed. Irs gov 1040ez form See Roth TSP balance discussed previously to get more information about Roth contributions. Irs gov 1040ez form The statement you receive from the TSP will separately state the total amount of your distribution and the amount of your taxable distribution for the year. Irs gov 1040ez form You can get more information from the TSP website, www. Irs gov 1040ez form tsp. Irs gov 1040ez form gov, or the TSP Service Office. Irs gov 1040ez form Direct rollover by the TSP. Irs gov 1040ez form   If you ask the TSP to transfer any part of the money in your account, from traditional contributions and its earnings, to a traditional IRA or other qualified retirement plan, the tax on that part is deferred until you receive payments from the traditional IRA or other plan. Irs gov 1040ez form However, see the following Note for a discussion on direct rollovers by the TSP of Roth contributions and its earnings. Irs gov 1040ez form Also, see Rollover Rules , later. Irs gov 1040ez form Direct rollover by the TSP to a Roth IRA. Irs gov 1040ez form   If you ask the TSP to transfer any part of the money in your account, from traditional contributions and its earnings, to a Roth IRA, the amount transferred will be taxed in the current year. Irs gov 1040ez form However, see the following Note for a discussion on direct rollovers by the TSP of Roth contributions and its earnings. Irs gov 1040ez form Also, see Rollovers to Roth IRAs for more information, later. Irs gov 1040ez form Note. Irs gov 1040ez form A direct rollover of your Roth contributions and its earnings (if certain conditions are met, see Roth TSP balance , earlier) in your TSP account to a Roth 401(k), Roth 403(b), Roth 457(b), or Roth IRA are not subject to tax when they are transferred or when you receive payments from those accounts at a later date. Irs gov 1040ez form This is because you already paid tax on those contributions. Irs gov 1040ez form You cannot rollover Roth contributions and its earnings in your TSP account to a traditional IRA. Irs gov 1040ez form TSP annuity. Irs gov 1040ez form   If you ask the TSP to buy an annuity with the money in your account, from traditional contributions and its earnings, the annuity payments are taxed when you receive them. Irs gov 1040ez form The payments are not subject to the additional 10% tax on early distributions, even if you are under age 55 when they begin. Irs gov 1040ez form However, there is no tax on the annuity payments if the annuity is purchased using the money in your account from Roth contributions and its earnings if certain conditions are met. Irs gov 1040ez form See Roth TSP balance , earlier. Irs gov 1040ez form This is because you already paid tax on those contributions. Irs gov 1040ez form Cash withdrawals. Irs gov 1040ez form   If you withdraw any of the money in your TSP account, from traditional contributions and its earnings, it is generally taxed as ordinary income when you receive it unless you roll it over into a traditional IRA or other qualified plan. Irs gov 1040ez form (See Rollover Rules , later. Irs gov 1040ez form ) If you receive your entire TSP account balance in a single tax year, you may be able to use the 10-year tax option to figure your tax. Irs gov 1040ez form See Lump-Sum Distributions in Publication 575 for details. Irs gov 1040ez form However, there is no tax if you withdraw money in your TSP account from Roth contributions and its earnings if certain conditions are met. Irs gov 1040ez form See Roth TSP balance , earlier. Irs gov 1040ez form    To qualify for the 10-year tax option, the plan participant must have been born before January 2, 1936. Irs gov 1040ez form   If you receive a single payment or you choose to receive your account balance in monthly payments over a period of less than 10 years, the TSP generally must withhold 20% for federal income tax. Irs gov 1040ez form If you choose to receive your account balance in monthly payments over a period of 10 or more years or a period based on your life expectancy, the payments are subject to withholding as if you are married with three withholding allowances, unless you submit a withholding certificate. Irs gov 1040ez form See also Withholding from Thrift Savings Plan payments earlier under Tax Withholding and Estimated Tax in Part I. Irs gov 1040ez form However, there is no withholding requirement for amounts withdrawn from your TSP account that is from Roth contributions and its earnings, if certain conditions are met. Irs gov 1040ez form See Roth TSP balance , earlier, for a discussion of those conditions. Irs gov 1040ez form Tax on early distributions. Irs gov 1040ez form   Any money paid to you from your TSP account before you reach age 59½ may be subject to an additional 10% tax on early distributions. Irs gov 1040ez form However, this additional tax does not apply in certain situations, including any of the following. Irs gov 1040ez form You receive the distribution and separate from government service during or after the calendar year in which you reach age 55. Irs gov 1040ez form You choose to receive your account balance in monthly payments based on your life expectancy. Irs gov 1040ez form You are totally and permanently disabled. Irs gov 1040ez form You receive amounts from your Roth contributions since that represents a return of your cost (after-tax money). Irs gov 1040ez form The earnings may be subject to the 10% tax depending on whether you met certain conditions. Irs gov 1040ez form See Roth TSP balance , earlier. Irs gov 1040ez form   For more information, see Tax on Early Distributions in Publication 575. Irs gov 1040ez form Outstanding loan. Irs gov 1040ez form   If the TSP declares a distribution from your account because money you borrowed has not been repaid when you separate from government service, your account is reduced and the amount of the distribution (your unpaid loan balance and any unpaid interest), from traditional contributions and its earnings, is taxed in the year declared. Irs gov 1040ez form The distribution also may be subject to the additional 10% tax on early distributions. Irs gov 1040ez form However, the tax will be deferred if you make a rollover contribution to a traditional IRA or other qualified plan equal to the declared distribution amount. Irs gov 1040ez form See Rollover Rules , later. Irs gov 1040ez form   If you withdraw any money from your TSP account in that same year, the TSP must withhold income tax of 20% of the total of the declared distribution and the amount withdrawn. Irs gov 1040ez form However, no withholding is required for portions of the distribution that is from Roth contributions and its earnings, if certain conditions are met. Irs gov 1040ez form See Roth TSP balance , earlier. Irs gov 1040ez form More information. Irs gov 1040ez form   For more information about the TSP, see Summary of the Thrift Savings Plan, distributed to all federal employees. Irs gov 1040ez form Also, see Important Tax Information About Payments From Your TSP Account and Special Tax Withholding Rules for Thrift Savings Plan Payments to Nonresident Aliens, which are available from your agency personnel office or from the TSP by calling 1-TSP-YOU-FIRST (1-877-968-3778) and for participants who are deaf, hard of hearing, or have a speech disability, call 1-TSP-THRIFT5 (1-877-847-4385). Irs gov 1040ez form    The above documents are also available on the TSP website at www. Irs gov 1040ez form tsp. Irs gov 1040ez form gov. Irs gov 1040ez form Select “Forms & Publications. Irs gov 1040ez form ” Rollover Rules Generally, a rollover is a tax-free withdrawal of cash or other assets from one qualified retirement plan or traditional IRA and its reinvestment in another qualified retirement plan or traditional IRA. Irs gov 1040ez form You do not include the amount rolled over in your income, and you cannot take a deduction for it. Irs gov 1040ez form The amount rolled over is taxed later as the new program pays that amount to you. Irs gov 1040ez form If you roll over amounts into a traditional IRA, later distributions of these amounts from the traditional IRA do not qualify for the capital gain or the 10-year tax option. Irs gov 1040ez form However, capital gain treatment or the 10-year tax option will be restored if the traditional IRA contains only amounts rolled over from a qualified plan and these amounts are rolled over from the traditional IRA into a qualified retirement plan. Irs gov 1040ez form To qualify for the capital gain treatment or 10-year tax option, the plan participant must have been born before January 2, 1936. Irs gov 1040ez form You can also roll over a distribution from a qualified retirement plan into a Roth IRA. Irs gov 1040ez form Although the transfer of a distribution into a Roth IRA is considered a rollover for Roth IRA purposes, it is not a tax-free transfer unless you are rolling over amounts from Roth contributions and its earnings. Irs gov 1040ez form See Rollovers to Roth IRAs , later, for more information. Irs gov 1040ez form Qualified retirement plan. Irs gov 1040ez form   For this purpose, a qualified retirement plan generally is: A qualified employee plan, A qualified employee annuity, A tax-sheltered annuity plan (403(b) plan), or An eligible state or local government section 457 deferred compensation plan. Irs gov 1040ez form The CSRS, FERS, and TSP are considered qualified retirement plans. Irs gov 1040ez form Distributions eligible for rollover treatment. Irs gov 1040ez form   If you receive a refund of your CSRS or FERS contributions when you leave government service, you can roll over any interest you receive on the contributions. Irs gov 1040ez form You cannot roll over any part of your CSRS or FERS annuity payments. Irs gov 1040ez form   You can roll over a distribution of any part of your TSP account balance except: A distribution of your account balance that you choose to receive in monthly payments over: Your life expectancy, The joint life expectancies of you and your beneficiary, or A period of 10 years or more, A required minimum distribution generally beginning at age 70½, A declared distribution because of an unrepaid loan, if you have not separated from government service (see Outstanding loan under Thrift Savings Plan, earlier), or A hardship distribution. Irs gov 1040ez form   In addition, a distribution to your beneficiary generally is not treated as an eligible rollover distribution. Irs gov 1040ez form However, see Qualified domestic relations order (QDRO) and Rollovers by surviving spouse , and Rollovers by nonspouse beneficiary , later. Irs gov 1040ez form Direct rollover option. Irs gov 1040ez form   You can choose to have the OPM or TSP transfer any part of an eligible rollover distribution directly to another qualified retirement plan that accepts rollover distributions or to a traditional IRA or Roth IRA. Irs gov 1040ez form   There is an automatic rollover requirement for mandatory distributions. Irs gov 1040ez form A mandatory distribution is a distribution made without your consent and before you reach age 62 or normal retirement age, whichever is later. Irs gov 1040ez form The automatic rollover requirement applies if the distribution is more than $1,000 and is an eligible rollover distribution. Irs gov 1040ez form You can choose to have the distribution paid directly to you or rolled over directly to your traditional or Roth IRA or another qualified retirement plan. Irs gov 1040ez form If you do not make this choice, OPM will automatically roll over the distribution into an IRA of a designated trustee or issuer. Irs gov 1040ez form No tax withheld. Irs gov 1040ez form   If you choose the direct rollover option or have an automatic rollover, no tax will be withheld from any part of the distribution that is directly paid to the trustee of the other plan. Irs gov 1040ez form However, if the rollover is to a Roth IRA, you may want to choose to have tax withheld since any amount rolled over is generally included in income. Irs gov 1040ez form Any part of the eligible rollover distribution paid to you is subject to withholding at a 20% rate. Irs gov 1040ez form Direct roll over amounts from Roth contributions and its earnings do not have tax withheld because you already paid tax on those amounts. Irs gov 1040ez form Payment to you option. Irs gov 1040ez form   If an eligible rollover distribution is paid to you, the OPM or TSP must withhold 20% for income tax even if you plan to roll over the distribution to another qualified retirement plan, traditional or Roth IRA. Irs gov 1040ez form However, the full amount is treated as distributed to you even though you actually receive only 80%. Irs gov 1040ez form You generally must include in income any part (including the part withheld) that you do not roll over within 60 days to another qualified retirement plan or to a traditional IRA. Irs gov 1040ez form Rollovers to Roth IRAs are generally included in income. Irs gov 1040ez form Eligible rollover distributions that are from Roth contributions do not have tax withheld because you already paid tax on those amounts. Irs gov 1040ez form If you leave government service before the calendar year in which you reach age 55 and are under age 59½ when a distribution is paid to you, you may have to pay an additional 10% tax on any part, including any tax withheld, that you do not roll over. Irs gov 1040ez form However, distributions from Roth contributions will not be subject to the 10% additional tax because it is a return of your cost (after-tax money). Irs gov 1040ez form Earnings from those contributions may be subject to the 10% additional tax if certain conditions are not met. Irs gov 1040ez form See Roth TSP balance , earlier. Irs gov 1040ez form Also, see Tax on Early Distributions in Publication 575. Irs gov 1040ez form Exception to withholding. Irs gov 1040ez form   Withholding from an eligible rollover distribution paid to you is not required if the distributions for your tax year total less than $200. Irs gov 1040ez form Partial rollovers. Irs gov 1040ez form   A lump-sum distribution may qualify for capital gain treatment or the 10-year tax option if the plan participant was born before January 2, 1936. Irs gov 1040ez form See Lump-Sum Distributions in Publication 575. Irs gov 1040ez form However, if you roll over any part of the distribution, the part you keep does not qualify for this special tax treatment. Irs gov 1040ez form Rolling over more than amount received. Irs gov 1040ez form   If you want to roll over more of an eligible rollover distribution than the amount you received after income tax was withheld, you will have to add funds from some other source (such as your savings or borrowed amounts). Irs gov 1040ez form Example. Irs gov 1040ez form You left government service at age 53. Irs gov 1040ez form On February 1, 2013, you receive an eligible rollover distribution of $10,000 from you