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

Late Tax

Tax Planning Us 1040Filing 1040xE-file State Tax For FreeCan I File My 2011 Taxes On TurbotaxState Income TaxesIrs Form 1040x Amended Tax ReturnFile Taxes For 2010Irs 1040nrHr Block 2011 TaxesI Want To File My 2012 TaxesIrs Efile 20112012 Income Tax Forms 1040ezFree E File Taxes 2012Can You E File A 1040xFile Taxes Online Free 2011Vita TaxHow To File 1040x FormFree E File 2013 TaxesFree H&r Block MilitaryIncome Tax Preparation2010 E FileFull Time StudentHow Do You File An Amended Tax ReturnHow To File State Taxes OnlyH&r Block Free Tax PreperationHow Do You Fill Out A 1040x FormHow To File State Income Tax For Free1040ez 2014 Form2010 Form 1040H&r Block At Home MilitaryIrs Gov Freefile State TaxesWhere Can I File My State Taxes Online For FreeWhich Tax Form 2012 Best Use 27000$ YearAmended 1040x Instructions2012 Tax Preparation2012 Tax Forms 1040ezFree Tax Preparation OnlineIrs Forms 1040ez 2011Free State Tax EfilingHow Do I File An Amended Return

Late Tax

Late tax Publication 939 - Main Content Table of Contents General Information Taxation of Periodic PaymentsInvestment in the Contract Expected Return Computation Under the General Rule How To Use Actuarial TablesUnisex Annuity Tables Special Elections Worksheets for Determining Taxable Annuity Actuarial Tables Requesting a Ruling on Taxation of Annuity How To Get Tax HelpLow Income Taxpayer Clinics General Information Some of the terms used in this publication are defined in the following paragraphs. Late tax A pension is generally a series of payments made to you after you retire from work. Late tax Pension payments are made regularly and are for past services with an employer. Late tax An annuity is a series of payments under a contract. Late tax You can buy the contract alone or you can buy it with the help of your employer. Late tax Annuity payments are made regularly for more than one full year. Late tax Note. Late tax Distributions from pensions and annuities follow the same rules as outlined in this publication unless otherwise noted. Late tax Types of pensions and annuities. Late tax   Particular types of pensions and annuities include: Fixed period annuities. Late tax You receive definite amounts at regular intervals for a definite length of time. Late tax Annuities for a single life. Late tax You receive definite amounts at regular intervals for life. Late tax The payments end at death. Late tax Joint and survivor annuities. Late tax The first annuitant receives a definite amount at regular intervals for life. Late tax After he or she dies, a second annuitant receives a definite amount at regular intervals for life. Late tax The amount paid to the second annuitant may or may not differ from the amount paid to the first annuitant. Late tax Variable annuities. Late tax You receive payments that may vary in amount for a definite length of time or for life. Late tax The amounts you receive may depend upon such variables as profits earned by the pension or annuity funds or cost-of-living indexes. Late tax Disability pensions. Late tax You are under minimum retirement age and receive payments because you retired on disability. Late tax If, at the time of your retirement, you were permanently and totally disabled, you may be eligible for the credit for the elderly or the disabled discussed in Publication 524. Late tax If your annuity starting date is after November 18, 1996, the General Rule cannot be used for the following qualified plans. Late tax A qualified employee plan is an employer's stock bonus, pension, or profit-sharing plan that is for the exclusive benefit of employees or their beneficiaries. Late tax This plan must meet Internal Revenue Code requirements. Late tax It qualifies for special tax benefits, including tax deferral for employer contributions and rollover distributions. Late tax However, you must use the General Rule if you were 75 or over and the annuity payments are guaranteed for more than 5 years. Late tax A qualified employee annuity is a retirement annuity purchased by an employer for an employee under a plan that meets Internal Revenue Code requirements. Late tax A tax-sheltered annuity is a special annuity plan or contract purchased for an employee of a public school or tax-exempt organization. Late tax   The General Rule is used to figure the tax treatment of various types of pensions and annuities, including nonqualified employee plans. Late tax A nonqualified employee plan is an employer's plan that does not meet Internal Revenue Code requirements. Late tax It does not qualify for most of the tax benefits of a qualified plan. Late tax Annuity worksheets. Late tax   The worksheets found near the end of the text of this publication may be useful to you in figuring the taxable part of your annuity. Late tax Request for a ruling. Late tax   If you are unable to determine the income tax treatment of your pension or annuity, you may ask the Internal Revenue Service to figure the taxable part of your annuity payments. Late tax This is treated as a request for a ruling. Late tax See Requesting a Ruling on Taxation of Annuity near the end of this publication. Late tax Withholding tax and estimated tax. Late tax   Your pension or annuity is subject to federal income tax withholding unless you choose not to have tax withheld. Late tax If you choose not to have tax withheld from your pension or annuity, or if you do not have enough income tax withheld, you may have to make estimated tax payments. Late tax Taxation of Periodic Payments This section explains how the periodic payments you receive under a pension or annuity plan are taxed under the General Rule. Late tax Periodic payments are amounts paid at regular intervals (such as weekly, monthly, or yearly) for a period of time greater than one year (such as for 15 years or for life). Late tax These payments are also known as amounts received as an annuity. Late tax If you receive an amount from your plan that is a nonperiodic payment (amount not received as an annuity), see Taxation of Nonperiodic Payments in Publication 575. Late tax In general, you can recover your net cost of the pension or annuity tax free over the period you are to receive the payments. Late tax The amount of each payment that is more than the part that represents your net cost is taxable. Late tax Under the General Rule, the part of each annuity payment that represents your net cost is in the same proportion that your investment in the contract is to your expected return. Late tax These terms are explained in the following discussions. Late tax Investment in the Contract In figuring how much of your pension or annuity is taxable under the General Rule, you must figure your investment in the contract. Late tax First, find your net cost of the contract as of the annuity starting date (defined later). Late tax To find this amount, you must first figure the total premiums, contributions, or other amounts paid. Late tax This includes the amounts your employer contributed if you were required to include these amounts in income. Late tax It also includes amounts you actually contributed (except amounts for health and accident benefits and deductible voluntary employee contributions). Late tax From this total cost you subtract: Any refunded premiums, rebates, dividends, or unrepaid loans (any of which were not included in your income) that you received by the later of the annuity starting date or the date on which you received your first payment. Late tax Any additional premiums paid for double indemnity or disability benefits. Late tax Any other tax-free amounts you received under the contract or plan before the later of the dates in (1). Late tax The annuity starting date   is the later of the first day of the first period for which you receive payment under the contract or the date on which the obligation under the contract becomes fixed. Late tax Example. Late tax On January 1 you completed all your payments required under an annuity contract providing for monthly payments starting on August 1, for the period beginning July 1. Late tax The annuity starting date is July 1. Late tax This is the date you use in figuring your investment in the contract and your expected return (discussed later). Late tax Adjustments If any of the following items apply, adjust (add or subtract) your total cost to find your net cost. Late tax Foreign employment. Late tax   If you worked abroad, your cost may include contributions by your employer to the retirement plan, but only if those contributions would be excludible from your gross income had they been paid directly to you as compensation. Late tax The contributions that apply are: Contributions before 1963 by your employer, Contributions after 1962 by your employer if the contributions would be excludible from your gross income (without regard to the foreign earned income exclusion) had they been paid directly to you, or Contributions after 1996 by your employer on your behalf if you performed the services of a foreign missionary (a duly ordained, commissioned, or licensed minister of a church or a lay person) if the contributions would be excludible from your gross income had they been paid directly to you. Late tax Foreign employment contributions while a nonresident alien. Late tax   In determining your cost, special rules apply if you are a U. Late tax S. Late tax citizen or resident alien who received distributions from a plan to which contributions were made while you were a nonresident alien. Late tax Your contributions and your employer's contributions are not included in your cost if the contributions: Were made based on compensation which was for services performed outside the United States which you were a nonresident alien, and Were not subject to income tax under the laws of the United States or any foreign country, but only if the contribution would have been subject to income tax if they had been paid as cash compensation when the services were performed. Late tax Death benefit exclusion. Late tax   If you are the beneficiary of a deceased employee (or former employee), who died before August 21, 1996, you may qualify for a death benefit exclusion of up to $5,000. Late tax The beneficiary of a deceased employee who died after August 20, 1996, will not qualify for the death benefit exclusion. Late tax How to adjust your total cost. Late tax   If you are eligible, treat the amount of any allowable death benefit exclusion as additional cost paid by the employee. Late tax Add it to the cost or unrecovered cost of the annuity at the annuity starting date. Late tax See Example 3 under Computation Under General Rule for an illustration of the adjustment to the cost of the contract. Late tax Net cost. Late tax   Your total cost plus certain adjustments and minus other amounts already recovered before the annuity starting date is your net cost. Late tax This is the unrecovered investment in the contract as of the annuity starting date. Late tax If your annuity starting date is after 1986, this is the maximum amount that you may recover tax free under the contract. Late tax Refund feature. Late tax   Adjustment for the value of the refund feature is only applicable when you report your pension or annuity under the General Rule. Late tax Your annuity contract has a refund feature if: The expected return ( discussed later) of an annuity depends entirely or partly on the life of one or more individuals, The contract provides that payments will be made to a beneficiary or the estate of an annuitant on or after the death of the annuitant if a stated amount or a stated number of payments has not been paid to the annuitant or annuitants before death, and The payments are a refund of the amount you paid for the annuity contract. Late tax   If your annuity has a refund feature, you must reduce your net cost of the contract by the value of the refund feature (figured using Table III or VII at the end of this publication, also see How To Use Actuarial Tables , later) to find the investment in the contract. Late tax Zero value of refund feature. Late tax   For a joint and survivor annuity, the value of the refund feature is zero if: Both annuitants are age 74 or younger, The payments are guaranteed for less than 2½ years, and The survivor's annuity is at least 50% of the first annuitant's annuity. Late tax   For a single-life annuity without survivor benefit, the value of the refund feature is zero if: The payments are guaranteed for less than 2½ years, and The annuitant is: Age 57 or younger (if using the new (unisex) annuity tables), Age 42 or younger (if male and using the old annuity tables), or Age 47 or younger (if female and using the old annuity tables). Late tax   If you do not meet these requirements, you will have to figure the value of the refund feature, as explained in the following discussion. Late tax Examples. Late tax The first example shows how to figure the value of the refund feature when there is only one beneficiary. Late tax Example 2 shows how to figure the value of the refund feature when the contract provides, in addition to a whole life annuity, one or more temporary life annuities for the lives of children. Late tax In both examples, the taxpayer elects to use Tables V through VIII. Late tax If you need the value of the refund feature for a joint and survivor annuity, write to the Internal Revenue Service as explained under Requesting a Ruling on Taxation of Annuity near the end of this publication. Late tax Example 1. Late tax At age 65, Barbara bought for $21,053 an annuity with a refund feature. Late tax She will get $100 a month for life. Late tax Barbara's contract provides that if she does not live long enough to recover the full $21,053, similar payments will be made to her surviving beneficiary until a total of $21,053 has been paid under the contract. Late tax In this case, the contract cost and the total guaranteed return are the same ($21,053). Late tax Barbara's investment in the contract is figured as follows: Net cost $21,053 Amount to be received annually $1,200   Number of years for which payment is guaranteed ($21,053 divided by $1,200) 17. Late tax 54   Rounded to nearest whole number of years 18   Percentage from Actuarial Table VII for age 65 with 18 years of guaranteed payments 15%   Value of the refund feature (rounded to the nearest dollar)—15% of $21,053 3,158 Investment in the contract, adjusted for value of refund feature $17,895       If the total guaranteed return were less than the $21,053 net cost of the contract, Barbara would apply the appropriate percentage from the tables to the lesser amount. Late tax For example, if the contract guaranteed the $100 monthly payments for 17 years to Barbara's estate or beneficiary if she were to die before receiving all the payments for that period, the total guaranteed return would be $20,400 ($100 × 12 × 17 years). Late tax In this case, the value of the refund feature would be $2,856 (14% of $20,400) and Barbara's investment in the contract would be $18,197 ($21,053 minus $2,856) instead of $17,895. Late tax Example 2. Late tax John died while still employed. Late tax His widow, Eleanor, age 48, receives $171 a month for the rest of her life. Late tax John's son, Elmer, age 9, receives $50 a month until he reaches age 18. Late tax John's contributions to the retirement fund totaled $7,559. Late tax 45, with interest on those contributions of $1,602. Late tax 53. Late tax The guarantee or total refund feature of the contract is $9,161. Late tax 98 ($7,559. Late tax 45 plus $1,602. Late tax 53). Late tax The adjustment in the investment in the contract is figured as follows: A) Expected return:*       1) Widow's expected return:         Annual annuity ($171 × 12) $2,052       Multiplied by factor from Table V         (nearest age 48) 34. Late tax 9 $71,614. Late tax 80   2) Child's expected return:         Annual annuity ($50 × 12) $600       Multiplied by factor from         Table VIII (nearest age 9         for term of 9 years) 9. Late tax 0 5,400. Late tax 00   3) Total expected return   $77,014. Late tax 80 B) Adjustment for refund feature:       1) Contributions (net cost) $7,559. Late tax 45   2) Guaranteed amount (contributions of $7,559. Late tax 45 plus interest of $1,602. Late tax 53) $9,161. Late tax 98   3) Minus: Expected return under child's (temporary life) annuity (A(2)) 5,400. Late tax 00   4) Net guaranteed amount $3,761. Late tax 98   5) Multiple from Table VII (nearest age 48 for 2 years duration (recovery of $3,761. Late tax 98 at $171 a month to nearest whole year)) 0%   6) Adjustment required for value of refund feature rounded to the nearest whole dollar  (0% × $3,761. Late tax 98, the smaller of B(3) or B(6)) 0 *Expected return is the total amount you and other eligible annuitants can expect to receive under the contract. Late tax See the discussion of expected return, later in this publication. Late tax Free IRS help. Late tax   If you need to request assistance to figure the value of the refund feature, see Requesting a Ruling on Taxation of Annuity near the end of this publication. Late tax Expected Return Your expected return is the total amount you and other eligible annuitants can expect to receive under the contract. Late tax The following discussions explain how to figure the expected return with each type of annuity. Late tax A person's age, for purposes of figuring the expected return, is the age at the birthday nearest to the annuity starting date. Late tax Fixed period annuity. Late tax   If you will get annuity payments for a fixed number of years, without regard to your life expectancy, you must figure your expected return based on that fixed number of years. Late tax It is the total amount you will get beginning at the annuity starting date. Late tax You will receive specific periodic payments for a definite period of time, such as a fixed number of months (but not less than 13). Late tax To figure your expected return, multiply the fixed number of months for which payments are to be made by the amount of the payment specified for each period. Late tax Single life annuity. Late tax   If you are to get annuity payments for the rest of your life, find your expected return as follows. Late tax You must multiply the amount of the annual payment by a multiple based on your life expectancy as of the annuity starting date. Late tax These multiples are set out in actuarial Tables I and V near the end of this publication (see How To Use Actuarial Tables , later). Late tax   You may need to adjust these multiples if the payments are made quarterly, semiannually, or annually. Late tax See Adjustments to Tables I, II, V, VI, and VIA following Table I. Late tax Example. Late tax Henry bought an annuity contract that will give him an annuity of $500 a month for his life. Late tax If at the annuity starting date Henry's nearest birthday is 66, the expected return is figured as follows: Annual payment ($500 × 12 months) $6,000 Multiple shown in Table V, age 66 × 19. Late tax 2 Expected return $115,200 If the payments were to be made to Henry quarterly and the first payment was made one full month after the annuity starting date, Henry would adjust the 19. Late tax 2 multiple by +. Late tax 1. Late tax His expected return would then be $115,800 ($6,000 × 19. Late tax 3). Late tax Annuity for shorter of life or specified period. Late tax   With this type of annuity, you are to get annuity payments either for the rest of your life or until the end of a specified period, whichever period is shorter. Late tax To figure your expected return, multiply the amount of your annual payment by a multiple in Table IV or VIII for temporary life annuities. Late tax Find the proper multiple based on your sex (if using Table IV), your age at the annuity starting date, and the nearest whole number of years in the specified period. Late tax Example. Late tax Harriet purchased an annuity this year that will pay her $200 each month for five years or until she dies, whichever period is shorter. Late tax She was age 65 at her birthday nearest the annuity starting date. Late tax She figures the expected return as follows: Annual payment ($200 × 12 months) $2,400 Multiple shown in Table VIII, age 65, 5-year term × 4. Late tax 9 Expected return $11,760 She uses Table VIII (not Table IV) because all her contributions were made after June 30, 1986. Late tax See Special Elections, later. Late tax Joint and survivor annuities. Late tax   If you have an annuity that pays you a periodic income for life and after your death provides an identical lifetime periodic income to your spouse (or some other person), you figure the expected return based on your combined life expectancies. Late tax To figure the expected return, multiply the annual payment by a multiple in Table II or VI based on your joint life expectancies. Late tax If your payments are made quarterly, semiannually, or annually, you may need to adjust these multiples. Late tax See Adjustments to Tables I, II, V, VI, and VIA following Table I near the end of this publication. Late tax Example. Late tax John bought a joint and survivor annuity providing payments of $500 a month for his life, and, after his death, $500 a month for the remainder of his wife's life. Late tax At John's annuity starting date, his age at his nearest birthday is 70 and his wife's at her nearest birthday is 67. Late tax The expected return is figured as follows: Annual payment ($500 × 12 months) $6,000 Multiple shown in Table VI, ages 67 and 70 × 22. Late tax 0 Expected return $132,000 Different payments to survivor. Late tax   If your contract provides that payments to a survivor annuitant will be different from the amount you receive, you must use a computation which accounts for both the joint lives of the annuitants and the life of the survivor. Late tax Example 1. Late tax Gerald bought a contract providing for payments to him of $500 a month for life and, after his death, payments to his wife, Mary, of $350 a month for life. Late tax If, at the annuity starting date, Gerald's nearest birthday is 70 and Mary's is 67, the expected return under the contract is figured as follows: Combined multiple for Gerald and Mary, ages 70 and 67 (from Table VI)   22. Late tax 0 Multiple for Gerald, age 70 (from Table V)   16. Late tax 0 Difference: Multiple applicable to Mary   6. Late tax 0 Gerald's annual payment ($500 × 12) $6,000   Gerald's multiple 16. Late tax 0   Gerald's expected return   $96,000 Mary's annual payment ($350 × 12) $4,200   Mary's multiple 6. Late tax 0   Mary's expected return   25,200 Total expected return under the contract   $121,200 Example 2. Late tax Your husband died while still employed. Late tax Under the terms of his employer's retirement plan, you are entitled to get an immediate annuity of $400 a month for the rest of your life or until you remarry. Late tax Your daughters, Marie and Jean, are each entitled to immediate temporary life annuities of $150 a month until they reach age 18. Late tax You were 50 years old at the annuity starting date. Late tax Marie was 16 and Jean was 14. Late tax Using the multiples shown in Tables V and VIII at the end of this publication, the total expected return on the annuity starting date is $169,680, figured as follows: Widow, age 50 (multiple from Table V—33. Late tax 1 × $4,800 annual payment) $158,880 Marie, age 16 for 2 years duration (multiple from Table VIII—2. Late tax 0 × $1,800 annual payment) 3,600 Jean, age 14 for 4 years duration (multiple from Table VIII—4. Late tax 0 × $1,800 annual payment) 7,200 Total expected return $169,680 No computation of expected return is made based on your husband's age at the date of death because he died before the annuity starting date. Late tax Computation Under the General Rule Note. Late tax Variable annuities use a different computation for determining the exclusion amounts. Late tax See Variable annuities later. Late tax Under the General Rule, you figure the taxable part of your annuity by using the following steps: Step 1. Late tax   Figure the amount of your investment in the contract, including any adjustments for the refund feature and the death benefit exclusion, if applicable. Late tax See Death benefit exclusion , earlier. Late tax Step 2. Late tax   Figure your expected return. Late tax Step 3. Late tax   Divide Step 1 by Step 2 and round to three decimal places. Late tax This will give you the exclusion percentage. Late tax Step 4. Late tax   Multiply the exclusion percentage by the first regular periodic payment. Late tax The result is the tax-free part of each pension or annuity payment. Late tax   The tax-free part remains the same even if the total payment increases due to variation in the annuity amount such as cost of living increases, or you outlive the life expectancy factor used. Late tax However, if your annuity starting date is after 1986, the total amount of annuity income that is tax free over the years cannot exceed your net cost. Late tax   Each annuitant applies the same exclusion percentage to his or her initial payment called for in the contract. Late tax Step 5. Late tax   Multiply the tax-free part of each payment (step 4) by the number of payments received during the year. Late tax This will give you the tax-free part of the total payment for the year. Late tax    In the first year of your annuity, your first payment or part of your first payment may be for a fraction of the payment period. Late tax This fractional amount is multiplied by your exclusion percentage to get the tax-free part. Late tax Step 6. Late tax   Subtract the tax-free part from the total payment you received. Late tax The rest is the taxable part of your pension or annuity. Late tax Example 1. Late tax You purchased an annuity with an investment in the contract of $10,800. Late tax Under its terms, the annuity will pay you $100 a month for life. Late tax The multiple for your age (age 65) is 20. Late tax 0 as shown in Table V. Late tax Your expected return is $24,000 (20 × 12 × $100). Late tax Your cost of $10,800, divided by your expected return of $24,000, equals 45. Late tax 0%. Late tax This is the percentage you will not have to include in income. Late tax Each year, until your net cost is recovered, $540 (45% of $1,200) will be tax free and you will include $660 ($1,200 − $540) in your income. Late tax If you had received only six payments of $100 ($600) during the year, your exclusion would have been $270 (45% of $100 × 6 payments). Late tax Example 2. Late tax Gerald bought a joint and survivor annuity. Late tax Gerald's investment in the contract is $62,712 and the expected return is $121,200. Late tax The exclusion percentage is 51. Late tax 7% ($62,712 ÷ $121,200). Late tax Gerald will receive $500 a month ($6,000 a year). Late tax Each year, until his net cost is recovered, $3,102 (51. Late tax 7% of his total payments received of $6,000) will be tax free and $2,898 ($6,000 − $3,102) will be included in his income. Late tax If Gerald dies, his wife will receive $350 a month ($4,200 a year). Late tax If Gerald had not recovered all of his net cost before his death, his wife will use the same exclusion percentage (51. Late tax 7%). Late tax Each year, until the entire net cost is recovered, his wife will receive $2,171. Late tax 40 (51. Late tax 7% of her payments received of $4,200) tax free. Late tax She will include $2,028. Late tax 60 ($4,200 − $2,171. Late tax 40) in her income tax return. Late tax Example 3. Late tax Using the same facts as Example 2 under Different payments to survivor, you are to receive an annual annuity of $4,800 until you die or remarry. Late tax Your two daughters each receive annual annuities of $1,800 until they reach age 18. Late tax Your husband contributed $25,576 to the plan. Late tax You are eligible for the $5,000 death benefit exclusion because your husband died before August 21, 1996. Late tax Adjusted Investment in the Contract Contributions $25,576 Plus: Death benefit exclusion 5,000 Adjusted investment in the contract $30,576 The total expected return, as previously figured (in Example 2 under Different payments to survivor), is $169,680. Late tax The exclusion percentage of 18. Late tax 0% ($30,576 ÷ $169,680) applies to the annuity payments you and each of your daughters receive. Late tax Each full year $864 (18. Late tax 0% × $4,800) will be tax free to you, and you must include $3,936 in your income tax return. Late tax Each year, until age 18, $324 (18. Late tax 0% × $1,800) of each of your daughters' payments will be tax free and each must include the balance, $1,476, as income on her own income tax return. Late tax Part-year payments. Late tax   If you receive payments for only part of a year, apply the exclusion percentage to the first regular periodic payment, and multiply the result by the number of payments received during the year. Late tax   If you receive amounts during the year that represent 12 payments, one for each month in that year, and an amount that represents payments for months in a prior year, apply the exclusion percentage to the first regular periodic payment, and multiply the result by the number of payments the amounts received represent. Late tax For instance, if you received amounts during the year that represent the 12 payments for that year plus an amount that represents three payments for a prior year, multiply that amount by the 15 (12 + 3) payments received that the year. Late tax   If you received a fractional payment, follow Step 5, discussed earlier. Late tax This gives you the tax-free part of your total payment. Late tax Example. Late tax On September 28, Mary bought an annuity contract for $22,050 that will give her $125 a month for life, beginning October 30. Late tax The applicable multiple from Table V is 23. Late tax 3 (age 61). Late tax Her expected return is $34,950 ($125 × 12 × 23. Late tax 3). Late tax Mary's investment in the contract of $22,050, divided by her expected return of $34,950, equals 63. Late tax 1%. Late tax Each payment received will consist of 63. Late tax 1% return of cost and 36. Late tax 9% taxable income, until her net cost of the contract is fully recovered. Late tax During the first year, Mary received three payments of $125, or $375, of which $236. Late tax 63 (63. Late tax 1% × $375) is a return of cost. Late tax The remaining $138. Late tax 37 is included in income. Late tax Increase in annuity payments. Late tax   The tax-free amount remains the same as the amount figured at the annuity starting date, even if the payment increases. Late tax All increases in the installment payments are fully taxable. Late tax   However, if your annuity payments are scheduled to increase at a definite date in the future you must figure the expected return for that annuity using the method described in section 1. Late tax 72-5(a)(5) of the regulations. Late tax Example. Late tax Joe's wife died while she was still employed and, as her beneficiary, he began receiving an annuity of $147 per month. Late tax In figuring the taxable part, Joe elects to use Tables V through VIII. Late tax The cost of the contract was $7,938, consisting of the sum of his wife's net contributions, adjusted for any refund feature. Late tax His expected return as of the annuity starting date is $35,280 (age 65, multiple of 20. Late tax 0 × $1,764 annual payment). Late tax The exclusion percentage is $7,938 ÷ $35,280, or 22. Late tax 5%. Late tax During the year he received 11 monthly payments of $147, or $1,617. Late tax Of this amount, 22. Late tax 5% × $147 × 11 ($363. Late tax 83) is tax free as a return of cost and the balance of $1,253. Late tax 17 is taxable. Late tax Later, because of a cost-of-living increase, his annuity payment was increased to $166 per month, or $1,992 a year (12 × $166). Late tax The tax-free part is still only 22. Late tax 5% of the annuity payments as of the annuity starting date (22. Late tax 5% × $147 × 12 = $396. Late tax 90 for a full year). Late tax The increase of $228 ($1,992 − $1,764 (12 × $147)) is fully taxable. Late tax Variable annuities. Late tax   For variable annuity payments, figure the amount of each payment that is tax free by dividing your investment in the contract (adjusted for any refund feature) by the total number of periodic payments you expect to get under the contract. Late tax   If the annuity is for a definite period, you determine the total number of payments by multiplying the number of payments to be made each year by the number of years you will receive payments. Late tax If the annuity is for life, you determine the total number of payments by using a multiple from the appropriate actuarial table. Late tax Example. Late tax Frank purchased a variable annuity at age 65. Late tax The total cost of the contract was $12,000. Late tax The annuity starting date is January 1 of the year of purchase. Late tax His annuity will be paid, starting July 1, in variable annual installments for his life. Late tax The tax-free amount of each payment, until he has recovered his cost of his contract, is: Investment in the contract $12,000 Number of expected annual payments (multiple for age 65 from Table V) 20 Tax-free amount of each payment ($12,000 ÷ 20) $600 If Frank's first payment is $920, he includes only $320 ($920 − $600) in his gross income. Late tax   If the tax-free amount for a year is more than the payments you receive in that year, you may choose, when you receive the next payment, to refigure the tax-free part. Late tax Divide the amount of the periodic tax-free part that is more than the payment you received by the remaining number of payments you expect. Late tax The result is added to the previously figured periodic tax-free part. Late tax The sum is the amount of each future payment that will be tax free. Late tax Example. Late tax Using the facts of the previous example about Frank, assume that after Frank's $920 payment, he received $500 in the following year, and $1,200 in the year after that. Late tax Frank does not pay tax on the $500 (second year) payment because $600 of each annual pension payment is tax free. Late tax Since the $500 payment is less than the $600 annual tax-free amount, he may choose to refigure his tax-free part when he receives his $1,200 (third year) payment, as follows: Amount tax free in second year $600. Late tax 00 Amount received in second year 500. Late tax 00 Difference $100. Late tax 00 Number of remaining payments after the first 2 payments (age 67, from Table V) 18. Late tax 4 Amount to be added to previously determined annual tax-free part ($100 ÷ 18. Late tax 4) $5. Late tax 43 Revised annual tax-free part for third and later years ($600 + $5. Late tax 43) $605. Late tax 43 Amount taxable in third year ($1,200 − $605. Late tax 43) $594. Late tax 57 If you choose to refigure your tax-free amount,   you must file a statement with your income tax return stating that you are refiguring the tax-free amount in accordance with the rules of section 1. Late tax 72–4(d)(3) of the Income Tax Regulations. Late tax The statement must also show the following information: The annuity starting date and your age on that date. Late tax The first day of the first period for which you received an annuity payment in the current year. Late tax Your investment in the contract as originally figured. Late tax The total of all amounts received tax free under the annuity from the annuity starting date through the first day of the first period for which you received an annuity payment in the current tax year. Late tax Exclusion Limits Your annuity starting date determines the total amount of annuity income that you can exclude from income over the years. Late tax Exclusion limited to net cost. Late tax   If your annuity starting date is after 1986, the total amount of annuity income that you can exclude over the years as a return of your cost cannot exceed your net cost (figured without any reduction for a refund feature). Late tax This is the unrecovered investment in the contract as of the annuity starting date. Late tax   If your annuity starting date is after July 1, 1986, any unrecovered net cost at your (or last annuitant's) death is allowed as a miscellaneous itemized deduction on the final return of the decedent. Late tax This deduction is not subject to the 2%-of-adjusted-gross-income limit. Late tax Example 1. Late tax Your annuity starting date is after 1986. Late tax Your total cost is $12,500, and your net cost is $10,000, taking into account certain adjustments. Late tax There is no refund feature. Late tax Your monthly annuity payment is $833. Late tax 33. Late tax Your exclusion ratio is 12% and you exclude $100 a month. Late tax Your exclusion ends after 100 months, when you have excluded your net cost of $10,000. Late tax Thereafter, your annuity payments are fully taxable. Late tax Example 2. Late tax The facts are the same as in Example 1, except that there is a refund feature, and you die after 5 years with no surviving annuitant. Late tax The adjustment for the refund feature is $1,000, so the investment in the contract is $9,000. Late tax The exclusion ratio is 10. Late tax 8%, and your monthly exclusion is $90. Late tax After 5 years (60 months), you have recovered tax free only $5,400 ($90 x 60). Late tax An itemized deduction for the unrecovered net cost of $4,600 ($10,000 net cost minus $5,400) may be taken on your final income tax return. Late tax Your unrecovered investment is determined without regard to the refund feature adjustment, discussed earlier, under Adjustments. Late tax Exclusion not limited to net cost. Late tax   If your annuity starting date was before 1987, you could continue to take your monthly exclusion for as long as you receive your annuity. Late tax If you choose a joint and survivor annuity, your survivor continues to take the survivor's exclusion figured as of the annuity starting date. Late tax The total exclusion may be more than your investment in the contract. Late tax How To Use Actuarial Tables In figuring, under the General Rule, the taxable part of your annuity payments that you are to get for the rest of your life (rather than for a fixed number of years), you must use one or more of the actuarial tables in this publication. Late tax Unisex Annuity Tables Effective July 1, 1986, the Internal Revenue Service adopted new annuity Tables V through VIII, in which your sex is not considered when determining the applicable factor. Late tax These tables correspond to the old Tables I through IV. Late tax In general, Tables V through VIII must be used if you made contributions to the retirement plan after June 30, 1986. Late tax If you made no contributions to the plan after June 30, 1986, generally you must use only Tables I through IV. Late tax However, if you received an annuity payment after June 30, 1986, you may elect to use Tables V through VIII (see Annuity received after June 30, 1986, later). Late tax Special Elections Although you generally must use Tables V through VIII if you made contributions to the retirement plan after June 30, 1986, and Tables I through IV if you made no contributions after June 30, 1986, you can make the following special elections to select which tables to use. Late tax Contributions made both before July 1986 and after June 1986. Late tax   If you made contributions to the retirement plan both before July 1986 and after June 1986, you may elect to use Tables I through IV for the pre-July 1986 cost of the contract, and Tables V through VIII for the post-June 1986 cost. Late tax (See the examples below. Late tax )    Making the election. Late tax Attach this statement to your income tax return for the first year in which you receive an annuity:    “I elect to apply the provisions of paragraph (d) of section 1. Late tax 72–6 of the Income Tax Regulations. Late tax ”   The statement must also include your name, address, social security number, and the amount of the pre-July 1986 investment in the contract. Late tax   If your investment in the contract includes post-June 1986 contributions to the plan, and you do not make the election to use Tables I through IV and Tables V through VIII, then you can only use Tables V through VIII in figuring the taxable part of your annuity. Late tax You must also use Tables V through VIII if you are unable or do not wish to determine the portions of your contributions which were made before July 1, 1986, and after June 30, 1986. Late tax    Advantages of election. Late tax In general, a lesser amount of each annual annuity payment is taxable if you separately figure your exclusion ratio for pre-July 1986 and post-June 1986 contributions. Late tax    If you intend to make this election, save your records that substantiate your pre-July 1986 and post-June 1986 contributions. Late tax If the death benefit exclusion applies (see discussion, earlier), you do not have to apportion it between the pre-July 1986 and the post-June 1986 investment in the contract. Late tax   The following examples illustrate the separate computations required if you elect to use Tables I through IV for your pre-July 1986 investment in the contract and Tables V through VIII for your post-June 1986 investment in the contract. Late tax Example 1. Late tax Bill, who is single, contributed $42,000 to the retirement plan and will receive an annual annuity of $24,000 for life. Late tax Payment of the $42,000 contribution is guaranteed under a refund feature. Late tax Bill is 55 years old as of the annuity starting date. Late tax For figuring the taxable part of Bill's annuity, he chose to make separate computations for his pre-July 1986 investment in the contract of $41,300, and for his post-June 1986 investment in the contract of $700. Late tax       Pre- July 1986   Post- June 1986 A. Late tax Adjustment for refund feature         1) Net cost $41,300   $700   2) Annual annuity—$24,000  ($41,300/$42,000 × $24,000) $23,600       ($700/$42,000 × $24,000)     $400   3) Guarantee under contract $41,300   $700   4) No. Late tax of years payments  guaranteed (rounded), A(3) ÷ A(2) 2   2   5) Applicable percentage from  Tables III and VII 1%   0%   6) Adjustment for value of refund  feature, A(5) × smaller of A(1)  or A(3) $413   $0 B. Late tax Investment in the contract         1) Net cost $41,300   $700   2) Minus: Amount in A(6) 413   0   3) Investment in the contract $40,887   $700 C. Late tax Expected return         1) Annual annuity receivable $24,000   $24,000   2) Multiples from Tables I and V 21. Late tax 7   28. Late tax 6   3) Expected return, C(1) × C(2) $520,800   $686,400 D. Late tax Tax-free part of annuity         1) Exclusion ratio as decimal,  B(3) ÷ C(3) . Late tax 079   . Late tax 001   2) Tax-free part, C(1) × D(1) $1,896   $24 The tax-free part of Bill's total annuity is $1,920 ($1,896 plus $24). Late tax The taxable part of his annuity is $22,080 ($24,000 minus $1,920). Late tax If the annuity starting date is after 1986, the exclusion over the years cannot exceed the net cost (figured without any reduction for a refund feature). Late tax Example 2. Late tax Al is age 62 at his nearest birthday to the annuity starting date. Late tax Al's wife is age 60 at her nearest birthday to the annuity starting date. Late tax The joint and survivor annuity pays $1,000 per month to Al for life, and $500 per month to Al's surviving wife after his death. Late tax The pre-July 1986 investment in the contract is $53,100 and the post-June 1986 investment in the contract is $7,000. Late tax Al makes the election described in Example 1 . Late tax For purposes of this example, assume the refund feature adjustment is zero. Late tax If an adjustment is required, IRS will figure the amount. Late tax See Requesting a Ruling on Taxation of Annuity near the end of this publication. Late tax       Pre-  July 1986   Post-  June 1986 A. Late tax Adjustment for refund feature         1) Net cost $53,100   $7,000   2) Annual annuity—$12,000  ($53,100/$60,100 × $12,000) $10,602       ($7,000/$60,100 × $12,000)     $1,398   3) Guaranteed under the contract $53,100   $7,000   4) Number of years guaranteed,  rounded, A(3) ÷ A(2) 5   5   5) Applicable percentages 0%   0%   6) Refund feature adjustment, A(5) × smaller of A(1) or A(3) 0   0 B. Late tax Investment in the contract         1) Net cost $53,100   $7,000   2) Refund feature adjustment 0   0   3) Investment in the contract adjusted for refund feature $53,100   $7,000 C. Late tax Expected return         1) Multiple for both annuitants from Tables II and VI 25. Late tax 4   28. Late tax 8   2) Multiple for first annuitant from Tables I and V 16. Late tax 9   22. Late tax 5   3) Multiple applicable to surviving annuitant, subtract C(2) from C(1) 8. Late tax 5   6. Late tax 3   4) Annual annuity to surviving annuitant $6,000   $6,000   5) Portion of expected return for surviving annuitant, C(4) × C(3) $51,000   $37,800   6) Annual annuity to first annuitant $12,000   $12,000   7) Plus: Portion of expected return for first annuitant, C(6) × C(2) $202,800   $270,000   8) Expected return for both annuitants, C(5) + C(7) $253,800   $307,800 D. Late tax Tax-free part of annuity         1) Exclusion ratio as a decimal, B(3) ÷ C(8) . Late tax 209   . Late tax 023   2) Retiree's tax-free part of annuity, C(6) × D(1) $2,508   $276   3) Survivor's tax-free part of annuity, C(4) × D(1) $1,254   $138 The tax-free part of Al's total annuity is $2,784 ($2,508 + $276). Late tax The taxable part of his annuity is $9,216 ($12,000 − $2,784). Late tax The exclusion over the years cannot exceed the net cost of the contract (figured without any reduction for a refund feature) if the annuity starting date is after 1986. Late tax After Al's death, his widow will apply the same exclusion percentages (20. Late tax 9% and 2. Late tax 3%) to her annual annuity of $6,000 to figure the tax-free part of her annuity. Late tax Annuity received after June 30, 1986. Late tax   If you receive an annuity payment after June 30, 1986, (regardless of your annuity starting date), you may elect to treat the entire cost of the contract as post-June 1986 cost (even if you made no post-June 1986 contributions to the plan) and use Tables V through VIII. Late tax Once made, you cannot revoke the election, which will apply to all payments during the year and in any later year. Late tax    Make the election by attaching the following statement to your income tax return. Late tax    “I elect, under section 1. Late tax 72–9 of the Income Tax Regulations, to treat my entire cost of the contract as a post-June 1986 cost of the plan. Late tax ”   The statement must also include your name, address, and social security number. Late tax   You should also indicate you are making this election if you are unable or do not wish to determine the parts of your contributions which were made before July 1, 1986, and after June 30, 1986. Late tax Disqualifying form of payment or settlement. Late tax   If your annuity starting date is after June 30, 1986, and the contract provides for a disqualifying form of payment or settlement, such as an option to receive a lump sum in full discharge of the obligation under the contract, the entire investment in the contract is treated as post-June 1986 investment in the contract. Late tax See regulations section 1. Late tax 72–6(d)(3) for additional examples of disqualifying forms of payment or settlement. Late tax You can find the Income Tax Regulations in many libraries and at Internal Revenue Service Offices. Late tax Worksheets for Determining Taxable Annuity Worksheets I and II. Late tax   Worksheets I and II follow for determining your taxable annuity under Regulations Section 1. Late tax 72–6(d)(6) Election. Late tax Worksheet I For Determining Taxable Annuity Under Regulations Section 1. Late tax 72-6(d)(6) Election For Single Annuitant With No Survivor Annuity               Pre-July 1986   Post-June 1986 A. Late tax   Refund Feature Adjustment             1)   Net cost (total cost less returned premiums, dividends, etc. Late tax )             2)   Annual annuity allocation:                   Portion of net cost in A(1) x annual annuity                   Net cost             3)   Guaranteed under the contract             4)   Number of years guaranteed, rounded to whole years:                   A(3) divided by A(2)             5)   Applicable percentages* from Tables III and VII                   *If your annuity meets the three conditions listed in Zero value of refund feature in Investment in the Contract, earlier, both percentages are 0. Late tax If not, the IRS will calculate the refund feature percentage. Late tax             6)   Refund feature adjustment:                   A(5) times lesser of A(1) or A(3)                             B. Late tax   Investment in the Contract             1)   Net cost:                   A(1)             2)   Refund feature adjustment:                   A(6)             3)   Investment in the contract adjusted for refund feature:                   B(1) minus B(2)                             C. Late tax   Expected Return             1)   Annual Annuity:                   12 times monthly annuity**             2)   Expected return multiples from Tables I and V             3)     Expected return:                   C(1) times C(2)                             D. Late tax   Tax-Free Part of Annuity             1)     Exclusion ratio, as a decimal rounded to 3 places:                   B(3) divided by C(3)             2)     Tax-free part of annuity:                   C(1) times D(1)             **If the annuity is not paid monthly, figure the amount to enter by using the total number of periodic payments for the year times the amount of the periodic payment. Late tax     Worksheet II For Determining Taxable Annuity Under Regulations Section 1. Late tax 72-6(d)(6) Election For Joint and Survivor Annuity               Pre-July 1986   Post-June 1986 A. Late tax   Refund Feature Adjustment             1)   Net cost (total cost less returned premiums, dividends, etc. Late tax )             2)   Annual annuity allocation:                   Portion of net cost in A(1) x annual annuity                   Net cost             3)   Guaranteed under the contract             4)     Number of years guaranteed, rounded to whole years:                   A(3) divided by A(2)             5)   Applicable percentages*                   *If your annuity meets the three conditions listed in Zero value of refund feature in Investment in the Contract, earlier, both percentages are 0. Late tax If not, the IRS will calculate the refund feature percentage. Late tax             6)   Refund feature adjustment:                   A(5) times lesser of A(1) or A(3)                             B. Late tax   Investment in the Contract             1)   Net cost:                   A(1)             2)   Refund feature adjustment:                   A(6)             3)   Investment in the contract adjusted for refund future:                   B(1) minus B(2)                             C. Late tax   Expected Return             1)   Multiples for both annuitants, Tables II and VI             2)   Multiple for retiree. Late tax Tables I and VI             3)   Multiple for survivor:                   C(1) minus C(2)             4)   Annual annuity to survivor:                   12 times potential monthly rate for survivor**             5)   Expected return for survivor:                   C(3) times C(4)             6)   Annual annuity to retiree:                   12 times monthly rate for retiree**             7)   Expected return for retiree:                   C(2) times C(6)             8)   Total expected return:                   C(5) plus C(7)                             D. Late tax   Tax-Free Part of Annuity             1)   Exclusion ratio, as a decimal rounded to 3 places:                   B(3) divided by C(8)             2)   Retiree's tax-free part of annuity:                   C(6) times D(1)             3)   Survivor's tax-free part of annuity, if surviving after death of retiree:                   C(4) times D(1)             **If the annuity is not paid monthly, figure the amount to enter by using the total number of periodic payments for the year times the amount of the periodic payment. Late tax   Actuarial Tables Please click here for the text description of the image. Late tax Actuarial Tables Please click here for the text description of the image. Late tax Actuarial Tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Please click here for the text description of the image. Late tax Actuarial tables Requesting a Ruling on Taxation of Annuity If you are a retiree, or the survivor of an employee or retiree, you may ask the Internal Revenue Service to help you determine the taxation of your annuity. Late tax If you make this request, you are asking for a ruling. Late tax User fee. Late tax   Under the law in effect at the time this publication went to print, the IRS must charge a user fee for all ruling requests. Late tax You should call the IRS for the proper fee. Late tax A request solely for the value of the refund feature is not treated as a ruling request and requires no fee. Late tax Send your request to:     Internal Revenue Service  Attention: EP Letter Rulings P. Late tax O. Late tax Box 27063 McPherson Station Washington, DC 20038 The user fee is allowed as a miscellaneous itemized deduction, subject to the 2%-of-adjusted-gross-income limit. Late tax When to make the request. Late tax   Please note that requests sent between February 1 and April 15 may experience some delay. Late tax We process requests in the order received, and we will reply to your request as soon as we can process it. Late tax If you do not receive your ruling by the required filing date, you may use Form 4868, Application for Automatic Extension of Time To File U. Late tax S. Late tax Individual Income Tax Return, to get an extension of time to file. Late tax Information you must furnish. Late tax   You must furnish the information listed below so the IRS can comply with your request. Late tax Failure to furnish the information will result in a delay in processing your request. Late tax Please send only copies of the following documents, as the IRS retains all material sent for its records: A letter explaining the question(s) you wish to have resolved or the information you need from the ruling. Late tax Copies of any documents showing distributions, annuity rates, and annuity options available to you. Late tax A copy of any Form 1099–R you received since your annuity began. Late tax A statement indicating whether you have filed your return for the year for which you are making the request. Late tax If you have requested an extension of time to file that return, please indicate the extension date. Late tax Your daytime phone number. Late tax Your current mailing address. Late tax A power of attorney if someone other than you, an attorney, a certified public accountant, or an enrolled agent is signing this request. Late tax Form 2848, Power of Attorney and Declaration of Representative, may be used for this purpose. Late tax A completed Tax Information Sheet (or facsimile) shown on the next page. Late tax Sign and date the Disclosure and Perjury Statement (or facsimile) at the end of the tax information sheet. Late tax This statement must be signed by the retiree or the survivor annuitant. Late tax It cannot be signed by a representative. Late tax Tax Information Sheet Please click here for the text description of the image. Late tax Tax Information Sheet Please click here for the text description of the image. Late tax Tax Information Sheet (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. Late tax Free help with your tax return. Late tax   You can get free help preparing your return nationwide from IRS-certified volunteers. Late tax The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. Late tax The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Late tax 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. Late tax In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. Late tax To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. Late tax gov, download the IRS2Go app, or call 1-800-906-9887. Late tax   As part of the TCE program, AARP offers the Tax-Aide counseling program. Late tax To find the nearest AARP Tax-Aide site, visit AARP's website at www. Late tax aarp. Late tax org/money/taxaide or call 1-888-227-7669. Late tax For more information on these programs, go to IRS. Late tax gov and enter “VITA” in the search box. Late tax Internet. Late tax    IRS. Late tax gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. Late tax Download the free IRS2Go app from the iTunes app store or from Google Play. Late tax 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. Late tax Check the status of your 2013 refund with the Where's My Refund? application on IRS. Late tax gov or download the IRS2Go app and select the Refund Status option. Late tax The IRS issues more than 9 out of 10 refunds in less than 21 days. Late tax 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. Late tax You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. Late tax The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Late tax Use the Interactive Tax Assistant (ITA) to research your tax questions. Late tax No need to wait on the phone or stand in line. Late tax 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. Late tax When you reach the response screen, you can print the entire interview and the final response for your records. Late tax New subject areas are added on a regular basis. Late tax  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. Late tax gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. Late tax You can use the IRS Tax Map, to search publications and instructions by topic or keyword. Late tax The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. Late tax 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. Late tax 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. Late tax You can also ask the IRS to mail a return or an account transcript to you. Late tax Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. Late tax gov or by calling 1-800-908-9946. Late tax Tax return and tax account transcripts are generally available for the current year and the past three years. Late tax Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. Late tax Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. Late tax 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. Late tax Check the status of your amended return using Where's My Amended Return? Go to IRS. Late tax gov and enter Where's My Amended Return? in the search box. Late tax You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Late tax It can take up to 3 weeks from the date you mailed it to show up in our system. Late tax Make a payment using one of several safe and convenient electronic payment options available on IRS. Late tax gov. Late tax Select the Payment tab on the front page of IRS. Late tax gov for more information. Late tax Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. Late tax Figure your income tax withholding with the IRS Withholding Calculator on IRS. Late tax gov. Late tax 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. Late tax Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. Late tax gov. Late tax Request an Electronic Filing PIN by going to IRS. Late tax gov and entering Electronic Filing PIN in the search box. Late tax Download forms, instructions and publications, including accessible versions for people with disabilities. Late tax Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. Late tax gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. Late tax An employee can answer questions about your tax account or help you set up a payment plan. Late tax Before you visit, check the Office Locator on IRS. Late tax gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. Late tax If you have a special need, such as a disability, you can request an appointment. Late tax Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. Late tax Apply for an Employer Identification Number (EIN). Late tax Go to IRS. Late tax gov and enter Apply for an EIN in the search box. Late tax Read the Internal Revenue Code, regulations, or other official guidance. Late tax Read Internal Revenue Bulletins. Late tax Sign up to receive local and national tax news and more by email. Late tax Just click on “subscriptions” above the search box on IRS. Late tax gov and choose from a variety of options. Late tax    Phone. Late tax You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. Late tax Download the free IRS2Go app from the iTunes app store or from Google Play. Late tax Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. Late tax gov, or download the IRS2Go app. Late tax 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. Late tax The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Late tax Mos
Print - Click this link to Print this page

Tax Information for Plan Participant/Employee

Saving for Retirement
Benefits of saving now, eligibility and participation, putting money in and taking money out of your retirement account

Changes in Your Life May Affect Retirement Planning
Marriage, kids, divorce, or job changes may affect your retirement planning

When You Retire
Required minimum distributions, annuities and taxes on your retirement benefits

Retirement Plan Beneficiaries
When a participant dies

Site Index – Retirement Plans
Alphabetical index of retirement plan topics

Definitions
Common retirement plan terms

Retirement Plan Videos
The IRS Video portal contains video and audio presentations on a range of retirement plan topics of interest to small businesses, individuals and tax professionals.

Additional Resources for Individuals
Forms, publications and other government websites

Page Last Reviewed or Updated: 11-Mar-2014

The Late Tax

Late tax Publication 80 - Additional Material Prev  Up  Next   Home   More Online Publications