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

State Tax Forms 2012

File Irs ExtensionHow To File Amended ReturnFree State And Federal Tax Filing TurbotaxFile 1040ez Online FreeForm 1040-ez 2013How Do I Do My 2010 TaxesTax For MilitaryAmending 2012 Tax ReturnCan You E File 1040x1040ez InstuctionsHow To File Tax Return For 2012Amended Tax Return InstructionsFile My 1040x Electronically1040ez Efile Free2009 Tax Form 1040Filing 1040x Electronically1040ez 2013 Tax FormHow Do I Amend My TaxesIrs 2012 Tax Forms 1040 InstructionsFree File Taxes 20112012 Income Tax Forms 1040ezAmend Income Tax Return140 Ez FormCheap Tax SoftwareWww H&r BlockMyfreetaxes OrgFile Corporate Tax Extension OnlineH&r Block Free OnlineIrs Gov Irs FormsTaxes On Unemployment1020 Ez FormTaxact 2011 Free DownloadTaxact Amend 2010 ReturnState Tax FilingFreetaxusa20112005 Tax Return1040x Amended FormHow To Fill Out Form 1040ezWhere Can I File Free State TaxesState Tax Efile

State Tax Forms 2012

State tax forms 2012 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. State tax forms 2012 A pension is generally a series of payments made to you after you retire from work. State tax forms 2012 Pension payments are made regularly and are for past services with an employer. State tax forms 2012 An annuity is a series of payments under a contract. State tax forms 2012 You can buy the contract alone or you can buy it with the help of your employer. State tax forms 2012 Annuity payments are made regularly for more than one full year. State tax forms 2012 Note. State tax forms 2012 Distributions from pensions and annuities follow the same rules as outlined in this publication unless otherwise noted. State tax forms 2012 Types of pensions and annuities. State tax forms 2012   Particular types of pensions and annuities include: Fixed period annuities. State tax forms 2012 You receive definite amounts at regular intervals for a definite length of time. State tax forms 2012 Annuities for a single life. State tax forms 2012 You receive definite amounts at regular intervals for life. State tax forms 2012 The payments end at death. State tax forms 2012 Joint and survivor annuities. State tax forms 2012 The first annuitant receives a definite amount at regular intervals for life. State tax forms 2012 After he or she dies, a second annuitant receives a definite amount at regular intervals for life. State tax forms 2012 The amount paid to the second annuitant may or may not differ from the amount paid to the first annuitant. State tax forms 2012 Variable annuities. State tax forms 2012 You receive payments that may vary in amount for a definite length of time or for life. State tax forms 2012 The amounts you receive may depend upon such variables as profits earned by the pension or annuity funds or cost-of-living indexes. State tax forms 2012 Disability pensions. State tax forms 2012 You are under minimum retirement age and receive payments because you retired on disability. State tax forms 2012 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. State tax forms 2012 If your annuity starting date is after November 18, 1996, the General Rule cannot be used for the following qualified plans. State tax forms 2012 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. State tax forms 2012 This plan must meet Internal Revenue Code requirements. State tax forms 2012 It qualifies for special tax benefits, including tax deferral for employer contributions and rollover distributions. State tax forms 2012 However, you must use the General Rule if you were 75 or over and the annuity payments are guaranteed for more than 5 years. State tax forms 2012 A qualified employee annuity is a retirement annuity purchased by an employer for an employee under a plan that meets Internal Revenue Code requirements. State tax forms 2012 A tax-sheltered annuity is a special annuity plan or contract purchased for an employee of a public school or tax-exempt organization. State tax forms 2012   The General Rule is used to figure the tax treatment of various types of pensions and annuities, including nonqualified employee plans. State tax forms 2012 A nonqualified employee plan is an employer's plan that does not meet Internal Revenue Code requirements. State tax forms 2012 It does not qualify for most of the tax benefits of a qualified plan. State tax forms 2012 Annuity worksheets. State tax forms 2012   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. State tax forms 2012 Request for a ruling. State tax forms 2012   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. State tax forms 2012 This is treated as a request for a ruling. State tax forms 2012 See Requesting a Ruling on Taxation of Annuity near the end of this publication. State tax forms 2012 Withholding tax and estimated tax. State tax forms 2012   Your pension or annuity is subject to federal income tax withholding unless you choose not to have tax withheld. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 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). State tax forms 2012 These payments are also known as amounts received as an annuity. State tax forms 2012 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. State tax forms 2012 In general, you can recover your net cost of the pension or annuity tax free over the period you are to receive the payments. State tax forms 2012 The amount of each payment that is more than the part that represents your net cost is taxable. State tax forms 2012 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. State tax forms 2012 These terms are explained in the following discussions. State tax forms 2012 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. State tax forms 2012 First, find your net cost of the contract as of the annuity starting date (defined later). State tax forms 2012 To find this amount, you must first figure the total premiums, contributions, or other amounts paid. State tax forms 2012 This includes the amounts your employer contributed if you were required to include these amounts in income. State tax forms 2012 It also includes amounts you actually contributed (except amounts for health and accident benefits and deductible voluntary employee contributions). State tax forms 2012 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. State tax forms 2012 Any additional premiums paid for double indemnity or disability benefits. State tax forms 2012 Any other tax-free amounts you received under the contract or plan before the later of the dates in (1). State tax forms 2012 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. State tax forms 2012 Example. State tax forms 2012 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. State tax forms 2012 The annuity starting date is July 1. State tax forms 2012 This is the date you use in figuring your investment in the contract and your expected return (discussed later). State tax forms 2012 Adjustments If any of the following items apply, adjust (add or subtract) your total cost to find your net cost. State tax forms 2012 Foreign employment. State tax forms 2012   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. State tax forms 2012 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. State tax forms 2012 Foreign employment contributions while a nonresident alien. State tax forms 2012   In determining your cost, special rules apply if you are a U. State tax forms 2012 S. State tax forms 2012 citizen or resident alien who received distributions from a plan to which contributions were made while you were a nonresident alien. State tax forms 2012 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. State tax forms 2012 Death benefit exclusion. State tax forms 2012   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. State tax forms 2012 The beneficiary of a deceased employee who died after August 20, 1996, will not qualify for the death benefit exclusion. State tax forms 2012 How to adjust your total cost. State tax forms 2012   If you are eligible, treat the amount of any allowable death benefit exclusion as additional cost paid by the employee. State tax forms 2012 Add it to the cost or unrecovered cost of the annuity at the annuity starting date. State tax forms 2012 See Example 3 under Computation Under General Rule for an illustration of the adjustment to the cost of the contract. State tax forms 2012 Net cost. State tax forms 2012   Your total cost plus certain adjustments and minus other amounts already recovered before the annuity starting date is your net cost. State tax forms 2012 This is the unrecovered investment in the contract as of the annuity starting date. State tax forms 2012 If your annuity starting date is after 1986, this is the maximum amount that you may recover tax free under the contract. State tax forms 2012 Refund feature. State tax forms 2012   Adjustment for the value of the refund feature is only applicable when you report your pension or annuity under the General Rule. State tax forms 2012 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. State tax forms 2012   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. State tax forms 2012 Zero value of refund feature. State tax forms 2012   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. State tax forms 2012   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). State tax forms 2012   If you do not meet these requirements, you will have to figure the value of the refund feature, as explained in the following discussion. State tax forms 2012 Examples. State tax forms 2012 The first example shows how to figure the value of the refund feature when there is only one beneficiary. State tax forms 2012 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. State tax forms 2012 In both examples, the taxpayer elects to use Tables V through VIII. State tax forms 2012 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. State tax forms 2012 Example 1. State tax forms 2012 At age 65, Barbara bought for $21,053 an annuity with a refund feature. State tax forms 2012 She will get $100 a month for life. State tax forms 2012 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. State tax forms 2012 In this case, the contract cost and the total guaranteed return are the same ($21,053). State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 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). State tax forms 2012 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. State tax forms 2012 Example 2. State tax forms 2012 John died while still employed. State tax forms 2012 His widow, Eleanor, age 48, receives $171 a month for the rest of her life. State tax forms 2012 John's son, Elmer, age 9, receives $50 a month until he reaches age 18. State tax forms 2012 John's contributions to the retirement fund totaled $7,559. State tax forms 2012 45, with interest on those contributions of $1,602. State tax forms 2012 53. State tax forms 2012 The guarantee or total refund feature of the contract is $9,161. State tax forms 2012 98 ($7,559. State tax forms 2012 45 plus $1,602. State tax forms 2012 53). State tax forms 2012 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. State tax forms 2012 9 $71,614. State tax forms 2012 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. State tax forms 2012 0 5,400. State tax forms 2012 00   3) Total expected return   $77,014. State tax forms 2012 80 B) Adjustment for refund feature:       1) Contributions (net cost) $7,559. State tax forms 2012 45   2) Guaranteed amount (contributions of $7,559. State tax forms 2012 45 plus interest of $1,602. State tax forms 2012 53) $9,161. State tax forms 2012 98   3) Minus: Expected return under child's (temporary life) annuity (A(2)) 5,400. State tax forms 2012 00   4) Net guaranteed amount $3,761. State tax forms 2012 98   5) Multiple from Table VII (nearest age 48 for 2 years duration (recovery of $3,761. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 See the discussion of expected return, later in this publication. State tax forms 2012 Free IRS help. State tax forms 2012   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. State tax forms 2012 Expected Return Your expected return is the total amount you and other eligible annuitants can expect to receive under the contract. State tax forms 2012 The following discussions explain how to figure the expected return with each type of annuity. State tax forms 2012 A person's age, for purposes of figuring the expected return, is the age at the birthday nearest to the annuity starting date. State tax forms 2012 Fixed period annuity. State tax forms 2012   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. State tax forms 2012 It is the total amount you will get beginning at the annuity starting date. State tax forms 2012 You will receive specific periodic payments for a definite period of time, such as a fixed number of months (but not less than 13). State tax forms 2012 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. State tax forms 2012 Single life annuity. State tax forms 2012   If you are to get annuity payments for the rest of your life, find your expected return as follows. State tax forms 2012 You must multiply the amount of the annual payment by a multiple based on your life expectancy as of the annuity starting date. State tax forms 2012 These multiples are set out in actuarial Tables I and V near the end of this publication (see How To Use Actuarial Tables , later). State tax forms 2012   You may need to adjust these multiples if the payments are made quarterly, semiannually, or annually. State tax forms 2012 See Adjustments to Tables I, II, V, VI, and VIA following Table I. State tax forms 2012 Example. State tax forms 2012 Henry bought an annuity contract that will give him an annuity of $500 a month for his life. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 2 multiple by +. State tax forms 2012 1. State tax forms 2012 His expected return would then be $115,800 ($6,000 × 19. State tax forms 2012 3). State tax forms 2012 Annuity for shorter of life or specified period. State tax forms 2012   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. State tax forms 2012 To figure your expected return, multiply the amount of your annual payment by a multiple in Table IV or VIII for temporary life annuities. State tax forms 2012 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. State tax forms 2012 Example. State tax forms 2012 Harriet purchased an annuity this year that will pay her $200 each month for five years or until she dies, whichever period is shorter. State tax forms 2012 She was age 65 at her birthday nearest the annuity starting date. State tax forms 2012 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. State tax forms 2012 9 Expected return $11,760 She uses Table VIII (not Table IV) because all her contributions were made after June 30, 1986. State tax forms 2012 See Special Elections, later. State tax forms 2012 Joint and survivor annuities. State tax forms 2012   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. State tax forms 2012 To figure the expected return, multiply the annual payment by a multiple in Table II or VI based on your joint life expectancies. State tax forms 2012 If your payments are made quarterly, semiannually, or annually, you may need to adjust these multiples. State tax forms 2012 See Adjustments to Tables I, II, V, VI, and VIA following Table I near the end of this publication. State tax forms 2012 Example. State tax forms 2012 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. State tax forms 2012 At John's annuity starting date, his age at his nearest birthday is 70 and his wife's at her nearest birthday is 67. State tax forms 2012 The expected return is figured as follows: Annual payment ($500 × 12 months) $6,000 Multiple shown in Table VI, ages 67 and 70 × 22. State tax forms 2012 0 Expected return $132,000 Different payments to survivor. State tax forms 2012   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. State tax forms 2012 Example 1. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 0 Multiple for Gerald, age 70 (from Table V)   16. State tax forms 2012 0 Difference: Multiple applicable to Mary   6. State tax forms 2012 0 Gerald's annual payment ($500 × 12) $6,000   Gerald's multiple 16. State tax forms 2012 0   Gerald's expected return   $96,000 Mary's annual payment ($350 × 12) $4,200   Mary's multiple 6. State tax forms 2012 0   Mary's expected return   25,200 Total expected return under the contract   $121,200 Example 2. State tax forms 2012 Your husband died while still employed. State tax forms 2012 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. State tax forms 2012 Your daughters, Marie and Jean, are each entitled to immediate temporary life annuities of $150 a month until they reach age 18. State tax forms 2012 You were 50 years old at the annuity starting date. State tax forms 2012 Marie was 16 and Jean was 14. State tax forms 2012 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. State tax forms 2012 1 × $4,800 annual payment) $158,880 Marie, age 16 for 2 years duration (multiple from Table VIII—2. State tax forms 2012 0 × $1,800 annual payment) 3,600 Jean, age 14 for 4 years duration (multiple from Table VIII—4. State tax forms 2012 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. State tax forms 2012 Computation Under the General Rule Note. State tax forms 2012 Variable annuities use a different computation for determining the exclusion amounts. State tax forms 2012 See Variable annuities later. State tax forms 2012 Under the General Rule, you figure the taxable part of your annuity by using the following steps: Step 1. State tax forms 2012   Figure the amount of your investment in the contract, including any adjustments for the refund feature and the death benefit exclusion, if applicable. State tax forms 2012 See Death benefit exclusion , earlier. State tax forms 2012 Step 2. State tax forms 2012   Figure your expected return. State tax forms 2012 Step 3. State tax forms 2012   Divide Step 1 by Step 2 and round to three decimal places. State tax forms 2012 This will give you the exclusion percentage. State tax forms 2012 Step 4. State tax forms 2012   Multiply the exclusion percentage by the first regular periodic payment. State tax forms 2012 The result is the tax-free part of each pension or annuity payment. State tax forms 2012   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. State tax forms 2012 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. State tax forms 2012   Each annuitant applies the same exclusion percentage to his or her initial payment called for in the contract. State tax forms 2012 Step 5. State tax forms 2012   Multiply the tax-free part of each payment (step 4) by the number of payments received during the year. State tax forms 2012 This will give you the tax-free part of the total payment for the year. State tax forms 2012    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. State tax forms 2012 This fractional amount is multiplied by your exclusion percentage to get the tax-free part. State tax forms 2012 Step 6. State tax forms 2012   Subtract the tax-free part from the total payment you received. State tax forms 2012 The rest is the taxable part of your pension or annuity. State tax forms 2012 Example 1. State tax forms 2012 You purchased an annuity with an investment in the contract of $10,800. State tax forms 2012 Under its terms, the annuity will pay you $100 a month for life. State tax forms 2012 The multiple for your age (age 65) is 20. State tax forms 2012 0 as shown in Table V. State tax forms 2012 Your expected return is $24,000 (20 × 12 × $100). State tax forms 2012 Your cost of $10,800, divided by your expected return of $24,000, equals 45. State tax forms 2012 0%. State tax forms 2012 This is the percentage you will not have to include in income. State tax forms 2012 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. State tax forms 2012 If you had received only six payments of $100 ($600) during the year, your exclusion would have been $270 (45% of $100 × 6 payments). State tax forms 2012 Example 2. State tax forms 2012 Gerald bought a joint and survivor annuity. State tax forms 2012 Gerald's investment in the contract is $62,712 and the expected return is $121,200. State tax forms 2012 The exclusion percentage is 51. State tax forms 2012 7% ($62,712 ÷ $121,200). State tax forms 2012 Gerald will receive $500 a month ($6,000 a year). State tax forms 2012 Each year, until his net cost is recovered, $3,102 (51. State tax forms 2012 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. State tax forms 2012 If Gerald dies, his wife will receive $350 a month ($4,200 a year). State tax forms 2012 If Gerald had not recovered all of his net cost before his death, his wife will use the same exclusion percentage (51. State tax forms 2012 7%). State tax forms 2012 Each year, until the entire net cost is recovered, his wife will receive $2,171. State tax forms 2012 40 (51. State tax forms 2012 7% of her payments received of $4,200) tax free. State tax forms 2012 She will include $2,028. State tax forms 2012 60 ($4,200 − $2,171. State tax forms 2012 40) in her income tax return. State tax forms 2012 Example 3. State tax forms 2012 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. State tax forms 2012 Your two daughters each receive annual annuities of $1,800 until they reach age 18. State tax forms 2012 Your husband contributed $25,576 to the plan. State tax forms 2012 You are eligible for the $5,000 death benefit exclusion because your husband died before August 21, 1996. State tax forms 2012 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. State tax forms 2012 The exclusion percentage of 18. State tax forms 2012 0% ($30,576 ÷ $169,680) applies to the annuity payments you and each of your daughters receive. State tax forms 2012 Each full year $864 (18. State tax forms 2012 0% × $4,800) will be tax free to you, and you must include $3,936 in your income tax return. State tax forms 2012 Each year, until age 18, $324 (18. State tax forms 2012 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. State tax forms 2012 Part-year payments. State tax forms 2012   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. State tax forms 2012   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. State tax forms 2012 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. State tax forms 2012   If you received a fractional payment, follow Step 5, discussed earlier. State tax forms 2012 This gives you the tax-free part of your total payment. State tax forms 2012 Example. State tax forms 2012 On September 28, Mary bought an annuity contract for $22,050 that will give her $125 a month for life, beginning October 30. State tax forms 2012 The applicable multiple from Table V is 23. State tax forms 2012 3 (age 61). State tax forms 2012 Her expected return is $34,950 ($125 × 12 × 23. State tax forms 2012 3). State tax forms 2012 Mary's investment in the contract of $22,050, divided by her expected return of $34,950, equals 63. State tax forms 2012 1%. State tax forms 2012 Each payment received will consist of 63. State tax forms 2012 1% return of cost and 36. State tax forms 2012 9% taxable income, until her net cost of the contract is fully recovered. State tax forms 2012 During the first year, Mary received three payments of $125, or $375, of which $236. State tax forms 2012 63 (63. State tax forms 2012 1% × $375) is a return of cost. State tax forms 2012 The remaining $138. State tax forms 2012 37 is included in income. State tax forms 2012 Increase in annuity payments. State tax forms 2012   The tax-free amount remains the same as the amount figured at the annuity starting date, even if the payment increases. State tax forms 2012 All increases in the installment payments are fully taxable. State tax forms 2012   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. State tax forms 2012 72-5(a)(5) of the regulations. State tax forms 2012 Example. State tax forms 2012 Joe's wife died while she was still employed and, as her beneficiary, he began receiving an annuity of $147 per month. State tax forms 2012 In figuring the taxable part, Joe elects to use Tables V through VIII. State tax forms 2012 The cost of the contract was $7,938, consisting of the sum of his wife's net contributions, adjusted for any refund feature. State tax forms 2012 His expected return as of the annuity starting date is $35,280 (age 65, multiple of 20. State tax forms 2012 0 × $1,764 annual payment). State tax forms 2012 The exclusion percentage is $7,938 ÷ $35,280, or 22. State tax forms 2012 5%. State tax forms 2012 During the year he received 11 monthly payments of $147, or $1,617. State tax forms 2012 Of this amount, 22. State tax forms 2012 5% × $147 × 11 ($363. State tax forms 2012 83) is tax free as a return of cost and the balance of $1,253. State tax forms 2012 17 is taxable. State tax forms 2012 Later, because of a cost-of-living increase, his annuity payment was increased to $166 per month, or $1,992 a year (12 × $166). State tax forms 2012 The tax-free part is still only 22. State tax forms 2012 5% of the annuity payments as of the annuity starting date (22. State tax forms 2012 5% × $147 × 12 = $396. State tax forms 2012 90 for a full year). State tax forms 2012 The increase of $228 ($1,992 − $1,764 (12 × $147)) is fully taxable. State tax forms 2012 Variable annuities. State tax forms 2012   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. State tax forms 2012   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. State tax forms 2012 If the annuity is for life, you determine the total number of payments by using a multiple from the appropriate actuarial table. State tax forms 2012 Example. State tax forms 2012 Frank purchased a variable annuity at age 65. State tax forms 2012 The total cost of the contract was $12,000. State tax forms 2012 The annuity starting date is January 1 of the year of purchase. State tax forms 2012 His annuity will be paid, starting July 1, in variable annual installments for his life. State tax forms 2012 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. State tax forms 2012   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. State tax forms 2012 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. State tax forms 2012 The result is added to the previously figured periodic tax-free part. State tax forms 2012 The sum is the amount of each future payment that will be tax free. State tax forms 2012 Example. State tax forms 2012 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. State tax forms 2012 Frank does not pay tax on the $500 (second year) payment because $600 of each annual pension payment is tax free. State tax forms 2012 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. State tax forms 2012 00 Amount received in second year 500. State tax forms 2012 00 Difference $100. State tax forms 2012 00 Number of remaining payments after the first 2 payments (age 67, from Table V) 18. State tax forms 2012 4 Amount to be added to previously determined annual tax-free part ($100 ÷ 18. State tax forms 2012 4) $5. State tax forms 2012 43 Revised annual tax-free part for third and later years ($600 + $5. State tax forms 2012 43) $605. State tax forms 2012 43 Amount taxable in third year ($1,200 − $605. State tax forms 2012 43) $594. State tax forms 2012 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. State tax forms 2012 72–4(d)(3) of the Income Tax Regulations. State tax forms 2012 The statement must also show the following information: The annuity starting date and your age on that date. State tax forms 2012 The first day of the first period for which you received an annuity payment in the current year. State tax forms 2012 Your investment in the contract as originally figured. State tax forms 2012 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. State tax forms 2012 Exclusion Limits Your annuity starting date determines the total amount of annuity income that you can exclude from income over the years. State tax forms 2012 Exclusion limited to net cost. State tax forms 2012   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). State tax forms 2012 This is the unrecovered investment in the contract as of the annuity starting date. State tax forms 2012   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. State tax forms 2012 This deduction is not subject to the 2%-of-adjusted-gross-income limit. State tax forms 2012 Example 1. State tax forms 2012 Your annuity starting date is after 1986. State tax forms 2012 Your total cost is $12,500, and your net cost is $10,000, taking into account certain adjustments. State tax forms 2012 There is no refund feature. State tax forms 2012 Your monthly annuity payment is $833. State tax forms 2012 33. State tax forms 2012 Your exclusion ratio is 12% and you exclude $100 a month. State tax forms 2012 Your exclusion ends after 100 months, when you have excluded your net cost of $10,000. State tax forms 2012 Thereafter, your annuity payments are fully taxable. State tax forms 2012 Example 2. State tax forms 2012 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. State tax forms 2012 The adjustment for the refund feature is $1,000, so the investment in the contract is $9,000. State tax forms 2012 The exclusion ratio is 10. State tax forms 2012 8%, and your monthly exclusion is $90. State tax forms 2012 After 5 years (60 months), you have recovered tax free only $5,400 ($90 x 60). State tax forms 2012 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. State tax forms 2012 Your unrecovered investment is determined without regard to the refund feature adjustment, discussed earlier, under Adjustments. State tax forms 2012 Exclusion not limited to net cost. State tax forms 2012   If your annuity starting date was before 1987, you could continue to take your monthly exclusion for as long as you receive your annuity. State tax forms 2012 If you choose a joint and survivor annuity, your survivor continues to take the survivor's exclusion figured as of the annuity starting date. State tax forms 2012 The total exclusion may be more than your investment in the contract. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 These tables correspond to the old Tables I through IV. State tax forms 2012 In general, Tables V through VIII must be used if you made contributions to the retirement plan after June 30, 1986. State tax forms 2012 If you made no contributions to the plan after June 30, 1986, generally you must use only Tables I through IV. State tax forms 2012 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). State tax forms 2012 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. State tax forms 2012 Contributions made both before July 1986 and after June 1986. State tax forms 2012   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. State tax forms 2012 (See the examples below. State tax forms 2012 )    Making the election. State tax forms 2012 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. State tax forms 2012 72–6 of the Income Tax Regulations. State tax forms 2012 ”   The statement must also include your name, address, social security number, and the amount of the pre-July 1986 investment in the contract. State tax forms 2012   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. State tax forms 2012 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. State tax forms 2012    Advantages of election. State tax forms 2012 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. State tax forms 2012    If you intend to make this election, save your records that substantiate your pre-July 1986 and post-June 1986 contributions. State tax forms 2012 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. State tax forms 2012   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. State tax forms 2012 Example 1. State tax forms 2012 Bill, who is single, contributed $42,000 to the retirement plan and will receive an annual annuity of $24,000 for life. State tax forms 2012 Payment of the $42,000 contribution is guaranteed under a refund feature. State tax forms 2012 Bill is 55 years old as of the annuity starting date. State tax forms 2012 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. State tax forms 2012       Pre- July 1986   Post- June 1986 A. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 Expected return         1) Annual annuity receivable $24,000   $24,000   2) Multiples from Tables I and V 21. State tax forms 2012 7   28. State tax forms 2012 6   3) Expected return, C(1) × C(2) $520,800   $686,400 D. State tax forms 2012 Tax-free part of annuity         1) Exclusion ratio as decimal,  B(3) ÷ C(3) . State tax forms 2012 079   . State tax forms 2012 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). State tax forms 2012 The taxable part of his annuity is $22,080 ($24,000 minus $1,920). State tax forms 2012 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). State tax forms 2012 Example 2. State tax forms 2012 Al is age 62 at his nearest birthday to the annuity starting date. State tax forms 2012 Al's wife is age 60 at her nearest birthday to the annuity starting date. State tax forms 2012 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. State tax forms 2012 The pre-July 1986 investment in the contract is $53,100 and the post-June 1986 investment in the contract is $7,000. State tax forms 2012 Al makes the election described in Example 1 . State tax forms 2012 For purposes of this example, assume the refund feature adjustment is zero. State tax forms 2012 If an adjustment is required, IRS will figure the amount. State tax forms 2012 See Requesting a Ruling on Taxation of Annuity near the end of this publication. State tax forms 2012       Pre-  July 1986   Post-  June 1986 A. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 Expected return         1) Multiple for both annuitants from Tables II and VI 25. State tax forms 2012 4   28. State tax forms 2012 8   2) Multiple for first annuitant from Tables I and V 16. State tax forms 2012 9   22. State tax forms 2012 5   3) Multiple applicable to surviving annuitant, subtract C(2) from C(1) 8. State tax forms 2012 5   6. State tax forms 2012 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. State tax forms 2012 Tax-free part of annuity         1) Exclusion ratio as a decimal, B(3) ÷ C(8) . State tax forms 2012 209   . State tax forms 2012 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). State tax forms 2012 The taxable part of his annuity is $9,216 ($12,000 − $2,784). State tax forms 2012 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. State tax forms 2012 After Al's death, his widow will apply the same exclusion percentages (20. State tax forms 2012 9% and 2. State tax forms 2012 3%) to her annual annuity of $6,000 to figure the tax-free part of her annuity. State tax forms 2012 Annuity received after June 30, 1986. State tax forms 2012   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. State tax forms 2012 Once made, you cannot revoke the election, which will apply to all payments during the year and in any later year. State tax forms 2012    Make the election by attaching the following statement to your income tax return. State tax forms 2012    “I elect, under section 1. State tax forms 2012 72–9 of the Income Tax Regulations, to treat my entire cost of the contract as a post-June 1986 cost of the plan. State tax forms 2012 ”   The statement must also include your name, address, and social security number. State tax forms 2012   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. State tax forms 2012 Disqualifying form of payment or settlement. State tax forms 2012   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. State tax forms 2012 See regulations section 1. State tax forms 2012 72–6(d)(3) for additional examples of disqualifying forms of payment or settlement. State tax forms 2012 You can find the Income Tax Regulations in many libraries and at Internal Revenue Service Offices. State tax forms 2012 Worksheets for Determining Taxable Annuity Worksheets I and II. State tax forms 2012   Worksheets I and II follow for determining your taxable annuity under Regulations Section 1. State tax forms 2012 72–6(d)(6) Election. State tax forms 2012 Worksheet I For Determining Taxable Annuity Under Regulations Section 1. State tax forms 2012 72-6(d)(6) Election For Single Annuitant With No Survivor Annuity               Pre-July 1986   Post-June 1986 A. State tax forms 2012   Refund Feature Adjustment             1)   Net cost (total cost less returned premiums, dividends, etc. State tax forms 2012 )             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. State tax forms 2012 If not, the IRS will calculate the refund feature percentage. State tax forms 2012             6)   Refund feature adjustment:                   A(5) times lesser of A(1) or A(3)                             B. State tax forms 2012   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. State tax forms 2012   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. State tax forms 2012   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. State tax forms 2012     Worksheet II For Determining Taxable Annuity Under Regulations Section 1. State tax forms 2012 72-6(d)(6) Election For Joint and Survivor Annuity               Pre-July 1986   Post-June 1986 A. State tax forms 2012   Refund Feature Adjustment             1)   Net cost (total cost less returned premiums, dividends, etc. State tax forms 2012 )             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. State tax forms 2012 If not, the IRS will calculate the refund feature percentage. State tax forms 2012             6)   Refund feature adjustment:                   A(5) times lesser of A(1) or A(3)                             B. State tax forms 2012   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. State tax forms 2012   Expected Return             1)   Multiples for both annuitants, Tables II and VI             2)   Multiple for retiree. State tax forms 2012 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. State tax forms 2012   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. State tax forms 2012   Actuarial Tables Please click here for the text description of the image. State tax forms 2012 Actuarial Tables Please click here for the text description of the image. State tax forms 2012 Actuarial Tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 Actuarial tables Please click here for the text description of the image. State tax forms 2012 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. State tax forms 2012 If you make this request, you are asking for a ruling. State tax forms 2012 User fee. State tax forms 2012   Under the law in effect at the time this publication went to print, the IRS must charge a user fee for all ruling requests. State tax forms 2012 You should call the IRS for the proper fee. State tax forms 2012 A request solely for the value of the refund feature is not treated as a ruling request and requires no fee. State tax forms 2012 Send your request to:     Internal Revenue Service  Attention: EP Letter Rulings P. State tax forms 2012 O. State tax forms 2012 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. State tax forms 2012 When to make the request. State tax forms 2012   Please note that requests sent between February 1 and April 15 may experience some delay. State tax forms 2012 We process requests in the order received, and we will reply to your request as soon as we can process it. State tax forms 2012 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. State tax forms 2012 S. State tax forms 2012 Individual Income Tax Return, to get an extension of time to file. State tax forms 2012 Information you must furnish. State tax forms 2012   You must furnish the information listed below so the IRS can comply with your request. State tax forms 2012 Failure to furnish the information will result in a delay in processing your request. State tax forms 2012 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. State tax forms 2012 Copies of any documents showing distributions, annuity rates, and annuity options available to you. State tax forms 2012 A copy of any Form 1099–R you received since your annuity began. State tax forms 2012 A statement indicating whether you have filed your return for the year for which you are making the request. State tax forms 2012 If you have requested an extension of time to file that return, please indicate the extension date. State tax forms 2012 Your daytime phone number. State tax forms 2012 Your current mailing address. State tax forms 2012 A power of attorney if someone other than you, an attorney, a certified public accountant, or an enrolled agent is signing this request. State tax forms 2012 Form 2848, Power of Attorney and Declaration of Representative, may be used for this purpose. State tax forms 2012 A completed Tax Information Sheet (or facsimile) shown on the next page. State tax forms 2012 Sign and date the Disclosure and Perjury Statement (or facsimile) at the end of the tax information sheet. State tax forms 2012 This statement must be signed by the retiree or the survivor annuitant. State tax forms 2012 It cannot be signed by a representative. State tax forms 2012 Tax Information Sheet Please click here for the text description of the image. State tax forms 2012 Tax Information Sheet Please click here for the text description of the image. State tax forms 2012 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. State tax forms 2012 Free help with your tax return. State tax forms 2012   You can get free help preparing your return nationwide from IRS-certified volunteers. State tax forms 2012 The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. State tax forms 2012 The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. State tax forms 2012 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. State tax forms 2012 In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. State tax forms 2012 To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. State tax forms 2012 gov, download the IRS2Go app, or call 1-800-906-9887. State tax forms 2012   As part of the TCE program, AARP offers the Tax-Aide counseling program. State tax forms 2012 To find the nearest AARP Tax-Aide site, visit AARP's website at www. State tax forms 2012 aarp. State tax forms 2012 org/money/taxaide or call 1-888-227-7669. State tax forms 2012 For more information on these programs, go to IRS. State tax forms 2012 gov and enter “VITA” in the search box. State tax forms 2012 Internet. State tax forms 2012    IRS. State tax forms 2012 gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. State tax forms 2012 Download the free IRS2Go app from the iTunes app store or from Google Play. State tax forms 2012 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. State tax forms 2012 Check the status of your 2013 refund with the Where's My Refund? application on IRS. State tax forms 2012 gov or download the IRS2Go app and select the Refund Status option. State tax forms 2012 The IRS issues more than 9 out of 10 refunds in less than 21 days. State tax forms 2012 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. State tax forms 2012 You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. State tax forms 2012 The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. State tax forms 2012 Use the Interactive Tax Assistant (ITA) to research your tax questions. State tax forms 2012 No need to wait on the phone or stand in line. State tax forms 2012 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. State tax forms 2012 When you reach the response screen, you can print the entire interview and the final response for your records. State tax forms 2012 New subject areas are added on a regular basis. State tax forms 2012  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. State tax forms 2012 gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. State tax forms 2012 You can use the IRS Tax Map, to search publications and instructions by topic or keyword. State tax forms 2012 The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. State tax forms 2012 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. State tax forms 2012 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. State tax forms 2012 You can also ask the IRS to mail a return or an account transcript to you. State tax forms 2012 Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. State tax forms 2012 gov or by calling 1-800-908-9946. State tax forms 2012 Tax return and tax account transcripts are generally available for the current year and the past three years. State tax forms 2012 Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. State tax forms 2012 Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. State tax forms 2012 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. State tax forms 2012 Check the status of your amended return using Where's My Amended Return? Go to IRS. State tax forms 2012 gov and enter Where's My Amended Return? in the search box. State tax forms 2012 You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. State tax forms 2012 It can take up to 3 weeks from the date you mailed it to show up in our system. State tax forms 2012 Make a payment using one of several safe and convenient electronic payment options available on IRS. State tax forms 2012 gov. State tax forms 2012 Select the Payment tab on the front page of IRS. State tax forms 2012 gov for more information. State tax forms 2012 Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. State tax forms 2012 Figure your income tax withholding with the IRS Withholding Calculator on IRS. State tax forms 2012 gov. State tax forms 2012 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. State tax forms 2012 Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. State tax forms 2012 gov. State tax forms 2012 Request an Electronic Filing PIN by going to IRS. State tax forms 2012 gov and entering Electronic Filing PIN in the search box. State tax forms 2012 Download forms, instructions and publications, including accessible versions for people with disabilities. State tax forms 2012 Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. State tax forms 2012 gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. State tax forms 2012 An employee can answer questions about your tax account or help you set up a payment plan. State tax forms 2012 Before you visit, check the Office Locator on IRS. State tax forms 2012 gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. State tax forms 2012 If you have a special need, such as a disability, you can request an appointment. State tax forms 2012 Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. State tax forms 2012 Apply for an Employer Identification Number (EIN). State tax forms 2012 Go to IRS. State tax forms 2012 gov and enter Apply for an EIN in the search box. State tax forms 2012 Read the Internal Revenue Code, regulations, or other official guidance. State tax forms 2012 Read Internal Revenue Bulletins. State tax forms 2012 Sign up to receive local and national tax news and more by email. State tax forms 2012 Just click on “subscriptions” above the search box on IRS. State tax forms 2012 gov and choose from a variety of options. State tax forms 2012    Phone. State tax forms 2012 You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. State tax forms 2012 Download the free IRS2Go app from the iTunes app store or from Google Play. State tax forms 2012 Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. State tax forms 2012 gov, or download the IRS2Go app. State tax forms 2012 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. State tax forms 2012 The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. State tax forms 2012 Mos
Español

Get the Help You Need

Don't give up if you are not satisfied with the seller's response to your complaint. Once you have given the seller a reasonable amount of time to respond, consider filing a complaint with one or more of these outside organizations.

  • State or local consumer protection offices – These government agencies mediate complaints, conduct investigations, and prosecute offenders of consumer laws.
  • Better Business Bureaus – This network of nonprofit organizations supported by local businesses tries to resolve buyer complaints against sellers. Records are kept on unresolved complaints as a source of information for the seller's future customers. The umbrella organization for the BBBs assists with complaints concerning the truthfulness of national advertising and helps settle disputes with automobile manufacturers through the BBB AUTO LINE program.
  • Trade associations – Companies selling similar products or services often belong to an industry association that will help resolve problems between their members and consumers.
  • National consumer organizations – Some of these organizations assist consumers with complaints. Others may be unable to help individuals but are interested in hearing about problems that may influence their education and advocacy efforts.
  • State regulatory agencies that have jurisdiction over the business – For example, banking, securities, insurance, and utilities are regulated at the state level. State Weights and Measures Offices are concerned with accurate measures and counts of packaged goods. They also check the accuracy of weighing and measuring devices such as supermarket scales, gasoline pumps, taxi meters and rental car odometers.
  • State and local licensing agencies – Doctors, lawyers, home improvement contractors, auto repair shops, debt collectors, and childcare providers are required to register or be licensed. The board or agency that oversees this process may handle complaints and have the authority to take disciplinary action. Your state or local consumer protection office can help you identify the appropriate agency.
  • Media programs – Local newspapers, radio stations, and television stations often have Action Lines or Hotline services that try to resolve consumer complaints they receive. To find these services, check with your local newspapers or broadcast stations.
  • Consumer Product Safety Commission (CPSC) – Report a safety concern or incident with a consumer product at CPSC's website, saferproducts.gov, even if you are able to contact the seller. Your report can help other consumers avoid unsafe products.

Dispute Resolution Programs

Some companies and industries offer programs to address disagreements between buyers and sellers. The auto industry has several of these programs. The National Association of Security Dealers offers a program designed to resolve investment-related disputes. Some small claims courts also offer a dispute resolution program as an alternative to a trial.

Mediation, arbitration, and conciliation are three common types of dispute resolution. During mediation, both sides involved in the dispute meet with a neutral third party and create their own agreement jointly. Arbitration uses a different approach, the third party decides how to settle the problem. Request a copy of the rules of any program before making a decision to participate. You will want to know beforehand if the decision is binding. Some programs do not require both parties to accept the decision. Also ask whether participation in the program place any restrictions on your ability to take other legal action? The American Bar Association publishes a directory of state and local dispute resolution programs.

Beware of Recovery Services

A scam artist has taken your money. Don't be scammed again by a "recovery service" offering to get your money back for you. The service is just trying to take your last dime. There is no charge for filing a complaint with a government agency.

The State Tax Forms 2012

State tax forms 2012 Publication 516 - Introductory Material Table of Contents Future Developments What's New Reminders IntroductionOrdering forms and publications. State tax forms 2012 Tax questions. State tax forms 2012 Useful Items - You may want to see: Future Developments For the latest information about developments related to Publication 516, such as treaties effective after it was published, go to www. State tax forms 2012 irs. State tax forms 2012 gov/pub516. State tax forms 2012 What's New U. State tax forms 2012 S. State tax forms 2012 tax treaties and foreign tax laws. State tax forms 2012  This publication has been expanded to cover U. State tax forms 2012 S. State tax forms 2012 tax treaties and compliance with foreign tax laws. State tax forms 2012 Reminders Combat zone participants. State tax forms 2012  If you were a civilian who served in a combat zone or qualified hazardous duty area in support of the U. State tax forms 2012 S. State tax forms 2012 Armed Forces, you can get certain extensions of deadlines for filing tax returns, paying taxes, filing claims for refund, and doing certain other tax-related acts. State tax forms 2012 For details, see Publication 3, Armed Forces' Tax Guide. State tax forms 2012 Death due to terrorist or military action. State tax forms 2012  U. State tax forms 2012 S. State tax forms 2012 income taxes are forgiven for a U. State tax forms 2012 S. State tax forms 2012 Government civilian employee who dies as a result of wounds or injuries incurred while employed by the U. State tax forms 2012 S. State tax forms 2012 Government. State tax forms 2012 The wounds or injuries must have been caused by terrorist or military action directed against the United States or its allies. State tax forms 2012 The taxes are forgiven for the deceased employee's tax years beginning with the year immediately before the year in which the wounds or injury occurred and ending with the year of death. State tax forms 2012 If the deceased government employee and the employee's spouse filed a joint return, only the decedent's part of the joint tax liability is forgiven. State tax forms 2012 For additional details, see Publication 559, Survivors, Executors, and Administrators. State tax forms 2012 Form 8938. State tax forms 2012  If you had foreign financial assets in 2012, you may have to file Form 8938 with your return. State tax forms 2012 See Foreign Bank Accounts, later. State tax forms 2012 Introduction If you are a U. State tax forms 2012 S. State tax forms 2012 citizen working for the U. State tax forms 2012 S. State tax forms 2012 Government, including the foreign service, and you are stationed abroad, your income tax filing requirements are generally the same as those for citizens and residents living in the United States. State tax forms 2012 You are taxed on your worldwide income, even though you live and work abroad. State tax forms 2012 However, you may receive certain allowances and have certain expenses that you generally do not have while living in the United States. State tax forms 2012 This publication explains: Many of the allowances, reimbursements, and property sales you are likely to have, and whether you must report them as income on your tax return, and Many of the expenses you are likely to have, such as moving expenses and foreign taxes, and whether you can deduct them on your tax return. State tax forms 2012 U. State tax forms 2012 S. State tax forms 2012 possessions. State tax forms 2012   This publication does not cover the rules that apply if you are stationed in American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, the Virgin Islands, or Puerto Rico. State tax forms 2012 That information is in Publication 570, Tax Guide for Individuals With Income From U. State tax forms 2012 S. State tax forms 2012 Possessions. State tax forms 2012 Comments and suggestions. State tax forms 2012   We welcome your comments about this publication and your suggestions for future editions. State tax forms 2012   You can write to us at the following address: Internal Revenue Service Business Forms and Publications Branch SE:W:CAR:MP:T:B 1111 Constitution Ave. State tax forms 2012 NW, IR-6526 Washington, DC 20224   We respond to many letters by telephone. State tax forms 2012 Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence. State tax forms 2012   You can email us at taxforms@irs. State tax forms 2012 gov. State tax forms 2012 Please put “Publications Comment” on the subject line. State tax forms 2012 You can also send us comments from www. State tax forms 2012 irs. State tax forms 2012 gov/formspubs/. State tax forms 2012 Select “Comment on Tax Forms and Publications” under “Information about. State tax forms 2012 ”   Although we cannot respond individually to each comment received, we do appreciate your feedback and will consider your comments as we revise our tax products. State tax forms 2012 Ordering forms and publications. State tax forms 2012   Visit www. State tax forms 2012 irs. State tax forms 2012 gov/formspubs/ to download forms and publications, call 1-800-829-3676, or write to the address below and receive a response within 10 days after your request is received. State tax forms 2012 Internal Revenue Service 1201 N. State tax forms 2012 Mitsubishi Motorway Bloomington, IL 61705-6613 Tax questions. State tax forms 2012   If you have a tax question, check the information available on IRS. State tax forms 2012 gov or call 1-800-829-1040. State tax forms 2012 We cannot answer tax questions sent to either of the above addresses. State tax forms 2012 Useful Items - You may want to see: Publication 54 Tax Guide for U. State tax forms 2012 S. State tax forms 2012 Citizens and Resident Aliens Abroad 463 Travel, Entertainment, Gift, and Car Expenses 514 Foreign Tax Credit for Individuals 519 U. State tax forms 2012 S. State tax forms 2012 Tax Guide for Aliens 521 Moving Expenses 523 Selling Your Home Form (and Instructions) Schedule A (Form 1040) Itemized Deductions 1116 Foreign Tax Credit 2106 Employee Business Expenses 2106-EZ Unreimbursed Employee Business Expenses 3903 Moving Expenses 4868 Application for Automatic Extension of Time To File U. State tax forms 2012 S. State tax forms 2012 Individual Income Tax Return 8938 Statement of Specified Foreign Financial Assets TD F 90-22. State tax forms 2012 1 Report of Foreign Bank and Financial Accounts See How To Get Tax Help near the end of this publication, for information about getting these publications and forms. State tax forms 2012 Prev  Up  Next   Home   More Online Publications