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

Turbotax 2010 Online

Illinois State Tax Forms 2011Unemployed Tax Return1040ez 2011Filing State Taxes For FreeFile State Tax Return For FreeAarp Tax Aide2006 Income Tax FormsFree Federal And State Tax Filing 2013Tax 2011 FormFile Taxes 20122010 E FileH R Block 2011 DownloadTax PreparationIrs Forms Amended Return2012 Form 1040 EzPrevious Year Tax ReturnFree Tax Filing For Federal And StateStudents And TaxesIrs 2011 Taxes OnlineTax Form 1040x Free DownloadHow To File An Amended Tax Return For 2012Taxes Hrblock ComE File 2012 Federal TaxesWhere Can I Do State Taxes For FreeAmend 2012 Tax Return OnlineH&r Block File 2010 Taxes2010 Irs Form 1040ezHow To File 2012 Tax Return LateH And R BlockAmended Federal Tax ReturnForms 1040xFree Tax Filing For 2010Tax Software 2005 2006Where Can I Get State Tax FormsFree Federal TaxesH&r Block Amended Tax ReturnFile Free State TaxesFree Tax PrepHow To Ammend 2010 Tax ReturnFile An Amended Tax Return

Turbotax 2010 Online

Turbotax 2010 online Accelerated Cost Recovery System (ACRS) Table of Contents Topics - This chapter discusses: Useful Items - You may want to see: ACRS Defined What Can and Cannot Be Depreciated Under ACRSRecovery Property Nonrecovery Property How To Figure the DeductionUnadjusted Basis Classes of Recovery Property Recovery Periods Alternate ACRS Method (Modified Straight Line Method) ACRS Deduction in Short Tax Year DispositionsEarly dispositions of ACRS property other than 15-, 18-, or 19-year real property. Turbotax 2010 online Dispositions — mass asset accounts. Turbotax 2010 online Early dispositions — 15-year real property. Turbotax 2010 online Early dispositions — 18- and 19-year real property. Turbotax 2010 online Depreciation Recapture Topics - This chapter discusses: The definition of ACRS What can and cannot be depreciated under ACRS How to figure the deduction Dispositions Useful Items - You may want to see: Publication 544 Sales and Other Dispositions of Assets 551 Basis of Assets 583 Starting a Business and Keeping Records Form (and Instructions) 3115 Application for Change in Accounting Method 4562 Depreciation and Amortization The Accelerated Cost Recovery System (ACRS) applies to property first used before 1987. Turbotax 2010 online It is the name given to tax rules for getting back (recovering) through depreciation deductions the cost of property used in a trade or business or to produce income. Turbotax 2010 online These rules are mandatory and generally apply to tangible property placed in service after 1980 and before 1987. Turbotax 2010 online If you placed property in service during this period, you must continue to figure your depreciation under ACRS. Turbotax 2010 online If you used listed property placed in service after June 18, 1984, less than 50% for business in 1995, see Predominant Use Test in chapter 3. Turbotax 2010 online Listed property includes cars, other means of transportation, and certain computers. Turbotax 2010 online Any additions or improvements placed in service after 1986, including any components of a building (such as plumbing, wiring, storm windows, etc. Turbotax 2010 online ), are depreciated using MACRS, discussed in chapter 3 of Publication 946. Turbotax 2010 online It does not matter that the underlying property is depreciated under ACRS or one of the other methods. Turbotax 2010 online ACRS Defined ACRS consists of accelerated depreciation methods and an alternate ACRS method that could have been elected. Turbotax 2010 online The alternate ACRS method used a recovery percentage based on a modified straight line method. Turbotax 2010 online The law prescribes fixed percentages to be uses for each class of property. Turbotax 2010 online Property depreciable under ACRS is called recovery property. Turbotax 2010 online The recovery class of property determines the recovery period. Turbotax 2010 online Generally, the class life of property places it in a 3-year, 5-year, 10-year, 15-year, 18-year, or 19-year recovery class. Turbotax 2010 online Under ACRS, the prescribed percentages are used to recover the unadjusted basis of recovery property. Turbotax 2010 online To figure a depreciation deduction, you multiply the prescribed percentage for the recovery class by the unadjusted basis of the recovery property. Turbotax 2010 online You must continue to figure your depreciation under ACRS for property placed in service after 1980 and before 1987. Turbotax 2010 online For property you placed in service after 1986, you must use MACRS, discussed in chapter 3 of Publication 946. Turbotax 2010 online What Can and Cannot Be Depreciated Under ACRS ACRS applies to most depreciable tangible property placed in service after 1980 and before 1987. Turbotax 2010 online It includes new or used and real or personal property. Turbotax 2010 online The property must be for use in a trade or business or for the production of income. Turbotax 2010 online Property you acquired before 1981 or after 1986 is not ACRS recovery property. Turbotax 2010 online For information on depreciating property acquired before 1981, see chapter 2. Turbotax 2010 online For information on depreciating property acquired after 1986, see chapter 3 of Publication 946. Turbotax 2010 online Recovery Property Recovery property under ACRS is tangible depreciable property placed in service after 1980 and before 1987. Turbotax 2010 online It generally includes new or used property that you acquired after 1980 and before 1987 for use in your trade or business or for the production of income. Turbotax 2010 online Nonrecovery Property You cannot use ACRS for property you placed in service before 1981 or after 1986. Turbotax 2010 online Nonrecovery property also includes: Intangible property, Property you elected to exclude from ACRS that is properly depreciated under a method of depreciation that is not based on a term of years, Certain public utility property, and Certain property acquired and excluded from ACRS because of the antichurning rules. Turbotax 2010 online Intangible property. Turbotax 2010 online   Intangible property is not depreciated under ACRS. Turbotax 2010 online Property depreciated under methods not expressed in a term of years. Turbotax 2010 online   Certain property depreciated under a method not expressed in a term of years is not depreciated under ACRS. Turbotax 2010 online This included any property: If you made an irrevocable election to exclude such property, and In the first year that you could have claimed depreciation, you properly used the unit-of-production method or any method of depreciation not expressed in a term of years (not including the retirement-replacement-betterment method). Turbotax 2010 online Public utility property. Turbotax 2010 online   Public utility property for which the taxpayer does not use a normalization method of accounting is excluded from ACRS and is subject to depreciation under a special rule. Turbotax 2010 online Additions or improvements to ACRS property after 1986. Turbotax 2010 online   Any additions or improvements placed in service after 1986, including any components of a building (plumbing, wiring, storm windows, etc. Turbotax 2010 online ) are depreciated using MACRS, discussed in chapter 3 of Publication 946. Turbotax 2010 online It does not matter that the underlying property is depreciated under ACRS or one of the other methods. Turbotax 2010 online How To Figure the Deduction After you determine that your property can be depreciated under ACRS, you are ready to figure your deduction. Turbotax 2010 online Because the conventions are built into the percentage table rates, you only need to know the following: The unadjusted basis of your recovery property, The classes of recovery property, The recovery periods, and Whether to use the prescribed percentages based on accelerated methods or percentages based on using the alternate ACRS method. Turbotax 2010 online Unadjusted Basis To figure your ACRS deduction, you multiply the unadjusted basis in your recovery property by its applicable percentage for the year. Turbotax 2010 online Unadjusted basis is the same amount you would use to figure gain on a sale, but it is figured without taking into account any depreciation taken in earlier years. Turbotax 2010 online However, reduce your original basis by the amount of amortization taken on the property and by any section 179 deduction claimed as discussed in chapter 2 of Publication 946. Turbotax 2010 online If you buy property, your unadjusted basis is usually its cost minus any amortized amount and minus any section 179 deduction elected. Turbotax 2010 online If you acquire property in some other way, such as by inheriting it, getting it as a gift, or building it yourself, you figure your unadjusted basis under other rules. Turbotax 2010 online See Publication 551. Turbotax 2010 online Classes of Recovery Property All recovery property under ACRS is in one of the following classes. Turbotax 2010 online The class for your property was determined when you began to depreciate it. Turbotax 2010 online 3-Year Property 3-year property includes automobiles, light-duty trucks (actual unloaded weight less than 13,000 pounds), and tractor units for use over-the-road. Turbotax 2010 online Race horses over 2 years old when placed in service are 3-year property. Turbotax 2010 online Any other horses over 12 years old when you placed them in service are also included in the 3-year property class. Turbotax 2010 online The ACRS percentages for 3-year recovery property are: Recovery Period Percentage 1st year 25% 2nd year 38% 3rd year 37% If you used the percentages above to depreciate your 3-year recovery property, your property, except for certain passenger automobiles, is fully depreciated. Turbotax 2010 online You cannot claim depreciation for this property after 1988. Turbotax 2010 online 5-Year Property 5-year property includes computers, copiers, and equipment, such as office furniture and fixtures. Turbotax 2010 online It also includes single purpose agricultural or horticultural structures and petroleum storage facilities (other than buildings and their structural components). Turbotax 2010 online The ACRS percentages for 5-year recovery property are: Recovery period Percentage 1st year 15% 2nd year 22% 3rd through 5th year 21% If you used the percentages above to depreciate your 5-year recovery property, it is fully depreciated. Turbotax 2010 online You cannot claim depreciation for this property after 1990. Turbotax 2010 online 10-Year Property 10-year property includes certain real property such as theme-park structures and certain public utility property. Turbotax 2010 online Manufactured homes (including mobile homes) and railroad tank cars are also 10-year property. Turbotax 2010 online You do not treat a building, and its structural components, as 10-year property by reason of a change in use after you placed the property in service. Turbotax 2010 online For example, a building (15-year real property) that was placed in service in 1981 and was converted to a theme-park structure in 1986 remains 15-year real property. Turbotax 2010 online The ACRS percentages for 10-year recovery property are: Recovery Period Percentage 1st year 8% 2nd year 14% 3rd year 12% 4th through 6th year 10% 7th through 10th year 9% If you used the percentages above, you cannot claim depreciation for this property after 1995. Turbotax 2010 online Example. Turbotax 2010 online On April 21, 1986, you bought and placed in service a new mobile home for $26,000 to be used as rental property. Turbotax 2010 online You paid $10,000 cash and signed a note for $16,000 giving you an unadjusted basis of $26,000. Turbotax 2010 online On June 8, 1986, you bought and placed in service a used mobile home for use as rental property at a total cost of $11,500. Turbotax 2010 online The total unadjusted basis of your 10-year recovery property placed in service in 1986 was $37,500 ($26,000 + $11,500). Turbotax 2010 online Your ACRS deduction was $3,000 (8% × $37,500). Turbotax 2010 online In 1987, your ACRS deduction was $5,250 (14% × $37,500). Turbotax 2010 online In 1988, your ACRS deduction was $4,500 (12% × $37,500). Turbotax 2010 online In 1989, 1990, and 1991, your ACRS deduction was $3,750 (10% × $37,500). Turbotax 2010 online In 1992, 1993, 1994, and 1995 your deduction for each year is $3,375 (9% × $37,500). Turbotax 2010 online 15-Year Real Property 15-year real property is real property that is recovery property placed in service before March 16, 1984. Turbotax 2010 online It includes all real property, such as buildings, other than that designated as 5-year or 10-year property. Turbotax 2010 online Unlike the 3-, 5-, or 10-year classes of property, the percentages for 15-year real property depend on when you placed the property in service during your tax year. Turbotax 2010 online You could group 15-year real property by month and year placed in service. Turbotax 2010 online In Table 1, at the end of this publication in the Appendix, find the month in your tax year that you placed the property in service in your trade or business or for the production of income. Turbotax 2010 online You use the percentages listed under that month for each year of the recovery period to determine your depreciation deduction each year. Turbotax 2010 online Example. Turbotax 2010 online On March 5, 1984, you placed an apartment building in service in your business. Turbotax 2010 online It is 15-year real property. Turbotax 2010 online After subtracting the value of the land, your unadjusted basis in the building is $250,000. Turbotax 2010 online You use the calendar year as your tax year. Turbotax 2010 online March is the third month of your tax year. Turbotax 2010 online Your ACRS deduction for 1984 was $25,000 (10% × $250,000). Turbotax 2010 online For 1985, the percentage for the third month of the second year of the recovery period is 11%. Turbotax 2010 online Your deduction was $27,500 (11% × $250,000). Turbotax 2010 online For the third, fourth, and fifth years of the recovery period (1986, 1987, and 1988), the percentages are 9%, 8%, and 7%. Turbotax 2010 online For 1989 through 1992, the percentage for the third month is 6%. Turbotax 2010 online Your deduction each year is $15,000 (6% × $250,000). Turbotax 2010 online For 1993, 1994, and 1995, the percentage for the third month is 5%. Turbotax 2010 online Your depreciation deduction is $12,500 (5% × $250,000) for 1993, 1994, and 1995. Turbotax 2010 online Low-Income Housing Low-income housing that was assigned a 15-year recovery period under ACRS includes the following types of property: Federally assisted housing projects where the mortgage is insured under section 221(d)(3) or 236 of the National Housing Act, or housing financed or assisted by direct loan or tax abatement under similar provisions of state or local laws. Turbotax 2010 online Low-income rental housing for which a depreciation deduction for rehabilitation expenditures is allowed. Turbotax 2010 online Low-income rental housing held for occupancy by families or individuals eligible to receive subsidies under section 8 of the United States Housing Act of 1937, as amended, or under the provisions of state or local laws that authorize similar subsidies for low-income families. Turbotax 2010 online Housing financed or assisted by direct loan or insured under Title V of the Housing Act of 1949. Turbotax 2010 online The ACRS percentages for low-income housing real property, like the regular 15-year real property percentages, depend on when you placed the property in service. Turbotax 2010 online Find the month in your tax year in Table 2 or 3 at the end of this publication in the Appendix that you first placed the property in service as rental housing. Turbotax 2010 online Use the percentages listed under that month for each year of the recovery period. Turbotax 2010 online Table 2 shows percentages for low-income housing placed in service before May 9, 1985. Turbotax 2010 online Table 3 shows percentages for low-income housing placed in service after May 8, 1985, and before 1987. Turbotax 2010 online Example. Turbotax 2010 online In May 1986, you acquired and placed in service a house that qualified as low-income rental housing under item 3) of the above listing. Turbotax 2010 online You use the calendar year as your tax year. Turbotax 2010 online You use Table C–3 because the property was placed in service after May 8, 1985. Turbotax 2010 online Your unadjusted basis for the property, not including the land, was $59,000. Turbotax 2010 online Your deduction for 1986 through 2001 is shown in the following table. Turbotax 2010 online Year Rate Deduction 1986 8. Turbotax 2010 online 9% $5,251 1987 12. Turbotax 2010 online 1% 7,139 1988 10. Turbotax 2010 online 5% 6,195 1989 9. Turbotax 2010 online 1% 5,369 1990 7. Turbotax 2010 online 9% 4,661 1991 6. Turbotax 2010 online 9% 4,071 1992 5. Turbotax 2010 online 9% 3,481 1993 5. Turbotax 2010 online 2% 3,068 1994 4. Turbotax 2010 online 6% 2,714 1995 4. Turbotax 2010 online 6% 2,714 1996 4. Turbotax 2010 online 6% 2,714 1997 4. Turbotax 2010 online 6% 2,714 1998 4. Turbotax 2010 online 6% 2,714 1999 4. Turbotax 2010 online 5% 2,655 2000 4. Turbotax 2010 online 5% 2,655 2001 1. Turbotax 2010 online 5% 885 18-Year Real Property 18-year real property is real property that is recovery property placed in service after March 15, 1984, and before May 9, 1985. Turbotax 2010 online It includes real property, such as buildings, other than that designated as 5-year, 10-year, 15-year real property, or low-income housing. Turbotax 2010 online The ACRS percentages for 18-year real property depend on when you placed the property in service in your trade or business or for the production of income during your tax year. Turbotax 2010 online There are also tables for 18-year real property in the Appendix. Turbotax 2010 online Table 4 shows the percentages for 18-year real property you placed in service after June 22, 1984, and before May 9, 1985. Turbotax 2010 online Table 5 is for 18-year real property placed in service after March 15, 1984, and before June 23, 1984. Turbotax 2010 online Find the month in your tax year that you placed the property in service in a trade or business or for the production of income. Turbotax 2010 online Use the percentages listed under that month for each year of the recovery period. Turbotax 2010 online Example. Turbotax 2010 online On April 28, 1985, you bought and placed in service a rental house. Turbotax 2010 online The house, not including the land, cost $95,000. Turbotax 2010 online This is your unadjusted basis for the house. Turbotax 2010 online You use the calendar year as your tax year. Turbotax 2010 online Because the house was placed in service after June 22, 1984, and before May 9, 1985, it is 18-year real property. Turbotax 2010 online You use Table 4 to figure your deduction for the house. Turbotax 2010 online April is the fourth month of your tax year. Turbotax 2010 online Your deduction for 1985 through 2003 is shown in the following table. Turbotax 2010 online Year Rate Deduction 1985 7. Turbotax 2010 online 0% $6,650 1986 9. Turbotax 2010 online 0% 8,550 1987 8. Turbotax 2010 online 0% 7,600 1988 7. Turbotax 2010 online 0% 6,650 1989 7. Turbotax 2010 online 0% 6,650 1990 6. Turbotax 2010 online 0% 5,700 1991 5. Turbotax 2010 online 0% 4,750 1992 5. Turbotax 2010 online 0% 4,750 1993 5. Turbotax 2010 online 0% 4,750 1994 5. Turbotax 2010 online 0% 4,750 1995 5. Turbotax 2010 online 0% 4,750 1996 5. Turbotax 2010 online 0% 4,750 1997 5. Turbotax 2010 online 0% 4,750 1998 4. Turbotax 2010 online 0% 3,800 1999 4. Turbotax 2010 online 0% 3,800 2000 4. Turbotax 2010 online 0% 3,800 2001 4. Turbotax 2010 online 0% 3,800 2002 4. Turbotax 2010 online 0% 3,800 2003 1. Turbotax 2010 online 0% 950 19-Year Real Property 19-year real property is real property that is recovery property placed in service after May 8, 1985, and before 1987. Turbotax 2010 online It includes all real property, other than that designated as 5-year, 10-year, 15-year, or 18-year real property, or low-income housing. Turbotax 2010 online The ACRS percentages for 19-year real property depend on when you placed the property in service in a trade or business or for the production of income during your tax year. Turbotax 2010 online Table 6 shows the percentages for 19-year real property. Turbotax 2010 online You find the month in your tax year that you placed the property in service. Turbotax 2010 online You use the percentages listed under that month for each year of the recovery period. Turbotax 2010 online Recovery Periods Each item of recovery property is assigned to a class of property. Turbotax 2010 online The classes of recovery property establish the recovery periods over which the unadjusted basis of items in a class is recovered. Turbotax 2010 online The classes of property are: 3-Year property 5-Year property 10-Year property 15-Year real property Low-income housing 18-Year real property 19-Year real property Alternate ACRS Method (Modified Straight Line Method) ACRS provides an alternate ACRS method that could be elected. Turbotax 2010 online This alternate ACRS method uses a recovery percentage based on a modified straight line method. Turbotax 2010 online This alternate ACRS method generally uses percentages other than those from the tables. Turbotax 2010 online If you elected the alternate ACRS method, you determine the recovery period by using the following schedule. Turbotax 2010 online This schedule is for other than 18- and 19-year real property and low-income housing: In the case of: You could have elected a recovery period of: 3-year property 3, 5, or 12 years 5-year property 5, 12, or 25 years 15-year real property 15, 35, or 45 years Percentages. Turbotax 2010 online   The straight-line percentages for the alternate ACRS method are: Recovery Period Percentage 5 years 20. Turbotax 2010 online 00% 10 years 10. Turbotax 2010 online 00% 12 years 8. Turbotax 2010 online 333% 15 years 6. Turbotax 2010 online 667% 25 years 4. Turbotax 2010 online 00% 35 years 2. Turbotax 2010 online 857%   You apply the percentage to the unadjusted basis(defined earlier) of the property to figure your ACRS deduction. Turbotax 2010 online There are tables for 18- and 19-year real property later in this publication in the Appendix. Turbotax 2010 online For 15-year real property, see 15-year real property, later. Turbotax 2010 online 3-, 5-, and 10-year property. Turbotax 2010 online   If you elected to use an alternate recovery percentage, you have to use the same recovery percentage for all property in that class that you placed in service in that tax year. Turbotax 2010 online This applies throughout the recovery period you selected. Turbotax 2010 online Half-year convention. Turbotax 2010 online   If you elected the alternate method, only a half-year of depreciation was deducted for the year you placed the property in service. Turbotax 2010 online This applied regardless of when in the tax year you placed the property in service. Turbotax 2010 online For each of the remaining years in the recovery period, you take a full year's deduction. Turbotax 2010 online If you hold the property for the entire recovery period, a half-year of depreciation is allowable for the year following the end of the recovery period. Turbotax 2010 online Example. Turbotax 2010 online You operate a small upholstery business. Turbotax 2010 online On March 19, 1986, you bought and placed in service a $13,000 light-duty panel truck to be used in your business and a $500 electric saw. Turbotax 2010 online You elected to use the alternate ACRS method. Turbotax 2010 online You did not elect to take a section 179 deduction. Turbotax 2010 online You decided to recover the cost of the truck, which is 3-year recovery property, over 5 years. Turbotax 2010 online The saw is 5-year property, but you decided to recover its cost over 12 years. Turbotax 2010 online For 1986, your ACRS deduction reflected the half-year convention. Turbotax 2010 online In the first year, you deducted half of the amount determined for a full year. Turbotax 2010 online Your ACRS deduction for 1986 is as follows: Light-duty truck   5 years straight line = 20% 20% ÷ $13,000 = $2,600 Half-year convention -½ of $2,600= $1,300. Turbotax 2010 online 00     Electric saw   12 years straight line = 8. Turbotax 2010 online 333% 8. Turbotax 2010 online 333% ÷ $500 = $41. Turbotax 2010 online 67 Half-year convention -½ of $41. Turbotax 2010 online 67= 20. Turbotax 2010 online 84 Total ACRS deduction for 1986 $1,320. Turbotax 2010 online 84       You take a full year of depreciation for both the truck and the saw for the years 1987 through 1990. Turbotax 2010 online Your ACRS deduction for each of those years is as follows: Light-duty truck   5 years straight line = 20% 20% ÷ $13,000 = $2,600     Electric saw     12 years straight line = 8. Turbotax 2010 online 333% 8. Turbotax 2010 online 333% ÷ $500 = $41. Turbotax 2010 online 67 Total annual ACRS deduction for 1987 through 1990 $2,641. Turbotax 2010 online 67       In 1991, you take a half-year of depreciation for the truck and a full year of depreciation for the saw. Turbotax 2010 online Your ACRS deduction for 1991 is as follows: Light-duty truck   5 years straight line = 20% 20% ÷ $13,000 = $2,600 Half-year convention -½ of $2,600= $1,300. Turbotax 2010 online 00     Electric saw   12 years straight line = 8. Turbotax 2010 online 333% 8. Turbotax 2010 online 333% ÷ $500 = $41. Turbotax 2010 online 67 Total ACRS deduction for 1991 $1,341. Turbotax 2010 online 67       The truck is fully depreciated after 1991. Turbotax 2010 online You take a full year of depreciation for the saw for the years 1992 through 1997. Turbotax 2010 online Your ACRS deduction for each of those years is as follows: Electric saw     12 years straight line = 8. Turbotax 2010 online 333% 8. Turbotax 2010 online 333% ÷ $500 = $41. Turbotax 2010 online 67 Total annual ACRS deduction for 1992 through 1997 $41. Turbotax 2010 online 67       You take a half-year of depreciation for the saw for 1998. Turbotax 2010 online Your ACRS deduction for 1998 is as follows: Electric saw   12 years straight line = 8. Turbotax 2010 online 333% 8. Turbotax 2010 online 333% ÷ $500 = $41. Turbotax 2010 online 67 Half-year convention -½ of $41. Turbotax 2010 online 67= 20. Turbotax 2010 online 84 Total ACRS deduction for 1998 $20. Turbotax 2010 online 84       The saw is fully depreciated after 1998. Turbotax 2010 online 15-year real property. Turbotax 2010 online   Under ACRS, you could also elect to use the alternate ACRS method for 15-year real property. Turbotax 2010 online The alternate ACRS method allows you to depreciate your 15-year real property using the straight line ACRS method over the alternate recovery periods of 15, 35, or 45 years. Turbotax 2010 online If you selected a 15-year recovery period, you use the percentage (6. Turbotax 2010 online 667%) from the schedule above. Turbotax 2010 online You prorate this percentage for the number of months the property was in service in the first year. Turbotax 2010 online If you selected a 35- or 45-year recovery period, you use either Table 11 or 15. Turbotax 2010 online Alternate periods for 18-year real property. Turbotax 2010 online   For 18-year real property, the alternate recovery periods are 18, 35, or 45 years. Turbotax 2010 online The percentages for 18-year real property under the alternate method are in Tables 7, 8, 10, 11, 14, and 15 in the Appendix. Turbotax 2010 online There are two tables for each alternate recovery period. Turbotax 2010 online One table shows the percentage for property placed in service after June 22, 1984. Turbotax 2010 online The other table has the percentages for property placed in service after March 15, 1984, and before June 23, 1984. Turbotax 2010 online Alternate periods for 19-year real property. Turbotax 2010 online   For 19-year real property, the alternate recovery periods are 19, 35, or 45 years. Turbotax 2010 online If you selected a 19-year recovery period, use Table 9 to determine your deduction. Turbotax 2010 online If you select a 35- or 45-year recovery period, use either Table 13 or 14. Turbotax 2010 online Example. Turbotax 2010 online You placed in service an apartment building on August 3, 1986. Turbotax 2010 online The building is 19-year real property. Turbotax 2010 online The sales contract allocated $300,000 to the building and $100,000 to the land. Turbotax 2010 online You use the calendar year as your tax year. Turbotax 2010 online You chose the alternate ACRS method over a recovery period of 35 years. Turbotax 2010 online For 1986, you figure your ACRS deduction usingTable 13. Turbotax 2010 online August is the eighth month of your tax year. Turbotax 2010 online The percentage from Table 13 for the eighth month is 1. Turbotax 2010 online 1%. Turbotax 2010 online Your deduction was $3,300 ($300,000 ÷ 1. Turbotax 2010 online 1%). Turbotax 2010 online The deduction rate from ACRS Table 13 for years 2 through 20 is 2. Turbotax 2010 online 9% so that your deduction in 1987 through 2005 is $8,700 ($300,000 ÷ 2. Turbotax 2010 online 9%). Turbotax 2010 online Alternate periods for low-income housing. Turbotax 2010 online   For low-income housing, the alternate recovery periods are 15, 35, or 45 years. Turbotax 2010 online If you selected a 15-year period for this property, use 6. Turbotax 2010 online 667% as the percentage. Turbotax 2010 online If you selected a 35- or 45-year period, use either Table 11, 12, or 15. Turbotax 2010 online Election. Turbotax 2010 online   You had to make the election to use the alternate ACRS method by the return due date (including extensions) for the tax year you placed the property in service. Turbotax 2010 online Revocation of election. Turbotax 2010 online   Your election to use an alternate ACRS method, once made, can be changed only with the consent of the Commissioner. Turbotax 2010 online The Commissioner grants consent only in extraordinary circumstances. Turbotax 2010 online Any request for a revocation will be considered a request for a ruling. Turbotax 2010 online ACRS Deduction in Short Tax Year For a tax year that is less than 12 months, the ACRS deduction is prorated on a 12-month basis. Turbotax 2010 online Figure the amount of the ACRS deduction for a short tax year as follows: First, you figure the ACRS deduction for a full year. Turbotax 2010 online You figure this by multiplying the unadjusted basis by the recovery percentage. Turbotax 2010 online You then multiply the ACRS deduction determined for a full tax year by a fraction. Turbotax 2010 online The numerator (top number) of the fraction is the number of months in the short tax year and the denominator (bottom number) is 12. Turbotax 2010 online For example, a corporation placed in service in June 1986 an item of 3-year property with an unadjusted basis of $10,000. Turbotax 2010 online The corporation files a tax return, because of a change in its accounting period, for the 6-month short tax year ending June 30, 1986. Turbotax 2010 online The full year's ACRS deduction for this item is $2,500 ($10,000 ÷ 25%), the first year percentage from the 3-year table. Turbotax 2010 online The ACRS deduction for the short tax year is $1,250 ($2,500 ÷ 6/12). Turbotax 2010 online You use the full ACRS percentages during the remaining years of the recovery period. Turbotax 2010 online For the first tax year after the recovery period, the unrecovered basis will be deductible. Turbotax 2010 online Exception. Turbotax 2010 online   For the tax year in which you placed 15-, 18-, or 19-year real property in service or in the tax year you dispose of it, you compute the ACRS deduction for the number of months that the property is in service during that tax year. Turbotax 2010 online You compute the number of months using either a full month or mid-month convention. Turbotax 2010 online This is true regardless of the number of months in the tax year and the recovery period and method used. Turbotax 2010 online Dispositions A disposition is the permanent withdrawal of property from use in your trade or business or in the production of income. Turbotax 2010 online You can make a withdrawal by sale, exchange, retirement, abandonment, or destruction. Turbotax 2010 online You generally recognize gain or loss on the disposition of an asset by sale. Turbotax 2010 online However, nonrecognition rules can allow you to postpone some gain. Turbotax 2010 online See Publication 544. Turbotax 2010 online If you physically abandon property, you can deduct as a loss the adjusted basis of the asset at the time of its abandonment. Turbotax 2010 online Your intent must be to discard the asset so that you will not use it again or retrieve it for sale, exchange, or other disposition. Turbotax 2010 online Early dispositions. Turbotax 2010 online   The disposal of an asset before the end of its specified recovery period, is referred to as an early disposition. Turbotax 2010 online When an early disposition occurs, the depreciation deduction in the year of disposition depends on the class of property involved. Turbotax 2010 online Early dispositions of ACRS property other than 15-, 18-, or 19-year real property. Turbotax 2010 online   Generally, you get no ACRS deduction for the tax year in which you dispose of or retire recovery property, except for 15-, 18-, and 19-year real property. Turbotax 2010 online This means there is no depreciation deduction under ACRS in the year you dispose of or retire any of your 3-, 5-, or 10-year recovery property. Turbotax 2010 online Dispositions — mass asset accounts. Turbotax 2010 online   The law provides a special rule to avoid the calculation of gain on the disposition of assets from mass asset accounts. Turbotax 2010 online A mass asset account includes items usually minor in value in relation to the group, numerous in quantity, impractical to separately identify, and not usually accounted for on a separate basis, but on a total dollar value. Turbotax 2010 online Examples of mass assets include minor items of office, plant, and store furniture and fixtures. Turbotax 2010 online   Under the special rule, if you elected to use a mass asset account, you recognize gain to the extent of the proceeds from the disposition of the asset. Turbotax 2010 online You leave the unadjusted basis of the property in the account until recovered in future years. Turbotax 2010 online If you did this, include the total proceeds realized from the disposition in income on the tax return for the year of disposition. Turbotax 2010 online Early dispositions — 15-year real property. Turbotax 2010 online   If you dispose of 15-year real property, you base your ACRS deduction for the year of disposition on the number of months in use. Turbotax 2010 online You use a full-month convention. Turbotax 2010 online For a disposition at any time during a particular month before the end of the recovery period, no deduction is allowed for the month of disposition. Turbotax 2010 online This applies whether you use the regular ACRS method or elected the alternate ACRS method. Turbotax 2010 online Example. Turbotax 2010 online You purchased and placed in service a rental house on March 2, 1984, for $98,000 (not including the cost of land). Turbotax 2010 online You file your return based on a calendar year. Turbotax 2010 online Your rate from Table 1 for the third month is 10%. Turbotax 2010 online Your ACRS deduction for 1984 was $9,800 ($98. Turbotax 2010 online 000 ÷ 10%). Turbotax 2010 online For 1985 through 1988, you figured your ACRS deductions using 11%, 9%, 8%, and 7% ÷ $98,000. Turbotax 2010 online For 1989 through 1992, you figured your ACRS deductions using 6% for each year. Turbotax 2010 online The deduction each year was $98,000 ÷ 6%. Turbotax 2010 online For 1993 and 1994, the ACRS deduction is ($98,000 ÷ 5%) $4,900 for each year. Turbotax 2010 online You sell the house on June 1, 1995. Turbotax 2010 online You figure your ACRS deduction for 1995 for the full year and then prorate that amount for the months of use. Turbotax 2010 online The full ACRS deduction for 1995 is $4,900 ($98,000 ÷ 5%). Turbotax 2010 online You then prorate this amount to the 5 months in 1995 during which it was rented. Turbotax 2010 online Your ACRS deduction for 1995 is $2,042 ($4,900 ÷ 5/12). Turbotax 2010 online Early dispositions — 18- and 19-year real property. Turbotax 2010 online   If you dispose of 18- or 19-year real property, you base your ACRS deduction for the year of disposition on the number of months in use. Turbotax 2010 online For 18-year property placed in service before June 23, 1984, use a full-month convention on a disposition. Turbotax 2010 online For 18-year property placed in service after June 22, 1984, and for 19-year property, determine the number of months in use by using the mid-month convention. Turbotax 2010 online Under the mid-month convention,treat real property disposed of any time during a month as disposed of in the middle of that month. Turbotax 2010 online Count the month of disposition as half a month of use. Turbotax 2010 online Example. Turbotax 2010 online You purchased and placed in service a rental house on July 2, 1984, for $100,000 (not including the cost of land). Turbotax 2010 online You file your return based on a calendar year. Turbotax 2010 online Your rate from Table 4 for the seventh month is 4%. Turbotax 2010 online You figured your ACRS deduction for 1984 was $4,000 ($100,000 ÷ 4%). Turbotax 2010 online In 1985 through 1994, your ACRS deductions were 9%, 8%, 8%, 7%, 6%, 6%, 5%, 5%, and 5% ÷ $100,000. Turbotax 2010 online You sell the house on September 24, 1995. Turbotax 2010 online Figure your ACRS deduction for 1995 for the months of use. Turbotax 2010 online The full ACRS deduction for 1995 is $5,000 ($100,000 ÷ 5%). Turbotax 2010 online Prorate this amount for the 8. Turbotax 2010 online 5 months in 1995 that you held the property. Turbotax 2010 online Under the mid-month convention, you count September as half a month. Turbotax 2010 online Your ACRS deduction for 1995 is $3,542 ($5,000 ÷ 8. Turbotax 2010 online 5/12). Turbotax 2010 online Depreciation Recapture If you dispose of property depreciated under ACRS that is section 1245 recovery property, you will generally recognize gain or loss. Turbotax 2010 online Gain recognized on a disposition is ordinary income to the extent of prior depreciation deductions taken. Turbotax 2010 online This recapture rule applies to all personal property in the 3-year, 5-year, and 10-year classes. Turbotax 2010 online You recapture gain on manufactured homes and theme park structures in the 10-year class as section 1245 property. Turbotax 2010 online Section 1245 property generally includes all personal property. Turbotax 2010 online See Section 1245 property in chapter 4 of Publication 544 for more information. Turbotax 2010 online You treat dispositions of section 1250 real property on which you have a gain as section 1245 recovery property. Turbotax 2010 online You recognize gain on this property as ordinary income to the extent of prior depreciation deductions taken. Turbotax 2010 online Section 1250 property includes most real property. Turbotax 2010 online See Section 1250 property in chapter 4 of Publication 544 for more information. Turbotax 2010 online This rule applies to all section 1250 real property except the following property: Any 15-, 18-, or 19-year real property that is residential rental property. Turbotax 2010 online Any 15-, 18-, or 19-year real property that you elected to depreciate using the alternate ACRS method. Turbotax 2010 online Any 15-, 18-, or 19-year real property that is subsidized low-income housing. Turbotax 2010 online For these recapture rules, you treat the section 179 deduction and 50% of the investment credit that reduced your basis as depreciation. Turbotax 2010 online See Publication 544 for further discussion of dispositions of section 1245 and 1250 property. Turbotax 2010 online Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

Understanding Your CP53A Notice

We tried to direct deposit your refund, but the financial institution couldn’t process it. We are researching your account, but it will take 8 to 10 weeks to reissue your refund.


What you need to do

  • If you don’t receive your refund check or a follow-up letter within 10 weeks, call us at 1-866-682-7451 x733.
  • If you call us before then, we won’t have any information about the status of your refund until we complete the research on your account.

Answers to Common Questions

Why was my direct deposit refund returned to the IRS?
A financial institution will reject a refund for a variety of reasons. Most often, one of the following items doesn’t match its records:

  • Name
  • SSN
  • Routing number
  • Account number

Why will it take up to 10 weeks to receive my refund?
We must research your account to determine if you are entitled to the refund. We try to balance customer service and tax compliance by reviewing tax returns to prevent fraudulent or erroneous refunds. However, these critical reviews add time to refund processing. Refund timeframes are also affected by:

  • Bankruptcy
  • An open audit
  • A balance due on a related account (such as a different tax year)

Will calling the IRS give me additional information or speed my refund?
No, calling the IRS won’t do anything to speed your refund. You don’t need to call us unless we ask you to. If we need more information to process your refund, we’ll contact you by mail. Our telephone assistors won’t be able to provide any additional information.

Is the estimated date my tax preparer, tax software, or “Where’s My Refund” provided a guarantee of when I’ll get my refund?
Unfortunately, we can’t guarantee the date when a taxpayer will get his or her refund. While we can provide an estimate, this is a “best-case scenario” where the tax return doesn’t require any additional review or corrections.We work hard to issue refunds as quickly as possible. However, you shouldn’t make major financial decisions based on the estimated issue date of a tax refund.

Can I direct part of my refund into my tax professional’s checking or savings account to pay my tax preparation fee?
No. You can direct your refund to any of your checking or savings accounts. You can’t direct your refund to someone else’s account (except for your spouse’s account when you have a joint refund).


Tips for next year

If you request a direct deposit refund, ensure the account you specify is in your name (or your spouse’s if you have a joint refund).

Page Last Reviewed or Updated: 04-Mar-2014

Printable samples of this notice (PDF)

 

 

How to get help

  • Call the 1-800 number listed on the top right corner of your notice.
  • Authorize someone (e.g., accountant) to contact the IRS on your behalf using Form 2848.
  • See if you qualify for help from a Low Income Taxpayer Clinic.
     

The Turbotax 2010 Online

Turbotax 2010 online Publication 939 - Introductory Material Table of Contents What's New Future developments. Turbotax 2010 online IntroductionSimplified Method. Turbotax 2010 online Ordering forms and publications. Turbotax 2010 online Tax questions. Turbotax 2010 online Useful Items - You may want to see: What's New Beginning in 2013, distributions from an annuity under a nonqualified plan are considered net investment income for the purpose of figuring the net investment income tax (NIIT). Turbotax 2010 online For more information, see the instructions for Form 8960, Net Investment Income Tax – Individuals, Estates and Trusts. Turbotax 2010 online Future developments. Turbotax 2010 online For the latest information about developments related to Publication 939, such as legislation enacted after it was published, go to www. Turbotax 2010 online IRS. Turbotax 2010 online gov/pub939. Turbotax 2010 online Introduction This publication gives you the information you need to determine the tax treatment of your pension and annuity income under the General Rule. Turbotax 2010 online Generally, each of your monthly annuity payments is made up of two parts: the tax-free part that is a return of your net cost, and the taxable balance. Turbotax 2010 online What is the General Rule. Turbotax 2010 online   The General Rule is one of the two methods used to figure the tax-free part of each annuity payment based on the ratio of your investment in the contract to the total expected return. Turbotax 2010 online The other method is the Simplified Method, which is discussed in Publication 575, Pension and Annuity Income. Turbotax 2010 online Who must use the General Rule. Turbotax 2010 online   Use this publication if you receive pension or annuity payments from: A nonqualified plan (for example, a private annuity, a purchased commercial annuity, or a nonqualified employee plan), A qualified plan if: Your annuity starting date is before November 19, 1996 (and after July 1, 1986), and you do not qualify to use, or did not choose to use, the Simplified Method, or Your annuity starting date is after November 18, 1996, and as of that date you are age 75 or over and the annuity payments are guaranteed for at least 5 years. Turbotax 2010 online If your annuity starting date was between July 1, 1986 and November 19, 1996, you were able to elect to use the Simplified Method or the General Rule. Turbotax 2010 online This choice is irrevocable and applied to all later annuity payments. Turbotax 2010 online The following are qualified plans. Turbotax 2010 online A qualified employee plan. Turbotax 2010 online A qualified employee annuity. Turbotax 2010 online A tax-sheltered annuity (TSA) plan or contract. Turbotax 2010 online Simplified Method. Turbotax 2010 online   If you receive pension or annuity payments from a qualified plan and you are not required to use the General Rule, you must use the Simplified Method to determine the tax-free part of each annuity payment. Turbotax 2010 online This method is described in Publication 575, Pension and Annuity Income. Turbotax 2010 online   Also, if, at the time the annuity payments began, you were at least age 75 and were entitled to annuity payments from a qualified plan with fewer than 5 years of guaranteed payments, you must use the Simplified Method. Turbotax 2010 online Beginning in 2013, distributions from an annuity under a nonqualified plan are considered net investment income for the purpose of figuring the net investment income tax (NIIT). Turbotax 2010 online For more information, see the instructions for Form 8960, Net Investment Income Tax – Individuals, Estates and Trusts. Turbotax 2010 online Topics not covered in this publication. Turbotax 2010 online   Certain topics related to pensions and annuities are not covered in this publication. Turbotax 2010 online They include: Simplified Method. Turbotax 2010 online This method is covered in Publication 575. Turbotax 2010 online That publication also covers nonperiodic payments (amounts not received as an annuity) from a qualified pension or annuity plan, rollovers, special averaging and capital gain treatment of lump-sum distributions, and special additional taxes on early distributions, excess distributions, and excess accumulations (not making required minimum distributions). Turbotax 2010 online Individual retirement arrangements (IRAs). Turbotax 2010 online Information on the tax treatment of amounts you receive from an IRA is included in Publication 590, Individual Retirement Arrangements (IRAs). Turbotax 2010 online Life insurance payments. Turbotax 2010 online If you receive life insurance payments because of the death of the insured person, get Publication 525, Taxable and Nontaxable Income, for information on the tax treatment of the proceeds. Turbotax 2010 online Help from IRS. Turbotax 2010 online   If, after reading this publication, you need help to figure the taxable part of your pension or annuity, the IRS can do it for you for a fee. Turbotax 2010 online For information on this service, see Requesting a Ruling on Taxation of Annuity , later. Turbotax 2010 online Comments and suggestions. Turbotax 2010 online   We welcome your comments about this publication and your suggestions for future editions. Turbotax 2010 online   You can write to us at the following address: Internal Revenue Service Tax Forms and Publications Division 1111 Constitution Ave. Turbotax 2010 online NW, IR-6526 Washington, DC 20224   We respond to many letters by telephone. Turbotax 2010 online Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence. Turbotax 2010 online   You can send your comments from www. Turbotax 2010 online irs. Turbotax 2010 online gov/formspubs/. Turbotax 2010 online Click on “More Information” and then on “Comment on Tax Forms and Publications”. Turbotax 2010 online   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. Turbotax 2010 online Ordering forms and publications. Turbotax 2010 online   Visit www. Turbotax 2010 online irs. Turbotax 2010 online gov/formspubs/ to download forms and publications, call 1-800-TAX-FORM (1-800-829-3676), or write to the address below and receive a response within 10 days after your request is received. Turbotax 2010 online Internal Revenue Service 1201 N. Turbotax 2010 online Mitsubishi Motorway Bloomington, IL 61705-6613 Tax questions. Turbotax 2010 online   If you have a tax question, check the information available on IRS. Turbotax 2010 online gov or call 1-800-829-1040. Turbotax 2010 online We cannot answer tax questions sent to either of the above addresses. Turbotax 2010 online Useful Items - You may want to see: Publication 524 Credit for the Elderly or the Disabled 525 Taxable and Nontaxable Income 571 Tax-Sheltered Annuity Plans (403(b) Plans) 575 Pension and Annuity Income 590 Individual Retirement Arrangements (IRAs) 721 Tax Guide to U. Turbotax 2010 online S. Turbotax 2010 online Civil Service Retirement Benefits 910 Guide To Free Tax Services Form (and Instructions) 1099-R Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. Turbotax 2010 online See How To Get Tax Help near the end of this publication for information about getting these publications and forms. Turbotax 2010 online Prev  Up  Next   Home   More Online Publications