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1040 Tax Forms For 2011

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1040 Tax Forms For 2011

1040 tax forms for 2011 28. 1040 tax forms for 2011   Deducciones Misceláneas Table of Contents Qué Hay de Nuevo Introduction Useful Items - You may want to see: Deducciones Sujetas al Límite del 2%Gastos del Empleado no Reembolsados (Línea 21) Costos de la Preparación de la Declaración de Impuestos (Línea 22) Otros Gastos (Línea 23) Deducciones no Sujetas al Límite del 2%Lista de Deducciones Gastos no DeduciblesLista de Gastos no Deducibles Qué Hay de Nuevo Tarifa estándar por milla. 1040 tax forms for 2011  La tarifa para uso comercial de un vehículo en 2013 es 56½ centavos por milla. 1040 tax forms for 2011 Introduction Este capítulo explica qué gastos pueden declararse como deducciones detalladas misceláneas en el Anexo A (Formulario 1040). 1040 tax forms for 2011 Usted tendrá que reducir por el 2% de su ingreso bruto ajustado el total de la mayoría de las deducciones misceláneas detalladas. 1040 tax forms for 2011 Este capítulo trata los siguientes temas: Deducciones sujetas al límite del 2%. 1040 tax forms for 2011 Deducciones no sujetas al límite del 2%. 1040 tax forms for 2011 Gastos que no se pueden deducir. 1040 tax forms for 2011 Tiene que guardar documentación para verificar sus deducciones. 1040 tax forms for 2011 Debe guardar sus recibos, cheques cancelados, cheques sustitutivos, estados de cuentas financieras y otros documentos comprobantes. 1040 tax forms for 2011 Si desea obtener más información sobre el mantenimiento de documentación, obtenga la Publicación 552, Recordkeeping for Individuals (Mantenimiento de documentación para personas físicas), en inglés. 1040 tax forms for 2011 Useful Items - You may want to see: Publicación 463 Travel, Entertainment, Gift, and Car Expenses (Gastos de viaje, entretenimiento, regalos y automóvil), en inglés 525 Taxable and Nontaxable Income (El ingreso tributable y no tributable), en inglés 529 Miscellaneous Deductions (Deducciones misceláneas), en inglés 535 Business Expenses (Gastos de negocios), en inglés 587 Business Use of Your Home (Including Use by Daycare Providers) (Uso de su domicilio para propósitos comerciales (incluyendo el uso por proveedores de cuidado infantil)), en inglés 946 How To Depreciate Property (Cómo depreciar la propiedad), en inglés Formulario (e Instrucciones) Anexo A (Formulario 1040) Itemized Deductions (Deducciones detalladas), en inglés 2106 Employee Business Expenses (Gastos de negocio del empleado), en inglés 2106-EZ Unreimbursed Employee Business Expenses (Gastos de negocio del empleado no reembolsados), en inglés Deducciones Sujetas al Límite del 2% Usted puede deducir ciertos gastos como deducciones detalladas misceláneas en el Anexo A (Formulario 1040). 1040 tax forms for 2011 Puede deducir la parte de sus gastos que supere al 2% de su ingreso bruto ajustado. 1040 tax forms for 2011 Se calcula la deducción en el Anexo A; restando el 2% de sus ingresos brutos ajustados del total de estos gastos. 1040 tax forms for 2011 Su ingreso bruto ajustado es la cifra escrita en la línea 38 del Formulario 1040. 1040 tax forms for 2011 Por lo general, se aplica el límite del 2% después de aplicar los demás límites de deducciones. 1040 tax forms for 2011 Por ejemplo, el límite del 50% (o del 80%) sobre comidas y entretenimiento relacionados con los negocios (explicado en el capítulo 26) se aplica antes de aplicar el límite del 2%. 1040 tax forms for 2011 Las deducciones sujetas al límite del 2% se explican aquí de acuerdo con las tres categorías en las cuales los declara en el Anexo A (Formulario 1040): Gastos del empleado no reembolsados (línea 21). 1040 tax forms for 2011 Costos de la preparación de la declaración de impuestos (línea 22). 1040 tax forms for 2011 Otros gastos (línea 23). 1040 tax forms for 2011 Gastos del Empleado no Reembolsados (Línea 21) Generalmente, uno puede deducir en la línea 21 del Anexo A (Formulario 1040) los gastos del empleado no reembolsados que: Pague o en los que incurra durante el año tributario, Sean necesarios para llevar a cabo su oficio o negocio como empleado y Sean ordinarios y necesarios. 1040 tax forms for 2011 Un gasto es “ordinario” si es común y aceptado en su oficio, negocio o profesión. 1040 tax forms for 2011 Un gasto es necesario si es adecuado y útil para su negocio. 1040 tax forms for 2011 Un gasto no tiene que ser obligatorio para considerarse necesario. 1040 tax forms for 2011 A continuación se indican algunos ejemplos de gastos del empleado no reembolsados. 1040 tax forms for 2011 Después de la lista encontrará otros ejemplos de gastos del empleado no reembolsados. 1040 tax forms for 2011 Deudas incobrables incurridas por un empleado en la ejecución de su trabajo. 1040 tax forms for 2011 Educación relacionada con el trabajo. 1040 tax forms for 2011 (Vea el capítulo 27). 1040 tax forms for 2011 Honorarios legales relacionados con su trabajo. 1040 tax forms for 2011 Licencias y tarifas reglamentarias. 1040 tax forms for 2011 Primas de seguro contra negligencia profesional. 1040 tax forms for 2011 Exámenes médicos requeridos por un empleador. 1040 tax forms for 2011 Impuestos sobre una profesión u ocupación. 1040 tax forms for 2011 Pasaporte para un viaje de negocios. 1040 tax forms for 2011 Suscripciones a revistas profesionales y de industria relacionadas con su trabajo. 1040 tax forms for 2011 Viajes, transporte, entretenimiento y regalos relacionados con su trabajo. 1040 tax forms for 2011 (Vea el capítulo 26). 1040 tax forms for 2011 Seguro de Responsabilidad Comercial Puede deducir las primas de seguro que pagó para protegerse contra responsabilidad personal por actos ilícitos en el trabajo. 1040 tax forms for 2011 Daños por Incumplimiento de Contrato de Empleo Si deja de cumplir con un contrato de empleo, puede deducir los daños que pague a su antiguo empleador que sean atribuibles a la paga que había recibido de ese empleador. 1040 tax forms for 2011 Depreciación de Computadoras Puede declarar una deducción por depreciación de una computadora que usted usa en el trabajo como empleado si su uso: Es para conveniencia de su empleador y Se requiere como una condición de su empleo. 1040 tax forms for 2011 Para obtener información acerca de las reglas y excepciones a las reglas que afectan las deducciones permitidas por una computadora en su casa, vea la Publicación 529, en inglés. 1040 tax forms for 2011 Cuotas a Cámaras de Comercio y Asociaciones Profesionales Es posible que pueda deducir cuotas pagadas a organizaciones profesionales (como asociaciones de abogados y asociaciones médicas) y a cámaras de comercio y organizaciones parecidas, si la afiliación le ayuda a realizar los deberes de su trabajo. 1040 tax forms for 2011 Estas organizaciones incluyen: Juntas comerciales, Asociaciones comerciales, Organizaciones cívicas o de servicios públicos, Juntas de bienes raíces y Asociaciones profesionales. 1040 tax forms for 2011 Actividades políticas y de cabildeo. 1040 tax forms for 2011   Quizás no pueda deducir la parte de sus cuotas destinada a ciertas actividades políticas y de cabildeo. 1040 tax forms for 2011 Vea Cuotas usadas para cabildeo bajo Gastos no Deducibles, más adelante. 1040 tax forms for 2011 Gastos del Educador Si en el año 2013 usted era un educador que reunía los requisitos, usted puede deducir hasta $250 de gastos calificados que usted pagó en el año 2013 como ajuste a los ingresos brutos, en la línea 23 del Formulario 1040, en vez de una deducción detallada miscelánea. 1040 tax forms for 2011 Si presenta el Formluario 1040A, usted podría deducir estos gastos en la línea 16. 1040 tax forms for 2011 Si usted y su cónyuge están presentando una declaración conjunta y ambos fueron educadores calificados, la deducción máxima es $500. 1040 tax forms for 2011 No obstante, ninguno puede deducir más de $250 como gastos calificados. 1040 tax forms for 2011 Oficina en el Domicilio Si de manera habitual, usted usa una parte de su domicilio exclusivamente para propósitos comerciales, tal vez pueda deducir una parte de los gastos de operación y depreciación de su domicilio. 1040 tax forms for 2011 Puede reclamar esta deducción por el uso comercial de una parte de su domicilio sólo si utiliza esa parte habitual y exclusivamente: Como el lugar principal de negocios para algún oficio o negocio, Como lugar para reunirse o recibir a sus pacientes o clientes en el transcurso normal de su oficio o negocio o En el caso de un edificio separado no conectado a su domicilio, si lo usa para fines de su oficio o negocio. 1040 tax forms for 2011 Dicho uso comercial, habitual y exclusivo tiene que ser para conveniencia de su empleador y no sólo adecuado y útil para su propio trabajo. 1040 tax forms for 2011 Vea la Publicación 587, en inglés, para obtener información más detallada y una hoja de trabajo. 1040 tax forms for 2011 Gastos Relacionados con la Búsqueda de Empleo Puede deducir determinados gastos que tenga al buscar un nuevo trabajo en su profesión actual, incluso si no lo consigue. 1040 tax forms for 2011 Pero no puede deducir estos gastos si: Busca trabajo en una nueva profesión, Hubo una pausa considerable entre el término de su último trabajo y la búsqueda de un trabajo nuevo o Busca trabajo por primera vez. 1040 tax forms for 2011 Cuotas de agencias de colocación y empleo. 1040 tax forms for 2011   Puede deducir cuotas que pague a agencias de colocación y empleo que usa como parte de su búsqueda de trabajo en su profesión actual. 1040 tax forms for 2011 Si el empleador le devuelve dinero. 1040 tax forms for 2011   Si, en un año posterior, su empleador le devuelve el dinero de las cuotas de agencias de empleo, usted tiene que incluir la cantidad que reciba en sus ingresos brutos hasta que llegue al total del beneficio tributario que recibió en el año anterior. 1040 tax forms for 2011 (Vea Recuperaciones de Fondos en el capítulo 12). 1040 tax forms for 2011 Si el empleador le paga a la agencia de empleo. 1040 tax forms for 2011   Si su empleador paga las cuotas directamente a la agencia de empleo y usted no es responsable de pagarlas, no puede incluirlas en sus ingresos brutos. 1040 tax forms for 2011 Currículum vitae. 1040 tax forms for 2011   Puede deducir lo que gaste para preparar o enviar por correo copias de un currículum vitae a posibles empleadores siempre que busca un trabajo nuevo en su profesión actual. 1040 tax forms for 2011 Gastos de viaje y transporte. 1040 tax forms for 2011   Si viaja a algún lugar y durante su estadía busca un trabajo nuevo en su profesión actual, tal vez pueda deducir los gastos de viaje de ida y vuelta al lugar. 1040 tax forms for 2011 Puede deducir los gastos de viaje si el viaje se realizó principalmente para buscar un trabajo nuevo. 1040 tax forms for 2011 Es importante saber qué parte del tiempo dedique a actividades personales y qué parte del tiempo dedique a buscar trabajo para determinar si el viaje se hizo principalmente por motivos personales o para buscar un trabajo nuevo. 1040 tax forms for 2011   Incluso si no puede deducir los gastos de viaje de ida y vuelta al lugar, puede deducir los gastos de buscar trabajo nuevo en su profesión actual que incurra mientras se encuentra en dicho lugar. 1040 tax forms for 2011   Puede optar por utilizar la tarifa estándar por milla para calcular los gastos de automóvil. 1040 tax forms for 2011 La tarifa correspondiente al año 2013 para uso comercial de un vehículo es 56½ centavos por milla. 1040 tax forms for 2011 Vea el capítulo 26 para más información. 1040 tax forms for 2011 Licencias y Tarifas Reglamentarias Puede deducir la cantidad que pague cada año a gobiernos estatales o locales por licencias y tarifas reglamentarias para su oficio, negocio o profesión. 1040 tax forms for 2011 Impuestos Incidentales al Trabajo Puede deducir un impuesto incidental al trabajo que una localidad le cobre a una tarifa fija por el privilegio de trabajar o realizar un negocio dentro de dicha localidad. 1040 tax forms for 2011 Si usted es empleado, puede reclamar impuestos incidentales al trabajo sólo como deducción miscelánea sujeta al límite del 2%; no puede reclamarlos como una deducción en otro lugar de su declaración. 1040 tax forms for 2011 Reintegro de un Pago de Asistencia Un “pago de asistencia” es aquel pago que se recibe de acuerdo con un plan del empleador para ayudar a los empleados que pierden su empleo debido a la falta de trabajo. 1040 tax forms for 2011 Si usted reintegra un pago de asistencia de suma global que recibió y había incluido en sus ingresos en un año anterior, puede deducir dicho reintegro. 1040 tax forms for 2011 Gastos de Investigación de un Profesor Universitario Si es profesor universitario, puede deducir los gastos de investigación, incluidos gastos de viaje y gastos en los que incurra por enseñar, dar conferencias o escribir y publicar temas relacionados directamente con su labor de enseñanza. 1040 tax forms for 2011 Tiene que haber comenzado la investigación como parte de los deberes de enseñanza que se esperan de un profesor y sin expectativas lucrativas además del sueldo. 1040 tax forms for 2011 No obstante, no puede deducir los costos de viajes como una forma de educación. 1040 tax forms for 2011 Herramientas Utilizadas en su Trabajo Por lo general, puede deducir los gastos por herramientas que usa en su trabajo si éstas se desgastan y se deshace de ellas dentro de 1 año después de la fecha de compra. 1040 tax forms for 2011 Puede depreciar el costo de las herramientas cuya vida sea mayor del año tributario. 1040 tax forms for 2011 Para obtener más información acerca de la depreciación, vea la Publicación 946, en inglés. 1040 tax forms for 2011 Cuotas y Gastos de Afiliación a un Sindicato Puede deducir cuotas y tarifas iniciales que pague para afiliarse a un sindicato. 1040 tax forms for 2011 También puede deducir contribuciones destinadas a los beneficios para miembros del sindicato desempleados. 1040 tax forms for 2011 No obstante, no puede deducir la parte de las contribuciones o aportaciones destinadas a los fondos para el pago de beneficios por enfermedad, accidente o fallecimiento. 1040 tax forms for 2011 Asimismo, no puede deducir aportaciones a un fondo de pensiones, incluso si el sindicato le exige que realice las aportaciones. 1040 tax forms for 2011 Tal vez no pueda deducir las cantidades que pague al sindicato si éstas están relacionadas con determinadas actividades políticas o de cabildeo. 1040 tax forms for 2011 Vea Gastos de Cabildeo bajo Gastos no Deducibles, más adelante. 1040 tax forms for 2011 Ropa de Trabajo y Uniformes Puede deducir el costo y mantenimiento de la ropa de trabajo si se cumplen los dos requisitos siguientes: Está obligado a usarlas como condición de empleo. 1040 tax forms for 2011 La ropa no es adecuada para uso cotidiano. 1040 tax forms for 2011 No es suficiente usar ropa distintiva. 1040 tax forms for 2011 Su empleador tiene que requerir específicamente esa ropa. 1040 tax forms for 2011 Tampoco es suficiente que, de hecho, no use su ropa de trabajo en otro lugar. 1040 tax forms for 2011 La ropa no puede servir para reemplazar su ropa habitual. 1040 tax forms for 2011 Algunos ejemplos de trabajadores que tal vez puedan deducir el costo y mantenimiento de la ropa de trabajo son: personas que realicen entregas, bomberos, proveedores de servicios de la salud, agentes encargados de mantener el orden público, carteros, atletas profesionales y trabajadores del transporte (aéreo, ferroviario, terrestre, etc. 1040 tax forms for 2011 ). 1040 tax forms for 2011 Los músicos y artistas pueden deducir el costo de la ropa y los accesorios de teatro si no son adecuados para su uso cotidiano. 1040 tax forms for 2011 Sin embargo, la ropa de trabajo que conste de un gorro blanco, camisa blanca o chaqueta blanca, overol (de pintor) blanco y zapatos de trabajo estándar, como la que debe usar un pintor en su trabajo por exigencia de su sindicato, no es distintiva en cuanto a carácter ni a la naturaleza del uniforme. 1040 tax forms for 2011 Igualmente, los costos de compra y mantenimiento de ropa de trabajo azul usada por un soldador a solicitud de un capataz no son deducibles. 1040 tax forms for 2011 Ropa de protección. 1040 tax forms for 2011   Puede deducir el costo de la ropa de protección obligatoria en su trabajo, como zapatos o botas de seguridad, anteojos de seguridad, cascos y guantes de trabajo. 1040 tax forms for 2011   Algunos ejemplos de trabajadores a los que quizás se les exija usar artículos de seguridad son: carpinteros, trabajadores del cemento, trabajadores de productos químicos, electricistas, tripulación de barcos de pesca, maquinistas, trabajadores de campos petrolíferos, fontaneros, técnicos en tuberías y conductores de camiones. 1040 tax forms for 2011 Uniformes militares. 1040 tax forms for 2011   Generalmente, no puede deducir el costo de uniformes si está en servicio activo a tiempo completo en las Fuerzas Armadas. 1040 tax forms for 2011 Sin embargo, si es miembro en reserva de las Fuerzas Armadas, puede deducir el costo no reembolsado de su uniforme si los reglamentos militares exigen que su uso se limite a cuando esté en servicio como miembro en reserva. 1040 tax forms for 2011 Al calcular la deducción, tiene que deducir del costo la asignación no gravable que reciba por estos gastos. 1040 tax forms for 2011   Si las reglas militares locales no le permiten que use uniformes de faena cuando no esté de servicio, puede deducir la cantidad por la cual el costo de compra y mantenimiento de estos uniformes sea superior a la asignación por uniforme que reciba. 1040 tax forms for 2011   Puede deducir el costo de sus uniformes si es miembro del personal o profesorado civil de una escuela militar. 1040 tax forms for 2011 Costos de la Preparación de la Declaración de Impuestos (Línea 22) Generalmente, puede deducir los costos de la preparación de la declaración de impuestos en el año en el que los paga. 1040 tax forms for 2011 De este modo, en la declaración de impuestos de 2013, puede deducir los costos pagados en el año 2013 por la preparación de la declaración del año 2012. 1040 tax forms for 2011 Estos costos incluyen el costo de los programas de software de preparación de impuestos y publicaciones tributarias. 1040 tax forms for 2011 También incluyen todo costo que haya pagado por la presentación electrónica de su declaración. 1040 tax forms for 2011 Otros Gastos (Línea 23) Puede deducir otros gastos determinados como deducciones detalladas misceláneas sujetas al límite del 2%. 1040 tax forms for 2011 En la línea 23 del Anexo A (Formulario 1040), puede deducir gastos que paga para: Generar o cobrar ingresos que se tienen que incluir en sus ingresos brutos, Administrar, conservar o mantener en buen estado propiedad cuya finalidad es generar un ingreso de estas características o Determinar, impugnar, pagar o solicitar un reembolso de algún impuesto. 1040 tax forms for 2011 Puede deducir gastos que pague para los fines indicados en las secciones (1) y (2) anteriores sólo si están razonable y estrechamente relacionados con estos fines. 1040 tax forms for 2011 Algunos de estos gastos se explican más adelante. 1040 tax forms for 2011 Si los gastos que pague generan ingresos que sólo sean parcialmente tributables, vea Gastos de Ingresos Exentos de Impuestos más adelante, bajo Gastos no Deducibles. 1040 tax forms for 2011 Cargos de Tasación Puede deducir cargos de tasación si los paga para calcular una pérdida por hecho fortuito o el valor justo de mercado de una propiedad donada. 1040 tax forms for 2011 Pérdidas por Hecho Fortuito y Robo Puede deducir una pérdida por hecho fortuito o robo como una deducción detallada miscelánea sujeta al límite del 2% si utilizaba la propiedad dañada o robada para realizar servicios como empleado. 1040 tax forms for 2011 Primero declare la pérdida en la Sección B del Formulario 4684, Casualties and Thefts (Hechos fortuitos y robos), en inglés. 1040 tax forms for 2011 Es posible que también tenga que incluir la pérdida en el Formulario 4797, Sales of Business Property (Ventas de propiedades de negocios), también en inglés, si es que está obligado por otras razones a presentar ese formulario. 1040 tax forms for 2011 Para calcular su deducción, sume todas las pérdidas por hecho fortuito o robo de este tipo de propiedad que se incluyan en las líneas 32 y 38b del Formulario 4684, o la línea 18a del Formulario 4797, ambos en inglés. 1040 tax forms for 2011 Para información sobre otras pérdidas por hecho fortuito o robo, vea el capítulo 25. 1040 tax forms for 2011 Apoyo Administrativo y Alquiler de Oficina Puede deducir gastos de oficina, (por ejemplo apoyo administrativo y alquiler), que usted incurre con respecto a sus inversiones y al cobro de los ingresos tributables generados por las mismas. 1040 tax forms for 2011 Cargos de Tramitación por el Uso de una Tarjeta de Crédito o Débito Puede deducir el cargo administrativo que le cobra el tramitador de la tarjeta de crédito por efectuar un pago del impuesto sobre los ingresos (inclusive pagos del impuesto estimado) con tarjeta de crédito o débito. 1040 tax forms for 2011 Dichos cargos son deducibles en el año en que se paguen. 1040 tax forms for 2011 Depreciación de Computadora de Uso Doméstico Puede deducir la depreciación de su computadora de uso doméstico si la utiliza para generar ingresos (por ejemplo, para administrar sus inversiones que generen ingresos tributables). 1040 tax forms for 2011 Por lo general, tiene que depreciar la computadora según el método uniforme durante el período de recuperación del Sistema Alternativo de Depreciación (ADS, por sus siglas en inglés). 1040 tax forms for 2011 Si trabaja como empleado y también utiliza la computadora en ese trabajo, vea la Publicación 946, en inglés. 1040 tax forms for 2011 Deducciones que le Sobran de un Caudal Hereditario Si las deducciones totales de un caudal hereditario en su año tributario anterior son superiores a su ingreso bruto de ese año, los beneficiarios que heredan la propiedad pueden deducir la cantidad que le sobró en exceso. 1040 tax forms for 2011 No incluya las deducciones por la exención personal del caudal hereditario y las donaciones con fines benéficos al calcular las deducciones totales del caudal hereditario. 1040 tax forms for 2011 Los beneficiarios pueden reclamar la deducción sólo para el año tributario en el que, o con el que, termina el caudal hereditario, sea el año final un año normal o un año tributario corto. 1040 tax forms for 2011 Para obtener más información, vea Termination of Estate (Terminación de un caudal hereditario) en la Publicación 559, Survivors, Executors, and Administrators (Sobrevivientes, albaceas y administradores), en inglés. 1040 tax forms for 2011 Cargos del Cobro de Intereses y Dividendos Puede deducir cargos que paga a un agente de bolsa, banco, fideicomisario o agente parecido por el cobro de los intereses de los bonos o dividendos de acciones tributables. 1040 tax forms for 2011 Sin embargo, no puede deducir un cargo que pague a un agente de bolsa para comprar bienes de inversión, como acciones o bonos. 1040 tax forms for 2011 Tiene que agregar el cargo al costo de los bienes. 1040 tax forms for 2011 No puede deducir el cargo que pague a un agente de bolsa para vender valores. 1040 tax forms for 2011 Puede usar el cargo sólo para calcular las pérdidas o ganancias de la venta. 1040 tax forms for 2011 Vea las Instrucciones del Formulario 8949, para obtener información sobre cómo declarar el cargo. 1040 tax forms for 2011 Gastos Relacionados con un Pasatiempo Por lo general, puede deducir gastos relacionados con un pasatiempo, pero sólo hasta la cantidad del ingreso generado por el mismo. 1040 tax forms for 2011 Un pasatiempo no es un negocio porque no se realiza para obtener un beneficio económico. 1040 tax forms for 2011 Consulte Actividad sin fines de lucro en el capítulo 12 bajo Otros Ingresos. 1040 tax forms for 2011 Deducciones Indirectas de Entidades que Traspasan los Atributos Tributarios Las entidades que traspasan los atributos tributarios incluyen sociedades colectivas, sociedades anónimas de tipo S y fondos mutuos que no se ofrecen al público. 1040 tax forms for 2011 Las deducciones de dichas entidades se traspasan a los socios o accionistas. 1040 tax forms for 2011 Los socios o accionistas pueden deducir su parte de las deducciones traspasadas para gastos de inversión como deducciones detalladas misceláneas sujetas al límite del 2%. 1040 tax forms for 2011 Ejemplo. 1040 tax forms for 2011 Usted es miembro de un club de inversiones formado exclusivamente para invertir en valores. 1040 tax forms for 2011 El club se considera una sociedad colectiva. 1040 tax forms for 2011 Los ingresos de la sociedad colectiva provienen exclusivamente de dividendos, intereses y ganancias tributables procedentes de la venta de valores. 1040 tax forms for 2011 En este caso, usted puede deducir su parte de los gastos de operación de la sociedad colectiva como deducciones detalladas misceláneas sujetas al límite del 2%. 1040 tax forms for 2011 No obstante, si el club de inversiones tiene inversiones que generan ingresos no tributables también, no puede deducir su parte de los gastos que generan ingresos no tributables. 1040 tax forms for 2011 Fondos mutuos de oferta pública. 1040 tax forms for 2011   Los fondos mutuos de oferta pública no traspasan deducciones por gastos de inversión a los accionistas. 1040 tax forms for 2011 Un fondo mutuo es “de oferta pública” si: Se comercializa continuamente en virtud de una oferta pública, Se cotiza habitualmente en un mercado bursátil de valores establecido o Están bajo la propiedad de al menos 500 personas en todo momento durante el año tributario. 1040 tax forms for 2011   El fondo mutuo de oferta pública le enviará un Formulario 1099-DIV, Dividends and Distributions (Dividendos y distribuciones), en inglés, o un formulario sustitutivo, que indique la cantidad neta del ingreso de dividendos (dividendos brutos menos gastos de inversión). 1040 tax forms for 2011 Esta cifra neta es la cantidad que declara como ingresos. 1040 tax forms for 2011 Usted no puede también deducir los gastos de inversión incurridos por fondos mutuos de oferta pública porque ya se incluyen como parte de la cantidad neta del ingreso de dividendos. 1040 tax forms for 2011 Declaraciones informativas. 1040 tax forms for 2011   Las entidades que traspasan los atributos tributarios deben enviarle declaraciones informativas. 1040 tax forms for 2011 Sociedades colectivas y de tipo S. 1040 tax forms for 2011   Estas entidades generan el Anexo K-1, el cual indica los conceptos y las cantidades que tiene que declarar y también identifica los anexos y las líneas de la declaración de impuestos que se deben usar. 1040 tax forms for 2011 Fondos mutuos que no son de oferta pública. 1040 tax forms for 2011   Estos fondos le enviarán un Formulario 1099-DIV, Dividends and Distributions (Dividendos y distribuciones), o un formulario sustitutivo, el cual indicará su parte de los ingresos brutos y los gastos de inversión. 1040 tax forms for 2011 Puede declarar los gastos sólo como una deducción detallada miscelánea sujeta al límite del 2%. 1040 tax forms for 2011 Cargos y Gastos Relacionados con la Inversión Puede deducir cargos relacionados con la inversión, custodia, administración de fideicomiso y otros gastos que pague por la administración de inversiones que generen ingresos tributables. 1040 tax forms for 2011 Gastos Legales Por lo general, puede deducir gastos legales en los que incurra al intentar generar o cobrar ingresos tributables o que pague en conexión con la determinación, cobro o reembolso de un impuesto. 1040 tax forms for 2011 También puede deducir gastos legales que: Estén relacionados con la realización o conservación de su trabajo, como los que pague para defenderse contra acusaciones penales que se levanten por las acciones de su oficio o negocio, Sean para asesoría tributaria relacionada con un divorcio, si la factura indica cuánto corresponde a la asesoría tributaria y se determina de una forma razonable o Sean para cobrar una pensión tributable para el cónyuge divorciado. 1040 tax forms for 2011 Puede deducir los gastos que incurrió para resolver problemas tributarios relacionados con las pérdidas o ganancias de un negocio (Anexo C o C-EZ), alquileres o regalías (Anexo E) o gastos e ingresos agrícolas (Anexo F) en el anexo apropiado, todos en inglés. 1040 tax forms for 2011 Debe deducir los gastos que incurrió para resolver problemas tributarios no comerciales en el Anexo A (Formulario 1040). 1040 tax forms for 2011 Vea Costos de la Preparación de la Declaración de Impuestos , anteriormente. 1040 tax forms for 2011 Pérdidas de Depósitos Para obtener información acerca de si puede deducir la pérdida de un depósito que usted hizo en una institución financiera que reúna los requisitos y cómo declarar la deducción si tiene derecho a ella, vea Pérdidas de Depósitos en el capítulo 25. 1040 tax forms for 2011 Reintegros de Ingresos Si tuvo que reintegrar una cantidad que incluyó como ingresos en un año anterior, es posible que pueda deducir dicha cantidad reintegrada. 1040 tax forms for 2011 Si la cantidad que tuvo que reintegrar era ingreso ordinario de $3,000 o menos, la deducción está sujeta al límite del 2%. 1040 tax forms for 2011 Si fue más de $3,000, vea Reintegros por la Reclamación de un Derecho bajo Deducciones no Sujetas al Límite del 2%, más adelante. 1040 tax forms for 2011 Reintegros de Beneficios del Seguro Social Para obtener información acerca de cómo deducir los reintegros de ciertos beneficios del Seguro Social, vea Reintegros Superiores a los Beneficios Brutos en el capítulo 11. 1040 tax forms for 2011 Alquiler de Caja de Seguridad Puede deducir el alquiler de una caja de seguridad si la utiliza para almacenar bonos y acciones que generen ingresos tributables o documentos y papeles relacionados con inversiones. 1040 tax forms for 2011 No puede deducir el alquiler si sólo utiliza la caja para guardar joyas, otras pertenencias personales o valores exentos de impuestos. 1040 tax forms for 2011 Cargos Administrativos de los Planes de Reinversión de Dividendos Puede deducir los cargos administrativos que pague como abonado a un plan de reinversión de dividendos. 1040 tax forms for 2011 Estos cargos administrativos incluyen pagos por: Poseer acciones adquiridas mediante un plan, Cobrar y reinvertir dividendos en efectivo, y Mantener documentación personal y proporcionar estados de cuenta detallados. 1040 tax forms for 2011 Honorarios por Administración de un Fideicomiso de Arreglos IRA Los honorarios de administración de un fideicomiso que se facturen por separado y que usted pague en relación con un arreglo de ahorros para la jubilación (IRA, por sus siglas en inglés) son deducibles (si son ordinarios y necesarios) como deducción detallada miscelánea sujeta al límite del 2%. 1040 tax forms for 2011 Para obtener más información acerca de los arreglos IRA, vea el capítulo 17. 1040 tax forms for 2011 Deducciones no Sujetas al Límite del 2% Puede deducir los artículos indicados a continuación como deducciones detalladas misceláneas. 1040 tax forms for 2011 No están sujetas al límite del 2%. 1040 tax forms for 2011 Declare estos artículos en la línea 28 del Anexo A del Formulario 1040. 1040 tax forms for 2011 Lista de Deducciones Se explica cada uno de los siguientes artículos en detalle después de la lista (excepto cuando se indica al contrario). 1040 tax forms for 2011 Prima amortizable de bonos tributables. 1040 tax forms for 2011 Pérdidas por hecho fortuito y robo de una propiedad que genera ingresos. 1040 tax forms for 2011 Impuesto federal sobre la herencia atribuible a los ingresos de un difunto. 1040 tax forms for 2011 Pérdidas de apuestas y juegos de azar hasta la cantidad de sus ganancias del juego. 1040 tax forms for 2011 Gastos del trabajo relacionados con los impedimentos de personas con incapacidades. 1040 tax forms for 2011 Pérdida por otras actividades anotadas en el recuadro 2 del Anexo K-1 del Formulario 1065-B. 1040 tax forms for 2011 Pérdidas por estafas de inversiones engañosas tipo Ponzi. 1040 tax forms for 2011 Vea, Pérdidas proveneintes de estafas de inversiones del tipo Ponzi (Ponzi schemes) , en el capítulo 25. 1040 tax forms for 2011 Reintegros de más de $3,000 por la reclamación de un derecho. 1040 tax forms for 2011 Inversión no recuperada en una anualidad. 1040 tax forms for 2011 Prima Amortizable de Bonos Tributables En general, si la cantidad que paga por un bono es superior a la cantidad de capital estipulado, el excedente corresponde a la prima de los bonos. 1040 tax forms for 2011 Puede optar por amortizar la prima de bonos tributables. 1040 tax forms for 2011 Por lo general, la amortización de la prima compensa los ingresos de intereses sobre el bono en lugar de ser una deducción diferente. 1040 tax forms for 2011 Parte de la prima de algunos bonos puede ser una deducción miscelánea no sujeta al límite del 2%. 1040 tax forms for 2011 Para obtener más información, vea Amortizable Premium on Taxable Bonds (Prima amortizable de bonos tributables) en la Publicación 529 y Bond Premium Amortization (Amortización de prima de bono) en el capítulo 3 de la Publicación 550, Investment Income and Expenses (Gastos e ingresos de inversión), ambas en inglés. 1040 tax forms for 2011 Pérdidas por Hecho Fortuito y Robo de Propiedad que Genera Ingresos Puede deducir una pérdida por hecho fortuito o robo como deducción detallada miscelánea no sujeta al límite del 2% si la propiedad dañada o robada era una propiedad que generaba ingresos (propiedad que se tiene con fines de inversión, tal como acciones, pagarés, bonos, oro, plata, terrenos sin construir y obras de arte). 1040 tax forms for 2011 Primero, declare la pérdida en la Sección B del Formulario 4684. 1040 tax forms for 2011 Asimismo, es posible que tenga que incluir la pérdida en el Formulario 4797, Sales of Business Property (Ventas de bienes comerciales), en inglés, si por algún otro motivo está obligado a presentar ese formulario. 1040 tax forms for 2011 Para calcular su deducción, sume todas las pérdidas por hecho fortuito o robo de este tipo de propiedad que se incluyan en las líneas 32 y 38b del Formulario 4684, o la línea 18a del Formulario 4797. 1040 tax forms for 2011 Para obtener más información acerca de las pérdidas por hecho fortuito y robo, consulte el capítulo 25. 1040 tax forms for 2011 Impuesto Federal sobre la Herencia Atribuible a los Ingresos de un Difunto Puede deducir el impuesto federal sobre la herencia atribuible a los ingresos de un difunto que usted, como beneficiario, incluye en sus ingresos brutos. 1040 tax forms for 2011 Los ingresos de un difunto son ingresos brutos que habría recibido éste si no hubiese fallecido y que no se podían incluir debidamente en la última declaración de impuestos del difunto. 1040 tax forms for 2011 Vea la Publicación 559, en inglés, para obtener más información. 1040 tax forms for 2011 Pérdidas de Apuestas y Juegos de Azar hasta la Cantidad de sus Ganancias de Juego Tiene que declarar la cantidad total de sus ganancias de apuestas y juegos de azar que tuvo en el año en la línea 21 del Formulario 1040. 1040 tax forms for 2011 Debe deducir sus pérdidas de juego que tuvo en el año en la línea 28 del Anexo A del Formulario 1040. 1040 tax forms for 2011 No puede deducir las pérdidas de apuestas y juegos de azar que sean superiores a las ganancias. 1040 tax forms for 2011 No puede reducir las ganancias de apuestas y juegos de azar por las pérdidas de juego y declarar la diferencia. 1040 tax forms for 2011 Tiene que declarar la cantidad total de las ganancias como ingresos, y las pérdidas (hasta la cantidad de su ganancias), como deducción detallada. 1040 tax forms for 2011 Por consiguiente, su documentación debe mostrar las ganancias por separado de las pérdidas. 1040 tax forms for 2011 Diario de ganancias y pérdidas. 1040 tax forms for 2011 Tiene que mantener un diario exacto o registro parecido de sus ganancias y pérdidas provenientes de apuestas y juegos de azar. 1040 tax forms for 2011 Su diario debe contener, como mínimo, la siguiente información: La fecha y el tipo de apuesta específica o actividad de apuestas. 1040 tax forms for 2011 El nombre y la dirección o ubicación del establecimiento de apuestas. 1040 tax forms for 2011 Los nombres de otras personas que lo acompañan en el establecimiento de apuestas. 1040 tax forms for 2011 La (o las) cantidad(es) que ganó o perdió. 1040 tax forms for 2011 Vea la Publicación 529, en inglés, para información adicional. 1040 tax forms for 2011 Gastos de Trabajo Relacionados con un Impedimento Si tiene una incapacidad física o mental que limite su capacidad para trabajar o limite sustancialmente una o más de las actividades principales de la vida (como realizar tareas manuales, caminar, hablar, respirar, aprender y trabajar), puede deducir sus gastos de trabajo relacionados con dicho impedimento. 1040 tax forms for 2011 Los gastos de trabajo relacionados con un impedimento son gastos ordinarios y necesarios del negocio incurridos por servicios de un asistente en su lugar de trabajo y por otros gastos relacionados con su lugar de trabajo que sean necesarios para que pueda trabajar. 1040 tax forms for 2011 Personas que trabajan por cuenta propia. 1040 tax forms for 2011   Si trabaja por cuenta propia, anote los gastos de trabajo relacionados con su incapacidad en el formulario correspondiente (Anexo C, C-EZ, E o F) que utilice para declarar los ingresos y gastos de negocio. 1040 tax forms for 2011 Pérdida por Otras Actividades Anotadas en el Recuadro 2 del Anexo K-1 del Formulario 1065-B Si la cantidad declarada en el recuadro 2 del Anexo K-1 del Formulario 1065-B es una pérdida, declárela en la línea 28 del Anexo A del Formulario 1040. 1040 tax forms for 2011 No está sujeto a las limitaciones de actividades pasivas. 1040 tax forms for 2011 Reintegros por la Reclamación de un Derecho Si tuvo que reintegrar más de $3,000 que incluyó en los ingresos de un año anterior porque en ese momento pensaba que tenía un derecho no restringido a dichos ingresos, tal vez pueda deducir la cantidad que pagó o solicitar que se la acrediten en sus impuestos. 1040 tax forms for 2011 Vea Reintegros en el capítulo 12, para más información. 1040 tax forms for 2011 Inversión no Recuperada en una Anualidad Un jubilado que haya contribuido al costo de una anualidad puede excluir de sus ingresos parte de cada pago que reciba, por ser rendimiento exento de impuestos de la inversión del jubilado. 1040 tax forms for 2011 Si el jubilado muere antes de recuperar toda la inversión libre de impuestos, se podría deducir toda inversión no recuperada en la declaración final de impuestos del jubilado. 1040 tax forms for 2011 Vea el capítulo 10 para obtener más información acerca del trato tributario de las pensiones y anualidades. 1040 tax forms for 2011 Gastos no Deducibles A continuación se enumeran algunos ejemplos de gastos no deducibles. 1040 tax forms for 2011 Luego, se explican en mayor detalle los gastos no deducibles adicionales. 1040 tax forms for 2011 Lista de Gastos no Deducibles Comisiones de agentes bursátiles que usted pagó con respecto a su arreglo IRA u otra propiedad de inversión. 1040 tax forms for 2011 Gastos de entierro o funeral, incluido el costo de la tumba. 1040 tax forms for 2011 Gastos de capital. 1040 tax forms for 2011 Cargos y licencias, como licencias de automóvil, de matrimonio y placas de identificación. 1040 tax forms for 2011 Pérdidas relacionadas con pasatiempos; no obstante, vea Gastos Relacionados con un Pasatiempo , anteriormente. 1040 tax forms for 2011 Reparaciones, seguro y alquiler de la vivienda. 1040 tax forms for 2011 Sobornos y comisiones clandestinas. 1040 tax forms for 2011 Vea Bribes and kickbacks (Sobornos y comisiones clandestinas) en el capítulo 11 de la Publicación 535, en inglés. 1040 tax forms for 2011 Pérdidas de la venta de su vivienda, mobiliario, automóvil personal, etc. 1040 tax forms for 2011 Primas de seguro personal por incapacidad. 1040 tax forms for 2011 Gastos personales, de vida o familiares. 1040 tax forms for 2011 Valor de salarios no recibidos o período de vacaciones no utilizadas. 1040 tax forms for 2011 Gastos de Adopción No puede deducir los gastos que incurre en la adopción de un niño, pero tal vez pueda tomar un crédito para esos gastos. 1040 tax forms for 2011 Vea el capítulo 36. 1040 tax forms for 2011 Gastos de Campaña Electoral No puede deducir gastos que un candidato para un cargo público incurre en su campaña electoral, incluso si el candidato está postulando para la reelección a dicho cargo. 1040 tax forms for 2011 Estos incluyen cargos de calificación e inscripción para las elecciones primarias. 1040 tax forms for 2011 Honorarios legales. 1040 tax forms for 2011   No puede deducir honorarios legales que se pagan para defender cargos derivados de la participación en una campaña política. 1040 tax forms for 2011 Cargos por Emisión de Cheques de Cuenta Personal Si tiene una cuenta corriente personal, no puede deducir cargos cobrados por el banco por el privilegio de emitir cheques, incluso si la cuenta devenga intereses. 1040 tax forms for 2011 Cuotas de Clubes Por lo general, no puede deducir el costo de afiliación a un club organizado para fines comerciales, de placer, recreación u otro fin social. 1040 tax forms for 2011 Esto incluye clubes de negocios, sociales, atléticos, de almuerzo, deportivos, de aerolíneas, hoteles, golf y de campo. 1040 tax forms for 2011 No puede deducir cuotas pagadas a una organización si uno de los propósitos principales de ésta es: Realizar actividades sociales para los miembros o sus invitados u Ofrecer a los miembros o sus invitados acceso a establecimientos de actividades sociales. 1040 tax forms for 2011 No se pueden deducir las cuotas pagadas a aerolíneas, hoteles o clubes de almuerzo. 1040 tax forms for 2011 Gastos de Transporte entre su Domicilio y el Trabajo No puede deducir gastos de viaje de ida y vuelta al trabajo (el costo de su transporte entre su residencia y su lugar de trabajo principal o habitual). 1040 tax forms for 2011 Si transporta herramientas, instrumentos u otros artículos en su automóvil de ida y vuelta a su trabajo, puede deducir sólo el costo adicional de transporte de dichos artículos, como el alquiler de un remolque para el transporte de los mismos. 1040 tax forms for 2011 Multas o Sanciones No puede deducir multas o sanciones que pague a una oficina del gobierno por infringir una ley. 1040 tax forms for 2011 Esto incluye cantidades pagadas para liquidar su responsabilidad real o posible de una multa o sanción (civil o penal). 1040 tax forms for 2011 Las multas o sanciones incluyen multas de estacionamiento, sanciones tributarias y sanciones deducidas de su sueldo de maestro después de una huelga ilícita. 1040 tax forms for 2011 Gastos de Balnearios No puede deducir gastos de un balneario (spa), aun si existe un requisito laboral para mantenerse en excelente condición física, como podría ser el caso de un oficial encargado del orden público. 1040 tax forms for 2011 Sistema de Seguridad Residencial No puede deducir el costo de un sistema de seguridad residencial como una deducción miscelánea. 1040 tax forms for 2011 Sin embargo, tal vez pueda reclamar una deducción por un sistema de seguridad residencial como gasto de negocios, si es que tiene una oficina en su casa. 1040 tax forms for 2011 Vea Oficina en el Domicilio bajo Gastos del Empleado no Reembolsados, anteriormente, y Security System (Sistema de seguridad) bajo Deducting Expenses (Deducción de gastos) en la Publicación 587, en inglés. 1040 tax forms for 2011 Seminarios Relacionados con Inversiones No puede deducir gastos por asistir a una convención, seminario o reunión parecida para fines de inversión. 1040 tax forms for 2011 Primas de Seguro de Vida No puede deducir primas que pague por su propio seguro de vida. 1040 tax forms for 2011 Tal vez pueda deducir como pensión para el cónyuge divorciado primas que pague por las pólizas de seguro de vida asignadas a su ex-cónyuge. 1040 tax forms for 2011 Consulte el capítulo 18 para información sobre la pensión alimenticia. 1040 tax forms for 2011 Gastos de Cabildeo Por lo general, no puede deducir cantidades pagadas o incurridas por concepto de cabildeo. 1040 tax forms for 2011 Estos incluyen gastos para: Influenciar el proceso de legislación, Participar o intervenir en una campaña política a favor o en contra de un candidato a un cargo público, Intentar influenciar al público en general, o a un segmento del público, respecto a las elecciones, materias legislativas o referéndums o Comunicarse directamente con funcionarios del poder ejecutivo bajo protección en un intento de influenciar las acciones del funcionario o las opiniones del mismo. 1040 tax forms for 2011 Los gastos de cabildeo también incluyen cantidades pagadas o gastos en los que ha incurrido para la investigación, preparación, planificación o coordinación de cualquiera de estas actividades. 1040 tax forms for 2011 Cuotas usadas para cabildeo. 1040 tax forms for 2011   Si una organización exenta de impuestos le notifica que esa parte de las cuotas u otras cantidades que usted paga a la organización se utilizan para pagar gastos de cabildeo no deducibles, no puede deducir esa parte de las cuotas. 1040 tax forms for 2011 Vea Lobbying Expenses (Gastos de cabildeo) en la Publicación 529, en inglés, para obtener información sobre las excepciones. 1040 tax forms for 2011 Dinero en Efectivo o Bienes Perdidos o Extraviados No puede deducir una pérdida basada en la simple desaparición de dinero o bienes. 1040 tax forms for 2011 Sin embargo, una pérdida o desaparición accidental de bienes puede considerarse hecho fortuito si es causada por un acontecimiento que se pueda identificar y que sea repentino, inesperado o poco común. 1040 tax forms for 2011 Vea el capítulo 25. 1040 tax forms for 2011 Ejemplo. 1040 tax forms for 2011 Se cierra una puerta de su automóvil accidentalmente en su mano y rompe el engaste de su anillo de diamante. 1040 tax forms for 2011 El diamante se cae del anillo y nunca lo pudo encontrar. 1040 tax forms for 2011 La pérdida del diamante es un hecho fortuito. 1040 tax forms for 2011 Almuerzos con Compañeros de Trabajo No puede deducir los gastos de almuerzos con compañeros de trabajo, excepto si viaja lejos de casa por razones comerciales. 1040 tax forms for 2011 Vea el capítulo 26 para obtener información acerca de los gastos deducibles mientras se encuentra lejos de su domicilio. 1040 tax forms for 2011 Comidas Cuando Trabaja Hasta Tarde No puede deducir el costo de comidas si trabaja hasta tarde. 1040 tax forms for 2011 Sin embargo, tal vez pueda declarar una deducción si el costo de las comidas es un gasto de entretenimiento deducible o si viaja lejos de casa. 1040 tax forms for 2011 Vea el capítulo 26 para obtener información sobre gastos de entretenimiento deducibles y gastos durante viajes lejos de su domicilio. 1040 tax forms for 2011 Gastos por Asuntos Legales Personales No puede deducir gastos por asuntos legales personales, como aquéllos en los que se ha incurrido en los siguientes casos: Tutoría de hijos. 1040 tax forms for 2011 Demanda por incumplimiento de promesa de matrimonio. 1040 tax forms for 2011 Cargos civiles o penales derivados de una relación personal. 1040 tax forms for 2011 Daños por lesiones personales, a excepción de ciertas reclamaciones por discriminación ilegal y por denuncia de actividades ilícitas en una empresa. 1040 tax forms for 2011 Preparación de un título (o defensa o perfeccionamiento de un título). 1040 tax forms for 2011 Preparación de un testamento. 1040 tax forms for 2011 Reclamaciones de propiedad o liquidación de propiedad en un divorcio. 1040 tax forms for 2011 No puede deducir estos gastos incluso si una consecuencia del proceso legal es la pérdida de propiedad que genera ingresos. 1040 tax forms for 2011 Donaciones Políticas No puede deducir donaciones hechas a un candidato político, un comité de campaña o un fondo para publicar boletines. 1040 tax forms for 2011 Los avisos publicitarios en programas de convenciones y entradas a cenas o programas que benefician a un partido o candidato político no son deducibles. 1040 tax forms for 2011 Costos de Acreditación Profesional No puede deducir costos de acreditación profesional tales como: Costos de certificado de contabilidad pagados para el derecho inicial de poder practicar la contabilidad. 1040 tax forms for 2011 Costos del examen para el ejercicio de la abogacía y gastos afines para asegurarse el ingreso inicial al colegio de abogados. 1040 tax forms for 2011 Costos de licencias médicas y dentales para obtener la primera licencia de ejercicio de la profesión. 1040 tax forms for 2011 Reputación Profesional No puede deducir gastos por salir en un programa de radio o televisión para aumentar su prestigio personal o establecer su reputación profesional. 1040 tax forms for 2011 Aportaciones a un Fondo de Ayuda Económica No puede deducir aportaciones pagadas a un plan privado que pague beneficios a los empleados cubiertos que no puedan trabajar debido a una lesión o enfermedad no relacionada con el trabajo. 1040 tax forms for 2011 Servicio Telefónico Residencial No puede deducir un cobro (incluidos impuestos) por un servicio telefónico local básico de la línea telefónica principal de su residencia, aun cuando se utilice en una ocupación o negocio. 1040 tax forms for 2011 Reuniones de Accionistas No puede deducir gastos de transporte ni otros que paga para asistir a reuniones de accionistas de empresas en las que tiene participación accionaria, pero no de otra índole. 1040 tax forms for 2011 No puede deducir estos gastos aunque asista a la reunión para obtener información que podría ser útil al efectuar otras inversiones. 1040 tax forms for 2011 Gastos de Ingresos Exentos de Impuestos No puede deducir gastos que incurre para generar ingresos exentos de impuestos. 1040 tax forms for 2011 No puede deducir intereses de una deuda en la que haya incurrido o continúa para comprar o portar valores exentos de impuestos. 1040 tax forms for 2011 Si usted incurre gastos para generar ingresos tributables y exentos de impuestos, pero no puede identificar los gastos que generan cada tipo de ingreso, tiene que dividir los gastos según la cantidad de cada tipo de ingreso para determinar la cantidad que puede deducir. 1040 tax forms for 2011 Ejemplo. 1040 tax forms for 2011 Durante el año recibió intereses tributables de $4,800 e intereses exentos de impuestos de $1,200. 1040 tax forms for 2011 Al obtener este ingreso, tuvo un total de gastos de $500 durante el año. 1040 tax forms for 2011 No puede identificar la cantidad de cada gasto correspondiente a cada ingreso. 1040 tax forms for 2011 Por lo tanto, el 80% ($4,800/$6,000) del gasto corresponde a los intereses tributables y el 20% ($1,200/$6,000) corresponde a los intereses exentos de impuestos. 1040 tax forms for 2011 Puede deducir, sujeto al límite del 2%, gastos de $400 (80% de $500). 1040 tax forms for 2011 Gastos de Viaje para Otra Persona Por lo general, no puede deducir los gastos de viaje que pague o en los que incurra para su cónyuge, dependiente, u otra persona que lo acompañe (o su empleado) en un viaje de negocios o por motivos personales, a menos que el cónyuge, el dependiente, o la otra persona sea un empleado del contribuyente; el viaje sea para un propósito comercial de buena fe (bona fide); y tales gastos serían de otra manera deducibles por el cónyuge, dependiente u otra persona. 1040 tax forms for 2011 Vea el capítulo 26 para más información sobre gastos de viaje deducibles. 1040 tax forms for 2011 Aportaciones Voluntarias al Fondo de Beneficios por Desempleo No puede deducir aportaciones voluntarias al fondo de beneficios por desempleo que usted realice a un fondo sindical o a un fondo privado. 1040 tax forms for 2011 Sin embargo, puede deducir las aportaciones como impuestos si la ley estatal le exige que las haga a un fondo de desempleo del estado que le protege de la pérdida de sueldos por desempleo causado por condiciones comerciales. 1040 tax forms for 2011 Relojes de Pulsera No puede deducir el costo de un reloj de pulsera, incluso si existe un requisito laboral que establezca que tiene que saber la hora correcta para realizar sus funciones de manera adecuada. 1040 tax forms for 2011 Prev  Up  Next   Home   More Online Publications
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The 1040 Tax Forms For 2011

1040 tax forms for 2011 4. 1040 tax forms for 2011   Figuring Depreciation Under MACRS Table of Contents Introduction Useful Items - You may want to see: Which Depreciation System (GDS or ADS) Applies? Which Property Class Applies Under GDS?Rent-to-own dealer. 1040 tax forms for 2011 Rent-to-own contract. 1040 tax forms for 2011 What Is the Placed in Service Date? What Is the Basis for Depreciation? Which Recovery Period Applies?Recovery Periods Under GDS Recovery Periods Under ADS Additions and Improvements Which Convention Applies? Which Depreciation Method Applies?Depreciation Methods for Farm Property Electing a Different Method How Is the Depreciation Deduction Figured?Using the MACRS Percentage Tables Figuring the Deduction Without Using the Tables Figuring the Deduction for Property Acquired in a Nontaxable Exchange Figuring the Deduction for a Short Tax Year How Do You Use General Asset Accounts?Grouping Property Figuring Depreciation for a GAA Disposing of GAA Property Terminating GAA Treatment Electing To Use a GAA When Do You Recapture MACRS Depreciation? Introduction The Modified Accelerated Cost Recovery System (MACRS) is used to recover the basis of most business and investment property placed in service after 1986. 1040 tax forms for 2011 MACRS consists of two depreciation systems, the General Depreciation System (GDS) and the Alternative Depreciation System (ADS). 1040 tax forms for 2011 Generally, these systems provide different methods and recovery periods to use in figuring depreciation deductions. 1040 tax forms for 2011 To be sure you can use MACRS to figure depreciation for your property, see What Method Can You Use To Depreciate Your Property in chapter 1. 1040 tax forms for 2011 This chapter explains how to determine which MACRS depreciation system applies to your property. 1040 tax forms for 2011 It also discusses other information you need to know before you can figure depreciation under MACRS. 1040 tax forms for 2011 This information includes the property's recovery class, placed in service date, and basis, as well as the applicable recovery period, convention, and depreciation method. 1040 tax forms for 2011 It explains how to use this information to figure your depreciation deduction and how to use a general asset account to depreciate a group of properties. 1040 tax forms for 2011 Finally, it explains when and how to recapture MACRS depreciation. 1040 tax forms for 2011 Useful Items - You may want to see: Publication 225 Farmer's Tax Guide 463 Travel, Entertainment, Gift, and Car  Expenses 544 Sales and Other Dispositions of Assets 551 Basis of Assets 587 Business Use of Your Home (Including Use by Daycare Providers) Form (and Instructions) 2106 Employee Business Expenses 2106-EZ Unreimbursed Employee Business Expenses 4562 Depreciation and Amortization See chapter 6 for information about getting publications and forms. 1040 tax forms for 2011 Which Depreciation System (GDS or ADS) Applies? Your use of either the General Depreciation System (GDS) or the Alternative Depreciation System (ADS) to depreciate property under MACRS determines what depreciation method and recovery period you use. 1040 tax forms for 2011 You generally must use GDS unless you are specifically required by law to use ADS or you elect to use ADS. 1040 tax forms for 2011 If you placed your property in service in 2013, complete Part III of Form 4562 to report depreciation using MACRS. 1040 tax forms for 2011 Complete section B of Part III to report depreciation using GDS, and complete section C of Part III to report depreciation using ADS. 1040 tax forms for 2011 If you placed your property in service before 2013 and are required to file Form 4562, report depreciation using either GDS or ADS on line 17 in Part III. 1040 tax forms for 2011 Required use of ADS. 1040 tax forms for 2011   You must use ADS for the following property. 1040 tax forms for 2011 Listed property used 50% or less in a qualified business use. 1040 tax forms for 2011 See chapter 5 for information on listed property. 1040 tax forms for 2011 Any tangible property used predominantly outside the United States during the year. 1040 tax forms for 2011 Any tax-exempt use property. 1040 tax forms for 2011 Any tax-exempt bond-financed property. 1040 tax forms for 2011 All property used predominantly in a farming business and placed in service in any tax year during which an election not to apply the uniform capitalization rules to certain farming costs is in effect. 1040 tax forms for 2011 Any property imported from a foreign country for which an Executive Order is in effect because the country maintains trade restrictions or engages in other discriminatory acts. 1040 tax forms for 2011 If you are required to use ADS to depreciate your property, you cannot claim any special depreciation allowance (discussed in chapter 3) for the property. 1040 tax forms for 2011 Electing ADS. 1040 tax forms for 2011   Although your property may qualify for GDS, you can elect to use ADS. 1040 tax forms for 2011 The election generally must cover all property in the same property class that you placed in service during the year. 1040 tax forms for 2011 However, the election for residential rental property and nonresidential real property can be made on a property-by-property basis. 1040 tax forms for 2011 Once you make this election, you can never revoke it. 1040 tax forms for 2011   You make the election by completing line 20 in Part III of Form 4562. 1040 tax forms for 2011 Which Property Class Applies Under GDS? The following is a list of the nine property classifications under GDS and examples of the types of property included in each class. 1040 tax forms for 2011 These property classes are also listed under column (a) in section B, Part III, of Form 4562. 1040 tax forms for 2011 For detailed information on property classes, see Appendix B, Table of Class Lives and Recovery Periods, in this publication. 1040 tax forms for 2011 3-year property. 1040 tax forms for 2011 Tractor units for over-the-road use. 1040 tax forms for 2011 Any race horse over 2 years old when placed in service. 1040 tax forms for 2011 (All race horses placed in service after December 31, 2008, and before January 1, 2014, are deemed to be 3-year property, regardless of age. 1040 tax forms for 2011 ) Any other horse (other than a race horse) over 12 years old when placed in service. 1040 tax forms for 2011 Qualified rent-to-own property (defined later). 1040 tax forms for 2011 5-year property. 1040 tax forms for 2011 Automobiles, taxis, buses, and trucks. 1040 tax forms for 2011 Computers and peripheral equipment. 1040 tax forms for 2011 Office machinery (such as typewriters, calculators, and copiers). 1040 tax forms for 2011 Any property used in research and experimentation. 1040 tax forms for 2011 Breeding cattle and dairy cattle. 1040 tax forms for 2011 Appliances, carpets, furniture, etc. 1040 tax forms for 2011 , used in a residential rental real estate activity. 1040 tax forms for 2011 Certain geothermal, solar, and wind energy property. 1040 tax forms for 2011 7-year property. 1040 tax forms for 2011 Office furniture and fixtures (such as desks, files, and safes). 1040 tax forms for 2011 Agricultural machinery and equipment. 1040 tax forms for 2011 Any property that does not have a class life and has not been designated by law as being in any other class. 1040 tax forms for 2011 Certain motorsports entertainment complex property (defined later) placed in service before January 1, 2014. 1040 tax forms for 2011 Any natural gas gathering line placed in service after April 11, 2005. 1040 tax forms for 2011 See Natural gas gathering line and electric transmission property , later. 1040 tax forms for 2011 10-year property. 1040 tax forms for 2011 Vessels, barges, tugs, and similar water transportation equipment. 1040 tax forms for 2011 Any single purpose agricultural or horticultural structure. 1040 tax forms for 2011 Any tree or vine bearing fruits or nuts. 1040 tax forms for 2011 Qualified small electric meter and qualified smart electric grid system (defined later) placed in service on or after October 3, 2008. 1040 tax forms for 2011 15-year property. 1040 tax forms for 2011 Certain improvements made directly to land or added to it (such as shrubbery, fences, roads, sidewalks, and bridges). 1040 tax forms for 2011 Any retail motor fuels outlet (defined later), such as a convenience store. 1040 tax forms for 2011 Any municipal wastewater treatment plant. 1040 tax forms for 2011 Any qualified leasehold improvement property (defined later) placed in service before January 1, 2014. 1040 tax forms for 2011 Any qualified restaurant property (defined later) placed in service before January 1, 2014. 1040 tax forms for 2011 Initial clearing and grading land improvements for gas utility property. 1040 tax forms for 2011 Electric transmission property (that is section 1245 property) used in the transmission at 69 or more kilovolts of electricity placed in service after April 11, 2005. 1040 tax forms for 2011 See Natural gas gathering line and electric transmission property , later. 1040 tax forms for 2011 Any natural gas distribution line placed in service after April 11, 2005 and before January 1, 2011. 1040 tax forms for 2011 Any qualified retail improvement property placed in service before January 1, 2014. 1040 tax forms for 2011 20-year property. 1040 tax forms for 2011 Farm buildings (other than single purpose agricultural or horticultural structures). 1040 tax forms for 2011 Municipal sewers not classified as 25-year property. 1040 tax forms for 2011 Initial clearing and grading land improvements for electric utility transmission and distribution plants. 1040 tax forms for 2011 25-year property. 1040 tax forms for 2011 This class is water utility property, which is either of the following. 1040 tax forms for 2011 Property that is an integral part of the gathering, treatment, or commercial distribution of water, and that, without regard to this provision, would be 20-year property. 1040 tax forms for 2011 Municipal sewers other than property placed in service under a binding contract in effect at all times since June 9, 1996. 1040 tax forms for 2011 Residential rental property. 1040 tax forms for 2011 This is any building or structure, such as a rental home (including a mobile home), if 80% or more of its gross rental income for the tax year is from dwelling units. 1040 tax forms for 2011 A dwelling unit is a house or apartment used to provide living accommodations in a building or structure. 1040 tax forms for 2011 It does not include a unit in a hotel, motel, or other establishment where more than half the units are used on a transient basis. 1040 tax forms for 2011 If you occupy any part of the building or structure for personal use, its gross rental income includes the fair rental value of the part you occupy. 1040 tax forms for 2011 Nonresidential real property. 1040 tax forms for 2011 This is section 1250 property, such as an office building, store, or warehouse, that is neither residential rental property nor property with a class life of less than 27. 1040 tax forms for 2011 5 years. 1040 tax forms for 2011 Qualified rent-to-own property. 1040 tax forms for 2011   Qualified rent-to-own property is property held by a rent-to-own dealer for purposes of being subject to a rent-to-own contract. 1040 tax forms for 2011 It is tangible personal property generally used in the home for personal use. 1040 tax forms for 2011 It includes computers and peripheral equipment, televisions, videocassette recorders, stereos, camcorders, appliances, furniture, washing machines and dryers, refrigerators, and other similar consumer durable property. 1040 tax forms for 2011 Consumer durable property does not include real property, aircraft, boats, motor vehicles, or trailers. 1040 tax forms for 2011   If some of the property you rent to others under a rent-to-own agreement is of a type that may be used by the renters for either personal or business purposes, you still can treat this property as qualified property as long as it does not represent a significant portion of your leasing property. 1040 tax forms for 2011 However, if this dual-use property does represent a significant portion of your leasing property, you must prove that this property is qualified rent-to-own property. 1040 tax forms for 2011 Rent-to-own dealer. 1040 tax forms for 2011   You are a rent-to-own dealer if you meet all the following requirements. 1040 tax forms for 2011 You regularly enter into rent-to-own contracts (defined below) in the ordinary course of your business for the use of consumer property. 1040 tax forms for 2011 A substantial portion of these contracts end with the customer returning the property before making all the payments required to transfer ownership. 1040 tax forms for 2011 The property is tangible personal property of a type generally used within the home for personal use. 1040 tax forms for 2011 Rent-to-own contract. 1040 tax forms for 2011   This is any lease for the use of consumer property between a rent-to-own dealer and a customer who is an individual which— Is titled “Rent-to-Own Agreement,” “Lease Agreement with Ownership Option,” or other similar language. 1040 tax forms for 2011 Provides a beginning date and a maximum period of time, not to exceed 156 weeks or 36 months from the beginning date, for which the contract can be in effect (including renewals or options to extend). 1040 tax forms for 2011 Provides for regular periodic (weekly or monthly) payments that can be either level or decreasing. 1040 tax forms for 2011 If the payments are decreasing, no payment can be less than 40% of the largest payment. 1040 tax forms for 2011 Provides for total payments that generally exceed the normal retail price of the property plus interest. 1040 tax forms for 2011 Provides for total payments that do not exceed $10,000 for each item of property. 1040 tax forms for 2011 Provides that the customer has no legal obligation to make all payments outlined in the contract and that, at the end of each weekly or monthly payment period, the customer can either continue to use the property by making the next payment or return the property in good working order with no further obligations and no entitlement to a return of any prior payments. 1040 tax forms for 2011 Provides that legal title to the property remains with the rent-to-own dealer until the customer makes either all the required payments or the early purchase payments required under the contract to acquire legal title. 1040 tax forms for 2011 Provides that the customer has no right to sell, sublease, mortgage, pawn, pledge, or otherwise dispose of the property until all contract payments have been made. 1040 tax forms for 2011 Motorsports entertainment complex. 1040 tax forms for 2011   This is a racing track facility permanently situated on land that hosts one or more racing events for automobiles, trucks, or motorcycles during the 36-month period after the first day of the month in which the facility is placed in service. 1040 tax forms for 2011 The events must be open to the public for the price of admission. 1040 tax forms for 2011 Qualified smart electric grid system. 1040 tax forms for 2011   A qualified smart electric grid system means any smart grid property used as part of a system for electric distribution grid communications, monitoring, and management placed in service after October 3, 2008, by a taxpayer who is a supplier of electrical energy or a provider of electrical energy services. 1040 tax forms for 2011 Smart grid property includes electronics and related equipment that is capable of: Sensing, collecting, and monitoring data of or from all portions of a utility's electric distribution grid, Providing real-time, two-way communications to monitor or to manage the grid, and Providing real-time analysis of an event prediction based on collected data that can be used to provide electric distribution system reliability, quality, and performance. 1040 tax forms for 2011 Retail motor fuels outlet. 1040 tax forms for 2011   Real property is a retail motor fuels outlet if it is used to a substantial extent in the retail marketing of petroleum or petroleum products (whether or not it is also used to sell food or other convenience items) and meets any one of the following three tests. 1040 tax forms for 2011 It is not larger than 1,400 square feet. 1040 tax forms for 2011 50% or more of the gross revenues generated from the property are derived from petroleum sales. 1040 tax forms for 2011 50% or more of the floor space in the property is devoted to petroleum marketing sales. 1040 tax forms for 2011 A retail motor fuels outlet does not include any facility related to petroleum and natural gas trunk pipelines. 1040 tax forms for 2011 Qualified leasehold improvement property. 1040 tax forms for 2011    Generally, this is any improvement to an interior part of a building (placed in service before January 1, 2014) that is nonresidential real property, provided all of the requirements discussed in chapter 3 under Qualified leasehold improvement property are met. 1040 tax forms for 2011   In addition, an improvement made by the lessor does not qualify as qualified leasehold improvement property to any subsequent owner unless it is acquired from the original lessor by reason of the lessor's death or in any of the following types of transactions. 1040 tax forms for 2011 A transaction to which section 381(a) applies, A mere change in the form of conducting the trade or business so long as the property is retained in the trade or business as qualified leasehold improvement property and the taxpayer retains a substantial interest in the trade or business, A like-kind exchange, involuntary conversion, or reacquisition of real property to the extent that the basis in the property represents the carryover basis, or Certain nonrecognition transactions to the extent that your basis in the property is determined by reference to the transferor's or distributor's basis in the property. 1040 tax forms for 2011 Examples include the following. 1040 tax forms for 2011 A complete liquidation of a subsidiary. 1040 tax forms for 2011 A transfer to a corporation controlled by the transferor. 1040 tax forms for 2011 An exchange of property by a corporation solely for stock or securities in another corporation in a reorganization. 1040 tax forms for 2011 Qualified restaurant property. 1040 tax forms for 2011   Qualified restaurant property is any section 1250 property that is a building placed in service after December 31, 2008, and before January 1, 2014. 1040 tax forms for 2011 Also, more than 50% of the building's square footage must be devoted to preparation of meals and seating for on-premises consumption of prepared meals. 1040 tax forms for 2011 Qualified smart electric meter. 1040 tax forms for 2011   A qualified smart electric meter is any time-based meter and related communication equipment which is placed in service by a supplier of electric energy or a provider of electric energy services and which is capable of being used by you as part of a system that: Measures and records electricity usage data on a time-differentiated basis in at least 24 separate time segments per day; Provides for the exchange of information between the supplier or provider and the customer's smart electric meter in support of time-based rates or other forms of demand response; Provides data to the supplier or provider so that the supplier or provider can provide energy usage information to customers electronically, and Provides all commercial and residential customers of such supplier or provider with net metering. 1040 tax forms for 2011 Net metering means allowing a customer a credit, if any, as complies with applicable federal and state laws and regulations for providing electricity to the supplier or provider. 1040 tax forms for 2011 Natural gas gathering line and electric transmission property. 1040 tax forms for 2011   Any natural gas gathering line placed in service after April 11, 2005, is treated as 7-year property, and electric transmission property (that is section 1245 property) used in the transmission at 69 or more kilovolts of electricity and any natural gas distribution line placed in service after April 11, 2005, are treated as 15-year property, if the following requirements are met. 1040 tax forms for 2011 The original use of the property must have begun with you after April 11, 2005. 1040 tax forms for 2011 Original use means the first use to which the property is put, whether or not by you. 1040 tax forms for 2011 Therefore, property used by any person before April 12, 2005, is not original use. 1040 tax forms for 2011 Original use includes additional capital expenditures you incurred to recondition or rebuild your property. 1040 tax forms for 2011 However, original use does not include the cost of reconditioned or rebuilt property you acquired. 1040 tax forms for 2011 Property containing used parts will not be treated as reconditioned or rebuilt if the cost of the used parts is not more than 20% of the total cost of the property. 1040 tax forms for 2011 The property must not be placed in service under a binding contract in effect before April 12, 2005. 1040 tax forms for 2011 The property must not be self-constructed property (property you manufacture, construct, or produce for your own use), if you began the manufacture, construction, or production of the property before April 12, 2005. 1040 tax forms for 2011 Property that is manufactured, constructed, or produced for your use by another person under a written binding contract entered into by you or a related party before the manufacture, construction, or production of the property is considered to be manufactured, constructed, or produced by you. 1040 tax forms for 2011 What Is the Placed in Service Date? You begin to claim depreciation when your property is placed in service for either use in a trade or business or the production of income. 1040 tax forms for 2011 The placed in service date for your property is the date the property is ready and available for a specific use. 1040 tax forms for 2011 It is therefore not necessarily the date it is first used. 1040 tax forms for 2011 If you converted property held for personal use to use in a trade or business or for the production of income, treat the property as being placed in service on the conversion date. 1040 tax forms for 2011 See Placed in Service under When Does Depreciation Begin and End in chapter 1 for examples illustrating when property is placed in service. 1040 tax forms for 2011 What Is the Basis for Depreciation? The basis for depreciation of MACRS property is the property's cost or other basis multiplied by the percentage of business/investment use. 1040 tax forms for 2011 For a discussion of business/investment use, see Partial business or investment use under Property Used in Your Business or Income-Producing Activity in chapter 1 . 1040 tax forms for 2011 Reduce that amount by any credits and deductions allocable to the property. 1040 tax forms for 2011 The following are examples of some credits and deductions that reduce basis. 1040 tax forms for 2011 Any deduction for section 179 property. 1040 tax forms for 2011 Any deduction under section 179B of the Internal Revenue Code for capital costs to comply with Environmental Protection Agency sulfur regulations. 1040 tax forms for 2011 Any deduction under section 179C of the Internal Revenue Code for certain qualified refinery property placed in service after August 8, 2005, and before January 1, 2014. 1040 tax forms for 2011 Any deduction under section 179D of the Internal Revenue Code for certain energy efficient commercial building property placed in service after December 31, 2005, and before January 1, 2014. 1040 tax forms for 2011 Any deduction under section 179E of the Internal Revenue Code for qualified advanced mine safety equipment property placed in service after December 20, 2006, and before January 1, 2014 . 1040 tax forms for 2011 Any deduction for removal of barriers to the disabled and the elderly. 1040 tax forms for 2011 Any disabled access credit, enhanced oil recovery credit, and credit for employer-provided childcare facilities and services. 1040 tax forms for 2011 Any special depreciation allowance. 1040 tax forms for 2011 Basis adjustment for investment credit property under section 50(c) of the Internal Revenue Code. 1040 tax forms for 2011 For additional credits and deductions that affect basis, see section 1016 of the Internal Revenue Code. 1040 tax forms for 2011 Enter the basis for depreciation under column (c) in Part III of Form 4562. 1040 tax forms for 2011 For information about how to determine the cost or other basis of property, see What Is the Basis of Your Depreciable Property in chapter 1 . 1040 tax forms for 2011 Which Recovery Period Applies? The recovery period of property is the number of years over which you recover its cost or other basis. 1040 tax forms for 2011 It is determined based on the depreciation system (GDS or ADS) used. 1040 tax forms for 2011 Recovery Periods Under GDS Under GDS, property that is not qualified Indian reservation property is depreciated over one of the following recovery periods. 1040 tax forms for 2011 Property Class Recovery Period 3-year property   3 years 1   5-year property   5 years     7-year property   7 years     10-year property   10 years     15-year property   15 years 2   20-year property   20 years     25-year property   25 years 3   Residential rental property   27. 1040 tax forms for 2011 5 years     Nonresidential real property   39 years 4   15 years for qualified rent-to-own property placed in service before August 6, 1997. 1040 tax forms for 2011 239 years for property that is a retail motor fuels outlet placed in service before August 20, 1996 (31. 1040 tax forms for 2011 5 years if placed in service before May 13, 1993), unless you elected to depreciate it over 15 years. 1040 tax forms for 2011 320 years for property placed in service before June 13, 1996, or under a binding contract in effect before June 10, 1996. 1040 tax forms for 2011 431. 1040 tax forms for 2011 5 years for property placed in service before May 13, 1993 (or before January 1, 1994, if the purchase or construction of the property is under a binding contract in effect before May 13, 1993, or if construction began before May 13, 1993). 1040 tax forms for 2011 The GDS recovery periods for property not listed above can be found in Appendix B, Table of Class Lives and Recovery Periods. 1040 tax forms for 2011 Residential rental property and nonresidential real property are defined earlier under Which Depreciation System (GDS or ADS) Applies. 1040 tax forms for 2011 Enter the appropriate recovery period on Form 4562 under column (d) in section B of Part III, unless already shown (for 25-year property, residential rental property, and nonresidential real property). 1040 tax forms for 2011 Office in the home. 1040 tax forms for 2011   If your home is a personal-use single family residence and you begin to use part of your home as an office, depreciate that part of your home as nonresidential real property over 39 years (31. 1040 tax forms for 2011 5 years if you began using it for business before May 13, 1993). 1040 tax forms for 2011 However, if your home is an apartment in an apartment building that you own and the building is residential rental property as defined earlier under Which Depreciation System (GDS or ADS) Applies , depreciate the part used as an office as residential rental property over 27. 1040 tax forms for 2011 5 years. 1040 tax forms for 2011 See Publication 587 for a discussion of the tests you must meet to claim expenses, including depreciation, for the business use of your home. 1040 tax forms for 2011 Home changed to rental use. 1040 tax forms for 2011   If you begin to rent a home that was your personal home before 1987, you depreciate it as residential rental property over 27. 1040 tax forms for 2011 5 years. 1040 tax forms for 2011 Indian Reservation Property The recovery periods for qualified property you placed in service on an Indian reservation after 1993 and before 2014 are shorter than those listed earlier. 1040 tax forms for 2011 The following table shows these shorter recovery periods. 1040 tax forms for 2011 Property Class Recovery  Period 3-year property 2 years 5-year property 3 years 7-year property 4 years 10-year property 6 years 15-year property 9 years 20-year property 12 years Nonresidential real property 22 years Nonresidential real property is defined earlier under Which Property Class Applies Under GDS . 1040 tax forms for 2011 Use this chart to find the correct percentage table to use for qualified Indian reservation property. 1040 tax forms for 2011 IF your recovery period is: THEN use the following table in Appendix A: 2 years A-21 3 years A-1, A-2, A-3, A-4, or A-5 4 years A-22 6 years A-23 9 years A-14, A-15, A-16, A-17, or A-18 12 years A-14, A-15, A-16, A-17, or A-18 22 years A-24 Qualified property. 1040 tax forms for 2011   Property eligible for the shorter recovery periods are 3-, 5-, 7-, 10-, 15-, and 20-year property and nonresidential real property. 1040 tax forms for 2011 You must use this property predominantly in the active conduct of a trade or business within an Indian reservation. 1040 tax forms for 2011 The rental of real property that is located on an Indian reservation is treated as the active conduct of a trade or business within an Indian reservation. 1040 tax forms for 2011   The following property is not qualified property. 1040 tax forms for 2011 Property used or located outside an Indian reservation on a regular basis, other than qualified infrastructure property. 1040 tax forms for 2011 Property acquired directly or indirectly from a related person. 1040 tax forms for 2011 Property placed in service for purposes of conducting or housing class I, II, or III gaming activities. 1040 tax forms for 2011 These activities are defined in section 4 of the Indian Regulatory Act (25 U. 1040 tax forms for 2011 S. 1040 tax forms for 2011 C. 1040 tax forms for 2011 2703). 1040 tax forms for 2011 Any property you must depreciate under ADS. 1040 tax forms for 2011 Determine whether property is qualified without regard to the election to use ADS and after applying the special rules for listed property not used predominantly for qualified business use (discussed in chapter 5). 1040 tax forms for 2011 Qualified infrastructure property. 1040 tax forms for 2011   Item (1) above does not apply to qualified infrastructure property located outside the reservation that is used to connect with qualified infrastructure property within the reservation. 1040 tax forms for 2011 Qualified infrastructure property is property that meets all the following rules. 1040 tax forms for 2011 It is qualified property, as defined earlier, except that it is outside the reservation. 1040 tax forms for 2011 It benefits the tribal infrastructure. 1040 tax forms for 2011 It is available to the general public. 1040 tax forms for 2011 It is placed in service in connection with the active conduct of a trade or business within a reservation. 1040 tax forms for 2011 Infrastructure property includes, but is not limited to, roads, power lines, water systems, railroad spurs, and communications facilities. 1040 tax forms for 2011 Related person. 1040 tax forms for 2011   For purposes of item (2) above, see Related persons in the discussion on property owned or used in 1986 under What Method Can You Use To Depreciate Your Property in chapter 1 for a description of related persons. 1040 tax forms for 2011 Indian reservation. 1040 tax forms for 2011   The term Indian reservation means a reservation as defined in section 3(d) of the Indian Financing Act of 1974 (25 U. 1040 tax forms for 2011 S. 1040 tax forms for 2011 C. 1040 tax forms for 2011 1452(d)) or section 4(10) of the Indian Child Welfare Act of 1978 (25 U. 1040 tax forms for 2011 S. 1040 tax forms for 2011 C. 1040 tax forms for 2011 1903(10)). 1040 tax forms for 2011 Section 3(d) of the Indian Financing Act of 1974 defines reservation to include former Indian reservations in Oklahoma. 1040 tax forms for 2011 For a definition of the term “former Indian reservations in Oklahoma,” see Notice 98-45 in Internal Revenue Bulletin 1998-35. 1040 tax forms for 2011 Recovery Periods Under ADS The recovery periods for most property generally are longer under ADS than they are under GDS. 1040 tax forms for 2011 The following table shows some of the ADS recovery periods. 1040 tax forms for 2011 Property Recovery  Period Rent-to-own property 4 years Automobiles and light duty trucks 5 years Computers and peripheral equipment 5 years High technology telephone station equipment installed on customer premises 5 years High technology medical equipment 5 years Personal property with no class life 12 years Natural gas gathering lines 14 years Single purpose agricultural and horticultural structures 15 years Any tree or vine bearing fruit or nuts 20 years Initial clearing and grading land  improvements for gas utility property 20 years Initial clearing and grading land  improvements for electric utility  transmission and distribution plants 25 years Electric transmission property used in the transmission at 69 or more kilovolts of electricity 30 years Natural gas distribution lines 35 years Any qualified leasehold improvement property 39 years Any qualified restaurant property 39 years Nonresidential real property 40 years Residential rental property 40 years Section 1245 real property not listed in Appendix B 40 years Railroad grading and tunnel bore 50 years The ADS recovery periods for property not listed above can be found in the tables in Appendix B. 1040 tax forms for 2011 Rent-to-own property, qualified leasehold improvement property, qualified restaurant property, residential rental property, and nonresidential real property are defined earlier under Which Property Class Applies Under GDS . 1040 tax forms for 2011 Tax-exempt use property subject to a lease. 1040 tax forms for 2011   The ADS recovery period for any property leased under a lease agreement to a tax-exempt organization, governmental unit, or foreign person or entity (other than a partnership) cannot be less than 125% of the lease term. 1040 tax forms for 2011 Additions and Improvements An addition or improvement you make to depreciable property is treated as separate depreciable property. 1040 tax forms for 2011 See How Do You Treat Repairs and Improvements in chapter 1 for a definition of improvements. 1040 tax forms for 2011 Its property class and recovery period are the same as those that would apply to the original property if you had placed it in service at the same time you placed the addition or improvement in service. 1040 tax forms for 2011 The recovery period begins on the later of the following dates. 1040 tax forms for 2011 The date you place the addition or improvement in service. 1040 tax forms for 2011 The date you place in service the property to which you made the addition or improvement. 1040 tax forms for 2011 If the improvement you make is qualified leasehold improvement property, qualified restaurant property, or qualified retail improvement property, the GDS recovery period is 15 years (39 years under ADS). 1040 tax forms for 2011 Example. 1040 tax forms for 2011 You own a rental home that you have been renting out since 1981. 1040 tax forms for 2011 If you put an addition on the home and place the addition in service this year, you would use MACRS to figure your depreciation deduction for the addition. 1040 tax forms for 2011 Under GDS, the property class for the addition is residential rental property and its recovery period is 27. 1040 tax forms for 2011 5 years because the home to which the addition is made would be residential rental property if you had placed it in service this year. 1040 tax forms for 2011 Which Convention Applies? Under MACRS, averaging conventions establish when the recovery period begins and ends. 1040 tax forms for 2011 The convention you use determines the number of months for which you can claim depreciation in the year you place property in service and in the year you dispose of the property. 1040 tax forms for 2011 The mid-month convention. 1040 tax forms for 2011   Use this convention for nonresidential real property, residential rental property, and any railroad grading or tunnel bore. 1040 tax forms for 2011   Under this convention, you treat all property placed in service or disposed of during a month as placed in service or disposed of at the midpoint of the month. 1040 tax forms for 2011 This means that a one-half month of depreciation is allowed for the month the property is placed in service or disposed of. 1040 tax forms for 2011   Your use of the mid-month convention is indicated by the “MM” already shown under column (e) in Part III of Form 4562. 1040 tax forms for 2011 The mid-quarter convention. 1040 tax forms for 2011   Use this convention if the mid-month convention does not apply and the total depreciable bases of MACRS property you placed in service during the last 3 months of the tax year (excluding nonresidential real property, residential rental property, any railroad grading or tunnel bore, property placed in service and disposed of in the same year, and property that is being depreciated under a method other than MACRS) are more than 40% of the total depreciable bases of all MACRS property you placed in service during the entire year. 1040 tax forms for 2011   Under this convention, you treat all property placed in service or disposed of during any quarter of the tax year as placed in service or disposed of at the midpoint of that quarter. 1040 tax forms for 2011 This means that 1½ months of depreciation is allowed for the quarter the property is placed in service or disposed of. 1040 tax forms for 2011   If you use this convention, enter “MQ” under column (e) in Part III of Form 4562. 1040 tax forms for 2011    For purposes of determining whether the mid-quarter convention applies, the depreciable basis of property you placed in service during the tax year reflects the reduction in basis for amounts expensed under section 179 and the part of the basis of property attributable to personal use. 1040 tax forms for 2011 However, it does not reflect any reduction in basis for any special depreciation allowance. 1040 tax forms for 2011 The half-year convention. 1040 tax forms for 2011   Use this convention if neither the mid-quarter convention nor the mid-month convention applies. 1040 tax forms for 2011   Under this convention, you treat all property placed in service or disposed of during a tax year as placed in service or disposed of at the midpoint of the year. 1040 tax forms for 2011 This means that a one-half year of depreciation is allowed for the year the property is placed in service or disposed of. 1040 tax forms for 2011   If you use this convention, enter “HY” under column (e) in Part III of Form 4562. 1040 tax forms for 2011 Which Depreciation Method Applies? MACRS provides three depreciation methods under GDS and one depreciation method under ADS. 1040 tax forms for 2011 The 200% declining balance method over a GDS recovery period. 1040 tax forms for 2011 The 150% declining balance method over a GDS recovery period. 1040 tax forms for 2011 The straight line method over a GDS recovery period. 1040 tax forms for 2011 The straight line method over an ADS recovery period. 1040 tax forms for 2011 For property placed in service before 1999, you could have elected the 150% declining balance method using the ADS recovery periods for certain property classes. 1040 tax forms for 2011 If you made this election, continue to use the same method and recovery period for that property. 1040 tax forms for 2011 Table 4–1 lists the types of property you can depreciate under each method. 1040 tax forms for 2011 It also gives a brief explanation of the method, including any benefits that may apply. 1040 tax forms for 2011 Depreciation Methods for Farm Property If you place personal property in service in a farming business after 1988, you generally must depreciate it under GDS using the 150% declining balance method unless you are a farmer who must depreciate the property under ADS using the straight line method or you elect to depreciate the property under GDS or ADS using the straight line method. 1040 tax forms for 2011 You can depreciate real property using the straight line method under either GDS or ADS. 1040 tax forms for 2011 Fruit or nut trees and vines. 1040 tax forms for 2011   Depreciate trees and vines bearing fruit or nuts under GDS using the straight line method over a recovery period of 10 years. 1040 tax forms for 2011 ADS required for some farmers. 1040 tax forms for 2011   If you elect not to apply the uniform capitalization rules to any plant produced in your farming business, you must use ADS. 1040 tax forms for 2011 You must use ADS for all property you place in service in any year the election is in effect. 1040 tax forms for 2011 See the regulations under section 263A of the Internal Revenue Code for information on the uniform capitalization rules that apply to farm property. 1040 tax forms for 2011 Electing a Different Method As shown in Table 4–1 , you can elect a different method for depreciation for certain types of property. 1040 tax forms for 2011 You must make the election by the due date of the return (including extensions) for the year you placed the property in service. 1040 tax forms for 2011 However, if you timely filed your return for the year without making the election, you still can make the election by filing an amended return within 6 months of the due date of the return (excluding extensions). 1040 tax forms for 2011 Attach the election to the amended return and write “Filed pursuant to section 301. 1040 tax forms for 2011 9100-2” on the election statement. 1040 tax forms for 2011 File the amended return at the same address you filed the original return. 1040 tax forms for 2011 Once you make the election, you cannot change it. 1040 tax forms for 2011 If you elect to use a different method for one item in a property class, you must apply the same method to all property in that class placed in service during the year of the election. 1040 tax forms for 2011 However, you can make the election on a property-by-property basis for nonresidential real and residential rental property. 1040 tax forms for 2011 150% election. 1040 tax forms for 2011   Instead of using the 200% declining balance method over the GDS recovery period for nonfarm property in the 3-, 5-, 7-, and 10-year property classes, you can elect to use the 150% declining balance method. 1040 tax forms for 2011 Make the election by entering “150 DB” under column (f) in Part III of Form 4562. 1040 tax forms for 2011 Straight line election. 1040 tax forms for 2011   Instead of using either the 200% or 150% declining balance methods over the GDS recovery period, you can elect to use the straight line method over the GDS recovery period. 1040 tax forms for 2011 Make the election by entering  “S/L” under column (f) in Part III of Form 4562. 1040 tax forms for 2011 Election of ADS. 1040 tax forms for 2011   As explained earlier under Which Depreciation System (GDS or ADS) Applies , you can elect to use ADS even though your property may come under GDS. 1040 tax forms for 2011 ADS uses the straight line method of depreciation over fixed ADS recovery periods. 1040 tax forms for 2011 Most ADS recovery periods are listed in Appendix B, or see the table under Recovery Periods Under ADS , earlier. 1040 tax forms for 2011   Make the election by completing line 20 in Part III of Form 4562. 1040 tax forms for 2011 Farm property. 1040 tax forms for 2011   Instead of using the 150% declining balance method over a GDS recovery period for property you use in a farming business (other than real property), you can elect to depreciate it using either of the following methods. 1040 tax forms for 2011 The straight line method over a GDS recovery period. 1040 tax forms for 2011 The straight line method over an ADS recovery period. 1040 tax forms for 2011 Table 4-1. 1040 tax forms for 2011 Depreciation Methods Note. 1040 tax forms for 2011 The declining balance method is abbreviated as DB and the straight line method is abbreviated as SL. 1040 tax forms for 2011 Method Type of Property Benefit GDS using 200% DB • Nonfarm 3-, 5-, 7-, and 10-year property • Provides a greater deduction during the earlier recovery years • Changes to SL when that method provides an equal or greater deduction GDS using 150% DB • All farm property (except real property) • All 15- and 20-year property (except qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property placed in service before January 1, 2014) • Nonfarm 3-, 5-, 7-, and 10-year property • Provides a greater deduction during the earlier recovery years • Changes to SL when that method provides an equal or greater deduction1 GDS using SL • Nonresidential real property • Qualified leasehold improvement property placed in service before January 1, 2014 • Qualified restaurant property placed in service before January 1, 2014 • Qualified retail improvement property placed in service before January 1, 2014 • Residential rental property • Trees or vines bearing fruit or nuts • Water utility property • All 3-, 5-, 7-, 10-, 15-, and 20-year property2 • Property for which you elected section 168(k)(4) • Provides for equal yearly deductions (except for the first and last years) ADS using SL • Listed property used 50% or less for business • Property used predominantly outside the U. 1040 tax forms for 2011 S. 1040 tax forms for 2011  • Tax-exempt property • Tax-exempt bond-financed property • Farm property used when an election not to apply the uniform capitalization rules is in effect • Imported property3 • Any property for which you elect to use this method4 • Provides for equal yearly deductions (except for the first and last years) 1The MACRS percentage tables in Appendix A have the switch to the straight line method built into their rates 2See section 168(b)(5) of the Internal Revenue Code. 1040 tax forms for 2011 3See section 168(g)(6) of the Internal Revenue Code 4See section 168(g)(7) of the Internal Revenue Code How Is the Depreciation Deduction Figured? To figure your depreciation deduction under MACRS, you first determine the depreciation system, property class, placed in service date, basis amount, recovery period, convention, and depreciation method that applies to your property. 1040 tax forms for 2011 Then, you are ready to figure your depreciation deduction. 1040 tax forms for 2011 You can figure it using a percentage table provided by the IRS, or you can figure it yourself without using the table. 1040 tax forms for 2011 Using the MACRS Percentage Tables To help you figure your deduction under MACRS, the IRS has established percentage tables that incorporate the applicable convention and depreciation method. 1040 tax forms for 2011 These percentage tables are in Appendix A near the end of this publication. 1040 tax forms for 2011 Which table to use. 1040 tax forms for 2011    Appendix A contains the MACRS Percentage Table Guide, which is designed to help you locate the correct percentage table to use for depreciating your property. 1040 tax forms for 2011 The percentage tables immediately follow the guide. 1040 tax forms for 2011 Rules Covering the Use of the Tables The following rules cover the use of the percentage tables. 1040 tax forms for 2011 You must apply the rates in the percentage tables to your property's unadjusted basis. 1040 tax forms for 2011 You cannot use the percentage tables for a short tax year. 1040 tax forms for 2011 See Figuring the Deduction for a Short Tax Year, later, for information on the short tax year rules. 1040 tax forms for 2011 Once you start using the percentage tables for any item of property, you generally must continue to use them for the entire recovery period of the property. 1040 tax forms for 2011 You must stop using the tables if you adjust the basis of the property for any reason other than— Depreciation allowed or allowable, or An addition or improvement to that property that is depreciated as a separate item of property. 1040 tax forms for 2011 Basis adjustments other than those made due to the items listed in (4) include an increase in basis for the recapture of a clean-fuel deduction or credit and a reduction in basis for a casualty loss. 1040 tax forms for 2011 Basis adjustment due to recapture of clean-fuel vehicle deduction or credit. 1040 tax forms for 2011   If you increase the basis of your property because of the recapture of part or all of a deduction for clean-fuel vehicles or the credit for clean-fuel vehicle refueling property placed in service before January 1, 2006, you cannot continue to use the percentage tables. 1040 tax forms for 2011 For the year of the adjustment and the remaining recovery period, you must figure the depreciation deduction yourself using the property's adjusted basis at the end of the year. 1040 tax forms for 2011 See Figuring the Deduction Without Using the Tables, later. 1040 tax forms for 2011 Basis adjustment due to casualty loss. 1040 tax forms for 2011   If you reduce the basis of your property because of a casualty, you cannot continue to use the percentage tables. 1040 tax forms for 2011 For the year of the adjustment and the remaining recovery period, you must figure the depreciation yourself using the property's adjusted basis at the end of the year. 1040 tax forms for 2011 See Figuring the Deduction Without Using the Tables, later. 1040 tax forms for 2011 Example. 1040 tax forms for 2011 On October 26, 2012, Sandra Elm, a calendar year taxpayer, bought and placed in service in her business a new item of 7-year property. 1040 tax forms for 2011 It cost $39,000 and she elected a section 179 deduction of $24,000. 1040 tax forms for 2011 She also took a special depreciation allowance of $7,500 [50% of $15,000 ($39,000 − $24,000)]. 1040 tax forms for 2011 Her unadjusted basis after the section 179 deduction and special depreciation allowance was $7,500 ($15,000 − $7,500). 1040 tax forms for 2011 She figured her MACRS depreciation deduction using the percentage tables. 1040 tax forms for 2011 For 2012, her MACRS depreciation deduction was $268. 1040 tax forms for 2011 In July 2013, the property was vandalized and Sandra had a deductible casualty loss of $3,000. 1040 tax forms for 2011 She must adjust the property's basis for the casualty loss, so she can no longer use the percentage tables. 1040 tax forms for 2011 Her adjusted basis at the end of 2013, before figuring her 2013 depreciation, is $4,232. 1040 tax forms for 2011 She figures that amount by subtracting the 2012 MACRS depreciation of $268 and the casualty loss of $3,000 from the unadjusted basis of $7,500. 1040 tax forms for 2011 She must now figure her depreciation for 2013 without using the percentage tables. 1040 tax forms for 2011 Figuring the Unadjusted Basis of Your Property You must apply the table rates to your property's unadjusted basis each year of the recovery period. 1040 tax forms for 2011 Unadjusted basis is the same basis amount you would use to figure gain on a sale, but you figure it without reducing your original basis by any MACRS depreciation taken in earlier years. 1040 tax forms for 2011 However, you do reduce your original basis by other amounts, including the following. 1040 tax forms for 2011 Any amortization taken on the property. 1040 tax forms for 2011 Any section 179 deduction claimed. 1040 tax forms for 2011 Any special depreciation allowance taken on the property. 1040 tax forms for 2011 For business property you purchase during the year, the unadjusted basis is its cost minus these and other applicable adjustments. 1040 tax forms for 2011 If you trade property, your unadjusted basis in the property received is the cash paid plus the adjusted basis of the property traded minus these adjustments. 1040 tax forms for 2011 MACRS Worksheet You can use this worksheet to help you figure your depreciation deduction using the percentage tables. 1040 tax forms for 2011 Use a separate worksheet for each item of property. 1040 tax forms for 2011 Then, use the information from this worksheet to prepare Form 4562. 1040 tax forms for 2011 Do not use this worksheet for automobiles. 1040 tax forms for 2011 Use the Depreciation Worksheet for Passenger Automobiles in chapter 5. 1040 tax forms for 2011 MACRS Worksheet Part I   1. 1040 tax forms for 2011 MACRS system (GDS or ADS)   2. 1040 tax forms for 2011 Property class   3. 1040 tax forms for 2011 Date placed in service   4. 1040 tax forms for 2011 Recovery period   5. 1040 tax forms for 2011 Method and convention   6. 1040 tax forms for 2011 Depreciation rate (from tables)   Part II   7. 1040 tax forms for 2011 Cost or other basis* $     8. 1040 tax forms for 2011 Business/investment use   %   9. 1040 tax forms for 2011 Multiply line 7 by line 8   $ 10. 1040 tax forms for 2011 Total claimed for section 179 deduction and other items   $ 11. 1040 tax forms for 2011 Subtract line 10 from line 9. 1040 tax forms for 2011 This is your tentative basis for depreciation   $ 12. 1040 tax forms for 2011 Multiply line 11 by . 1040 tax forms for 2011 50 if the 50% special depreciation allowance applies. 1040 tax forms for 2011 This is your special depreciation allowance. 1040 tax forms for 2011 Enter -0- if this is not the year you placed the property in service, the property is not qualified property, or you elected not to claim a special allowance   $ 13. 1040 tax forms for 2011 Subtract line 12 from line 11. 1040 tax forms for 2011 This is your basis for depreciation     14. 1040 tax forms for 2011 Depreciation rate (from line 6)     15. 1040 tax forms for 2011 Multiply line 13 by line 14. 1040 tax forms for 2011 This is your MACRS depreciation deduction   $ *If real estate, do not include cost (basis) of land. 1040 tax forms for 2011 The following example shows how to figure your MACRS depreciation deduction using the percentage tables and the MACRS worksheet. 1040 tax forms for 2011 Example. 1040 tax forms for 2011 You bought office furniture (7-year property) for $10,000 and placed it in service on August 11, 2013. 1040 tax forms for 2011 You use the furniture only for business. 1040 tax forms for 2011 This is the only property you placed in service this year. 1040 tax forms for 2011 You did not elect a section 179 deduction and the property is not qualified property for purposes of claiming a special depreciation allowance so your property's unadjusted basis is its cost, $10,000. 1040 tax forms for 2011 You use GDS and the half-year convention to figure your depreciation. 1040 tax forms for 2011 You refer to the MACRS Percentage Table Guide in Appendix A and find that you should use Table A-1. 1040 tax forms for 2011 Multiply your property's unadjusted basis each year by the percentage for 7-year property given in Table A-1. 1040 tax forms for 2011 You figure your depreciation deduction using the MACRS worksheet as follows. 1040 tax forms for 2011 MACRS Worksheet Part I 1. 1040 tax forms for 2011 MACRS system (GDS or ADS) GDS 2. 1040 tax forms for 2011 Property class 7-year 3. 1040 tax forms for 2011 Date placed in service 8/11/13 4. 1040 tax forms for 2011 Recovery period 7-Year 5. 1040 tax forms for 2011 Method and convention 200%DB/Half-Year 6. 1040 tax forms for 2011 Depreciation rate (from tables) . 1040 tax forms for 2011 1429 Part II 7. 1040 tax forms for 2011 Cost or other basis* $10,000     8. 1040 tax forms for 2011 Business/investment use 100 %   9. 1040 tax forms for 2011 Multiply line 7 by line 8   $10,000 10. 1040 tax forms for 2011 Total claimed for section 179 deduction and other items   -0- 11. 1040 tax forms for 2011 Subtract line 10 from line 9. 1040 tax forms for 2011 This is your tentative basis for depreciation   $10,000 12. 1040 tax forms for 2011 Multiply line 11 by . 1040 tax forms for 2011 50 if the 50% special depreciation allowance applies. 1040 tax forms for 2011 This is your special depreciation allowance. 1040 tax forms for 2011 Enter -0- if this is not the year you placed the property in service, the property is not qualified property, or you elected not to claim a special allowance   -0- 13. 1040 tax forms for 2011 Subtract line 12 from line 11. 1040 tax forms for 2011 This is your basis for depreciation   $10,000 14. 1040 tax forms for 2011 Depreciation rate (from line 6)   . 1040 tax forms for 2011 1429 15. 1040 tax forms for 2011 Multiply line 13 by line 14. 1040 tax forms for 2011 This is your MACRS depreciation deduction   $1,429 *If real estate, do not include cost (basis) of land. 1040 tax forms for 2011 If there are no adjustments to the basis of the property other than depreciation, your depreciation deduction for each subsequent year of the recovery period will be as follows. 1040 tax forms for 2011 Year   Basis Percentage Deduction 2014 $ 10,000 24. 1040 tax forms for 2011 49%   $2,449   2015   10,000 17. 1040 tax forms for 2011 49   1,749   2016   10,000 12. 1040 tax forms for 2011 49   1,249   2017   10,000 8. 1040 tax forms for 2011 93   893   2018   10,000 8. 1040 tax forms for 2011 92   892   2019   10,000 8. 1040 tax forms for 2011 93   893   2020   10,000 4. 1040 tax forms for 2011 46   446   Examples The following examples are provided to show you how to use the percentage tables. 1040 tax forms for 2011 In both examples, assume the following. 1040 tax forms for 2011 You use the property only for business. 1040 tax forms for 2011 You use the calendar year as your tax year. 1040 tax forms for 2011 You use GDS for all the properties. 1040 tax forms for 2011 Example 1. 1040 tax forms for 2011 You bought a building and land for $120,000 and placed it in service on March 8. 1040 tax forms for 2011 The sales contract showed that the building cost $100,000 and the land cost $20,000. 1040 tax forms for 2011 It is nonresidential real property. 1040 tax forms for 2011 The building's unadjusted basis is its original cost, $100,000. 1040 tax forms for 2011 You refer to the MACRS Percentage Table Guide in Appendix A and find that you should use Table A-7a. 1040 tax forms for 2011 March is the third month of your tax year, so multiply the building's unadjusted basis, $100,000, by the percentages for the third month in Table A-7a. 1040 tax forms for 2011 Your depreciation deduction for each of the first 3 years is as follows: Year   Basis Percentage Deduction 1st $ 100,000 2. 1040 tax forms for 2011 033%   $2,033   2nd   100,000 2. 1040 tax forms for 2011 564   2,564   3rd   100,000 2. 1040 tax forms for 2011 564   2,564   Example 2. 1040 tax forms for 2011 During the year, you bought a machine (7-year property) for $4,000, office furniture (7-year property) for $1,000, and a computer (5-year property) for $5,000. 1040 tax forms for 2011 You placed the machine in service in January, the furniture in September, and the computer in October. 1040 tax forms for 2011 You do not elect a section 179 deduction and none of these items is qualified property for purposes of claiming a special depreciation allowance. 1040 tax forms for 2011 You placed property in service during the last 3 months of the year, so you must first determine if you have to use the mid-quarter convention. 1040 tax forms for 2011 The total bases of all property you placed in service during the year is $10,000. 1040 tax forms for 2011 The $5,000 basis of the computer, which you placed in service during the last 3 months (the fourth quarter) of your tax year, is more than 40% of the total bases of all property ($10,000) you placed in service during the year. 1040 tax forms for 2011 Therefore, you must use the mid-quarter convention for all three items. 1040 tax forms for 2011 You refer to the MACRS Percentage Table Guide in Appendix A to determine which table you should use under the mid-quarter convention. 1040 tax forms for 2011 The machine is 7-year property placed in service in the first quarter, so you use Table A-2. 1040 tax forms for 2011 The furniture is 7-year property placed in service in the third quarter, so you use Table A-4. 1040 tax forms for 2011 Finally, because the computer is 5-year property placed in service in the fourth quarter, you use Table A-6. 1040 tax forms for 2011 Knowing what table to use for each property, you figure the depreciation for the first 2 years as follows. 1040 tax forms for 2011 Year Property Basis Percentage Deduction 1st Machine $4,000 25. 1040 tax forms for 2011 00 $1,000   2nd Machine 4,000 21. 1040 tax forms for 2011 43 857   1st Furniture 1,000 10. 1040 tax forms for 2011 71 107   2nd Furniture 1,000 25. 1040 tax forms for 2011 51 255   1st Computer 5,000 5. 1040 tax forms for 2011 00 250   2nd Computer 5,000 38. 1040 tax forms for 2011 00 1,900   Sale or Other Disposition Before the Recovery Period Ends If you sell or otherwise dispose of your property before the end of its recovery period, your depreciation deduction for the year of the disposition will be only part of the depreciation amount for the full year. 1040 tax forms for 2011 You have disposed of your property if you have permanently withdrawn it from use in your business or income-producing activity because of its sale, exchange, retirement, abandonment, involuntary conversion, or destruction. 1040 tax forms for 2011 After you figure the full-year depreciation amount, figure the deductible part using the convention that applies to the property. 1040 tax forms for 2011 Half-year convention used. 1040 tax forms for 2011   For property for which you used a half-year convention, the depreciation deduction for the year of the disposition is half the depreciation determined for the full year. 1040 tax forms for 2011 Mid-quarter convention used. 1040 tax forms for 2011   For property for which you used the mid-quarter convention, figure your depreciation deduction for the year of the disposition by multiplying a full year of depreciation by the percentage listed below for the quarter in which you disposed of the property. 1040 tax forms for 2011 Quarter Percentage First 12. 1040 tax forms for 2011 5% Second 37. 1040 tax forms for 2011 5 Third 62. 1040 tax forms for 2011 5 Fourth 87. 1040 tax forms for 2011 5 Example. 1040 tax forms for 2011 On December 2, 2010, you placed in service an item of 5-year property costing $10,000. 1040 tax forms for 2011 You did not claim a section 179 deduction and the property does not qualify for a special depreciation allowance. 1040 tax forms for 2011 Your unadjusted basis for the property was $10,000. 1040 tax forms for 2011 You used the mid-quarter convention because this was the only item of business property you placed in service in 2010 and it was placed in service during the last 3 months of your tax year. 1040 tax forms for 2011 Your property is in the 5-year property class, so you used Table A-5 to figure your depreciation deduction. 1040 tax forms for 2011 Your deductions for 2010, 2011, and 2012 were $500 (5% of $10,000), $3,800 (38% of $10,000), and $2,280 (22. 1040 tax forms for 2011 80% of $10,000). 1040 tax forms for 2011 You disposed of the property on April 6, 2013. 1040 tax forms for 2011 To determine your depreciation deduction for 2013, first figure the deduction for the full year. 1040 tax forms for 2011 This is $1,368 (13. 1040 tax forms for 2011 68% of $10,000). 1040 tax forms for 2011 April is in the second quarter of the year, so you multiply $1,368 by 37. 1040 tax forms for 2011 5% to get your depreciation deduction of $513 for 2013. 1040 tax forms for 2011 Mid-month convention used. 1040 tax forms for 2011   If you dispose of residential rental or nonresidential real property, figure your depreciation deduction for the year of the disposition by multiplying a full year of depreciation by a fraction. 1040 tax forms for 2011 The numerator of the fraction is the number of months (including partial months) in the year that the property is considered in service. 1040 tax forms for 2011 The denominator is 12. 1040 tax forms for 2011 Example. 1040 tax forms for 2011 On July 2, 2011, you purchased and placed in service residential rental property. 1040 tax forms for 2011 The property cost $100,000, not including the cost of land. 1040 tax forms for 2011 You used Table A-6 to figure your MACRS depreciation for this property. 1040 tax forms for 2011 You sold the property on March 2, 2013. 1040 tax forms for 2011 You file your tax return based on the calendar year. 1040 tax forms for 2011 A full year of depreciation for 2013 is $3,636. 1040 tax forms for 2011 This is $100,000 multiplied by . 1040 tax forms for 2011 03636 (the percentage for the seventh month of the third recovery year) from Table A-6 . 1040 tax forms for 2011 You then apply the mid-month convention for the 2½ months of use in 2013. 1040 tax forms for 2011 Treat the month of disposition as one-half month of use. 1040 tax forms for 2011 Multiply $3,636 by the fraction, 2. 1040 tax forms for 2011 5 over 12, to get your 2013 depreciation deduction of $757. 1040 tax forms for 2011 50. 1040 tax forms for 2011 Figuring the Deduction Without Using the Tables Instead of using the rates in the percentage tables to figure your depreciation deduction, you can figure it yourself. 1040 tax forms for 2011 Before making the computation each year, you must reduce your adjusted basis in the property by the depreciation claimed the previous year. 1040 tax forms for 2011 Figuring MACRS deductions without using the tables generally will result in a slightly different amount than using the tables. 1040 tax forms for 2011 Declining Balance Method When using a declining balance method, you apply the same depreciation rate each year to the adjusted basis of your property. 1040 tax forms for 2011 You must use the applicable convention for the first tax year and you must switch to the straight line method beginning in the first year for which it will give an equal or greater deduction. 1040 tax forms for 2011 The straight line method is explained later. 1040 tax forms for 2011 You figure depreciation for the year you place property in service as follows. 1040 tax forms for 2011 Multiply your adjusted basis in the property by the declining balance rate. 1040 tax forms for 2011 Apply the applicable convention. 1040 tax forms for 2011 You figure depreciation for all other years (before the year you switch to the straight line method) as follows. 1040 tax forms for 2011 Reduce your adjusted basis in the property by the depreciation allowed or allowable in earlier years. 1040 tax forms for 2011 Multiply this new adjusted basis by the same declining balance rate used in earlier years. 1040 tax forms for 2011 If you dispose of property before the end of its recovery period, see Using the Applicable Convention, later, for information on how to figure depreciation for the year you dispose of it. 1040 tax forms for 2011 Figuring depreciation under the declining balance method and switching to the straight line method is illustrated in Example 1 , later, under Examples. 1040 tax forms for 2011 Declining balance rate. 1040 tax forms for 2011   You figure your declining balance rate by dividing the specified declining balance percentage (150% or 200% changed to a decimal) by the number of years in the property's recovery period. 1040 tax forms for 2011 For example, for 3-year property depreciated using the 200% declining balance method, divide 2. 1040 tax forms for 2011 00 (200%) by 3 to get 0. 1040 tax forms for 2011 6667, or a 66. 1040 tax forms for 2011 67% declining balance rate. 1040 tax forms for 2011 For 15-year property depreciated using the 150% declining balance method, divide 1. 1040 tax forms for 2011 50 (150%) by 15 to get 0. 1040 tax forms for 2011 10, or a 10% declining balance rate. 1040 tax forms for 2011   The following table shows the declining balance rate for each property class and the first year for which the straight line method gives an equal or greater deduction. 1040 tax forms for 2011 Property Class Method Declining Balance Rate Year 3-year 200% DB 66. 1040 tax forms for 2011 667% 3rd 5-year 200% DB 40. 1040 tax forms for 2011 0 4th 7-year 200% DB 28. 1040 tax forms for 2011 571 5th 10-year 200% DB 20. 1040 tax forms for 2011 0 7th 15-year 150% DB 10. 1040 tax forms for 2011 0 7th 20-year 150% DB 7. 1040 tax forms for 2011 5 9th Straight Line Method When using the straight line method, you apply a different depreciation rate each year to the adjusted basis of your property. 1040 tax forms for 2011 You must use the applicable convention in the year you place the property in service and the year you dispose of the property. 1040 tax forms for 2011 You figure depreciation for the year you place property in service as follows. 1040 tax forms for 2011 Multiply your adjusted basis in the property by the straight line rate. 1040 tax forms for 2011 Apply the applicable convention. 1040 tax forms for 2011 You figure depreciation for all other years (including the year you switch from the declining balance method to the straight line method) as follows. 1040 tax forms for 2011 Reduce your adjusted basis in the property by the depreciation allowed or allowable in earlier years (under any method). 1040 tax forms for 2011 Determine the depreciation rate for the year. 1040 tax forms for 2011 Multiply the adjusted basis figured in (1) by the depreciation rate figured in (2). 1040 tax forms for 2011 If you dispose of property before the end of its recovery period, see Using the Applicable Convention , later, for information on how to figure depreciation for the year you dispose of it. 1040 tax forms for 2011 Straight line rate. 1040 tax forms for 2011   You determine the straight line depreciation rate for any tax year by dividing the number 1 by the years remaining in the recovery period at the beginning of that year. 1040 tax forms for 2011 When figuring the number of years remaining, you must take into account the convention used in the year you placed the property in service. 1040 tax forms for 2011 If the number of years remaining is less than 1, the depreciation rate for that tax year is 1. 1040 tax forms for 2011 0 (100%). 1040 tax forms for 2011 Using the Applicable Convention The applicable convention (discussed earlier under Which Convention Applies ) affects how you figure your depreciation deduction for the year you place your property in service and for the year you dispose of it. 1040 tax forms for 2011 It determines how much of the recovery period remains at the beginning of each year, so it also affects the depreciation rate for property you depreciate under the straight line method. 1040 tax forms for 2011 See Straight line rate in the previous discussion. 1040 tax forms for 2011 Use the applicable convention as explained in the following discussions. 1040 tax forms for 2011 Half-year convention. 1040 tax forms for 2011   If this convention applies, you deduct a half-year of depreciation for the first year and the last year that you depreciate the property. 1040 tax forms for 2011 You deduct a full year of depreciation for any other year during the recovery period. 1040 tax forms for 2011   Figure your depreciation deduction for the year you place the property in service by dividing the depreciation for a full year by 2. 1040 tax forms for 2011 If you dispose of the property before the end of the recovery period, figure your depreciation deduction for the year of the disposition the same way. 1040 tax forms for 2011 If you hold the property for the entire recovery period, your depreciation deduction for the year that includes the final 6 months of the recovery period is the amount of your unrecovered basis in the property. 1040 tax forms for 2011 Mid-quarter convention. 1040 tax forms for 2011   If this convention applies, the depreciation you can deduct for the first year you depreciate the property depends on the quarter in which you place the property in service. 1040 tax forms for 2011   A quarter of a full 12-month tax year is a period of 3 months. 1040 tax forms for 2011 The first quarter in a year begins on the first day of the tax year. 1040 tax forms for 2011 The second quarter begins on the first day of the fourth month of the tax year. 1040 tax forms for 2011 The third quarter begins on the first day of the seventh month of the tax year. 1040 tax forms for 2011 The fourth quarter begins on the first day of the tenth month of the tax year. 1040 tax forms for 2011 A calendar year is divided into the following quarters. 1040 tax forms for 2011 Quarter Months First January, February, March Second April, May, June Third July, August, September Fourth October, November, December   Figure your depreciation deduction for the year you place the property in service by multiplying the depreciation for a full year by the percentage listed below for the quarter you place the property in service. 1040 tax forms for 2011 Quarter Percentage First 87. 1040 tax forms for 2011 5% Second 62. 1040 tax forms for 2011 5 Third 37. 1040 tax forms for 2011 5 Fourth 12. 1040 tax forms for 2011 5   If you dispose of the property before the end of the recovery period, figure your depreciation deduction for the year of the disposition by multiplying a full year of depreciation by the percentage listed below for the quarter you dispose of the property. 1040 tax forms for 2011 Quarter Percentage First 12. 1040 tax forms for 2011 5% Second 37. 1040 tax forms for 2011 5 Third 62. 1040 tax forms for 2011 5 Fourth 87. 1040 tax forms for 2011 5   If you hold the property for the entire recovery period, your depreciation deduction for the year that includes the final quarter of the recovery period is the amount of your unrecovered basis in the property. 1040 tax forms for 2011 Mid-month convention. 1040 tax forms for 2011   If this convention applies, the depreciation you can deduct for the first year that you depreciate the property depends on the month in which you place the property in service. 1040 tax forms for 2011 Figure your depreciation deduction for the year you place the property in service by multiplying the depreciation for a full year by a fraction. 1040 tax forms for 2011 The numerator of the fraction is the number of full months in the year that the property is in service plus ½ (or 0. 1040 tax forms for 2011 5). 1040 tax forms for 2011 The denominator is 12. 1040 tax forms for 2011   If you dispose of the property before the end of the recovery period, figure your depreciation deduction for the year of the disposition the same way. 1040 tax forms for 2011 If you hold the property for the entire recovery period, your depreciation deduction for the year that includes the final month of the recovery period is the amount of your unrecovered basis in the property. 1040 tax forms for 2011 Example. 1040 tax forms for 2011 You use the calendar year and place nonresidential real property in service in August. 1040 tax forms for 2011 The property is in service 4 full months (September, October, November, and December). 1040 tax forms for 2011 Your numerator is 4. 1040 tax forms for 2011 5 (4 full months plus 0. 1040 tax forms for 2011 5). 1040 tax forms for 2011 You multiply the depreciation for a full year by 4. 1040 tax forms for 2011 5/12, or 0. 1040 tax forms for 2011 375. 1040 tax forms for 2011 Examples The following examples show how to figure depreciation under MACRS without using the percentage tables. 1040 tax forms for 2011 Figures are rounded for purposes of the examples. 1040 tax forms for 2011 Assume for all the examples that you use a calendar year as your tax year. 1040 tax forms for 2011 Example 1—200% DB method and half-year convention. 1040 tax forms for 2011 In February, you placed in service depreciable property with a 5-year recovery period and a basis of $1,000. 1040 tax forms for 2011 You do not elect to take the section 179 deduction and the property does not qualify for a special depreciation allowance. 1040 tax forms for 2011 You use GDS and the 200% declining balance (DB) method to figure your depreciation. 1040 tax forms for 2011 When the straight line (SL) method results in an equal or larger deduction, you switch to the SL method. 1040 tax forms for 2011 You did not place any property in service in the last 3 months of the year, so you must use the half-year convention. 1040 tax forms for 2011 First year. 1040 tax forms for 2011 You figure the depreciation rate under the 200% DB method by dividing 2 (200%) by 5 (the number of years in the recovery period). 1040 tax forms for 2011 The result is 40%. 1040 tax forms for 2011 You multiply the adjusted basis of the property ($1,000) by the 40% DB rate. 1040 tax forms for 2011 You apply the half-year convention by dividing the result ($400) by 2. 1040 tax forms for 2011 Depreciation for the first year under the 200% DB method is $200. 1040 tax forms for 2011 You figure the depreciation rate under the straight line (SL) method by dividing 1 by 5, the number of years in the recovery period. 1040 tax forms for 2011 The result is 20%. 1040 tax forms for 2011 You multiply the adjusted basis of the property ($1,000) by the 20% SL rate. 1040 tax forms for 2011 You apply the half-year convention by dividing the result ($200) by 2. 1040 tax forms for 2011 Depreciation for the first year under the SL method is $100. 1040 tax forms for 2011 The DB method provides a larger deduction, so you deduct the $200 figured under the 200% DB method. 1040 tax forms for 2011 Second year. 1040 tax forms for 2011 You reduce the adjusted basis ($1,000) by the depreciation claimed in the first year ($200). 1040 tax forms for 2011 You multiply the result ($800) by the DB rate (40%). 1040 tax forms for 2011 Depreciation for the second year under the 200% DB method is $320. 1040 tax forms for 2011 You figure the SL depreciation rate by dividing 1 by 4. 1040 tax forms for 2011 5, the number of years remaining in the recovery period. 1040 tax forms for 2011 (Based on the half-year convention, you used only half a year of the recovery period in the first year. 1040 tax forms for 2011 ) You multiply the reduced adjusted basis ($800) by the result (22. 1040 tax forms for 2011 22%). 1040 tax forms for 2011 Depreciation under the SL method for the second year is $178. 1040 tax forms for 2011 The DB method provides a larger deduction, so you deduct the $320 figured under the 200% DB method. 1040 tax forms for 2011 Third year. 1040 tax forms for 2011 You reduce the adjusted basis ($800) by the depreciation claimed in the second year ($320). 1040 tax forms for 2011 You multiply the result ($480) by the DB rate (40%). 1040 tax forms for 2011 Depreciation for the third year under the 200% DB method is $192. 1040 tax forms for 2011 You figure the SL depreciation rate by dividing 1 by 3. 1040 tax forms for 2011 5. 1040 tax forms for 2011 You multiply the reduced adjusted basis ($480) by the result (28. 1040 tax forms for 2011 57%). 1040 tax forms for 2011 Depreciation under the SL method for the third year is $137. 1040 tax forms for 2011 The DB method provides a larger deduction, so you deduct the $192 figured under the 200% DB method. 1040 tax forms for 2011 Fourth year. 1040 tax forms for 2011 You reduce the adjusted basis ($480) by the de