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Free State Taxes Filing

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Free State Taxes Filing

Free state taxes filing Publication 547(SP) - Introductory Material Table of Contents Qué Hay de Nuevo Recordatorios IntroductionCómo pedir formularios y publicaciones. Free state taxes filing Preguntas sobre los impuestos. Free state taxes filing Useful Items - You may want to see: Qué Hay de Nuevo Nueva Sección C en el Formulario 4684 para esquemas de inversión de tipo Ponzi (Ponzi-type schemes). Free state taxes filing  La Sección C del Formulario 4684 (disponible en inglés) es nueva para el año 2013. Free state taxes filing Usted debe completar la Seción C si está reclamando una deducción de pérdida por robo debido a un esquema de inversión de tipo Ponzi (Ponzi-type scheme) y estará usando el Procedimiento Tributario (Revenue Procedure) 2009-20, según modificado por el Procedimiento Tributario (Revenue Procedure) 2011-58. Free state taxes filing La Sección C del Formulario 4864 reemplaza el Anexo A del Procedimiento Tributario (Revenue Procedure) 2009-20. Free state taxes filing No necesita completar el Anexo A. Free state taxes filing Para más información, vea Pérdidas provenientes de esquemas de inversión de tipo Ponzi (Ponzi-type schemes) , más adelante. Free state taxes filing Recordatorios Acontecimientos futuros. Free state taxes filing  Si desea obtener la información más reciente sobre los acontecimientos relacionados con la Publicación 547(SP), tal como legislación promulgada después que ésta fue impresa, acceda a www. Free state taxes filing irs. Free state taxes filing gov/Spanish/About-Publication-547(SP). Free state taxes filing Fotografías de niños desaparecidos. Free state taxes filing  El Servicio de Impuestos Internos (IRS, por sus siglas en inglés) se enorgullece en colaborar con el Centro Nacional de Niños Desaparecidos y Explotados (National Center for Missing and Exploited Children). Free state taxes filing En esta publicación, pueden aparecer fotografías de niños desaparecidos que han sido seleccionadas por el Centro. Free state taxes filing Estas fotografías aparecen en páginas que de otra manera estarían en blanco. Free state taxes filing Usted puede ayudar a que estos niños regresen a sus hogares si identifica alguno de ellos y llama gratis al 1-800-THE-LOST (1-800-843-5678). Free state taxes filing Introduction Esta publicación explica el trato tributario de casos de hechos fortuitos, robos y pérdidas de depósitos monetarios. Free state taxes filing Un hecho fortuito ocurre cuando su propiedad resulta dañada por causa de algún desastre, como por ejemplo, una tormenta, un incendio, un accidente automovilístico u otro suceso de esta índole. Free state taxes filing Un robo ocurre cuando alguien hurta sus bienes. Free state taxes filing La pérdida de depósitos monetarios ocurre cuando su institución bancaria se declara insolvente o en quiebra (bancarrota). Free state taxes filing Esta publicación aborda los siguientes temas: Definiciones de hecho fortuito, robo y pérdida de depósitos monetarios. Free state taxes filing Cómo calcular el monto de su pérdida o ganancia. Free state taxes filing Cómo se tratan tributariamente seguros y otros reembolsos que reciba. Free state taxes filing Límites de la deducción. Free state taxes filing Cómo y cuándo declarar un caso de hecho fortuito o robo. Free state taxes filing Reglas especiales para pérdidas en zonas de desastre. Free state taxes filing Formularios que tiene que presentar. Free state taxes filing   Normalmente, si es víctima de un hecho fortuito o robo, tiene que presentar el Formulario 4684 (disponible sólo en inglés). Free state taxes filing Asimismo, es posible que tenga que presentar uno o más de los siguientes formularios (todos en inglés): Anexo A (Formulario 1040). Free state taxes filing Formulario 1040NR, Anexo A (para extranjeros no residentes). Free state taxes filing Anexo D. Free state taxes filing Formulario 4797. Free state taxes filing Para información adicional sobre qué formulario utilizar, vea más adelante la sección sobre Cómo Declarar Pérdidas y Ganancias . Free state taxes filing Expropiaciones forzosas. Free state taxes filing   Para obtener información sobre expropiaciones forzosas de propiedades, vea el tema Involuntary Conversions (Conversiones involuntarias) en el capítulo 1 de la Publicación 544, Sales and Other Dispositions of Assets (Ventas y otras enajenaciones de activos), en inglés. Free state taxes filing Registros para el cálculo de pérdidas por hecho fortuito y robo. Free state taxes filing   La Publicación 584SP, Registro de Pérdidas por Hechos Fortuitos (Imprevistos), Desastres y Robos (Propiedad de uso Personal) está a su disposición para ayudarle a hacer una lista de artículos de sus bienes de uso personal que hayan sido robados o dañados y calcular su pérdida. Free state taxes filing En dicha publicación se incluyen tablas para ayudarle a calcular el monto de las pérdidas de su vivienda, artículos de la misma y vehículos motorizados. Free state taxes filing   La Publicación 584-B, Business Casualty, Disaster, and Theft Loss Workbook (Registro de pérdidas por hechos fortuitos, desastres y robos de propiedad de uso comercial), en inglés puede ayudarle a hacer una lista de artículos que hayan sido robados o dañados en su empresa o bienes de generación de ingresos, y calcular su pérdida. Free state taxes filing Comentarios y sugerencias. Free state taxes filing   Agradecemos sus comentarios y sugerencias sobre esta publicación para ediciones futuras. Free state taxes filing   Puede escribirnos a la siguiente dirección: Internal Revenue Service Tax Forms and Publications Division 1111 Constitution Ave. Free state taxes filing NW, IR-6526 Washington, DC 20224   Contestamos gran parte de correspondencia por teléfono. Free state taxes filing Por lo tanto, nos sería útil si en su correspondencia incluye el número telefónico con su código de área donde podemos ubicarlo durante el día. Free state taxes filing   Puede enviarnos comentarios a través de www. Free state taxes filing irs. Free state taxes filing gov/formspubs, pulsando sobre “ Comment on Tax Forms and Publications ” (Comentarios sobre formularios y publicaciones tributarios) bajo el título “ Information about ” (Información sobre), en inglés. Free state taxes filing   Aunque no podemos contestar cada uno de los comentarios, agradecemos su opinión y tendremos en cuenta sus comentarios cuando revisemos nuestros productos. Free state taxes filing Cómo pedir formularios y publicaciones. Free state taxes filing   Visite el sitio web del IRS www. Free state taxes filing irs. Free state taxes filing gov/espanol y pulse sobre el enlace “Formularios y Publicaciones” para descargar formularios y publicaciones. Free state taxes filing Llame al 1-800-829-3676 o escriba a la dirección que aparece a continuación y recibirá respuesta a los 10 días de que el IRS reciba su solicitud: Internal Revenue Service 1201 N. Free state taxes filing Mitsubishi Motorway Bloomington, IL 61705-6613 Preguntas sobre los impuestos. Free state taxes filing   Si tiene alguna pregunta acerca de sus impuestos, consulte la información disponible en IRS. Free state taxes filing gov/espanol o llame al número 1-800-829-1040. Free state taxes filing No podemos contestar preguntas sobre impuestos enviadas a las direcciones anteriores. Free state taxes filing Useful Items - You may want to see: Publicación 523 Selling Your Home (Venta de su vivienda), en inglés 525 Taxable and Nontaxable Income (Ingresos tributables y no tributables), en inglés 550 Investment Income and Expenses (Ingresos y gastos de inversiones), en inglés 551 Basis of Assets (Base de activos), en inglés 584SP Registro de Pérdidas por Hechos Fortuitos (Imprevistos), Desastres y Robos (Propiedad de Uso Personal) 584-B Business Casualty, Disaster, and Theft Loss Workbook (Registro de pérdidas por hechos fortuitos, desastres y robos comerciales), en inglés  Formulario (e Instrucciones) Anexo A (Formulario 1040) Itemized Deductions (Deducciones detalladas), en inglés Anexo A (Formulario 1040NR) Itemized Deductions (for nonresident aliens) (Deducciones detalladas (para extranjeros no residentes)), en inglés Anexo D (Formulario 1040) Capital Gains and Losses (Pérdidas y ganancias de capital), en inglés 4684 Casualties and Thefts (Hechos fortuitos y robos), en inglés 4797 Sales of Business Property (Ventas de bienes comerciales), en inglés  Para más información sobre cómo obtener publicaciones y formularios, vea la sección Cómo Obtener Ayuda con los Impuestos al final de esta publicación. 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The Free State Taxes Filing

Free state taxes filing Publication 3920 - Main Contents Table of Contents Tax ForgivenessYears Eligible for Tax Forgiveness Amount of Tax Forgiven Refund of Taxes Paid How To Claim Tax Forgiveness Payments to SurvivorsSeptember 11th Victim Compensation Fund of 2001 Qualified Disaster Relief Payments Disability Payments Death Benefits Canceled Debt Payments to Survivors of Public Safety Officers Postponed Tax DeadlinesCovered area. Free state taxes filing Disaster Area Losses Estate Tax Reduction Structured Settlement Factoring Transactions Illustrated Worksheets B and C Additional Worksheets How To Get Tax Help Tax Forgiveness The IRS will forgive the federal income tax liabilities of decedents who died as a result of the Oklahoma City attack, September 11 attacks, and anthrax attacks. Free state taxes filing Income tax is forgiven for these decedents whether they were killed in an attack or in rescue or recovery operations. Free state taxes filing Any forgiven tax liability owed to the IRS will not have to be paid. Free state taxes filing Any forgiven tax liability that has already been paid will be refunded. Free state taxes filing (See Refund of Taxes Paid, later. Free state taxes filing ) To determine the amount of tax to be forgiven, read Years Eligible for Tax Forgiveness first. Free state taxes filing Then read Amount of Tax Forgiven. Free state taxes filing Decedents whose total forgiven tax liability for all eligible years is less than $10,000 are entitled to $10,000 minimum relief. Free state taxes filing Even decedents who were not required to file tax returns for the eligible tax years are entitled to $10,000 minimum relief. Free state taxes filing See Minimum Amount of Relief later under Amount of Tax Forgiven. Free state taxes filing Years Eligible for Tax Forgiveness The following paragraphs explain which years are eligible for tax forgiveness. Free state taxes filing Oklahoma City attack. Free state taxes filing   For those who died from this attack, income tax is forgiven for 1994 and all later years up to and including the year of death. Free state taxes filing Example 1. Free state taxes filing A man was killed in the bombing of the federal building in Oklahoma City on April 19, 1995. Free state taxes filing His income tax is forgiven for 1994 and 1995. Free state taxes filing Example 2. Free state taxes filing A woman was wounded while walking outside the federal building in Oklahoma City on April 19, 1995. Free state taxes filing She subsequently died of her wounds in 1996. Free state taxes filing Her income tax is forgiven for 1994, 1995, and 1996. Free state taxes filing September 11 attacks and anthrax attacks. Free state taxes filing   For those who die from these attacks, income tax is forgiven for 2000 and all later years up to and including the year of death. Free state taxes filing Example 1. Free state taxes filing A Pentagon employee died in the September 11 attack. Free state taxes filing Her income tax is forgiven for 2000 and 2001. Free state taxes filing Example 2. Free state taxes filing A visitor to the World Trade Center died in 2002 of wounds he sustained in the September 11 attack. Free state taxes filing His income tax liability is forgiven for 2000, 2001, and 2002. Free state taxes filing Amount of Tax Forgiven The IRS will forgive the decedent's income tax liability for all years eligible for tax forgiveness. Free state taxes filing On a joint return, only the decedent's part of the joint income tax liability is eligible for forgiveness. Free state taxes filing To figure the tax to be forgiven, use the following worksheets. Free state taxes filing Use Worksheet A for any eligible year the decedent filed a return as single, married filing separately, head of household, or qualifying widow(er). Free state taxes filing Use Worksheet B for any eligible year the decedent filed a joint return. Free state taxes filing See the illustrated Worksheet B near the end of this publication. Free state taxes filing Do not complete Worksheet A or B if the decedent was not required to file tax returns for the eligible tax years. Free state taxes filing Instead, complete Worksheet C and file a return for the decedent's last tax year. Free state taxes filing See Minimum Amount of Relief, later. Free state taxes filing If you need assistance, call the IRS at 1–866–562–5227 Monday through Friday during the following times. Free state taxes filing In English–7 a. Free state taxes filing m. Free state taxes filing to 10 p. Free state taxes filing m. Free state taxes filing local time. Free state taxes filing In Spanish–8 a. Free state taxes filing m. Free state taxes filing to 9:30 p. Free state taxes filing m. Free state taxes filing local time. Free state taxes filing Both spouses died. Free state taxes filing   If both spouses died as a result of a terrorist attack and they filed a joint return for an eligible tax year, fill out Worksheet B for each spouse for that year. Free state taxes filing Do this to determine if each spouse qualifies for the minimum relief of $10,000 (discussed later under Minimum Amount of Relief). Free state taxes filing If you are certain that neither spouse's total forgiven tax liability for all eligible years is less than $10,000, skip Worksheet B. Free state taxes filing However, attach a computation of the forgiven tax liability to the final income tax return or amended tax return for each eligible year. Free state taxes filing The forgiven tax liability is the total tax shown on the joint return minus the taxes listed in the instructions for line 4 of Worksheet B. Free state taxes filing Residents of community property states. Free state taxes filing   If the decedent was domiciled in a community property state and the spouse reported half the community income on a separate return, the surviving spouse can get a refund of taxes paid on his or her share of the decedent's income for the eligible years. Free state taxes filing Also, all of the decedent's income taxes paid for the eligible years will be refunded to either the executor or administrator of the estate, or to the surviving spouse if there is no legal representative. Free state taxes filing Worksheet B. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1       2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2       3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3       4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4       5 Subtract line 4 from line 3. Free state taxes filing 5       6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 6       7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7       8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8       9 Subtract line 8 from line 7. Free state taxes filing 9       10 Add lines 5 and 9. Free state taxes filing 10       11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11       12 Add lines 4 and 8. Free state taxes filing 12       13 Subtract line 12 from line 11. Free state taxes filing 13       14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14       15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet B. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1       2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2       3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3       4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4       5 Subtract line 4 from line 3. Free state taxes filing 5       6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 6       7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7       8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8       9 Subtract line 8 from line 7. Free state taxes filing 9       10 Add lines 5 and 9. Free state taxes filing 10       11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11       12 Add lines 4 and 8. Free state taxes filing 12       13 Subtract line 12 from line 11. Free state taxes filing 13       14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14       15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Instructions for Worksheet B Table 1. Free state taxes filing Total Tax Line on Decedent's Return Note: Use this table to find the total tax line on the decedent's income tax return. Free state taxes filing * Form 1994 1995 1996 2000 2001 1040 Line 53 Line 54 Line 51 Line 57 Line 58 1040A Line 27 Line 28 Line 28 Line 35 File Form 1040 1040EZ Line 9 Line 10 Line 10 Line 10 TeleFile Tax Record ** Line E Line J Line K 1040NR Line 51 Line 52 Line 49 Line 54 Line 54 1040NR–EZ N/A Line 17 Line 17 Line 18 File Form 1040NR * Line numbers for the 2002 forms were not available when this publication went to print. Free state taxes filing ** File Form 4506 to get a transcript of the decedent's account. Free state taxes filing Table 1. Free state taxes filing Total Tax Line on Decedent's Return Note: Use this table to find the total tax line on the decedent's income tax return. Free state taxes filing * Form 1994 1995 1996 2000 2001 1040 Line 53 Line 54 Line 51 Line 57 Line 58 1040A Line 27 Line 28 Line 28 Line 35 File Form 1040 1040EZ Line 9 Line 10 Line 10 Line 10 TeleFile Tax Record ** Line E Line J Line K 1040NR Line 51 Line 52 Line 49 Line 54 Line 54 1040NR–EZ N/A Line 17 Line 17 Line 18 File Form 1040NR * Line numbers for the 2002 forms were not available when this publication went to print. Free state taxes filing ** File Form 4506 to get a transcript of the decedent's account. Free state taxes filing Lines 2 and 6. Free state taxes filing   Allocate income and deductions in the same manner they would have been allocated if the spouses had filed separate returns. Free state taxes filing   Allocate wages and salaries to the spouse who performed the services and received the Form W-2. Free state taxes filing Business and investment income (including capital gains) are generally allocated to the spouse who owned the business or investment that produced the income. Free state taxes filing Income from a jointly owned business or investment should be allocated equally between the spouses unless there is evidence that shows a different allocation is appropriate. Free state taxes filing   Allocate business deductions to the owner of the business. Free state taxes filing Allocate personal deductions (such as itemized deductions for mortgage interest and taxes) equally between the spouses unless there is evidence that shows a different allocation is appropriate. Free state taxes filing Lines 3 and 7. Free state taxes filing   Figure the total tax as if a separate return had been filed. Free state taxes filing The total tax is the tax that would have been entered on the tax return line shown in Table 1 if a separate return had been filed. Free state taxes filing When figuring the tax using the Tax Table or Tax Rate Schedule, use the “Married filing separately” column in the Tax Table or Tax Rate Schedule Y-2. Free state taxes filing   When figuring the total tax, allocate credits and other taxes, if any, in the same manner as they would have been allocated if the spouses had filed separate returns. Free state taxes filing If a credit would not have been allowed on a separate return, allocate the credit shown on the joint return between the spouses. Free state taxes filing Examples of credits generally not allowed on a separate return are the child and dependent care credit, credit for the elderly, adoption credit, education credits, and earned income credit. Free state taxes filing Line 4. Free state taxes filing   Enter the total, if any, of the following taxes. Free state taxes filing Self-employment tax. Free state taxes filing Social security and Medicare tax on tip income not reported to employer. Free state taxes filing Tax on excess contributions to IRAs, Coverdell education savings accounts (formerly Ed IRAs), or Archer MSAs (formerly medical savings accounts). Free state taxes filing Tax on excess accumulation in qualified retirement plans. Free state taxes filing Household employment taxes. Free state taxes filing Uncollected social security and Medicare or RRTA tax on tips or group-term life insurance. Free state taxes filing Tax on golden parachute payments. Free state taxes filing Minimum Amount of Relief The minimum amount of relief is $10,000. Free state taxes filing If the decedent's total forgiven tax liability for all eligible years is less than $10,000, the difference between $10,000 and the total forgiven tax liability for those years will be treated as a tax payment for the decedent's last tax year. Free state taxes filing The IRS will refund the difference as explained under Refund of Taxes Paid. Free state taxes filing Use Worksheet C to figure the additional tax payment. Free state taxes filing But first complete Worksheet A or B, unless the decedent was not required to file tax returns for the eligible tax years. Free state taxes filing Example 1. Free state taxes filing An individual who died in the September 11 attacks had an income tax liability of $-0- for 2000 and $6,400 for 2001. Free state taxes filing The $6,400 is eligible for forgiveness. Free state taxes filing The IRS will forgive $6,400 and treat the difference between $10,000 and $6,400 ($3,600) as a tax payment for 2001. Free state taxes filing Example 2. Free state taxes filing A child who died in the September 11 attacks had no (-0-) income tax liability for 2000 or 2001. Free state taxes filing The IRS will treat $10,000 as a tax payment for 2001. Free state taxes filing Income received after date of death. Free state taxes filing   Generally, income of the decedent received after the date of death must be reported on Form 1041 if the estate has gross income for the tax year of $600 or more. Free state taxes filing Examples are the final paycheck or dividends on stock owned by the decedent. Free state taxes filing However, this income is exempt from income tax and is not included on Form 1041 if it is received: After the date of the decedent's death, and Before the end of the decedent's tax year (determined without regard to death). Free state taxes filing Nonqualifying income. Free state taxes filing   The following income is not exempt from tax. Free state taxes filing The tax on it is not eligible for forgiveness. Free state taxes filing Deferred compensation that would have been payable if the death had occurred because of an event other than these attacks. Free state taxes filing Amounts that would not have been payable but for an action taken after September 11, 2001. Free state taxes filing The following are examples of nonqualifying income. Free state taxes filing Amounts payable from a qualified retirement plan or IRA to the beneficiary or estate of the decedent. Free state taxes filing Amounts payable only as death or survivor's benefits from pre-existing arrangements that would have been paid if the death had occurred for another reason. Free state taxes filing Income received as a result of adjustments made by the decedent's employer to a plan or arrangement to accelerate the vesting of restricted property or the payment of nonqualified deferred compensation after the date of the attack. Free state taxes filing Interest on savings bonds cashed by the beneficiary of the decedent. Free state taxes filing If you are responsible for the estate of a decedent, see Publication 559. Free state taxes filing Publication 559 discusses how to complete and file federal income tax returns and explains your responsibility to pay any taxes due. Free state taxes filing Instructions for lines 2–9 of Worksheet C. Free state taxes filing   The tax that would have been payable on the exempt income (discussed earlier) must be considered when determining whether a decedent is entitled to the $10,000 minimum relief. Free state taxes filing To figure the tax that would have been payable, you can use lines 2 through 9 of Worksheet C. Free state taxes filing Or, if special requirements are met, you can use the alternative computation instead. Free state taxes filing See Alternative computation, later. Free state taxes filing   You have to use lines 2–9 (or the alternative computation) to figure the tax that would have been payable even if Form 1041 was not required to be filed. Free state taxes filing Use Form 1041 to figure what the taxable income would be without including the exempt income. Free state taxes filing Then enter that taxable income (even if a negative number) on line 2 of Worksheet C (or line 1 of Worksheet D, Alternative Computation of Tax on Exempt Income (Line 9 of Worksheet C)). Free state taxes filing Alternative computation. Free state taxes filing   Instead of using lines 2–8 of Worksheet C to figure the tax on exempt income (line 9 of Worksheet C), you may be able to use Worksheet D. Free state taxes filing You can use Worksheet D to figure the tax on the exempt income payable by the estate and its beneficiaries only if both of the following requirements are met. Free state taxes filing The estate claimed an income distribution deduction on line 18 (Form 1041). Free state taxes filing Each beneficiary submits the information necessary to refigure the income tax payable on the exempt income received from the decedent's estate. Free state taxes filing If requirement (2) is met but requirement (1) is not, you can still use Worksheet D if: Form 1041 was not required because exempt income was received, and The estate would have claimed an income distribution deduction if the exempt income were taxable. Free state taxes filing If you use this alternative computation, skip lines 2–8 of Worksheet C and enter the amount from line 8 of Worksheet D on line 9 of Worksheet C. Free state taxes filing Complete the rest of Worksheet C to determine the additional payment allowed. Free state taxes filing Worksheet C. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum relief of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum relief amount. Free state taxes filing Note: Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2       3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3       4 Add lines 2 and 3. Free state taxes filing 4       5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5       6 Add lines 4 and 5. Free state taxes filing 6       7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7       8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8       9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9       10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10       11 Add lines 9 and 10. Free state taxes filing 11   12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12   Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing Worksheet C. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum relief of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum relief amount. Free state taxes filing Note: Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2       3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3       4 Add lines 2 and 3. Free state taxes filing 4       5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5       6 Add lines 4 and 5. Free state taxes filing 6       7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7       8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8       9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9       10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10       11 Add lines 9 and 10. Free state taxes filing 11   12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12   Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing Worksheet D. Free state taxes filing Alternative Computation of Tax on Exempt Income (Line 9 of Worksheet C) 1 Enter the taxable income from line 22 (Form 1041) 1   2 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 2   3 Add lines 1 and 2 3   4 Figure the tax on line 3 using Schedule G (Form 1041). Free state taxes filing 4   5 Figure the tax on line 1 using Schedule G (Form 1041). Free state taxes filing 5   6 Estate's tax on exempt income. Free state taxes filing Subtract line 5 from line 4 6   7 Beneficiaries' tax on exempt income. Free state taxes filing Figure the total tax that would have been payable by all beneficiaries. Free state taxes filing Do this by including in each beneficiary's gross income the exempt income received from the decedent's estate and refiguring the income tax. Free state taxes filing Add the amounts by which each beneficiary's income tax is increased. Free state taxes filing 7   8 Add lines 6 and 7. Free state taxes filing Enter this amount on line 9 of Worksheet C. Free state taxes filing 8   Worksheet D. Free state taxes filing Alternative Computation of Tax on Exempt Income (Line 9 of Worksheet C) 1 Enter the taxable income from line 22 (Form 1041) 1   2 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 2   3 Add lines 1 and 2 3   4 Figure the tax on line 3 using Schedule G (Form 1041). Free state taxes filing 4   5 Figure the tax on line 1 using Schedule G (Form 1041). Free state taxes filing 5   6 Estate's tax on exempt income. Free state taxes filing Subtract line 5 from line 4 6   7 Beneficiaries' tax on exempt income. Free state taxes filing Figure the total tax that would have been payable by all beneficiaries. Free state taxes filing Do this by including in each beneficiary's gross income the exempt income received from the decedent's estate and refiguring the income tax. Free state taxes filing Add the amounts by which each beneficiary's income tax is increased. Free state taxes filing 7   8 Add lines 6 and 7. Free state taxes filing Enter this amount on line 9 of Worksheet C. Free state taxes filing 8   Refund of Taxes Paid The IRS will refund the following forgiven income tax liabilities. Free state taxes filing Income tax liabilities that have been paid. Free state taxes filing Income tax liabilities treated as paid because the total tax liability for all years eligible for tax forgiveness is less than $10,000. Free state taxes filing See Minimum Amount of Relief, earlier. Free state taxes filing Example 1. Free state taxes filing A man who died in the September 11 attacks had an income tax liability of $7,500 for 2000 and $6,500 for 2001. Free state taxes filing The total, $14,000, is eligible for tax forgiveness. Free state taxes filing However, he paid only $13,000 of that amount. Free state taxes filing The IRS will refund the $13,000 paid. Free state taxes filing Example 2. Free state taxes filing A child who died in the September 11 attacks had no income tax liability for 2000 or 2001. Free state taxes filing The child qualifies for the minimum relief of $10,000. Free state taxes filing The $10,000 is treated as a tax payment for 2001 and will be refunded. Free state taxes filing Period for filing a claim for credit or refund. Free state taxes filing   To obtain a tax refund on a previously filed income tax return, file an amended return (Form 1040X or an amended Form 1041) within 3 years from the time the return was filed or 2 years from the time the tax was paid, whichever is later. Free state taxes filing For example, you have until April 15, 2004, to file an amended return on a 2000 Form 1040, 1040A, or 1040EZ that was filed by April 16, 2001, and for which the tax was paid when due. Free state taxes filing To obtain a refund on a return that has not been filed, file the return within 3 years of the original due date of the return. Free state taxes filing Extension of time for victims of Oklahoma City attack. Free state taxes filing   The period described above has been extended for victims of the Oklahoma City attack. Free state taxes filing Survivors and personal representatives of these victims have until January 22, 2003, to file an original or amended return. Free state taxes filing How To Claim Tax Forgiveness Use the following procedures to claim income tax forgiveness. Free state taxes filing Which Form To Use The form you use depends on whether an income tax return for the eligible year was already filed for the decedent. Free state taxes filing Return required but not yet filed. Free state taxes filing   File Form 1040 if the decedent was a U. Free state taxes filing S. Free state taxes filing citizen or resident. Free state taxes filing File Form 1040NR if the decedent was a nonresident alien. Free state taxes filing A nonresident alien is someone who is not a U. Free state taxes filing S. Free state taxes filing citizen or resident. Free state taxes filing Return required and already filed. Free state taxes filing   File a separate Form 1040X for each year you are claiming tax relief. Free state taxes filing Return not required and not filed. Free state taxes filing   File Form 1040 only for the year of death if the decedent was a U. Free state taxes filing S. Free state taxes filing citizen or resident. Free state taxes filing File Form 1040NR if the decedent was a nonresident alien. Free state taxes filing Return not required but already filed. Free state taxes filing   File Form 1040X only for the year of death. Free state taxes filing How to complete the returns. Free state taxes filing   Fill out Form 1040 or 1040NR according to its instructions but do not reduce the decedent's tax liability by any taxes that will be forgiven. Free state taxes filing Attach to each return a computation of the income tax to be forgiven or a copy of Worksheet A or B. Free state taxes filing If filing Form 1040 or Form 1040NR, also attach any Forms W–2. Free state taxes filing If the total forgiven tax liability for all eligible years is less than $10,000, attach to the decedent's final return a computation of the additional tax payment allowed or a copy of Worksheet C. Free state taxes filing Also, please write one of the following across the top of page 1 of each return. Free state taxes filing KITA—Oklahoma City KITA—9/11 KITA—Anthrax “KITA” means “killed in terrorist attack. Free state taxes filing ” Need a copy of a previously filed return?   You will find it easier to prepare Form 1040X if you have a copy of the decedent's previously filed tax return. Free state taxes filing If you need a copy, use Form 4506. Free state taxes filing The IRS will provide a free copy of the tax return if you write “DISASTER” in the top margin of Form 4506. Free state taxes filing Attach Letters Testamentary or other evidence to establish that you are authorized to act for the decedent's estate. Free state taxes filing Send Form 4506 to the address shown in the form instructions. Free state taxes filing Taxpayer identification number. Free state taxes filing   A taxpayer identification number must be furnished on the decedent's returns. Free state taxes filing This is usually the decedent's social security number (SSN). Free state taxes filing However, a nonresident alien who is not eligible to get an SSN should have an individual taxpayer identification number (ITIN). Free state taxes filing If the decedent was a nonresident alien, had neither an SSN nor an ITIN, and was not required to file a U. Free state taxes filing S. Free state taxes filing income tax return for any tax year, do not apply for an ITIN. Free state taxes filing You may claim a refund by filing Form 1040NR without an SSN or ITIN. Free state taxes filing Necessary Documents Please attach the following documents to the return or amended return. Free state taxes filing Proof of death. Free state taxes filing   Attach a copy of the death certificate. Free state taxes filing If the Department of Defense issued DD Form 1300, Report of Casualty, you can attach that form instead of the death certificate. Free state taxes filing Form 1310. Free state taxes filing   You must send Form 1310 with all returns and claims for refund, unless either of the following applies. Free state taxes filing You are a surviving spouse filing an original or amended joint return with the decedent. Free state taxes filing You are a personal representative filing an original Form 1040 or Form 1040NR for the decedent and a court certificate showing your appointment is attached to the return. Free state taxes filing A personal representative is an executor or administrator of a decedent's estate, as certified or appointed by the court. Free state taxes filing A copy of the decedent's will cannot be accepted as evidence that you are the personal representative. Free state taxes filing      If you have proof of death but do not have enough tax information to file a timely claim for a refund, file Form 1040X with Form 1310. Free state taxes filing Include a statement saying an amended return will be filed as soon as the necessary tax information is available. Free state taxes filing Where To File The IRS has set up a special office for processing returns and claims for tax forgiveness. Free state taxes filing Use one of the addresses shown below. Free state taxes filing Where you file the returns or claims depends on whether you use the U. Free state taxes filing S. Free state taxes filing Postal Service or a private delivery service. Free state taxes filing Please do not send these returns or claims to any of the addresses shown in the tax form instructions. Free state taxes filing U. Free state taxes filing S. Free state taxes filing Postal Service. Free state taxes filing   If you use the U. Free state taxes filing S. Free state taxes filing Postal Service, file these returns and claims at the following address. Free state taxes filing Internal Revenue Service P. Free state taxes filing O. Free state taxes filing Box 4053 Woburn, MA 01888 Private delivery service. Free state taxes filing   Private delivery services cannot deliver items to P. Free state taxes filing O. Free state taxes filing boxes. Free state taxes filing If you use a private delivery service, file these returns and claims at the following address. Free state taxes filing Internal Revenue Service Stop 661 310 Lowell St. Free state taxes filing Andover, MA 01810 Designated private delivery services. Free state taxes filing   You can use the following private delivery services to file these returns and claims. Free state taxes filing Airborne Express (Airborne): Overnight Air Express Service, Next Afternoon Service, and Second Day Service. Free state taxes filing DHL Worldwide Express (DHL): DHL “Same Day” Service, and DHL USA Overnight. Free state taxes filing Federal Express (FedEx): FedEx Priority Overnight, FedEx Standard Overnight, and FedEx 2Day. Free state taxes filing United Parcel Service (UPS): UPS Next Day Air, UPS Next Day Air Saver, UPS 2nd Day Air, UPS 2nd Day Air A. Free state taxes filing M. Free state taxes filing , UPS Worldwide Express Plus, and UPS Worldwide Express. Free state taxes filing The private delivery service can tell you how to get written proof of the mailing date. Free state taxes filing Payments to Survivors The following section discusses the tax treatment of certain amounts received by survivors. Free state taxes filing September 11th Victim Compensation Fund of 2001 Payments from the September 11th Victim Compensation Fund of 2001 are not included in income. Free state taxes filing Qualified Disaster Relief Payments Qualified disaster relief payments are not included in income. Free state taxes filing These payments are not subject to income tax, self-employment tax, or employment taxes (social security, Medicare, and federal unemployment taxes). Free state taxes filing No withholding applies to these payments. Free state taxes filing Qualified disaster relief payments include payments you receive (regardless of the source) after September 10, 2001, for the following expenses. Free state taxes filing Reasonable and necessary personal, family, living, or funeral expenses incurred as a result of a terrorist attack. Free state taxes filing Reasonable and necessary expenses incurred for the repair or rehabilitation of a personal residence due to a terrorist attack. Free state taxes filing (A personal residence can be a rented residence or one you own. Free state taxes filing ) Reasonable and necessary expenses incurred for the repair or replacement of the contents of a personal residence due to a terrorist attack. Free state taxes filing Qualified disaster relief payments also include the following. Free state taxes filing Payments made by common carriers (for example, American Airlines and United Airlines regarding the September 11 attacks) because of death or physical injury incurred as a result of a terrorist attack. Free state taxes filing Amounts paid by a federal, state, or local government in connection with a terrorist attack to those affected by the attack. Free state taxes filing Qualified disaster relief payments do not include: Insurance or other reimbursements for expenses, or Income replacement payments, such as payments of lost wages, lost business income, or unemployment compensation. Free state taxes filing Disability Payments For tax years ending after September 10, 2001, disability payments for injuries incurred as a direct result of a terrorist attack directed against the United States (or its allies), whether outside or within the United States, are not included in income. Free state taxes filing Death Benefits Payments received by an individual or the estate of a decedent from the employer of an employee who died as a result of the Oklahoma City or September 11 terrorist attacks, or as a result of the anthrax attacks, are not included in income. Free state taxes filing Only the amount that exceeds the benefits that would have been payable if the death had occurred for a reason other than a terrorist or anthrax attack is excludable. Free state taxes filing However, the exclusion does apply to incidental death benefits paid under a qualified retirement plan even if these amounts would have been payable if the death had occurred for a reason other than a terrorist or anthrax attack. Free state taxes filing If you included death benefits in income on a previously filed return and they are now excludable under the above rule, file Form 1040X to amend that return. Free state taxes filing For information on the period for filing Form 1040X, see Period for filing claim for credit or refund earlier under Refund of Taxes Paid. Free state taxes filing If that period has expired, you are granted an extension. Free state taxes filing You have until January 22, 2003, to file Form 1040X to exclude the death benefits. Free state taxes filing On top of page 1 of Form 1040X, write “Extension of Limitations Under PL 107–134, sec. Free state taxes filing 102(b)(2). Free state taxes filing ” Canceled Debt Canceled debt is not included in your income (or the income of the estate) if: You (or the estate) were liable, or became liable, for the debt of a decedent, and The debt was canceled after September 10, 2001, and before January 1, 2002, because the decedent died as a result of the September 11 attacks or anthrax attacks. Free state taxes filing The lender is not required to report the canceled debt on Form 1099–C, Cancellation of Debt. Free state taxes filing Payments to Survivors of Public Safety Officers If you are a survivor of a public safety officer who died in the line of duty, certain amounts you receive are not included in income. Free state taxes filing Bureau of Justice Assistance payments. Free state taxes filing   If you are a surviving dependent of a public safety officer (law enforcement officer or firefighter) who died in the line of duty, do not include in your income the death benefit paid to you by the Bureau of Justice Assistance. Free state taxes filing Government plan annuity. Free state taxes filing   If you receive a survivor annuity as the child or spouse (or former spouse) of a public safety officer who was killed in the line of duty, you generally do not have to include it in income. Free state taxes filing This exclusion applies to the amount of the annuity based on the officer's service as a public safety officer. Free state taxes filing For this purpose, the term public safety officer includes police and law enforcement officers, firefighters, and rescue squad and ambulance crews. Free state taxes filing More information. Free state taxes filing   For more information, see Publication 559. Free state taxes filing Postponed Tax Deadlines The IRS may postpone for up to 1 year certain tax deadlines of taxpayers who are affected by a terrorist attack. Free state taxes filing The tax deadlines the IRS may postpone include those for filing income and employment tax returns, paying income and employment taxes, and making contributions to a traditional IRA or Roth IRA. Free state taxes filing If any tax deadline is postponed, the IRS will publicize the postponement in the affected area and publish a news release, revenue ruling, revenue procedure, notice, announcement, or other guidance in the Internal Revenue Bulletin (IRB). Free state taxes filing Affected taxpayers. Free state taxes filing   If the IRS postpones a tax deadline, the following taxpayers are eligible for the postponement. Free state taxes filing Any individual whose main home is located in a covered area (defined later). Free state taxes filing Any business entity or sole proprietor whose principal place of business is located in a covered area. Free state taxes filing Any individual, business entity, or sole proprietor whose records needed to meet a postponed deadline are maintained in a covered area. Free state taxes filing The main home or principal place of business does not have to be located in the covered area. Free state taxes filing Any estate or trust whose tax records necessary to meet a postponed tax deadline are maintained in a covered area. Free state taxes filing Any individual who is a relief worker affiliated with a recognized government or philanthropic organization and who is assisting in a covered area. Free state taxes filing The spouse on a joint return with a taxpayer who is eligible for postponements. Free state taxes filing Any other person determined by the IRS to be affected by a terrorist attack. Free state taxes filing Covered area. Free state taxes filing   This is an area in which a terrorist attack took place and in which the IRS has decided to postpone tax deadlines for up to 1 year. Free state taxes filing Abatement of interest. Free state taxes filing   The IRS may abate (forgive) the interest on any underpaid income tax for the length of any postponement. Free state taxes filing Disaster Area Losses If your property was damaged or destroyed as a result of the September 11 attacks, you can choose to deduct your disaster loss on your 2000 return (or amended return) rather than on your 2001 return. Free state taxes filing You must make this choice to deduct your loss on your 2000 return by the later of the following dates. Free state taxes filing The due date (without extensions) for filing your 2001 income tax return (April 15, 2002, if you are a calendar year taxpayer). Free state taxes filing The due date (with extensions) for the 2000 return. Free state taxes filing For more information about disaster area losses, see Publication 547. Free state taxes filing Estate Tax Reduction The federal estate tax is reduced for taxable estates of individuals who died as a result of the Oklahoma City attack, the September 11 attacks, and the anthrax attacks. Free state taxes filing The estate tax is computed using a new rate schedule on page 25 of the November 2001 revision of the instructions for Form 706. Free state taxes filing The estate tax is reduced by credits against the estate tax, including the unified credit and the state death tax credit. Free state taxes filing These credits may reduce or eliminate the estate tax due. Free state taxes filing A special rule extends until January 22, 2003, the period of time allowed to file a claim for a refund of estate taxes that have been paid. Free state taxes filing Recovery from the September 11th Victim Compensation Fund. Free state taxes filing   The value of claims for a decedent's pain and suffering is normally included in the gross estate. Free state taxes filing However, if the estate chooses to seek recovery from this fund, the IRS has determined that, in view of the unique circumstances of this situation and the high likelihood that such claims will be valued at a nominal or zero amount, the claims will be valued at zero for estate tax purposes. Free state taxes filing Thus, there are no federal estate tax consequences if an estate or beneficiary receives a recovery from this fund. Free state taxes filing Which estates must file a return. Free state taxes filing   For decedents dying in 2001, Form 706 must be filed by the executor for the estate of every U. Free state taxes filing S. Free state taxes filing citizen or resident whose gross estate, plus adjusted taxable gifts and specific exemption, is more than $675,000. Free state taxes filing Form 706 must be filed within 9 months after the date of decedent's death unless you receive an extension of time to file. Free state taxes filing Use Form 4768, Application for Extension of Time To File a Return and/or Pay U. Free state taxes filing S. Free state taxes filing Estate (and Generation-Skipping Transfer) Taxes, to apply for an extension. Free state taxes filing Where to file. Free state taxes filing   Returns on which the new rate schedule is used should be sent to the following address, which was not available when Form 706 went to print. Free state taxes filing Internal Revenue Service E & G Department/Stop 824T 201 W. Free state taxes filing Rivercenter Blvd. Free state taxes filing Covington, KY 41011 More information. Free state taxes filing   For more information on the federal estate tax, see the instructions for Form 706. Free state taxes filing Structured Settlement Factoring Transactions A person who acquires payment rights in a structured settlement arrangement after February 21, 2002, may be subject to a 40% excise tax unless the transfer of the payment rights was approved in advance in a qualified order. Free state taxes filing The excise tax is figured on the excess of the undiscounted amount of the payments being acquired over the total amount actually paid to acquire them. Free state taxes filing However, this tax will not apply to transactions entered into from February 22, 2002, to July 1, 2002, if certain requirements are met. Free state taxes filing For information about these requirements, see Internal Revenue Code section 5891. Free state taxes filing Worksheet B Illustrated. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1 2000 2001   2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2 $17,259 $14,295   3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3 6,123 5,250   4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4 3,532 3,109   5 Subtract line 4 from line 3. Free state taxes filing 5 2,591 2,141   6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions for line 2. Free state taxes filing 6 29,025 29,850   7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7 5,277 5,391   8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8 0 0   9 Subtract line 8 from line 7. Free state taxes filing 9 5,277 5,391   10 Add lines 5 and 9. Free state taxes filing 10 7,868 7,532   11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11 10,789 9,728   12 Add lines 4 and 8. Free state taxes filing 12 3,532 3,109   13 Subtract line 12 from line 11. Free state taxes filing 13 7,257 6,619   14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14 . Free state taxes filing 329 . Free state taxes filing 284   15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15 $2,388 $1,880   Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet B Illustrated. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1 2000 2001   2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2 $17,259 $14,295   3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3 6,123 5,250   4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4 3,532 3,109   5 Subtract line 4 from line 3. Free state taxes filing 5 2,591 2,141   6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions for line 2. Free state taxes filing 6 29,025 29,850   7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7 5,277 5,391   8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8 0 0   9 Subtract line 8 from line 7. Free state taxes filing 9 5,277 5,391   10 Add lines 5 and 9. Free state taxes filing 10 7,868 7,532   11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11 10,789 9,728   12 Add lines 4 and 8. Free state taxes filing 12 3,532 3,109   13 Subtract line 12 from line 11. Free state taxes filing 13 7,257 6,619   14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14 . Free state taxes filing 329 . Free state taxes filing 284   15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15 $2,388 $1,880   Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Illustrated Worksheets B and C A wife lost her husband in the September 11 attack on the World Trade Center. Free state taxes filing They filed a joint return for 2000 and the wife chose to file a joint return as a surviving spouse for 2001. Free state taxes filing The returns for 2000 and 2001 showed the following income, deductions, and tax liabilities. Free state taxes filing After the husband died, his estate received income of $4,000. Free state taxes filing Of that amount, $1,000 is net profit from Schedule C received before the end of 2001. Free state taxes filing This net profit is exempt from income tax as explained earlier under Income received after date of death. Free state taxes filing The wife files Form 1041 because the gross income of the estate for the tax year ($3,000) is $600 or more. Free state taxes filing To determine how much of the husband's tax liability for 2000 and 2001 is to be forgiven, the wife completes Worksheet B. Free state taxes filing She also completes Worksheet C because the forgiven tax liabilities for 2000 and 2001 (line 15 of Worksheet B) total less than $10,000. Free state taxes filing To claim tax relief for 2000, the wife files Form 1040X and attaches a copy of Worksheet B. Free state taxes filing To claim tax relief for 2001, she files Form 1040 and attaches copies of Worksheets B and C. Free state taxes filing   2000 2001 Wages (wife) $35,000 $36,000 Net profit from Schedule C, Profit or Loss From Business (husband) 25,000 22,000 Interest income (joint account) 1,000 1,100 Deduction for ½ of self-employment tax (husband) (1,766) (1,555) Standard deduction (7,350) (7,600) Personal exemptions (2) (5,600) (5,800) Taxable income $46,284 $44,145 Joint income tax liability $7,257 $6,619 Plus: Self-employment tax (husband) 3,532 3,109 Total tax liability $10,789 $9,728   2000 2001 Wages (wife) $35,000 $36,000 Net profit from Schedule C, Profit or Loss From Business (husband) 25,000 22,000 Interest income (joint account) 1,000 1,100 Deduction for ½ of self-employment tax (husband) (1,766) (1,555) Standard deduction (7,350) (7,600) Personal exemptions (2) (5,600) (5,800) Taxable income $46,284 $44,145 Joint income tax liability $7,257 $6,619 Plus: Self-employment tax (husband) 3,532 3,109 Total tax liability $10,789 $9,728 Worksheet C Illustrated. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum relief of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum relief amount. Free state taxes filing Note: Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2 2,400     3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3 0     4 Add lines 2 and 3. Free state taxes filing 4 2,400     5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5 1,000     6 Add lines 4 and 5. Free state taxes filing 6 3,400     7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7 710     8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8 435     9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9 275     10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10 4,268     11 Add lines 9 and 10. Free state taxes filing 11 $4,543 12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12 $5,457 Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing Worksheet C Illustrated. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum relief of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum relief amount. Free state taxes filing Note: Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2 2,400     3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3 0     4 Add lines 2 and 3. Free state taxes filing 4 2,400     5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5 1,000     6 Add lines 4 and 5. Free state taxes filing 6 3,400     7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7 710     8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8 435     9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9 275     10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10 4,268     11 Add lines 9 and 10. Free state taxes filing 11 $4,543 12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12 $5,457 Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing Additional Worksheets The following additional worksheets are provided for your convenience. Free state taxes filing Worksheet A. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Return as Single, Married Filing Separately, Head of Household, or Qualifying Widow(er))         (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for tax forgiveness. Free state taxes filing 1       2 Enter the total tax from the decedent's income tax return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 2       3 Enter the following taxes, if any, shown on the decedent's income tax return. Free state taxes filing (These taxes are not eligible for forgiveness. Free state taxes filing )           a Self-employment tax. Free state taxes filing 3a         b Social security and Medicare tax on tip income not reported to employer. Free state taxes filing 3b         c Tax on excess contributions to IRAs, Coverdell education savings accounts (formerly Ed IRAs), or Archer MSAs (formerly medical savings accounts). Free state taxes filing 3c         d Tax on excess accumulation in qualified retirement plans. Free state taxes filing 3d         e Household employment taxes. Free state taxes filing 3e         f Uncollected social security and Medicare or RRTA tax on tips or group-term life insurance. Free state taxes filing 3f         g Tax on golden parachute payments. Free state taxes filing 3g       4 Add lines 3a through 3g. Free state taxes filing 4       5 Tax to be forgiven. Free state taxes filing Subtract line 4 from line 2. Free state taxes filing 5       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 5 (including any amounts shown on line 15 of Worksheet B) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 5 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet A. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Return as Single, Married Filing Separately, Head of Household, or Qualifying Widow(er))         (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for tax forgiveness. Free state taxes filing 1       2 Enter the total tax from the decedent's income tax return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 2       3 Enter the following taxes, if any, shown on the decedent's income tax return. Free state taxes filing (These taxes are not eligible for forgiveness. Free state taxes filing )           a Self-employment tax. Free state taxes filing 3a         b Social security and Medicare tax on tip income not reported to employer. Free state taxes filing 3b         c Tax on excess contributions to IRAs, Coverdell education savings accounts (formerly Ed IRAs), or Archer MSAs (formerly medical savings accounts). Free state taxes filing 3c         d Tax on excess accumulation in qualified retirement plans. Free state taxes filing 3d         e Household employment taxes. Free state taxes filing 3e         f Uncollected social security and Medicare or RRTA tax on tips or group-term life insurance. Free state taxes filing 3f         g Tax on golden parachute payments. Free state taxes filing 3g       4 Add lines 3a through 3g. Free state taxes filing 4       5 Tax to be forgiven. Free state taxes filing Subtract line 4 from line 2. Free state taxes filing 5       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 5 (including any amounts shown on line 15 of Worksheet B) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 5 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet B. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1       2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2       3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3       4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4       5 Subtract line 4 from line 3. Free state taxes filing 5       6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 6       7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7       8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8       9 Subtract line 8 from line 7. Free state taxes filing 9       10 Add lines 5 and 9. Free state taxes filing 10       11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11       12 Add lines 4 and 8. Free state taxes filing 12       13 Subtract line 12 from line 11. Free state taxes filing 13       14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14       15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet B. Free state taxes filing Figuring the Tax To Be Forgiven (For Decedents Who Filed a Joint Return)       (A) First Eligible Year (1994 or 2000) (B) Second Eligible Year (1995 or 2001) (C) Third Eligible Year (1996 or 2002) 1 Enter the years eligible for forgiveness. Free state taxes filing 1       2 Enter the decedent's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 2       3 Enter the decedent's total tax. Free state taxes filing See the instructions. Free state taxes filing 3       4 Enter the total, if any, of the decedent's taxes not eligible for forgiveness. Free state taxes filing See the instructions. Free state taxes filing 4       5 Subtract line 4 from line 3. Free state taxes filing 5       6 Enter the surviving spouse's taxable income. Free state taxes filing Figure taxable income as if a separate return had been filed. Free state taxes filing See the instructions. Free state taxes filing 6       7 Enter the surviving spouse's total tax. Free state taxes filing See the instructions. Free state taxes filing 7       8 Enter the total, if any, of the surviving spouse's taxes listed in the instructions for line 4. Free state taxes filing 8       9 Subtract line 8 from line 7. Free state taxes filing 9       10 Add lines 5 and 9. Free state taxes filing 10       11 Enter the total tax from the joint return. Free state taxes filing See Table 1 on page 5 for the line number for years before 2002. Free state taxes filing 11       12 Add lines 4 and 8. Free state taxes filing 12       13 Subtract line 12 from line 11. Free state taxes filing 13       14 Divide line 5 by line 10. Free state taxes filing Enter the result as a decimal. Free state taxes filing 14       15 Tax to be forgiven. Free state taxes filing Multiply line 13 by line 14 and enter the result. Free state taxes filing 15       Note. Free state taxes filing If the total of columns (A), (B), and (C) of line 15 (including any amounts shown on line 5 of Worksheet A) is less than $10,000, also complete Worksheet C. Free state taxes filing Attach the computation of the tax to be forgiven or a copy of this worksheet to the decedent's final income tax return or amended tax return (Form 1040X) for each year listed on line 1. Free state taxes filing If filing Form 1040X for an eligible year, enter the amount from line 15 above on Form 1040X in column B of line 10 as a decrease in tax. Free state taxes filing The IRS will determine the amount to be refunded. Free state taxes filing Worksheet C. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum tax forgiveness of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum tax forgiveness. Free state taxes filing Note. Free state taxes filing Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2       3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3       4 Add lines 2 and 3. Free state taxes filing 4       5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5       6 Add lines 4 and 5. Free state taxes filing 6       7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7       8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8       9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9       10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10       11 Add lines 9 and 10. Free state taxes filing 11   12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12   Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing Worksheet C. Free state taxes filing Amount Treated as Tax Payment for Decedent's Last Tax Year Caution: The decedent is entitled to minimum tax forgiveness of $10,000. Free state taxes filing Complete this worksheet only if the total tax forgiven for all eligible years is less than $10,000. Free state taxes filing 1 Minimum tax forgiveness. Free state taxes filing Note. Free state taxes filing Before completing lines 2–9, see Instructions for lines 2–9 of Worksheet C. Free state taxes filing 1 $10,000 2 Enter the taxable income from line 22 (Form 1041) 2       3 Enter the distribution deduction from line 18 (Form 1041) . Free state taxes filing 3       4 Add lines 2 and 3. Free state taxes filing 4       5 Enter exempt income received after death minus expenses allocable to exempt income. Free state taxes filing (See Income received after date of death on page 5. Free state taxes filing ) 5       6 Add lines 4 and 5. Free state taxes filing 6       7 Figure the tax on line 6 using Schedule G (Form 1041). Free state taxes filing 7       8 Figure the tax on line 4 using Schedule G (Form 1041). Free state taxes filing 8       9 Tax on exempt income. Free state taxes filing Subtract line 8 from line 7. Free state taxes filing 9       10 Enter the total of columns (A)–(C) from line 5 of Worksheet A or line 15 of Worksheet B. Free state taxes filing If the decedent was not required to file tax returns for the eligible tax years, enter -0-. Free state taxes filing 10       11 Add lines 9 and 10. Free state taxes filing 11   12 Additional payment allowed. Free state taxes filing If line 11 is $10,000 or more, enter -0- and stop here. Free state taxes filing No additional amount is allowed as a tax payment. Free state taxes filing Otherwise, subtract line 11 from line 1 and enter the result. Free state taxes filing 12   Note. Free state taxes filing The amount on line 12 is allowed as a tax payment for the decedent's last tax year (usually 1995 or 2001). Free state taxes filing Attach the computation of the additional payment allowed or a copy of this worksheet to the original or amended income tax return for the decedent's last tax year. Free state taxes filing If filing Form 1040, include the amount from line 12 above on the “Other payments” line of the form. Free state taxes filing Write "Sec. Free state taxes filing 692(d)(2) Payment" and the amount to the right of the entry space. Free state taxes filing Also indicate whether a Form 1041 is being filed for the decedent's estate. Free state taxes filing If filing Form 1040X, include the amount from line 12 above on Form 1040X on line 15, columns (B) and (C). Free state taxes filing Write “Sec. Free state taxes filing 692(d)(2) Payment” on the dotted line to the left of the entry space. Free state taxes filing How To Get Tax Help Special IRS assistance. Free state taxes filing   The IRS is providing special help for those affected by the terrorist attacks, as well as survivors and personal representatives of the victims. Free state taxes filing We have set up a special toll-free number for people who may have trouble filing or paying their taxes because they were affected by the terrorist attacks, or who have other tax issues related to the attacks. Free state taxes filing Call 1–866–562–5227 Monday through Friday In English–7 a. Free state taxes filing m. Free state taxes filing to 10 p. Free state taxes filing m. Free state taxes filing local time In Spanish–8 a. Free state taxes filing m. Free state taxes filing to 9:30 p. Free state taxes filing m. Free state taxes filing local time   The IRS web site at www. Free state taxes filing irs. Free state taxes filing gov has notices and other tax relief information. Free state taxes filing Check it periodically for any new guidance or to see if Congress has enacted new legislation. Free state taxes filing   Business taxpayers affected by the attacks can e-mail their questions to corp. Free state taxes filing disaster. Free state taxes filing relief@irs. Free state taxes filing gov. Free state taxes filing   For current information on Presidentially declared disaster areas, check the Federal Emergency Management Agency Web site at www. Free state taxes filing fema. Free state taxes filing gov. Free state taxes filing Other help from the IRS. Free state taxes filing   You can get help with unresolved tax issues, order free publications and forms, ask tax questions, and get more information from the IRS in several ways. Free state taxes filing By selecting the method that is best for you, you will have quick and easy access to tax help. Free state taxes filing Contacting your Taxpayer Advocate. Free state taxes filing   If you have attempted to deal with an IRS problem unsuccessfully, you should contact your Taxpayer Advocate. Free state taxes filing   The Taxpayer Advocate represents your interests and concerns within the IRS by protecting your rights and resolving problems that have not been fixed through normal channels. Free state taxes filing While Taxpayer Advocates cannot change the tax law or make a technical tax decision, they can clear up problems that resulted from previous contacts and ensure that your case is given a complete and impartial review. Free state taxes filing   To contact your Taxpayer Advocate: Call the Taxpayer Advocate at 1–877–777–4778. Free state taxes filing Call the IRS at 1–800–829–1040. Free state taxes filing Call, write, or fax the Taxpayer Advocate office in your area. Free state taxes filing Call 1–800–829–4059 if you are a TTY/TDD user. Free state taxes filing   For more information, see Publication 1546, The Taxpayer Advocate Service of the IRS. Free state taxes filing Free tax services. Free state taxes filing   To find out what services are available, get Publication 910, Guide to Free Tax Services. Free state taxes filing It contains a list of free tax publications and an index of tax topics. Free state taxes filing It also describes other free tax information services, including tax education and assistance programs and a list of TeleTax topics. Free state taxes filing Personal computer. Free state taxes filing With your personal computer and modem, you can access the IRS on the Internet at www. Free state taxes filing irs. Free state taxes filing gov. Free state taxes filing While visiting our web site, you can: Find answers to questions you may have. Free state taxes filing Download forms and publications or search for forms and pub