Filing Your Taxes Online is Fast, Easy and Secure.
Start now and receive your tax refund in as little as 7 days.

1. Get Answers

Your online questions are customized to your unique tax situation.

2. Maximize your Refund

Find tax credits for everything from school tuition to buying a hybri

3. E-File for FREE

E-file free with direct deposit to get your refund in as few as 7 days.

Filing your taxes with paper mail can be difficult and it could take weeks for your refund to arrive. IRS e-file is easy, fast and secure. There is no paperwork going to the IRS so tax refunds can be processed in as little as 7 days with direct deposit. As you prepare your taxes online, you can see your tax refund in real time.

FREE audit support and representation from an enrolled agent – NEW and only from H&R Block

Hnrblock Free Tax Form

State Tax FormsFile State TaxesFile Federal State Taxes FreePast Year TaxesH&r Block Free Tax PrepFree Self Tax Preparation OnlineFiling 1040nrIrs Gov FormsH&rblock Com1040 Ez Tax TableH&r Block State TaxesHow To Ammend A Tax Return1040ez Tax Return Forms 2013Tax Act 20101040 Ez 20142012 Tax Return AmendmentFile 2010 Taxes Online LateIrs Forms For 2010Free File Federal And State Taxes OnlineHow To Amend Your Tax Return OnlineTurbotax 2011 TaxesAarp Free Tax PreparationHow To Amend Tax ReturnElectronic State Tax FilingClues Fill 1040x FormAmending Federal Tax ReturnHrblock TaxesTax Forms 2012How Do I Amend My 2010 Taxes2009 TaxMi 1040xFree Ez FormEz Tax Form2011 Tax Forms 1040 InstructionsDo Unemployed People File TaxesForm 1040x 2013Free File Form 4868Www Aarp Org TaxaideTurbotax 2010 DownloadHow To Revise Tax Return

Hnrblock Free Tax Form

Hnrblock free tax form 2. Hnrblock free tax form   Taxable and Nontaxable Income Table of Contents Compensation for Services Retirement Plan DistributionsIndividual Retirement Arrangements (IRAs) Pensions and Annuities Social Security and Equivalent Railroad Retirement BenefitsAre Any of Your Benefits Taxable? How Much Is Taxable? How To Report Your Benefits Lump-Sum Election Repayments More Than Gross Benefits Sickness and Injury BenefitsDisability Pensions Long-Term Care Insurance Contracts Workers' Compensation Other Sickness and Injury Benefits Life Insurance ProceedsInstallments for life. Hnrblock free tax form Surviving spouse. Hnrblock free tax form Endowment Contract Proceeds Accelerated Death Benefits Sale of HomeMaximum Amount of Exclusion Ownership and Use Tests Married Persons Business Use or Rental of Home Reporting the Sale Reverse Mortgages Other ItemsWelfare benefits. Hnrblock free tax form Payments from a state fund for victims of crime. Hnrblock free tax form Home Affordable Modification Program (HAMP). Hnrblock free tax form Mortgage assistance payments. Hnrblock free tax form Payments to reduce cost of winter energy use. Hnrblock free tax form Nutrition Program for the Elderly. Hnrblock free tax form Reemployment Trade Adjustment Assistance (RTAA). Hnrblock free tax form Generally, income is taxable unless it is specifically exempt (not taxed) by law. Hnrblock free tax form Your taxable income may include compensation for services, interest, dividends, rents, royalties, income from partnerships, estate or trust income, gain from sales or exchanges of property, and business income of all kinds. Hnrblock free tax form Under special provisions of the law, certain items are partially or fully exempt from tax. Hnrblock free tax form Provisions that are of special interest to older taxpayers are discussed in this chapter. Hnrblock free tax form Compensation for Services Generally, you must include in gross income everything you receive in payment for personal services. Hnrblock free tax form In addition to wages, salaries, commissions, fees, and tips, this includes other forms of compensation such as fringe benefits and stock options. Hnrblock free tax form You need not receive the compensation in cash for it to be taxable. Hnrblock free tax form Payments you receive in the form of goods or services generally must be included in gross income at their fair market value. Hnrblock free tax form Volunteer work. Hnrblock free tax form   Do not include in your gross income amounts you receive for supportive services or reimbursements for out-of-pocket expenses under any of the following volunteer programs. Hnrblock free tax form Retired Senior Volunteer Program (RSVP). Hnrblock free tax form Foster Grandparent Program. Hnrblock free tax form Senior Companion Program. Hnrblock free tax form Service Corps of Retired Executives (SCORE). Hnrblock free tax form Unemployment compensation. Hnrblock free tax form   You must include in income all unemployment compensation you or your spouse (if married filing jointly) received. Hnrblock free tax form More information. Hnrblock free tax form   See Publication 525, Taxable and Nontaxable Income, for more detailed information on specific types of income. Hnrblock free tax form Retirement Plan Distributions This section summarizes the tax treatment of amounts you receive from traditional individual retirement arrangements (IRA), employee pensions or annuities, and disability pensions or annuities. Hnrblock free tax form A traditional IRA is any IRA that is not a Roth or SIMPLE IRA. Hnrblock free tax form A Roth IRA is an individual retirement plan that can be either an account or an annuity and features nondeductible contributions and tax-free distributions. Hnrblock free tax form A SIMPLE IRA is a tax-favored retirement plan that certain small employers (including self-employed individuals) can set up for the benefit of their employees. Hnrblock free tax form More detailed information can be found in Publication 590, Individual Retirement Arrangements (IRAs), and Publication 575, Pension and Annuity Income. Hnrblock free tax form Individual Retirement Arrangements (IRAs) In general, distributions from a traditional IRA are taxable in the year you receive them. Hnrblock free tax form Exceptions to the general rule are rollovers, tax-free withdrawals of contributions, and the return of nondeductible contributions. Hnrblock free tax form These are discussed in Publication 590. Hnrblock free tax form If you made nondeductible contributions to a traditional IRA, you must file Form 8606, Nondeductible IRAs. Hnrblock free tax form If you do not file Form 8606 with your return, you may have to pay a $50 penalty. Hnrblock free tax form Also, when you receive distributions from your traditional IRA, the amounts will be taxed unless you can show, with satisfactory evidence, that nondeductible contributions were made. Hnrblock free tax form Early distributions. Hnrblock free tax form   Generally, early distributions are amounts distributed from your traditional IRA account or annuity before you are age 59½, or amounts you receive when you cash in retirement bonds before you are age  59½. Hnrblock free tax form You must include early distributions of taxable amounts in your gross income. Hnrblock free tax form These taxable amounts are also subject to an additional 10% tax unless the distribution qualifies for an exception. Hnrblock free tax form For purposes of the additional 10% tax, an IRA is a qualified retirement plan. Hnrblock free tax form For more information about this tax, see Tax on Early Distributions under Pensions and Annuities, later. Hnrblock free tax form After age 59½ and before age 70½. Hnrblock free tax form   After you reach age 59½, you can receive distributions from your traditional IRA without having to pay the 10% additional tax. Hnrblock free tax form Even though you can receive distributions after you reach age 59½, distributions are not required until you reach  age 70½. Hnrblock free tax form Required distributions. Hnrblock free tax form   If you are the owner of a traditional IRA, you generally must receive the entire balance in your IRA or start receiving periodic distributions from your IRA by April 1 of the year following the year in which you reach age 70½. Hnrblock free tax form See When Must You Withdraw Assets? (Required Minimum Distributions) in Publication 590. Hnrblock free tax form If distributions from your traditional IRA(s) are less than the required minimum distribution for the year, you may have to pay a 50% excise tax for that year on the amount not distributed as required. Hnrblock free tax form For purposes of the 50% excise tax, an IRA is a qualified retirement plan. Hnrblock free tax form For more information about this tax, see Tax on Excess Accumulation under Pensions and Annuities, later. Hnrblock free tax form See also Excess Accumulations (Insufficient Distributions) in Publication 590. Hnrblock free tax form Pensions and Annuities Generally, if you did not pay any part of the cost of your employee pension or annuity, and your employer did not withhold part of the cost of the contract from your pay while you worked, the amounts you receive each year are fully taxable. Hnrblock free tax form However, see Insurance Premiums for Retired Public Safety Officers , later. Hnrblock free tax form If you paid part of the cost of your pension or annuity plan (see Cost , later), you can exclude part of each annuity payment from income as a recovery of your cost (investment in the contract). Hnrblock free tax form This tax-free part of the payment is figured when your annuity starts and remains the same each year, even if the amount of the payment changes. Hnrblock free tax form The rest of each payment is taxable. Hnrblock free tax form However, see Insurance Premiums for Retired Public Safety Officers , later. Hnrblock free tax form You figure the tax-free part of the payment using one of the following methods. Hnrblock free tax form Simplified Method. Hnrblock free tax form You generally must use this method if your annuity is paid under a qualified plan (a qualified employee plan, a qualified employee annuity, or a tax-sheltered annuity plan or contract). Hnrblock free tax form You cannot use this method if your annuity is paid under a nonqualified plan. Hnrblock free tax form General Rule. Hnrblock free tax form You must use this method if your annuity is paid under a nonqualified plan. Hnrblock free tax form You generally cannot use this method if your annuity is paid under a qualified plan. Hnrblock free tax form Contact your employer or plan administrator to find out if your pension or annuity is paid under a qualified or nonqualified plan. Hnrblock free tax form You determine which method to use when you first begin receiving your annuity, and you continue using it each year that you recover part of your cost. Hnrblock free tax form Exclusion limit. Hnrblock free tax form   If your annuity starting date is after 1986, the total amount of annuity income you can exclude over the years as a recovery of the cost cannot exceed your total cost. Hnrblock free tax form Any unrecovered cost at your (or the last annuitant's) death is allowed as a miscellaneous itemized deduction on the final return of the decedent. Hnrblock free tax form This deduction is not subject to the 2%-of-adjusted-gross-income limit on miscellaneous deductions. Hnrblock free tax form   If you contributed to your pension or annuity and your annuity starting date is before 1987, you can continue to take your monthly exclusion for as long as you receive your annuity. Hnrblock free tax form If you chose a joint and survivor annuity, your survivor can continue to take the survivor's exclusion figured as of the annuity starting date. Hnrblock free tax form The total exclusion may be more than your cost. Hnrblock free tax form Cost. Hnrblock free tax form   Before you can figure how much, if any, of your pension or annuity benefits are taxable, you must determine your cost in the plan (your investment in the contract). Hnrblock free tax form Your total cost in the plan includes everything that you paid. Hnrblock free tax form It also includes amounts your employer contributed that were taxable to you when paid. Hnrblock free tax form However, see Foreign employment contributions , later. Hnrblock free tax form   From this total cost, subtract any refunded premiums, rebates, dividends, unrepaid loans, or other tax-free amounts you received by the later of the annuity starting date or the date on which you received your first payment. Hnrblock free tax form   The annuity starting date is the later of the first day of the first period for which you received a payment from the plan or the date on which the plan's obligations became fixed. Hnrblock free tax form    The amount of your contributions to the plan may be shown in box 9b of any Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. Hnrblock free tax form , that you receive. Hnrblock free tax form Foreign employment contributions. Hnrblock free tax form   If you worked abroad, certain amounts your employer paid into your retirement plan that were not includible in your gross income may be considered part of your cost. Hnrblock free tax form For details, see Foreign employment contributions in Publication 575. Hnrblock free tax form Withholding. Hnrblock free tax form   The payer of your pension, profit-sharing, stock bonus, annuity, or deferred compensation plan will withhold income tax on the taxable part of amounts paid to you. Hnrblock free tax form However, you can choose not to have tax withheld on the payments you receive, unless they are eligible rollover distributions. Hnrblock free tax form (These are distributions that are eligible for rollover treatment but are not paid directly to another qualified retirement plan or to a traditional IRA. Hnrblock free tax form ) See Withholding Tax and Estimated Tax and Rollovers in Publication 575 for more information. Hnrblock free tax form   For payments other than eligible rollover distributions, you can tell the payer how much to withhold by filing a Form W-4P, Withholding Certificate for Pension or Annuity Payments. Hnrblock free tax form Simplified Method. Hnrblock free tax form   Under the Simplified Method, you figure the tax-free part of each annuity payment by dividing your cost by the total number of anticipated monthly payments. Hnrblock free tax form For an annuity that is payable over the lives of the annuitants, this number is based on the annuitants' ages on the annuity starting date and is determined from a table. Hnrblock free tax form For any other annuity, this number is the number of monthly annuity payments under the contract. Hnrblock free tax form Who must use the Simplified Method. Hnrblock free tax form   You must use the Simplified Method if your annuity starting date is after November 18, 1996, and you receive your pension or annuity payments from a qualified plan or annuity, unless you were at least 75 years old and entitled to at least 5 years of guaranteed payments (defined next). Hnrblock free tax form   In addition, if your annuity starting date is after July 1, 1986, and before November 19, 1996, you could have chosen to use the Simplified Method for payments from a qualified plan, unless you were at least 75 years old and entitled to at least 5 years of guaranteed payments. Hnrblock free tax form If you chose to use the Simplified Method, you must continue to use it each year that you recover part of your cost. Hnrblock free tax form Guaranteed payments. Hnrblock free tax form   Your annuity contract provides guaranteed payments if a minimum number of payments or a minimum amount (for example, the amount of your investment) is payable even if you and any survivor annuitant do not live to receive the minimum. Hnrblock free tax form If the minimum amount is less than the total amount of the payments you are to receive, barring death, during the first 5 years after payments begin (figured by ignoring any payment increases), you are entitled to less than 5 years of guaranteed payments. Hnrblock free tax form Who cannot use the Simplified Method. Hnrblock free tax form   You cannot use the Simplified Method and must use the General Rule if you receive pension or annuity payments from: A nonqualified plan, such as a private annuity, a purchased commercial annuity, or a nonqualified employee plan, or A qualified plan if you are age 75 or older on your annuity starting date and you are entitled to at least 5 years of guaranteed payments (defined above). Hnrblock free tax form   In addition, you had to use the General Rule for either circumstance described above if your annuity starting date is after July 1, 1986, and before November 19, 1996. Hnrblock free tax form If you did not have to use the General Rule, you could have chosen to use it. Hnrblock free tax form You also had to use the General Rule for payments from a qualified plan if your annuity starting date is before July 2, 1986, and you did not qualify to use the Three-Year Rule. Hnrblock free tax form   If you had to use the General Rule (or chose to use it), you must continue to use it each year that you recover your cost. Hnrblock free tax form   Unless your annuity starting date was before 1987, once you have recovered all of your non-taxable investment, all of each remaining payment you receive is fully taxable. Hnrblock free tax form Once your remaining payments are fully taxable, there is no longer a concern with the General Rule or Simplified Method. Hnrblock free tax form   Complete information on the General Rule, including the actuarial tables you need, is contained in Publication 939, General Rule for Pensions and Annuities. Hnrblock free tax form How to use the Simplified Method. Hnrblock free tax form   Complete the Simplified Method Worksheet in the Form 1040, Form 1040A, or Form 1040NR instructions or in Publication 575 to figure your taxable annuity for 2013. Hnrblock free tax form Be sure to keep the completed worksheet; it will help you figure your taxable annuity next year. Hnrblock free tax form   To complete line 3 of the worksheet, you must determine the total number of expected monthly payments for your annuity. Hnrblock free tax form How you do this depends on whether the annuity is for a single life, multiple lives, or a fixed period. Hnrblock free tax form For this purpose, treat an annuity that is payable over the life of an annuitant as payable for that annuitant's life even if the annuity has a fixed-period feature or also provides a temporary annuity payable to the annuitant's child under age 25. Hnrblock free tax form    You do not need to complete line 3 of the worksheet or make the computation on line 4 if you received annuity payments last year and used last year's worksheet to figure your taxable annuity. Hnrblock free tax form Instead, enter the amount from line 4 of last year's worksheet on line 4 of this year's worksheet. Hnrblock free tax form Single-life annuity. Hnrblock free tax form   If your annuity is payable for your life alone, use Table 1 at the bottom of the worksheet to determine the total number of expected monthly payments. Hnrblock free tax form Enter on line 3 the number shown for your age on your annuity starting date. Hnrblock free tax form This number will differ depending on whether your annuity starting date is before November 19, 1996, or after November 18, 1996. Hnrblock free tax form Multiple-lives annuity. Hnrblock free tax form   If your annuity is payable for the lives of more than one annuitant, use Table 2 at the bottom of the worksheet to determine the total number of expected monthly payments. Hnrblock free tax form Enter on line 3 the number shown for the annuitants' combined ages on the annuity starting date. Hnrblock free tax form For an annuity payable to you as the primary annuitant and to more than one survivor annuitant, combine your age and the age of the youngest survivor annuitant. Hnrblock free tax form For an annuity that has no primary annuitant and is payable to you and others as survivor annuitants, combine the ages of the oldest and youngest annuitants. Hnrblock free tax form Do not treat as a survivor annuitant anyone whose entitlement to payments depends on an event other than the primary annuitant's death. Hnrblock free tax form   However, if your annuity starting date is before 1998, do not use Table 2 and do not combine the annuitants' ages. Hnrblock free tax form Instead, you must use Table 1 at the bottom of the worksheet and enter on line 3 the number shown for the primary annuitant's age on the annuity starting date. Hnrblock free tax form This number will differ depending on whether your annuity starting date is before November 19, 1996, or after November 18, 1996. Hnrblock free tax form Fixed-period annuities. Hnrblock free tax form   If your annuity does not depend in whole or in part on anyone's life expectancy, the total number of expected monthly payments to enter on line 3 of the worksheet is the number of monthly annuity payments under the contract. Hnrblock free tax form Line 6. Hnrblock free tax form   The amount on line 6 should include all amounts that could have been recovered in prior years. Hnrblock free tax form If you did not recover an amount in a prior year, you may be able to amend your returns for the affected years. Hnrblock free tax form    Be sure to keep a copy of the completed worksheet; it will help you figure your taxable annuity in later years. Hnrblock free tax form Example. Hnrblock free tax form Bill Smith, age 65, began receiving retirement benefits in 2013, under a joint and survivor annuity. Hnrblock free tax form Bill's annuity starting date is January 1, 2013. Hnrblock free tax form The benefits are to be paid over the joint lives of Bill and his wife, Kathy, age 65. Hnrblock free tax form Bill had contributed $31,000 to a qualified plan and had received no distributions before the annuity starting date. Hnrblock free tax form Bill is to receive a retirement benefit of $1,200 a month, and Kathy is to receive a monthly survivor benefit of $600 upon Bill's death. Hnrblock free tax form Bill must use the Simplified Method to figure his taxable annuity because his payments are from a qualified plan and he is under age 75. Hnrblock free tax form See the illustrated Worksheet 2-A, Simplified Method Worksheet, later. Hnrblock free tax form You can find a blank version of this worksheet in Publication 575. Hnrblock free tax form (The references in the illustrated worksheet are to sections in Publication 575). Hnrblock free tax form His annuity is payable over the lives of more than one annuitant, so Bill uses his and Kathy's combined ages, 130 (65 + 65), and Table 2 at the bottom of the worksheet in completing line 3 of the worksheet and finds the line 3 amount to be 310. Hnrblock free tax form Bill's tax-free monthly amount is $100 ($31,000 ÷ 310 as shown on line 4 of the worksheet). Hnrblock free tax form Upon Bill's death, if Bill has not recovered the full $31,000 investment, Kathy will also exclude $100 from her $600 monthly payment. Hnrblock free tax form The full amount of any annuity payments received after 310 payments are paid must generally be included in gross income. Hnrblock free tax form If Bill and Kathy die before 310 payments are made, a miscellaneous itemized deduction will be allowed for the unrecovered cost on the final income tax return of the last to die. Hnrblock free tax form This deduction is not subject to the 2%-of-adjusted-gross-income limit. Hnrblock free tax form Worksheet 2-A. Hnrblock free tax form Simplified Method Worksheet—Illustrated 1. Hnrblock free tax form Enter the total pension or annuity payments received this year. Hnrblock free tax form Also, add this amount to the total for Form 1040, line 16a; Form 1040A, line 12a; or Form 1040NR, line 17a 1. Hnrblock free tax form $ 14,400 2. Hnrblock free tax form Enter your cost in the plan (contract) at the annuity starting date plus any death benefit exclusion* See Cost (Investment in the Contract), earlier 2. Hnrblock free tax form 31,000   Note. Hnrblock free tax form If your annuity starting date was before this year and you completed this worksheet last year, skip line 3 and enter the amount from line 4 of last year's worksheet on line 4 below (even if the amount of your pension or annuity has changed). Hnrblock free tax form Otherwise, go to line 3. Hnrblock free tax form     3. Hnrblock free tax form Enter the appropriate number from Table 1 below. Hnrblock free tax form But if your annuity starting date was after 1997 and the payments are for your life and that of your beneficiary, enter the appropriate number from Table 2 below 3. Hnrblock free tax form 310 4. Hnrblock free tax form Divide line 2 by the number on line 3 4. Hnrblock free tax form 100 5. Hnrblock free tax form Multiply line 4 by the number of months for which this year's payments were made. Hnrblock free tax form If your annuity starting date was before 1987, enter this amount on line 8 below and skip lines 6, 7, 10, and 11. Hnrblock free tax form Otherwise, go to line 6 5. Hnrblock free tax form 1,200 6. Hnrblock free tax form Enter any amount previously recovered tax free in years after 1986. Hnrblock free tax form This is the amount shown on line 10 of your worksheet for last year 6. Hnrblock free tax form 0 7. Hnrblock free tax form Subtract line 6 from line 2 7. Hnrblock free tax form 31,000 8. Hnrblock free tax form Enter the smaller of line 5 or line 7 8. Hnrblock free tax form 1,200 9. Hnrblock free tax form Taxable amount for year. Hnrblock free tax form Subtract line 8 from line 1. Hnrblock free tax form Enter the result, but not less than zero. Hnrblock free tax form Also, add this amount to the total for Form 1040, line 16b; Form 1040A, line 12b; or Form 1040NR, line 17b. Hnrblock free tax form Note. Hnrblock free tax form If your Form 1099-R shows a larger taxable amount, use the amount figured on this line instead. Hnrblock free tax form If you are a retired public safety officer, see Insurance Premiums for Retired Public Safety Officers, earlier, before entering an amount on your tax return. Hnrblock free tax form 9. Hnrblock free tax form $ 13,200 10. Hnrblock free tax form Was your annuity starting date before 1987? □ Yes. Hnrblock free tax form STOP. Hnrblock free tax form Do not complete the rest of this worksheet. Hnrblock free tax form  ☑ No. Hnrblock free tax form Add lines 6 and 8. Hnrblock free tax form This is the amount you have recovered tax free through 2013. Hnrblock free tax form You will need this number if you need to fill out this worksheet next year. Hnrblock free tax form 10. Hnrblock free tax form 1,200 11. Hnrblock free tax form Balance of cost to be recovered. Hnrblock free tax form Subtract line 10 from line 2. Hnrblock free tax form If zero, you will not have to complete this worksheet next year. Hnrblock free tax form The payments you receive next year will generally be fully taxable 11. Hnrblock free tax form $ 29,800 * A death benefit exclusion (up to $5,000) applied to certain benefits received by employees who died before August 21, 1996. Hnrblock free tax form   Table 1 for Line 3 Above       AND your annuity starting date was—   IF your age on your annuity starting date was . Hnrblock free tax form . Hnrblock free tax form . Hnrblock free tax form   BEFORE November 19, 1996, enter on line 3 . Hnrblock free tax form . Hnrblock free tax form . Hnrblock free tax form AFTER November 18, 1996, enter on line 3 . Hnrblock free tax form . Hnrblock free tax form . Hnrblock free tax form   55 or under 300 360   56-60 260 310   61-65 240 260   66-70 170 210   71 or over 120 160 Table 2 for Line 3 Above   IF the annuitants' combined ages on your annuity starting date were . Hnrblock free tax form . Hnrblock free tax form . Hnrblock free tax form   THEN enter on line 3 . Hnrblock free tax form . Hnrblock free tax form . Hnrblock free tax form         110 or under   410         111-120   360         121-130   310         131-140   260         141 or over   210       Survivors of retirees. Hnrblock free tax form   Benefits paid to you as a survivor under a joint and survivor annuity must be included in your gross income in the same way the retiree would have included them in gross income. Hnrblock free tax form   If you receive a survivor annuity because of the death of a retiree who had reported the annuity under the Three-Year Rule, include the total received in your income. Hnrblock free tax form The retiree's cost has already been recovered tax free. Hnrblock free tax form   If the retiree was reporting the annuity payments under the General Rule, you must apply the same exclusion percentage the retiree used to your initial payment called for in the contract. Hnrblock free tax form The resulting tax-free amount will then remain fixed. Hnrblock free tax form Any increases in the survivor annuity are fully taxable. Hnrblock free tax form   If the retiree was reporting the annuity payments under the Simplified Method, the part of each payment that is tax free is the same as the tax-free amount figured by the retiree at the annuity starting date. Hnrblock free tax form See Simplified Method , earlier. Hnrblock free tax form How to report. Hnrblock free tax form   If you file Form 1040, report your total annuity on line 16a, and the taxable part on line 16b. Hnrblock free tax form If your pension or annuity is fully taxable, enter it on line 16b. Hnrblock free tax form Do not make an entry on line 16a. Hnrblock free tax form   If you file Form 1040A, report your total annuity on line 12a, and the taxable part on line 12b. Hnrblock free tax form If your pension or annuity is fully taxable, enter it on line 12b. Hnrblock free tax form Do not make an entry on line 12a. Hnrblock free tax form   If you file Form 1040NR, report your total annuity on line 17a, and the taxable part on line 17b. Hnrblock free tax form If your pension or annuity is fully taxable, enter it on line 17b. Hnrblock free tax form Do not make an entry on line 17a. Hnrblock free tax form Example. Hnrblock free tax form You are a Form 1040 filer and you received monthly payments totaling $1,200 (12 months x $100) during 2013 from a pension plan that was completely financed by your employer. Hnrblock free tax form You had paid no tax on the payments that your employer made to the plan, and the payments were not used to pay for accident, health, or long-term care insurance premiums (as discussed later under Insurance Premiums for Retired Public Safety Officers ). Hnrblock free tax form The entire $1,200 is taxable. Hnrblock free tax form You include $1,200 only on Form 1040, line 16b. Hnrblock free tax form Joint return. Hnrblock free tax form   If you file a joint return and you and your spouse each receive one or more pensions or annuities, report the total of the pensions and annuities on line 16a of Form 1040, line 12a of Form 1040A, or line 17a of Form 1040NR. Hnrblock free tax form Report the total of the taxable parts on line 16b of Form 1040, line 12b of Form 1040A, or line 17b of Form 1040NR. Hnrblock free tax form Form 1099-R. Hnrblock free tax form   You should receive a Form 1099-R for your pension or annuity. Hnrblock free tax form Form 1099-R shows your pension or annuity for the year and any income tax withheld. Hnrblock free tax form You should receive a Form W-2 if you receive distributions from certain nonqualified plans. Hnrblock free tax form You must attach Forms 1099-R or Forms W-2 to your 2013 tax return if federal income tax was withheld. Hnrblock free tax form Generally, you should be sent these forms by January 31, 2014. Hnrblock free tax form Nonperiodic Distributions If you receive a nonperiodic distribution from your retirement plan, you may be able to exclude all or part of it from your income as a recovery of your cost. Hnrblock free tax form Nonperiodic distributions include cash withdrawals, distributions of current earnings (dividends) on your investment, and certain loans. Hnrblock free tax form For information on how to figure the taxable amount of a nonperiodic distribution, see Taxation of Nonperiodic Payments in Publication 575. Hnrblock free tax form The taxable part of a nonperiodic distribution may be subject to an additional 10% tax. Hnrblock free tax form See Tax on Early Distributions, later. Hnrblock free tax form Lump-sum distributions. Hnrblock free tax form   If you receive a lump-sum distribution from a qualified employee plan or qualified employee annuity and the plan participant was born before January 2, 1936, you may be able to elect optional methods of figuring the tax on the distribution. Hnrblock free tax form The part from active participation in the plan before 1974 may qualify as capital gain subject to a 20% tax rate. Hnrblock free tax form The part from participation after 1973 (and any part from participation before 1974 that you do not report as capital gain) is ordinary income. Hnrblock free tax form You may be able to use the 10-year tax option to figure tax on the ordinary income part. Hnrblock free tax form Form 1099-R. Hnrblock free tax form   If you receive a total distribution from a plan, you should receive a Form 1099-R. Hnrblock free tax form If the distribution qualifies as a lump-sum distribution, box 3 shows the capital gain part of the distribution. Hnrblock free tax form The amount in box 2a, Taxable amount, minus the amount in box 3, Capital gain, is the ordinary income part. Hnrblock free tax form More information. Hnrblock free tax form   For more detailed information on lump-sum distributions, see Publication 575 or Form 4972, Tax on Lump-Sum Distributions. Hnrblock free tax form Tax on Early Distributions Most distributions you receive from your qualified retirement plan and nonqualified annuity contracts before you reach age 59½ are subject to an additional tax of 10%. Hnrblock free tax form The tax applies to the taxable part of the distribution. Hnrblock free tax form For this purpose, a qualified retirement plan is: A qualified employee plan (including a qualified cash or deferred arrangement (CODA) under Internal Revenue Code section 401(k)), A qualified employee annuity plan, A tax-sheltered annuity plan (403(b) plan), or An eligible state or local government section 457 deferred compensation plan (to the extent that any distribution is attributable to amounts the plan received in a direct transfer or rollover from one of the other plans listed here or an IRA). Hnrblock free tax form  An IRA is also a qualified retirement plan for purposes of this tax. Hnrblock free tax form General exceptions to tax. Hnrblock free tax form   The early distribution tax does not apply to any distributions that are: Made as part of a series of substantially equal periodic payments (made at least annually) for your life (or life expectancy) or the joint lives (or joint life expectancies) of you and your designated beneficiary (if from a qualified retirement plan, the payments must begin after separation from service), Made because you are totally and permanently disabled, or Made on or after the death of the plan participant or contract holder. Hnrblock free tax form Additional exceptions. Hnrblock free tax form   There are additional exceptions to the early distribution tax for certain distributions from qualified retirement plans and nonqualified annuity contracts. Hnrblock free tax form See Publication 575 for details. Hnrblock free tax form Reporting tax. Hnrblock free tax form   If you owe only the tax on early distributions and distribution code 1 (early distribution, no known exception) is correctly shown in Form 1099-R, box 7, multiply the taxable part of the early distribution by 10% (. Hnrblock free tax form 10) and enter the result on Form 1040, line 58, or Form 1040NR, line 56. Hnrblock free tax form See the instructions for line 58 of Form 1040 or line 56 of Form 1040NR for more information about reporting the early distribution tax. Hnrblock free tax form Tax on Excess Accumulation To make sure that most of your retirement benefits are paid to you during your lifetime, rather than to your beneficiaries after your death, the payments that you receive from qualified retirement plans must begin no later than your required beginning date. Hnrblock free tax form Unless the rule for 5% owners applies, this is generally April 1 of the year that follows the later of: The calendar year in which you reach age 70½, or The calendar year in which you retire from employment with the employer maintaining the plan. Hnrblock free tax form However, your plan may require you to begin to receive payments by April 1 of the year that follows the year in which you reach 70½, even if you have not retired. Hnrblock free tax form For this purpose, a qualified retirement plan includes: A qualified employee plan, A qualified employee annuity plan, An eligible section 457 deferred compensation plan, or A tax-sheltered annuity plan (403(b) plan) (for benefits accruing after 1986). Hnrblock free tax form  An IRA is also a qualified retirement plan for purposes of this tax. Hnrblock free tax form An excess accumulation is the undistributed remainder of the required minimum distribution that was left in your qualified retirement plan. Hnrblock free tax form 5% owners. Hnrblock free tax form   If you own (or are considered to own under section 318 of the Internal Revenue Code) more than 5% of the company maintaining your qualified retirement plan, you must begin to receive distributions from the plan by April 1 of the year after the calendar year in which you reach age 70½. Hnrblock free tax form See Publication 575 for more information. Hnrblock free tax form Amount of tax. Hnrblock free tax form   If you do not receive the required minimum distribution, you are subject to an additional tax. Hnrblock free tax form The tax equals 50% of the difference between the amount that must be distributed and the amount that was distributed during the tax year. Hnrblock free tax form You can get this excise tax excused if you establish that the shortfall in distributions was due to reasonable error and that you are taking reasonable steps to remedy the shortfall. Hnrblock free tax form Form 5329. Hnrblock free tax form   You must file a Form 5329 if you owe a tax because you did not receive a minimum required distribution from your qualified retirement plan. Hnrblock free tax form Additional information. Hnrblock free tax form   For more detailed information on the tax on excess accumulation, see Publication 575. Hnrblock free tax form Insurance Premiums for Retired Public Safety Officers If you are an eligible retired public safety officer (law enforcement officer, firefighter, chaplain, or member of a rescue squad or ambulance crew), you can elect to exclude from income distributions made from your eligible retirement plan that are used to pay the premiums for accident or health insurance or long-term care insurance. Hnrblock free tax form The premiums can be for coverage for you, your spouse, or dependent(s). Hnrblock free tax form The distribution must be made directly from the plan to the insurance provider. Hnrblock free tax form You can exclude from income the smaller of the amount of the insurance premiums or $3,000. Hnrblock free tax form You can only make this election for amounts that would otherwise be included in your income. Hnrblock free tax form The amount excluded from your income cannot be used to claim a medical expense deduction. Hnrblock free tax form An eligible retirement plan is a governmental plan that is a: Qualified trust, Section 403(a) plan, Section 403(b) annuity, or Section 457(b) plan. Hnrblock free tax form If you make this election, reduce the otherwise taxable amount of your pension or annuity by the amount excluded. Hnrblock free tax form The taxable amount shown in box 2a of any Form 1099-R that you receive does not reflect the exclusion. Hnrblock free tax form Report your total distributions on Form 1040, line 16a; Form 1040A, line 12a; or Form 1040NR, line 17a. Hnrblock free tax form Report the taxable amount on Form 1040, line 16b; Form 1040A, line 12b; or Form 1040NR, line 17b. Hnrblock free tax form Enter “PSO” next to the appropriate line on which you report the taxable amount. Hnrblock free tax form Railroad Retirement Benefits Benefits paid under the Railroad Retirement Act fall into two categories. Hnrblock free tax form These categories are treated differently for income tax purposes. Hnrblock free tax form Social security equivalent benefits. Hnrblock free tax form   The first category is the amount of tier 1 railroad retirement benefits that equals the social security benefit that a railroad employee or beneficiary would have been entitled to receive under the social security system. Hnrblock free tax form This part of the tier 1 benefit is the social security equivalent benefit (SSEB) and is treated for tax purposes like social security benefits. Hnrblock free tax form (See Social Security and Equivalent Railroad Retirement Benefits , later. Hnrblock free tax form ) Non-social security equivalent benefits. Hnrblock free tax form   The second category contains the rest of the tier 1 benefits, called the non-social security equivalent benefit (NSSEB). Hnrblock free tax form It also contains any tier 2 benefit, vested dual benefit (VDB), and supplemental annuity benefit. Hnrblock free tax form This category of benefits is treated as an amount received from a qualified employee plan. Hnrblock free tax form This allows for the tax-free (nontaxable) recovery of employee contributions from the tier 2 benefits and the NSSEB part of the tier 1 benefits. Hnrblock free tax form Vested dual benefits and supplemental annuity benefits are non-contributory pensions and are fully taxable. Hnrblock free tax form More information. Hnrblock free tax form   For more information about railroad retirement benefits, see Publication 575. Hnrblock free tax form Military Retirement Pay Military retirement pay based on age or length of service is taxable and must be included in income as a pension on Form 1040, lines 16a and 16b; on Form 1040A, lines 12a and 12b; or on Form 1040NR, lines 17a and 17b. Hnrblock free tax form But, certain military and government disability pensions that are based on a percentage of disability from active service in the Armed Forces of any country generally are not taxable. Hnrblock free tax form For more information, including information about veterans' benefits and insurance, see Publication 525. Hnrblock free tax form Social Security and Equivalent Railroad Retirement Benefits This discussion explains the federal income tax rules for social security benefits and equivalent tier 1 railroad retirement benefits. Hnrblock free tax form Social security benefits include monthly retirement, survivor, and disability benefits. Hnrblock free tax form They do not include supplemental security income (SSI) payments, which are not taxable. Hnrblock free tax form Equivalent tier 1 railroad retirement benefits are the part of tier 1 benefits that a railroad employee or beneficiary would have been entitled to receive under the social security system. Hnrblock free tax form They commonly are called the social security equivalent benefit (SSEB) portion of tier 1 benefits. Hnrblock free tax form If you received these benefits during 2013, you should have received a Form SSA-1099 or Form RRB-1099 (Form SSA-1042S or Form RRB-1042S if you are a nonresident alien), showing the amount of the benefits. Hnrblock free tax form Are Any of Your Benefits Taxable? Note. Hnrblock free tax form When the term “benefits” is used in this section, it applies to both social security benefits and the SSEB portion of tier 1 railroad retirement benefits. Hnrblock free tax form  To find out whether any of your benefits may be taxable, compare the base amount for your filing status (explained later) with the total of: One-half of your benefits, plus All your other income, including tax-exempt interest. Hnrblock free tax form When making this comparison, do not reduce your other income by any exclusions for: Interest from qualified U. Hnrblock free tax form S. Hnrblock free tax form savings bonds, Employer-provided adoption benefits, Foreign earned income or foreign housing, or Income earned in American Samoa or Puerto Rico by bona fide residents. Hnrblock free tax form Figuring total income. Hnrblock free tax form   To figure the total of one-half of your benefits plus your other income, use Worksheet 2-B. Hnrblock free tax form If that total amount is more than your base amount, part of your benefits may be taxable. Hnrblock free tax form If you are married and file a joint return for 2013, you and your spouse must combine your incomes and your benefits to figure whether any of your combined benefits are taxable. Hnrblock free tax form Even if your spouse did not receive any benefits, you must add your spouse's income to yours to figure whether any of your benefits are taxable. Hnrblock free tax form If the only income you received during 2013 was your social security or the SSEB portion of tier 1 railroad retirement benefits, your benefits generally are not taxable and you probably do not have to file a return. Hnrblock free tax form If you have income in addition to your benefits, you may have to file a return even if none of your benefits are taxable. Hnrblock free tax form Worksheet 2-B. Hnrblock free tax form A Quick Way To Check if Your Benefits May Be Taxable A. Hnrblock free tax form Enter the amount from box 5 of all your Forms SSA-1099 and RRB-1099. Hnrblock free tax form Include  the full amount of any lump-sum benefit payments received in 2013, for 2013 and  earlier years. Hnrblock free tax form (If you received more than one form, combine the amounts from box 5  and enter the total. Hnrblock free tax form ) A. Hnrblock free tax form     Note. Hnrblock free tax form If the amount on line A is zero or less, stop here; none of your benefits are  taxable this year. Hnrblock free tax form     B. Hnrblock free tax form Enter one-half of the amount on line A B. Hnrblock free tax form   C. Hnrblock free tax form Enter your taxable pensions, wages, interest, dividends, and other taxable income C. Hnrblock free tax form   D. Hnrblock free tax form Enter any tax-exempt interest income (such as interest on municipal bonds) plus any exclusions from income for: •Interest from qualified U. Hnrblock free tax form S. Hnrblock free tax form savings bonds, •Employer-provided adoption benefits, •Foreign earned income or foreign housing, or •Income earned in American Samoa or Puerto Rico by bona fide residents D. Hnrblock free tax form   E. Hnrblock free tax form Add lines B, C, and D and enter the total E. Hnrblock free tax form   F. Hnrblock free tax form If you are: •Married filing jointly, enter $32,000 •Single, head of household, qualifying widow(er), or married filing separately and you  lived apart from your spouse for all of 2013, enter $25,000 •Married filing separately and you lived with your spouse at any time during 2013,  enter -0- F. Hnrblock free tax form   G. Hnrblock free tax form Is the amount on line F less than or equal to the amount on line E? □ No. Hnrblock free tax form None of your benefits are taxable this year. Hnrblock free tax form  □ Yes. Hnrblock free tax form Some of your benefits may be taxable. Hnrblock free tax form To figure how much of your benefits  are taxable, see Which worksheet to use under How Much Is Taxable. Hnrblock free tax form     Base Amount Your base amount is: $25,000 if you are single, head of household, or qualifying widow(er) with dependent child, $25,000 if you are married filing separately and lived apart from your spouse for all of 2013, $32,000 if you are married filing jointly, or $0 if you are married filing separately and lived with your spouse at any time during 2013. Hnrblock free tax form Repayment of Benefits Any repayment of benefits you made during 2013 must be subtracted from the gross benefits you received in 2013. Hnrblock free tax form It does not matter whether the repayment was for a benefit you received in 2013 or in an earlier year. Hnrblock free tax form If you repaid more than the gross benefits you received in 2013, see Repayments More Than Gross Benefits , later. Hnrblock free tax form Your gross benefits are shown in box 3 of Form SSA-1099 or Form RRB-1099. Hnrblock free tax form Your repayments are shown in box 4. Hnrblock free tax form The amount in box 5 shows your net benefits for 2013 (box 3 minus box 4). Hnrblock free tax form Use the amount in box 5 to figure whether any of your benefits are taxable. Hnrblock free tax form Tax Withholding and Estimated Tax You can choose to have federal income tax withheld from your social security and/or the SSEB portion of your tier 1 railroad retirement benefits. Hnrblock free tax form If you choose to do this, you must complete a Form W-4V, Voluntary Withholding Request. Hnrblock free tax form If you do not choose to have income tax withheld, you may have to request additional withholding from other income, or pay estimated tax during the year. Hnrblock free tax form For details, see Publication 505, Tax Withholding and Estimated Tax, or the instructions for Form 1040-ES, Estimated Tax for Individuals. Hnrblock free tax form How Much Is Taxable? If part of your benefits is taxable, how much is taxable depends on the total amount of your benefits and other income. Hnrblock free tax form Generally, the higher that total amount, the greater the taxable part of your benefits. Hnrblock free tax form Maximum taxable part. Hnrblock free tax form   The taxable part of your benefits usually cannot be more than 50%. Hnrblock free tax form However, up to 85% of your benefits can be taxable if either of the following situations applies to you. Hnrblock free tax form The total of one-half of your benefits and all your other income is more than $34,000 ($44,000 if you are married filing jointly). Hnrblock free tax form You are married filing separately and lived with your spouse at any time during 2013. Hnrblock free tax form   If you are a nonresident alien, 85% of your benefits are taxable. Hnrblock free tax form However, this income is exempt under some tax treaties. Hnrblock free tax form Which worksheet to use. Hnrblock free tax form   A worksheet to figure your taxable benefits is in the instructions for your Form 1040 or 1040A. Hnrblock free tax form However, you will need to use a different worksheet(s) if any of the following situations applies to you. Hnrblock free tax form You contributed to a traditional individual retirement arrangement (IRA) and you or your spouse were covered by a retirement plan at work. Hnrblock free tax form In this situation, you must use the special worksheets in Appendix B of Publication 590 to figure both your IRA deduction and your taxable benefits. Hnrblock free tax form Situation (1) does not apply and you take one or more of the following exclusions. Hnrblock free tax form Interest from qualified U. Hnrblock free tax form S. Hnrblock free tax form savings bonds (Form 8815). Hnrblock free tax form Employer-provided adoption benefits (Form 8839). Hnrblock free tax form Foreign earned income or housing (Form 2555 or Form 2555-EZ). Hnrblock free tax form Income earned in American Samoa (Form 4563) or Puerto Rico by bona fide residents. Hnrblock free tax form In these situations, you must use Worksheet 1 in Publication 915, Social Security and Equivalent Railroad Retirement Benefits, to figure your taxable benefits. Hnrblock free tax form You received a lump-sum payment for an earlier year. Hnrblock free tax form In this situation, also complete Worksheet 2 or 3 and Worksheet 4 in Publication 915. Hnrblock free tax form See Lump-Sum Election , later. Hnrblock free tax form How To Report Your Benefits If part of your benefits are taxable, you must use Form 1040, Form 1040A, or Form 1040NR. Hnrblock free tax form You cannot use Form 1040EZ. Hnrblock free tax form Reporting on Form 1040. Hnrblock free tax form   Report your net benefits (the amount in box 5 of your Form SSA-1099 or Form RRB-1099) on line 20a and the taxable part on line 20b. Hnrblock free tax form If you are married filing separately and you lived apart from your spouse for all of 2013, also enter “D” to the right of the word “benefits” on line 20a. Hnrblock free tax form Reporting on Form 1040A. Hnrblock free tax form   Report your net benefits (the amount in box 5 of your Form SSA-1099 or Form RRB-1099) on line 14a and the taxable part on line 14b. Hnrblock free tax form If you are married filing separately and you lived apart from your spouse for all of 2013, also enter “D” to the right of the word “benefits” on line 14a. Hnrblock free tax form Reporting on Form 1040NR. Hnrblock free tax form   Report 85% of the total amount of your benefits (box 5 of your Form SSA-1042S or Form RRB-1042S) in the appropriate column of Form 1040NR, Schedule NEC, line 8. Hnrblock free tax form Benefits not taxable. Hnrblock free tax form   If you are filing Form 1040EZ, do not report any benefits on your tax return. Hnrblock free tax form If you are filing Form 1040 or Form 1040A, report your net benefits (the amount in box 5 of your Form SSA-1099 or Form RRB-1099) on Form 1040, line 20a, or Form 1040A, line 14a. Hnrblock free tax form Enter -0- on Form 1040, line 20b, or Form 1040A, line 14b. Hnrblock free tax form If you are married filing separately and you lived apart from your spouse for all of 2013, also enter “D” to the right of the word “benefits” on Form 1040, line 20a, or Form 1040A, line 14a. Hnrblock free tax form Lump-Sum Election You must include the taxable part of a lump-sum (retroactive) payment of benefits received in 2013 in your 2013 income, even if the payment includes benefits for an earlier year. Hnrblock free tax form This type of lump-sum benefit payment should not be confused with the lump-sum death benefit that both the SSA and RRB pay to many of their beneficiaries. Hnrblock free tax form No part of the lump-sum death benefit is subject to tax. Hnrblock free tax form For more information about the lump-sum death benefit, visit the Social Security Administration website at www. Hnrblock free tax form SSA. Hnrblock free tax form gov, and use keyword: death benefit. Hnrblock free tax form Generally, you use your 2013 income to figure the taxable part of the total benefits received in 2013. Hnrblock free tax form However, you may be able to figure the taxable part of a lump-sum payment for an earlier year separately, using your income for the earlier year. Hnrblock free tax form You can elect this method if it lowers your taxable benefits. Hnrblock free tax form See Publication 915 for more information. Hnrblock free tax form Repayments More Than Gross Benefits In some situations, your Form SSA-1099 or Form RRB-1099 will show that the total benefits you repaid (box 4) are more than the gross benefits (box 3) you received. Hnrblock free tax form If this occurred, your net benefits in box 5 will be a negative figure (a figure in parentheses) and none of your benefits will be taxable. Hnrblock free tax form If you receive more than one form, a negative figure in box 5 of one form is used to offset a positive figure in box 5 of another form for that same year. Hnrblock free tax form If you have any questions about this negative figure, contact your local Social Security Administration office or your local U. Hnrblock free tax form S. Hnrblock free tax form Railroad Retirement Board field office. Hnrblock free tax form Joint return. Hnrblock free tax form   If you and your spouse file a joint return, and your Form SSA-1099 or RRB-1099 has a negative figure in box 5 but your spouse's does not, subtract the box 5 amount on your form from the box 5 amount on your spouse's form. Hnrblock free tax form You do this to get your net benefits when figuring if your combined benefits are taxable. Hnrblock free tax form Repayment of benefits received in an earlier year. Hnrblock free tax form   If the total amount shown in box 5 of all of your Forms SSA-1099 and RRB-1099 is a negative figure, you can take an itemized deduction for the part of this negative figure that represents benefits you included in gross income in an earlier year. Hnrblock free tax form   If this deduction is $3,000 or less, it is subject to the 2%-of-adjusted-gross-income limit that applies to certain miscellaneous itemized deductions. Hnrblock free tax form Claim it on Schedule A (Form 1040), line 23. Hnrblock free tax form   If this deduction is more than $3,000, you have to follow some special instructions. Hnrblock free tax form See Publication 915 for those instructions. Hnrblock free tax form Sickness and Injury Benefits Generally, you must report as income any amount you receive for personal injury or sickness through an accident or health plan that is paid for by your employer. Hnrblock free tax form If both you and your employer pay for the plan, only the amount you receive that is due to your employer's payments is reported as income. Hnrblock free tax form However, certain payments may not be taxable to you. Hnrblock free tax form Some of these payments are discussed later in this section. Hnrblock free tax form Also, see Military and Government Disability Pensions and Other Sickness and Injury Benefits in Publication 525. Hnrblock free tax form Cost paid by you. Hnrblock free tax form   If you pay the entire cost of an accident or health plan, do not include any amounts you receive from the plan for personal injury or sickness as income on your tax return. Hnrblock free tax form If your plan reimbursed you for medical expenses you deducted in an earlier year, you may have to include some, or all, of the reimbursement in your income. Hnrblock free tax form Disability Pensions If you retired on disability, you must include in income any disability pension you receive under a plan that is paid for by your employer. Hnrblock free tax form You must report your taxable disability payments as wages on line 7 of Form 1040 or Form 1040A or on line 8 of Form 1040NR until you reach minimum retirement age. Hnrblock free tax form Minimum retirement age generally is the age at which you can first receive a pension or annuity if you are not disabled. Hnrblock free tax form If you were 65 or older by the end of 2013 or you were retired on permanent and total disability and received taxable disability income, you may be able to claim the credit for the elderly or the disabled. Hnrblock free tax form See Credit for the Elderly or the Disabled, later. Hnrblock free tax form For more information on this credit, see Publication 524, Credit for the Elderly or the Disabled. Hnrblock free tax form Beginning on the day after you reach minimum retirement age, payments you receive are taxable as a pension or annuity. Hnrblock free tax form Report the payments on lines 16a and 16b of Form 1040, on lines 12a and 12b of Form 1040A, or on lines 17a and 17b of Form 1040NR. Hnrblock free tax form For more information on pensions and annuities, see Publication 575. Hnrblock free tax form Retirement and profit-sharing plans. Hnrblock free tax form   If you receive payments from a retirement or profit-sharing plan that does not provide for disability retirement, do not treat the payments as a disability pension. Hnrblock free tax form The payments must be reported as a pension or annuity. Hnrblock free tax form Accrued leave payment. Hnrblock free tax form   If you retire on disability, any lump-sum payment you receive for accrued annual leave is a salary payment. Hnrblock free tax form The payment is not a disability payment. Hnrblock free tax form Include it in your income in the tax year you receive it. Hnrblock free tax form Long-Term Care Insurance Contracts In most cases, long-term care insurance contracts generally are treated as accident and health insurance contracts. Hnrblock free tax form Amounts you receive from them (other than policyholder dividends or premium refunds) generally are excludable from income as amounts received for personal injury or sickness. Hnrblock free tax form However, the amount you can exclude may be limited. Hnrblock free tax form Long-term care insurance contracts are discussed in more detail in Publication 525. Hnrblock free tax form Workers' Compensation Amounts you receive as workers' compensation for an occupational sickness or injury are fully exempt from tax if they are paid under a workers' compensation act or a statute in the nature of a workers' compensation act. Hnrblock free tax form The exemption also applies to your survivors. Hnrblock free tax form The exemption, however, does not apply to retirement plan benefits you receive based on your age, length of service, or prior contributions to the plan, even if you retired because of an occupational sickness or injury. Hnrblock free tax form If part of your workers' compensation reduces your social security or equivalent railroad retirement benefits, that part is considered social security (or equivalent railroad retirement) benefits and may be taxable. Hnrblock free tax form For a discussion of the taxability of these benefits, see Social Security and Equivalent Railroad Retirement Benefits, earlier. Hnrblock free tax form Return to work. Hnrblock free tax form   If you return to work after qualifying for workers' compensation, salary payments you receive for performing light duties are taxable as wages. Hnrblock free tax form Other Sickness and Injury Benefits In addition to disability pensions and annuities, you may receive other payments for sickness or injury. Hnrblock free tax form Federal Employees' Compensation Act (FECA). Hnrblock free tax form   Payments received under this Act for personal injury or sickness, including payments to beneficiaries in case of death, are not taxable. Hnrblock free tax form However, you are taxed on amounts you receive under this Act as continuation of pay for up to 45 days while a claim is being decided. Hnrblock free tax form Report this income on Form 1040, line 7; Form 1040A, line 7; on Form 1040EZ, line 1; or Form 1040NR, line 8. Hnrblock free tax form Also, pay for sick leave while a claim is being processed is taxable and must be included in your income as wages. Hnrblock free tax form    If part of the payments you receive under FECA reduces your social security or equivalent railroad retirement benefits, that part is considered social security (or equivalent railroad retirement) benefits and may be taxable. Hnrblock free tax form For a discussion of the taxability of these benefits, see Social Security and Equivalent Railroad Retirement Benefits, earlier. Hnrblock free tax form Other compensation. Hnrblock free tax form   Many other amounts you receive as compensation for sickness or injury are not taxable. Hnrblock free tax form These include the following amounts. Hnrblock free tax form Benefits you receive under an accident or health insurance policy on which either you paid the premiums or your employer paid the premiums but you had to include them in your income. Hnrblock free tax form Disability benefits you receive for loss of income or earning capacity as a result of injuries under a no-fault car insurance policy. Hnrblock free tax form Compensation you receive for permanent loss or loss of use of a part or function of your body, for your permanent disfigurement, or for such loss or disfigurement suffered by your spouse or dependent(s). Hnrblock free tax form This compensation must be based only on the injury and not on the period of your absence from work. Hnrblock free tax form These benefits are not taxable even if your employer pays for the accident and health plan that provides these benefits. Hnrblock free tax form Life Insurance Proceeds Life insurance proceeds paid to you because of the death of the insured person are not taxable unless the policy was turned over to you for a price. Hnrblock free tax form This is true even if the proceeds were paid under an accident or health insurance policy or an endowment contract. Hnrblock free tax form Proceeds not received in installments. Hnrblock free tax form   If death benefits are paid to you in a lump sum or other than at regular intervals, include in your income only the benefits that are more than the amount payable to you at the time of the insured person's death. Hnrblock free tax form If the benefit payable at death is not specified, you include in your income the benefit payments that are more than the present value of the payments at the time of death. Hnrblock free tax form Proceeds received in installments. Hnrblock free tax form   If you receive life insurance proceeds in installments, you can exclude part of each installment from your income. Hnrblock free tax form   To determine the excluded part, divide the amount held by the insurance company (generally the total lump sum payable at the death of the insured person) by the number of installments to be paid. Hnrblock free tax form Include anything over this excluded part in your income as interest. Hnrblock free tax form Installments for life. Hnrblock free tax form   If, as the beneficiary under an insurance contract, you are entitled to receive the proceeds in installments for the rest of your life without a refund or period-certain guarantee, you figure the excluded part of each installment by dividing the amount held by the insurance company by your life expectancy. Hnrblock free tax form If there is a refund or period-certain guarantee, the amount held by the insurance company for this purpose is reduced by the actuarial value of the guarantee. Hnrblock free tax form Surviving spouse. Hnrblock free tax form   If your spouse died before October 23, 1986, and insurance proceeds paid to you because of the death of your spouse are received in installments, you can exclude, in any year, up to $1,000 of the interest included in the installments. Hnrblock free tax form If you remarry, you can continue to take the exclusion. Hnrblock free tax form Surrender of policy for cash. Hnrblock free tax form   If you surrender a life insurance policy for cash, you must include in income any proceeds that are more than the cost of the life insurance policy. Hnrblock free tax form In general, your cost (or investment in the contract) is the total of premiums that you paid for the life insurance policy, less any refunded premiums, rebates, dividends, or unrepaid loans that were not included in your income. Hnrblock free tax form You should receive a Form 1099-R showing the total proceeds and the taxable part. Hnrblock free tax form Report these amounts on Form 1040, lines 16a and 16b; Form 1040A, lines 12a and 12b; or Form 1040NR, lines 17a and 17b. Hnrblock free tax form Endowment Contract Proceeds An endowment contract is a policy that pays over to you a specified amount of money on a certain date unless you die before that date, in which case, the money is paid to your designated beneficiary. Hnrblock free tax form Endowment proceeds paid in a lump sum to you at maturity are taxable only if the proceeds are more than the cost of the policy. Hnrblock free tax form To determine your cost, subtract from the total premiums (or other consideration) paid for the contract any amount that you previously received under the contract and excluded from your income. Hnrblock free tax form Include in your income the part of the lump-sum payment that is more than your cost. Hnrblock free tax form Endowment proceeds that you choose to receive in installments instead of a lump-sum payment at the maturity of the policy are taxed as an annuity. Hnrblock free tax form The tax treatment of an annuity is explained in Publication 575. Hnrblock free tax form For this treatment to apply, you must choose to receive the proceeds in installments before receiving any part of the lump sum. Hnrblock free tax form This election must be made within 60 days after the lump-sum payment first becomes payable to you. Hnrblock free tax form Accelerated Death Benefits Certain amounts paid as accelerated death benefits under a life insurance contract or viatical settlement before the insured's death are generally excluded from income if the insured is terminally or chronically ill. Hnrblock free tax form However, see Exception , later. Hnrblock free tax form For a chronically ill individual, accelerated death benefits paid on the basis of costs incurred for qualified long-term care services are fully excludable. Hnrblock free tax form Accelerated death benefits paid on a per diem or other periodic basis without regard to the costs are excludable up to a limit. Hnrblock free tax form In addition, if any portion of a death benefit under a life insurance contract on the life of a terminally or chronically ill individual is sold or assigned to a viatical settlement provider, the amount received also is excluded from income. Hnrblock free tax form Generally, a viatical settlement provider is one who regularly engages in the business of buying or taking assignment of life insurance contracts on the lives of insured individuals who are terminally or chronically ill. Hnrblock free tax form To report taxable accelerated death benefits made on a per diem or other periodic basis, you must file Form 8853, Archer MSAs and Long-Term Care Insurance Contracts, with your return. Hnrblock free tax form Terminally or chronically ill defined. Hnrblock free tax form   A terminally ill person is one who has been certified by a physician as having an illness or physical condition that reasonably can be expected to result in death within 24 months from the date of the certification. Hnrblock free tax form A chronically ill person is one who is not terminally ill but has been certified (within the previous 12 months) by a licensed health care practitioner as meeting either of the following conditions. Hnrblock free tax form The person is unable to perform (without substantial help) at least two activities of daily living (eating, toileting, transferring, bathing, dressing, and continence) for a period of 90 days or more because of a loss of functional capacity. Hnrblock free tax form The person requires substantial supervision to protect himself or herself from threats to health and safety due to severe cognitive impairment. Hnrblock free tax form Exception. Hnrblock free tax form   The exclusion does not apply to any amount paid to a person other than the insured if that other person has an insurable interest in the life of the insured because the insured: Is a director, officer, or employee of the other person, or Has a financial interest in the business of the other person. Hnrblock free tax form Sale of Home You may be able to exclude from income any gain up to $250,000 ($500,000 on a joint return in most cases) on the sale of your main home. Hnrblock free tax form Generally, if you can exclude all of the gain, you do not need to report the sale on your tax return. Hnrblock free tax form You can choose not to take the exclusion by including the gain from the sale in your gross income on your tax return for the year of the sale. Hnrblock free tax form Main home. Hnrblock free tax form   Usually, your main home is the home you live in most of the time and can be a: House, Houseboat, Mobile home, Cooperative apartment, or Condominium. Hnrblock free tax form Repaying the first-time homebuyer credit because you sold your home. Hnrblock free tax form   If you claimed a first-time homebuyer credit for your main home and you sell it, you may have to repay the credit. Hnrblock free tax form For a home purchased in 2008 and used as your main home until sold in 2013, you must file Form 5405 and repay the balance of the unpaid credit on your 2013 tax return. Hnrblock free tax form   For a home purchased after 2008, you generally must repay the entire credit if the home was sold (or otherwise ceased to be your main home) within 36 months of the purchase date. Hnrblock free tax form If you purchased your home in 2009 and used it as your main home until sold in 2013, you do not have to repay the credit or file Form 5405. Hnrblock free tax form If you purchased your home in 2010 and used it as your main home until sold in 2013, you may have to file Form 5405 and repay the entire credit on your 2013 tax return. Hnrblock free tax form   See the Instructions for Form 5405 for more information about repaying the credit and exceptions to repayment that may apply to you. Hnrblock free tax form Maximum Amount of Exclusion You can generally exclude up to $250,000 of the gain (other than gain allocated to periods of nonqualified use) on the sale of your main home if all of the following are true. Hnrblock free tax form You meet the ownership test. Hnrblock free tax form You meet the use test. Hnrblock free tax form During the 2-year period ending on the date of the sale, you did not exclude gain from the sale of another home. Hnrblock free tax form You may be able to exclude up to $500,000 of the gain (other than gain allocated to periods of nonqualified use) on the sale of your main home if you are married and file a joint return and meet the requirements listed in the discussion of the special rules for joint returns, later, under Married Persons . Hnrblock free tax form Ownership and Use Tests To claim the exclusion, you must meet the ownership and use tests. Hnrblock free tax form This means that during the 5-year period ending on the date of the sale, you must have: Owned the home for at least 2 years (the ownership test), and Lived in the home as your main home for at least 2 years (the use test). Hnrblock free tax form Exception to ownership and use tests. Hnrblock free tax form   If you owned and lived in the property as your main home for less than 2 years, you still can claim an exclusion in some cases. Hnrblock free tax form Generally, you must have sold the home due to a change in place of employment, health, or unforeseen circumstances. Hnrblock free tax form The maximum amount you can exclude will be reduced. Hnrblock free tax form See Publication 523, Selling Your Home, for more information. Hnrblock free tax form Exception to use test for individuals with a disability. Hnrblock free tax form   There is an exception to the use test if, during the 5-year period before the sale of your home: You become physically or mentally unable to care for yourself, and You owned and lived in your home as your main home for a total of at least 1 year. Hnrblock free tax form Under this exception, you are considered to live in your home during any time that you own the home and live in a facility (including a nursing home) that is licensed by a state or political subdivision to care for persons in your condition. Hnrblock free tax form   If you meet this exception to the use test, you still have to meet the 2-out-of-5-year ownership test to claim the exclusion. Hnrblock free tax form Exception to ownership test for property acquired in a like-kind exchange. Hnrblock free tax form   You must have owned your main home for at least 5 years to qualify for the exclusion if you acquired your main home in a like-kind exchange. Hnrblock free tax form This special 5-year ownership rule continues to apply to a home you acquired in a like-kind exchange and gave to another person. Hnrblock free tax form A like-kind exchange is an exchange of property held for productive use in a trade or business or for investment. Hnrblock free tax form See Publication 523 for more information. Hnrblock free tax form Period of nonqualified use. Hnrblock free tax form   Generally, the gain from the sale or exchange of your main home will not qualify for the exclusion to the extent that the gain is allocated to periods of nonqualified use. Hnrblock free tax form Nonqualified use is any period after December 31, 2008, during which the property is not used as the main home. Hnrblock free tax form See Publication 523 for more information. Hnrblock free tax form Married Persons In the special situations discussed below, if you and your spouse file a joint return for the year of sale and one spouse meets the ownership and use test, you can exclude up to $250,000 of gain. Hnrblock free tax form However, see Special rules for joint returns , next. Hnrblock free tax form Special rules for joint returns. Hnrblock free tax form   You can exclude up to $500,000 of the gain on the sale of your main home if all of the following are true. Hnrblock free tax form You are married and file a joint return for the year. Hnrblock free tax form Either you or your spouse meets the ownership test. Hnrblock free tax form Both you and your spouse meet the use test. Hnrblock free tax form During the 2-year period ending on the date of the sale, neither you nor your spouse exclude gain from the sale of another home. Hnrblock free tax form Sale of home by surviving spouse. Hnrblock free tax form   If your spouse died and you did not remarry before the date of sale, you are considered to have owned and lived in the property as your main home during any period of time when your spouse owned and lived in it as a main home. Hnrblock free tax form   If you meet all of the following requirements, you may qualify to exclude up to $500,000 of any gain from the sale or exchange of your main home in 2013. Hnrblock free tax form The sale or exchange took place no more than 2 years after the date of death of your spouse. Hnrblock free tax form You have not remarried. Hnrblock free tax form You and your spouse met the use test at the time of your spouse's death. Hnrblock free tax form You or your spouse met the ownership test at the time of your spouse's death. Hnrblock free tax form Neither you nor your spouse excluded gain from the sale of another home during the last 2 years. Hnrblock free tax form Home transferred from spouse. Hnrblock free tax form   If your home was transferred to you by your spouse (or former spouse if the transfer was incident to divorce), you are considered to have owned it during any period of time when your spouse owned it. Hnrblock free tax form Use of home after divorce. Hnrblock free tax form   You are considered to have used property as your main home during any period when: You owned it, and Your spouse or former spouse is allowed to live in it under a divorce or separation instrument and uses it as his or her main home. Hnrblock free tax form Business Use or Rental of Home You may be able to exclude gain from the sale of a home that you have used for business or to produce rental income. Hnrblock free tax form However, you must meet the ownership and use tests. Hnrblock free tax form See Publication 523 for more information. Hnrblock free tax form Depreciation after May 6, 1997. Hnrblock free tax form   If you were entitled to take depreciation deductions because you used your home for business purposes or as rental property, you cannot exclude the part of your gain equal to any depreciation allowed or allowable as a deduction for periods after May 6, 1997. Hnrblock free tax form See Publication 523 for more information. Hnrblock free tax form Reporting the Sale Do not report the 2013 sale of your main home on your tax return unless: You have a gain and you do not qualify to exclude all of it, You have a gain and you choose not to exclude it, or You received Form 1099-S. Hnrblock free tax form If you have a gain that you cannot or choose not to exclude, if you received a Form 1099-S, or if you have a deductible loss, report the sale on your tax return. Hnrblock free tax form Report the sale on Part I or Part II of Form 8949 as a short-term or long-term transaction, depending on how long you owned the home. Hnrblock free tax form If you used your home for business or to produce rental income, you may have to use Form 4797, Sales of Business Property, to report the sale of the business or rental part. Hnrblock free tax form See Publication 523 for more information. Hnrblock free tax form Reverse Mortgages A revers
Print - Click this link to Print this page

Understanding your CP21C Notice

We made the change(s) you requested to your tax return for the tax year specified on the notice. You're not due a refund nor do you owe any additional amount. Your account balance for this tax form and tax year is zero.

Tax publications you may find useful

How to get help

Calling the toll free number listed on the top right corner of your notice is the fastest way to get your questions answered.

You can also authorize someone (such as an accountant) to contact the IRS on your behalf using this Power of Attorney and Declaration of Representative (Form 2848).

Or you may qualify for help from a Low Income Taxpayer Clinic.
 


What you need to do

  • Read your notice carefully ― it shows the area(s) of your tax return that changed, e.g., Schedule A.
  • If you agree with the notice, you don't need to do anything.
  • If you disagree with the notice, please contact us at the toll-free number listed on the top right corner of the notice.
  • Correct the copy of your tax return that you kept for your records.

Answers to Common Questions

The notice says "Based on the information you provided, we changed your 200X Form 1040 to correct your...". I don't remember sending any change to IRS. How can I find out what IRS received to initiate this change?
Please contact us at the number listed on your notice for specific information about your tax return.

What if I need to make another correction to my account?
You'll need to file Form 1040X, Amended U.S. Individual Income Tax Return.

What if I've tried to get answers and after contacting IRS several times have not been successful?
Call Taxpayer Advocate at 1-877-777-4778 or for TTY/TDD 1-800-829-4059.

What if I think I’m a victim of identity theft?
Please contact us at the number listed on the top right corner of your notice. Refer to the IRS Identity Theft resource page for more information.

Page Last Reviewed or Updated: 26-Feb-2014

The Hnrblock Free Tax Form

Hnrblock free tax form 5. Hnrblock free tax form   Manufacturers Taxes Table of Contents Importer. Hnrblock free tax form Use considered sale. Hnrblock free tax form Lease considered sale. Hnrblock free tax form Bonus goods. Hnrblock free tax form Taxable Event ExemptionsRequirements for Exempt Sales Credits or Refunds Sport Fishing EquipmentRelated person. Hnrblock free tax form Bows, Quivers, Broadheads, and Points Arrow ShaftsExemption for certain wooden arrows. Hnrblock free tax form CoalExported. Hnrblock free tax form Taxable TiresQualifying intercity or local bus. Hnrblock free tax form Qualifying school bus. Hnrblock free tax form Gas Guzzler TaxVehicles not subject to tax. Hnrblock free tax form Imported automobiles. Hnrblock free tax form VaccinesConditions to allowance. Hnrblock free tax form Taxable Medical Devices The following discussion of manufacturers taxes applies to the tax on: Sport fishing equipment; Fishing rods and fishing poles; Electric outboard motors; Fishing tackle boxes; Bows, quivers, broadheads, and points; Arrow shafts; Coal; Taxable tires; Gas guzzler automobiles; and Vaccines. Hnrblock free tax form Manufacturer. Hnrblock free tax form   The term “manufacturer” includes a producer or importer. Hnrblock free tax form A manufacturer is any person who produces a taxable article from new or raw material, or from scrap, salvage, or junk material, by processing or changing the form of an article or by combining or assembling two or more articles. Hnrblock free tax form If you furnish the materials and keep title to those materials and to the finished article, you are considered the manufacturer even though another person actually manufactures the taxable article. Hnrblock free tax form   A manufacturer who sells a taxable article in knockdown (unassembled) condition is liable for the tax. Hnrblock free tax form The person who buys these component parts and assembles a taxable article may also be liable for tax as a further manufacturer depending on the labor, material, and overhead required to assemble the completed article if the article is assembled for business use. Hnrblock free tax form Importer. Hnrblock free tax form   An importer is a person who brings a taxable article into the United States, or withdraws a taxable article from a customs bonded warehouse for sale or use in the United States. Hnrblock free tax form Sale. Hnrblock free tax form   A sale is the transfer of the title to, or the substantial incidents of ownership in, an article to a buyer for consideration that may consist of money, services, or other things. Hnrblock free tax form Use considered sale. Hnrblock free tax form   A manufacturer who uses a taxable article is liable for the tax in the same manner as if it were sold. Hnrblock free tax form Lease considered sale. Hnrblock free tax form   The lease of an article (including any renewal or extension of the lease) by the manufacturer is generally considered a taxable sale. Hnrblock free tax form However, for the gas guzzler tax, only the first lease (excluding any renewal or extension) of the automobile by the manufacturer is considered a sale. Hnrblock free tax form Manufacturers taxes based on sale price. Hnrblock free tax form   The manufacturers taxes imposed on the sale of sport fishing equipment, electric outboard motors, and bows are based on the sale price of the article. Hnrblock free tax form The taxes imposed on coal are based either on the sale price or the weight. Hnrblock free tax form   The price for which an article is sold includes the total consideration paid for the article, whether that consideration is in the form of money, services, or other things. Hnrblock free tax form However, you include certain charges made when a taxable article is sold and you exclude others. Hnrblock free tax form To figure the price on which you base the tax, use the following rules. Hnrblock free tax form Include both the following charges in the price. Hnrblock free tax form Any charge for coverings or containers (regardless of their nature). Hnrblock free tax form Any charge incident to placing the article in a condition packed ready for shipment. Hnrblock free tax form Exclude all the following amounts from the price. Hnrblock free tax form The manufacturers excise tax, whether or not it is stated as a separate charge. Hnrblock free tax form The transportation charges pursuant to the sale. Hnrblock free tax form The cost of transportation of goods to a warehouse before their bona fide sale is not excludable. Hnrblock free tax form Delivery, insurance, installation, retail dealer preparation charges, and other charges you incur in placing the article in the hands of the purchaser under a bona fide sale. Hnrblock free tax form Discounts, rebates, and similar allowances actually granted to the purchaser. Hnrblock free tax form Local advertising charges. Hnrblock free tax form A charge made separately when the article is sold and that qualifies as a charge for “local advertising” may, within certain limits, be excluded from the sale price. Hnrblock free tax form Charges for warranty paid at the purchaser's option. Hnrblock free tax form However, a charge for a warranty of an article that the manufacturer requires the purchaser to pay to obtain the article is included in the sale price on which the tax is figured. Hnrblock free tax form Bonus goods. Hnrblock free tax form   Allocate the sale price if you give free nontaxable goods with the purchase of taxable merchandise. Hnrblock free tax form Figure the tax only on the sale price attributable to the taxable articles. Hnrblock free tax form Example. Hnrblock free tax form A manufacturer sells a quantity of taxable articles and gives the purchaser certain nontaxable articles as a bonus. Hnrblock free tax form The sale price of the shipment is $1,500. Hnrblock free tax form The normal sale price is $2,000: $1,500 for the taxable articles and $500 for the nontaxable articles. Hnrblock free tax form Since the taxable items represent 75% of the normal sale price, the tax is based on 75% of the actual sale price, or $1,125 (75% of $1,500). Hnrblock free tax form The remaining $375 is allocated to the nontaxable articles. Hnrblock free tax form Taxable Event Tax attaches when the title to the article sold passes from the manufacturer to the buyer. Hnrblock free tax form When the title passes depends on the intention of the parties as gathered from the contract of sale. Hnrblock free tax form In the absence of expressed intention, the legal rules of presumption followed in the jurisdiction where the sale occurs determine when title passes. Hnrblock free tax form If the taxable article is used by the manufacturer, the tax attaches at the time use begins. Hnrblock free tax form The manufacturer is liable for the tax. Hnrblock free tax form Partial payments. Hnrblock free tax form   The tax applies to each partial payment received when taxable articles are: Leased, Sold conditionally, Sold on installment with chattel mortgage, or Sold on installment with title to pass in the future. Hnrblock free tax form To figure the tax, multiply the partial payment by the tax rate in effect at the time of the payment. Hnrblock free tax form Exemptions The following sales by the manufacturer are exempt from the manufacturers tax. Hnrblock free tax form Sale of an article to a state or local government for the exclusive use of the state or local government. Hnrblock free tax form This exemption does not apply to the taxes on coal, gas guzzlers, and vaccines. Hnrblock free tax form State is defined in Definitions in chapter 1. Hnrblock free tax form Sale of an article to a nonprofit educational organization for its exclusive use. Hnrblock free tax form This exemption does not apply to the taxes on coal, gas guzzlers, and vaccines. Hnrblock free tax form Nonprofit educational organization is defined under Communications Tax in chapter 4. Hnrblock free tax form Sale of an article to a qualified blood collector organization. Hnrblock free tax form This exemption does not apply to gas guzzlers, recreational equipment, and vaccines. Hnrblock free tax form Qualified blood collector organizations are defined under Communications Tax in chapter 4. Hnrblock free tax form Sale of an article for use by the purchaser as supplies for vessels. Hnrblock free tax form This exemption does not apply to the taxes on coal and vaccines. Hnrblock free tax form Supplies for vessels means ships' stores, sea stores, or legitimate equipment on vessels of war of the United States or any foreign nation, vessels employed in the fisheries or whaling business, or vessels actually engaged in foreign trade. Hnrblock free tax form Sale of an article for use by the purchaser for further manufacture, or for resale by the purchaser to a second purchaser for use by the second purchaser for further manufacture. Hnrblock free tax form This exemption does not apply to the tax on coal and tires. Hnrblock free tax form Use for further manufacture means use in the manufacture or production of an article subject to the manufacturers excise taxes. Hnrblock free tax form If you buy articles tax free and resell or use them other than in the manufacture of another article, you are liable for the tax on their resale or use just as if you had manufactured and sold them. Hnrblock free tax form Sale of an article for export or for resale by the purchaser to a second purchaser for export. Hnrblock free tax form The article may be exported to a foreign country or to a possession of the United States. Hnrblock free tax form A vaccine shipped to a possession of the United States is not considered to be exported. Hnrblock free tax form If an article is sold tax free for export and the manufacturer does not receive proof of export, described later, the manufacturer is liable for the tax. Hnrblock free tax form Sales of articles of native Indian handicraft, such as bows and arrow shafts, manufactured by Indians on reservations, in Indian schools, or under U. Hnrblock free tax form S. Hnrblock free tax form jurisdiction in Alaska. Hnrblock free tax form For tire exemptions, see section 4221(e)(2). Hnrblock free tax form Requirements for Exempt Sales The following requirements must be met for a sale to be exempt from the manufacturers tax. Hnrblock free tax form Registration requirements. Hnrblock free tax form   The manufacturer, first purchaser, and second purchaser in the case of resales must be registered. Hnrblock free tax form See the Form 637 instructions for more information. Hnrblock free tax form Exceptions to registration requirements. Hnrblock free tax form   Registration is not required for: State or local governments, Foreign purchasers of articles sold or resold for export, The United States, or Parties to a sale of supplies for vessels and aircraft. Hnrblock free tax form Certification requirement. Hnrblock free tax form   If the purchaser is required to be registered, the purchaser must give the manufacturer its registration number and certify the exempt purpose for which the article will be used. Hnrblock free tax form The information must be in writing and may be noted on the purchase order or other document furnished by the purchaser to the seller in connection with the sale. Hnrblock free tax form   For a sale to a state or local government, an exemption certificate must be signed by an officer or employee authorized by the state or local government. Hnrblock free tax form See Regulations section 48. Hnrblock free tax form 4221-5(c) for the certificate requirements. Hnrblock free tax form   For sales for use as supplies for vessels and aircraft, if the manufacturer and purchaser are not registered, the owner or agent of the vessel must provide an exemption certificate to the manufacturer before or at the time of sale. Hnrblock free tax form See Regulations section 48. Hnrblock free tax form 4221-4(d) for the certificate requirements. Hnrblock free tax form Proof of export requirement. Hnrblock free tax form   Within 6 months of the date of sale or shipment by the manufacturer, whichever is earlier, the manufacturer must receive proof of exportation. Hnrblock free tax form See Regulations section 48. Hnrblock free tax form 4221-3(d) for evidence that qualifies as proof of exportation. Hnrblock free tax form Proof of resale for further manufacture requirement. Hnrblock free tax form   Within 6 months of the date of sale or shipment by the manufacturer, whichever is earlier, the manufacturer must receive proof that the article has been resold for use in further manufacture. Hnrblock free tax form See Regulations section 48. Hnrblock free tax form 4221-2(c) for evidence that qualifies as proof of resale. Hnrblock free tax form Information to be furnished to purchaser. Hnrblock free tax form   The manufacturer must indicate to the purchaser that the articles normally would be subject to tax and are being sold tax free for an exempt purpose because the purchaser has provided the required certificate. Hnrblock free tax form Credits or Refunds The manufacturer may be eligible to obtain a credit or refund of the manufacturers tax for certain uses, sales, exports, and price readjustments. Hnrblock free tax form The claim must set forth in detail the facts upon which the claim is based. Hnrblock free tax form Uses, sales, and exports. Hnrblock free tax form   A credit or refund (without interest) of the manufacturers taxes may be allowable if a tax-paid article is, by any person: Exported, Used or sold for use as supplies for vessels (except for coal and vaccines), Sold to a state or local government for its exclusive use (except for coal, gas guzzlers, and vaccines), Sold to a nonprofit educational organization for its exclusive use (except for coal, gas guzzlers, and vaccines), Sold to a qualified blood collector organization for its exclusive use (except for gas guzzlers, recreational equipment, and vaccines), or Used for further manufacture of another article subject to the manufacturers taxes (except for coal). Hnrblock free tax form Export. Hnrblock free tax form   If a tax-paid article is exported, the exporter or shipper may claim a credit or refund if the manufacturer waives its right to claim the credit or refund. Hnrblock free tax form In the case of a tax-paid article used to make another taxable article, the subsequent manufacturer may claim the credit or refund. Hnrblock free tax form Price readjustments. Hnrblock free tax form   In addition, a credit or refund (without interest) may be allowable for a tax-paid article for which the price is readjusted by reason of return or repossession of the article or a bona fide discount, rebate, or allowance for taxes based on price. Hnrblock free tax form Conditions to allowance. Hnrblock free tax form   To claim a credit or refund in the case of export; supplies for vessels; or sales to a state or local government, nonprofit educational organization, or qualified blood collector organization; the person who paid the tax must certify on the claim that one of the following applies and that the claimant has the required supporting information. Hnrblock free tax form The claimant sold the article at a tax-excluded price. Hnrblock free tax form The person has repaid, or agreed to repay, the tax to the ultimate vendor of the article. Hnrblock free tax form The person has obtained the written consent of the ultimate vendor to make the claim. Hnrblock free tax form The ultimate vendor generally is the seller making the sale that gives rise to the overpayment of tax. Hnrblock free tax form Claim for further manufacture. Hnrblock free tax form   To claim a credit or refund for further manufacture, the claimant must include a statement that contains the following. Hnrblock free tax form The name and address of the manufacturer and the date of payment. Hnrblock free tax form An identification of the article for which the credit or refund is claimed. Hnrblock free tax form The amount of tax paid on the article and the date on which it was paid. Hnrblock free tax form Information indicating that the article was used as material in the manufacture or production of, or as a component part of, a second article manufactured or produced by the manufacturer, or was sold on or in connection with, or with the sale of a second article manufactured or produced by the manufacturer. Hnrblock free tax form An identification of the second article. Hnrblock free tax form   For claims by the exporter or shipper, the claim must contain the proof of export and a statement signed by the person that paid the tax waiving the right to claim a credit or refund. Hnrblock free tax form The statement must include the amount of tax paid, the date of payment, and the office to which it was paid. Hnrblock free tax form Claim for price readjustment. Hnrblock free tax form   To claim a credit or refund for a price readjustment, the person who paid the tax must include with the claim, a statement that contains the following. Hnrblock free tax form A description of the circumstances that gave rise to the price readjustment. Hnrblock free tax form An identification of the article whose price was readjusted. Hnrblock free tax form The price at which the article was sold. Hnrblock free tax form The amount of tax paid on the article and the date on which it was paid. Hnrblock free tax form The name and address of the purchaser. Hnrblock free tax form The amount repaid to the purchaser or credited to the purchaser's account. Hnrblock free tax form Sport Fishing Equipment A tax of 10% of the sale price is imposed on many articles of sport fishing equipment sold by the manufacturer. Hnrblock free tax form This includes any parts or accessories sold on or in connection with the sale of those articles. Hnrblock free tax form Pay this tax with Form 720. Hnrblock free tax form No tax deposits are required. Hnrblock free tax form Sport fishing equipment includes all the following items. Hnrblock free tax form Fishing rods and poles (and component parts), fishing reels, fly fishing lines, and other fishing lines not over 130 pounds test, fishing spears, spear guns, and spear tips. Hnrblock free tax form Items of terminal tackle, including leaders, artificial lures, artificial baits, artificial flies, fishing hooks, bobbers, sinkers, snaps, drayles, and swivels (but not including natural bait or any item of terminal tackle designed for use and ordinarily used on fishing lines not described in (1)). Hnrblock free tax form The following items of fishing supplies and accessories: fish stringers, creels, bags, baskets, and other containers designed to hold fish, portable bait containers, fishing vests, landing nets, gaff hooks, fishing hook disgorgers, and dressing for fishing lines and artificial flies. Hnrblock free tax form Fishing tip-ups and tilts. Hnrblock free tax form Fishing rod belts, fishing rodholders, fishing harnesses, fish fighting chairs, fishing outriggers, and fishing downriggers. Hnrblock free tax form See Revenue Ruling 88-52 in Cumulative Bulletin 1988-1 for a more complete description of the items of taxable equipment. Hnrblock free tax form Fishing rods and fishing poles. Hnrblock free tax form   The tax on fishing rods and fishing poles (and component parts) is 10% of the sales price not to exceed $10 per article. Hnrblock free tax form The tax is paid by the manufacturer, producer, or importer. Hnrblock free tax form Fishing tackle boxes. Hnrblock free tax form   The tax on fishing tackle boxes is 3% of the sales price. Hnrblock free tax form The tax is paid by the manufacturer, producer, or importer. Hnrblock free tax form Electric outboard boat motors. Hnrblock free tax form   A tax of 3% of the sale price is imposed on the sale by the manufacturer of electric outboard motors. Hnrblock free tax form This includes any parts or accessories sold on or in connection with the sale of those articles. Hnrblock free tax form Certain equipment resale. Hnrblock free tax form   The tax on the sale of sport fishing equipment is imposed a second time under the following circumstances. Hnrblock free tax form If the manufacturer sells a taxable article to any person, the manufacturer is liable for the tax. Hnrblock free tax form If the purchaser or any other person then sells it to a person who is related (discussed next) to the manufacturer, that related person is liable for a second tax on any subsequent sale of the article. Hnrblock free tax form The second tax, however, is not imposed if the constructive sale price rules under section 4216(b) apply to the sale by the manufacturer. Hnrblock free tax form   If the second tax is imposed, a credit for tax previously paid by the manufacturer is available provided the related person can document the tax paid. Hnrblock free tax form The documentation requirement is generally satisfied only through submission of copies of actual records of the person that previously paid the tax. Hnrblock free tax form Related person. Hnrblock free tax form   For the tax on sport fishing equipment, a person is a related person of the manufacturer if that person and the manufacturer have a relationship described in section 465(b)(3)(C). Hnrblock free tax form Bows, Quivers, Broadheads, and Points The tax on bows is 11% (. Hnrblock free tax form 11) of the sales price. Hnrblock free tax form The tax is paid by the manufacturer, producer, or importer. Hnrblock free tax form It applies to bows having a peak draw weight of 30 pounds or more. Hnrblock free tax form The tax is also imposed on the sale of any part or accessory suitable for inclusion in or attachment to a taxable bow and any quiver, broadhead, or point suitable for use with arrows described below. Hnrblock free tax form Pay this tax with Form 720. Hnrblock free tax form No tax deposits are required. Hnrblock free tax form Arrow Shafts The tax on arrow shafts is listed on Form 720. Hnrblock free tax form The tax is paid by the manufacturer, producer, or importer of any arrow shaft (whether sold separately or incorporated as part of a finished or unfinished product) of a type used in the manufacture of any arrow that after its assembly meets either of the following conditions. Hnrblock free tax form It measures 18 inches or more in overall length. Hnrblock free tax form It measures less than 18 inches in overall length but is suitable for use with a taxable bow, described earlier. Hnrblock free tax form Exemption for certain wooden arrows. Hnrblock free tax form   After October 3, 2008, the tax does not apply to any shaft made of all natural wood with no laminations or artificial means of enhancing the spine of such shaft (whether sold separately or incorporated as part of a finished or unfinished product) and used in the manufacture of any arrow that after its assembly meets both of the following conditions. Hnrblock free tax form It measures 5/16 of an inch or less in diameter. Hnrblock free tax form It is not suitable for use with a taxable bow, described earlier. Hnrblock free tax form Pay this tax with Form 720. Hnrblock free tax form No tax deposits are required. Hnrblock free tax form Coal A tax is imposed on the first sale of coal mined in the United States. Hnrblock free tax form The producer of the coal is liable for the tax. Hnrblock free tax form The producer is the person who has vested ownership of the coal under state law immediately after the coal is severed from the ground. Hnrblock free tax form Determine vested ownership without regard to any contractual arrangement for the sale or other disposition of the coal or the payment of any royalties between the producer and third parties. Hnrblock free tax form A producer includes any person who extracts coal from coal waste refuse piles (or from the silt waste product that results from the wet washing of coal). Hnrblock free tax form The tax is not imposed on coal extracted from a riverbed by dredging if it can be shown that the coal has been taxed previously. Hnrblock free tax form Tax rates. Hnrblock free tax form   The tax on underground-mined coal is the lower of: $1. Hnrblock free tax form 10 a ton, or 4. Hnrblock free tax form 4% of the sale price. Hnrblock free tax form   The tax on surface-mined coal is the lower of: 55 cents a ton, or 4. Hnrblock free tax form 4% of the sale price. Hnrblock free tax form   Coal will be taxed at the 4. Hnrblock free tax form 4% rate if the selling price is less than $25 a ton for underground-mined coal and less than $12. Hnrblock free tax form 50 a ton for surface-mined coal. Hnrblock free tax form Apply the tax proportionately if a sale or use includes a portion of a ton. Hnrblock free tax form Example. Hnrblock free tax form If you sell 21,000 pounds (10. Hnrblock free tax form 5 tons) of coal from an underground mine for $525, the price per ton is $50. Hnrblock free tax form The tax is $1. Hnrblock free tax form 10 × 10. Hnrblock free tax form 5 tons ($11. Hnrblock free tax form 55). Hnrblock free tax form Coal production. Hnrblock free tax form   Coal is produced from surface mines if all geological matter (trees, earth, rock) above the coal is removed before the coal is mined. Hnrblock free tax form Treat coal removed by auger and coal reclaimed from coal waste refuse piles as produced from a surface mine. Hnrblock free tax form   Treat coal as produced from an underground mine when the coal is not produced from a surface mine. Hnrblock free tax form In some cases, a single mine may yield coal from both surface mining and underground mining. Hnrblock free tax form Determine if the coal is from a surface mine or an underground mine for each ton of coal produced and not on a mine-by-mine basis. Hnrblock free tax form Determining tonnage or selling price. Hnrblock free tax form   The producer pays the tax on coal at the time of sale or use. Hnrblock free tax form In figuring the selling price for applying the tax, the point of sale is f. Hnrblock free tax form o. Hnrblock free tax form b. Hnrblock free tax form (free on board) mine or f. Hnrblock free tax form o. Hnrblock free tax form b. Hnrblock free tax form cleaning plant if you clean the coal before selling it. Hnrblock free tax form This applies even if you sell the coal for a delivered price. Hnrblock free tax form The f. Hnrblock free tax form o. Hnrblock free tax form b. Hnrblock free tax form mine or f. Hnrblock free tax form o. Hnrblock free tax form b. Hnrblock free tax form cleaning plant is the point at which you figure the number of tons sold for applying the applicable tonnage rate, and the point at which you figure the sale price for applying the 4. Hnrblock free tax form 4% rate. Hnrblock free tax form   The tax applies to the full amount of coal sold. Hnrblock free tax form However, the IRS allows a calculated reduction of the taxable weight of the coal for the weight of the moisture in excess of the coal's inherent moisture content. Hnrblock free tax form Include in the sale price any additional charge for a freeze-conditioning additive in figuring the tax. Hnrblock free tax form   Do not include in the sales price the excise tax imposed on coal. Hnrblock free tax form Coal used by the producer. Hnrblock free tax form   The tax on coal applies if the coal is used by the producer in other than a mining process. Hnrblock free tax form A mining process means the same for this purpose as for percentage depletion. Hnrblock free tax form For example, the tax does not apply if, before selling the coal, you break it, clean it, size it, or apply any other process considered mining under the rules for depletion. Hnrblock free tax form In this case, the tax applies only when you sell the coal. Hnrblock free tax form The tax does not apply to coal used as fuel in the coal drying process since it is considered to be used in a mining process. Hnrblock free tax form However, the tax does apply when you use the coal as fuel or as an ingredient in making coke since the coal is not used in a mining process. Hnrblock free tax form   You must use a constructive sale price to figure the tax under the 4. Hnrblock free tax form 4% rate if you use the coal in other than a mining process. Hnrblock free tax form Base your constructive sale price on sales of a like kind and grade of coal by you or other producers made f. Hnrblock free tax form o. Hnrblock free tax form b. Hnrblock free tax form mine or cleaning plant. Hnrblock free tax form Normally, you use the same constructive price used to figure your percentage depletion deduction. Hnrblock free tax form Blending. Hnrblock free tax form   If you blend surface-mined coal with underground-mined coal during the cleaning process, you must figure the excise tax on the sale of the blended, cleaned coal. Hnrblock free tax form Figure the tax separately for each type of coal in the blend. Hnrblock free tax form Base the tax on the amount of each type in the blend if you can determine the proportion of each type of coal contained in the final blend. Hnrblock free tax form Base the tax on the ratio of each type originally put into the cleaning process if you cannot determine the proportion of each type of coal in the blend. Hnrblock free tax form However, the tax is limited to 4. Hnrblock free tax form 4% of the sale price per ton of the blended coal. Hnrblock free tax form Exemption from tax. Hnrblock free tax form   The tax does not apply to sales of lignite and imported coal. Hnrblock free tax form The only other exemption from the tax on the sale of coal is for coal exported as discussed next. Hnrblock free tax form Exported. Hnrblock free tax form   The tax does not apply to the sale of coal if the coal is in the stream of export when sold by the producer and the coal is actually exported. Hnrblock free tax form   Coal is in the stream of export when sold by the producer if the sale is a step in the exportation of the coal to its ultimate destination in a foreign country. Hnrblock free tax form For example, coal is in the stream of export when: The coal is loaded on an export vessel and title is transferred from the producer to a foreign purchaser, or The producer sells the coal to an export broker in the United States under terms of a contract showing that the coal is to be shipped to a foreign country. Hnrblock free tax form   Proof of export includes any of the following items. Hnrblock free tax form A copy of the export bill of lading issued by the delivering carrier. Hnrblock free tax form A certificate signed by the export carrier's agent or representative showing actual exportation of the coal. Hnrblock free tax form A certificate of landing signed by a customs officer of the foreign country to which the coal is exported. Hnrblock free tax form If the foreign country does not have a customs administrator, a statement of the foreign consignee showing receipt of the coal. Hnrblock free tax form Taxable Tires Taxable tires are divided into three categories for reporting and figuring the tax as described below. Hnrblock free tax form A tax is imposed on taxable tires sold by the manufacturer, producer, or importer at the rate of $. Hnrblock free tax form 0945 ($. Hnrblock free tax form 04725 in the case of a biasply tire or super single tire) for each 10 pounds of the maximum rated load capacity over 3,500 pounds. Hnrblock free tax form The three categories for reporting the tax and the tax rate are listed below. Hnrblock free tax form Taxable tires other than biasply or super single tires at $. Hnrblock free tax form 0945. Hnrblock free tax form Taxable tires, biasply or super single tires (other than super single tires designed for steering) at $. Hnrblock free tax form 04725. Hnrblock free tax form Taxable tires, super single tires designed for steering at $. Hnrblock free tax form 0945. Hnrblock free tax form A taxable tire is any tire of the type used on highway vehicles if wholly or partially made of rubber and if marked according to federal regulations for highway use. Hnrblock free tax form A biasply tire is a pneumatic tire on which the ply cords that extend to the beads are laid at alternate angles substantially less than 90 degrees to the centerline of the tread. Hnrblock free tax form A super single tire is a tire greater than 13 inches in cross section width designed to replace 2 tires in a dual fitment. Hnrblock free tax form Special rule, manufacturer's retail stores. Hnrblock free tax form   The excise tax on taxable tires is imposed at the time the taxable tires are delivered to the manufacturer-owned retail stores, not at the time of sale. Hnrblock free tax form Tires on imported articles. Hnrblock free tax form   The importer of an article equipped with taxable tires is treated as the manufacturer of the tires and is liable for the taxable tire excise tax when the article is sold (except in the case of an automobile bus chassis or body with tires). Hnrblock free tax form Tires exempt from tax. Hnrblock free tax form   The tax on taxable tires does not apply to the following items. Hnrblock free tax form Domestically recapped or retreaded tires if the tires have been sold previously in the United States and were taxable tires at the time of sale. Hnrblock free tax form Tire carcasses not suitable for commercial use. Hnrblock free tax form Tires for use on qualifying intercity, local, and school buses. Hnrblock free tax form For tax-free treatment, the registration requirements discussed earlier under Requirements for Exempt Sales apply. Hnrblock free tax form Tires sold for the exclusive use of the Department of Defense or the Coast Guard. Hnrblock free tax form Tires of a type used exclusively on mobile machinery. Hnrblock free tax form A taxable tire used on mobile machinery is not exempt from tax. Hnrblock free tax form Qualifying intercity or local bus. Hnrblock free tax form   This is any bus used mainly (more than 50%) to transport the general public for a fee and that either operates on a schedule along regular routes or seats at least 20 adults (excluding the driver). Hnrblock free tax form Qualifying school bus. Hnrblock free tax form   This is any bus substantially all the use (85% or more) of which is to transport students and employees of schools. Hnrblock free tax form Credit or refund. Hnrblock free tax form   A credit or refund (without interest) is allowable on tax-paid tires if the tires have been: Exported; Sold to a state or local government for its exclusive use; Sold to a nonprofit educational organization for its exclusive use (as defined under Communications Tax in chapter 4); Sold to a qualified blood collector organization (as defined under Communications Tax in chapter 4) for its exclusive use in connection with a vehicle the organization certifies will be primarily used in the collection, storage, or transportation of blood; Used or sold for use as supplies for vessels; or Sold in connection with qualified intercity, local, or school buses. Hnrblock free tax form   Also, a credit or refund (without interest) is allowable on tax-paid tires sold by any person on, or in connection with, any other article that is sold or used in an activity listed above. Hnrblock free tax form   The person who paid the tax is eligible to make the claim. Hnrblock free tax form Gas Guzzler Tax Tax is imposed on the sale by the manufacturer of automobiles of a model type that has a fuel economy standard as measured by the Environmental Protection Agency (EPA) of less than 22. Hnrblock free tax form 5 miles per gallon. Hnrblock free tax form If you import an automobile for personal use, you may be liable for this tax. Hnrblock free tax form Figure the tax on Form 6197, as discussed later. Hnrblock free tax form The tax rate is based on fuel economy rating. Hnrblock free tax form The tax rates for the gas guzzler tax are shown on Form 6197. Hnrblock free tax form A person that lengthens an existing automobile is the manufacturer of an automobile. Hnrblock free tax form Automobiles. Hnrblock free tax form   An automobile (including limousines) means any four-wheeled vehicle that is: Rated at an unloaded gross vehicle weight of 6,000 pounds or less, Propelled by an engine powered by gasoline or diesel fuel, and Intended for use mainly on public streets, roads, and highways. Hnrblock free tax form Vehicles not subject to tax. Hnrblock free tax form   For the gas guzzler tax, the following vehicles are not considered automobiles. Hnrblock free tax form Limousines with a gross unloaded vehicle weight of more than 6,000 pounds. Hnrblock free tax form Vehicles operated exclusively on a rail or rails. Hnrblock free tax form Vehicles sold for use and used primarily: As ambulances or combination ambulance-hearses, For police or other law enforcement purposes by federal, state, or local governments, or For firefighting purposes. Hnrblock free tax form Vehicles treated under 49 U. Hnrblock free tax form S. Hnrblock free tax form C. Hnrblock free tax form 32901 (1978) as non-passenger automobiles. Hnrblock free tax form This includes limousines manufactured primarily to transport more than 10 persons. Hnrblock free tax form   The manufacturer can sell a vehicle described in item (3) tax free only when the sale is made directly to a purchaser for the described emergency use and the manufacturer and purchaser (other than a state or local government) are registered. Hnrblock free tax form   Treat an Indian tribal government as a state only if the police or other law enforcement purposes are an essential tribal government function. Hnrblock free tax form Model type. Hnrblock free tax form   Model type is a particular class of automobile as determined by EPA regulations. Hnrblock free tax form Fuel economy. Hnrblock free tax form   Fuel economy is the average number of miles an automobile travels on a gallon of gasoline (or diesel fuel) rounded to the nearest 0. Hnrblock free tax form 1 mile as figured by the EPA. Hnrblock free tax form Imported automobiles. Hnrblock free tax form   The tax also applies to automobiles that do not have a prototype-based fuel economy rating assigned by the EPA. Hnrblock free tax form An automobile imported into the United States without a certificate of conformity to United States emission standards and that has no assigned fuel economy rating must be either: Converted by installation of emission controls to conform in all material respects to an automobile already certified for sale in the United States, or Modified by installation of emission control components and individually tested to demonstrate emission compliance. Hnrblock free tax form   An imported automobile that has been converted to conform to an automobile already certified for sale in the United States may use the fuel economy rating assigned to that certified automobile. Hnrblock free tax form   A fuel economy rating is not generally available for modified imported automobiles because the EPA does not require a highway fuel economy test on them. Hnrblock free tax form A separate highway fuel economy test would be required to devise a fuel economy rating (otherwise the automobile is presumed to fall within the lowest fuel economy rating category). Hnrblock free tax form   For more information about fuel economy ratings for imported automobiles, see Revenue Ruling 86-20 and Revenue Procedure 86-9 in Cumulative Bulletin 1986-1, and Revenue Procedure 87-10 in Cumulative Bulletin 1987-1. Hnrblock free tax form Exemptions. Hnrblock free tax form   No one is exempt from the gas guzzler tax, including the federal government, state and local governments, qualified blood collector organizations, and nonprofit educational organizations. Hnrblock free tax form However, see Vehicles not subject to tax, earlier. Hnrblock free tax form Form 6197. Hnrblock free tax form   Use Form 6197 to figure your tax liability for each quarter. Hnrblock free tax form Attach Form 6197 to your Form 720 for the quarter. Hnrblock free tax form See the Form 6197 instructions for more information and the one-time filing rules. Hnrblock free tax form Credit or refund. Hnrblock free tax form   If the manufacturer paid the tax on a vehicle that is used or resold for an emergency use (see item (3) under Vehicles not subject to tax), the manufacturer can claim a credit or refund. Hnrblock free tax form For information about how to file for credits or refunds, see the Instructions for Form 720 or Form 8849. Hnrblock free tax form Vaccines Tax is imposed on certain vaccines sold by the manufacturer in the United States. Hnrblock free tax form A taxable vaccine means any of the following vaccines. Hnrblock free tax form Any vaccine containing diphtheria toxoid. Hnrblock free tax form Any vaccine containing tetanus toxoid. Hnrblock free tax form Any vaccine containing pertussis bacteria, extracted or partial cell bacteria, or specific pertussis antigens. Hnrblock free tax form Any vaccine containing polio virus. Hnrblock free tax form Any vaccine against measles. Hnrblock free tax form Any vaccine against mumps. Hnrblock free tax form Any vaccine against rubella. Hnrblock free tax form Any vaccine against hepatitis A. Hnrblock free tax form Any vaccine against hepatitis B. Hnrblock free tax form Any vaccine against chicken pox. Hnrblock free tax form Any vaccine against rotavirus gastroenteritis. Hnrblock free tax form Any HIB vaccine. Hnrblock free tax form Any conjugate vaccine against streptococcus pneumoniae. Hnrblock free tax form Any trivalent vaccine against influenza or any other vaccine against influenza. Hnrblock free tax form Any meningococcal vaccine. Hnrblock free tax form Any vaccine against the human papillomavirus. Hnrblock free tax form The effective date for the tax on any vaccine against influenza, other than trivalent influenza vaccines, is the later of August 1, 2013, or the date the Secretary of Health and Human Services lists a vaccine against seasonal influenza for purposes of compensation for any vaccine-related injury or death through the Vaccine Injury Compensation Trust Fund. Hnrblock free tax form The tax is $. Hnrblock free tax form 75 per dose of each taxable vaccine. Hnrblock free tax form The tax per dose on a vaccine that contains more than one taxable vaccine is $. Hnrblock free tax form 75 times the number of taxable vaccines. Hnrblock free tax form Taxable use. Hnrblock free tax form   Any manufacturer (including a governmental entity) that uses a taxable vaccine before it is sold will be liable for the tax in the same manner as if the vaccine was sold by the manufacturer. Hnrblock free tax form Credit or refund. Hnrblock free tax form   A credit or refund (without interest) is available if the vaccine is: Returned to the person who paid the tax (other than for resale), or Destroyed. Hnrblock free tax form The claim for a credit or refund must be filed within 6 months after the vaccine is returned or destroyed. Hnrblock free tax form Conditions to allowance. Hnrblock free tax form   To claim a credit or refund, the person who paid the tax must have repaid or agreed to repay the tax to the ultimate purchaser of the vaccine or obtained the written consent of such purchaser to allowance of the credit or refund. Hnrblock free tax form Taxable Medical Devices Taxable medical devices. Hnrblock free tax form   The tax on the sale of certain medical devices by the manufacturer, producer, or importer of the device is 2. Hnrblock free tax form 3% (. Hnrblock free tax form 023) of the sales price. Hnrblock free tax form A taxable medical device is a device that is listed as a device with the Food and Drug Administration (FDA) under section 510(j) of the Federal Food, Drug, and Cosmetic Act and 21 CFR part 807, pursuant to FDA requirements. Hnrblock free tax form There are specific exemptions for eyeglasses, contact lenses, and hearing aids. Hnrblock free tax form There is also an exemption for devices that are determined by the Secretary to be of a type that are generally purchased by the general public at retail for individual use (this exemption is known as the retail exemption). Hnrblock free tax form See T. Hnrblock free tax form D. Hnrblock free tax form 9604 for information on how to determine whether a device falls within the retail exemption, and examples of how a taxpayer might evaluate a given device. Hnrblock free tax form More information. Hnrblock free tax form   For more information on the medical device tax, see section 4191, T. Hnrblock free tax form D. Hnrblock free tax form 9604, and Notice 2012-77. Hnrblock free tax form You can find T. Hnrblock free tax form D. Hnrblock free tax form 9604 and Notice 2012-77 on pages 730 and 781, respectively, of I. Hnrblock free tax form R. Hnrblock free tax form B. Hnrblock free tax form 2012-52 at www. Hnrblock free tax form irs. Hnrblock free tax form gov/pub/irs-irbs/irb12-52. Hnrblock free tax form pdf. Hnrblock free tax form Prev  Up  Next   Home   More Online Publications