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How To File Taxes

How to file taxes Publication 179 - Additional Material Table of Contents 15. How to file taxes Reglas especiales para varias clases de servicios y de pagos Cómo obtener ayuda relacionada con las contribuciones 15. How to file taxes Reglas especiales para varias clases de servicios y de pagos Reglas especiales para varias clases de servicios y de pagos La tabla que aparece a continuación trata en forma resumida las clases especiales de trabajo y de pagos sujetos a la contribución. How to file taxes Si usted necesita información más detallada, visite la oficina del Servicio Federal de Rentas Internas en Guaynabo, vea los reglamentos relacionados con las contribuciones sobre la nómina o llame al 1-800-829-4933. How to file taxes Clases especiales de empleo y tipos  especiales de paga Contribuciones sobre la Nómina Para la contribución al Seguro Social y al seguro Medicare (incluyendo la Contribución Adicional al Medicare, cuando los salarios pagados exceden de $200,000), la paga es: Bajo la Ley Federal de Contribución para el Desempleo (FUTA), la paga es: Trabajo agrícola:     1. How to file taxes Servicios en fincas relacionados con el cultivo del suelo; cultivo o recolección de cualquier producto agrícola u hortícola; crianza, etc. How to file taxes , de ganado, aves, abejas, animales de piel o silvestres. How to file taxes Tributable, si responde al requisito de los $150 o $2,500 (vea el apartado 7). How to file taxes Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 2. How to file taxes Servicios prestados al dueño o explotador de una finca, si la mayor parte se prestan en la finca, para la administración, mantenimiento, etc. How to file taxes , de la finca, de los aperos o del equipo o en el salvamento de madera y limpieza de leña y demás escombros dejados por un huracán. How to file taxes Tributable, si responde al requisito de los $150 o $2,500 (vea el apartado 7). How to file taxes Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 3. How to file taxes Servicios relacionados con el cultivo y la recolección de determinados productos resinosos (aguarrás y demás productos oleorresinosos). How to file taxes Tributable, si responde al requisito de los $150 o $2,500 (vea el apartado 7). How to file taxes Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 4. How to file taxes Servicios relacionados con el desmote de algodón. How to file taxes Tributable, si responde al requisito de los $150 o $2,500 (vea el apartado 7). How to file taxes Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 5. How to file taxes Servicios prestados fuera de la finca relacionados con la incubación de aves de corral. How to file taxes Tributable (como labor no agrícola). How to file taxes * Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 6. How to file taxes Servicios relacionados con la operación o conservación de canales, embalses o vías fluviales y utilizados exclusivamente en la provisión o almacenaje de agua para fines agrícolas que no se mantienen ni se operan con fines de lucro. How to file taxes Tributable, si responde al requisito de los $150 o $2,500 (vea el apartado 7). How to file taxes Tributable, si responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes 7. How to file taxes Servicios en la elaboración, empaque, entrega, etc. How to file taxes , de cualquier producto agrícola u hortícola en su estado no manufacturado:     a. How to file taxes Empleado por el explotador de la finca. How to file taxes Si el explotador produjo más de la mitad del producto elaborado, será tributable si responde al requisito de los $150 o $2,500 (vea el apartado 7); de lo contrario, será tributable como labor no agrícola. How to file taxes * Tributable si el patrono produjo más de la mitad de los productos elaborados y, además, responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes De lo contrario, será tributable como labor no agrícola. How to file taxes b. How to file taxes Empleado por un grupo no incorporado  de explotadores de fincas (no más de 20). How to file taxes Si el grupo produjo todos los productos elaborados, será tributable si responde al requisito de los $150 o $2,500 (vea el apartado 7); de lo contrario, será tributable como labor no agrícola. How to file taxes * Tributable si el patrono produjo más de la mitad de los productos elaborados y, además, responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes De lo contrario, será tributable como labor no agrícola. How to file taxes c. How to file taxes Empleado por otro grupo de operadores  de una finca (incluyendo organizaciones  cooperativas y tratantes comerciales). How to file taxes Tributable (como labor no agrícola). How to file taxes * Tributable si el patrono produjo más de la mitad de los productos elaborados y, además, responde a cualesquiera de los dos requisitos del apartado 10. How to file taxes De lo contrario, será tributable como labor no agrícola. How to file taxes 8. How to file taxes Servicios en el manejo o la elaboración de artículos después de su entrega al mercado final o en el enlatado o congelación comercial. How to file taxes Tributable (como labor no agrícola). How to file taxes * Tributable (como labor no agrícola). How to file taxes *Los salarios recibidos por servicios que no se consideran trabajo agrícola se declaran en el Formulario 941-PR o Formulario 944(SP). How to file taxes Otras exenciones pueden corresponder. How to file taxes Vea los apartados 5 y 12 . How to file taxes Reglas especiales para varias clases de servicios y de pagos Clases especiales de empleo y tipos  especiales de paga Contribuciones sobre la Nómina Para la contribución al Seguro Social y al seguro Medicare (incluyendo la Contribución Adicional al Medicare, cuando los salarios pagados exceden de $200,000), la paga es: Bajo la Ley Federal de Contribución para el Desempleo (FUTA), la paga es: Extranjeros:     1. How to file taxes Residentes     a. How to file taxes Servicios prestados en los EE. How to file taxes UU. How to file taxes ** Lo mismo que un ciudadano de los EE. How to file taxes UU. How to file taxes ; exenta, si alguna porción de los servicios prestados como miembro de una tripulación de un avión o barco extranjero se presta fuera de los EE. How to file taxes UU. How to file taxes Lo mismo que un ciudadano de los EE. How to file taxes UU. How to file taxes b. How to file taxes Servicios prestados fuera de los EE. How to file taxes UU. How to file taxes ** Tributable, si (a) trabaja para un patrono estadounidense o (b) existe un acuerdo de un patrono estadounidense con el IRS que abarca tanto a los ciudadanos estadounidenses como a los extranjeros residentes que trabajan para sus empresas extranjeras afiliadas o subsidiarias de un patrono estadounidense. How to file taxes Exenta, a menos que los servicios se presten en un barco o avión estadounidense y de acuerdo con un contrato hecho en los EE. How to file taxes UU. How to file taxes o que el extranjero trabaje en tal barco o avión y el mismo toque en un puerto estadounidense. How to file taxes 2. How to file taxes No residentes Vea la Publicación 15-A, en inglés. How to file taxes Vea la Publicación 15-A, en inglés. How to file taxes a. How to file taxes Trabajadores que han sido admitidos legalmente al país de manera temporera conforme a la sección 101(a)(15)(H)(ii)(a) de la Ley de Inmigración y Nacionalidad para llevar a cabo trabajo agrícola (visa H-2A). How to file taxes Exenta. How to file taxes Exenta. How to file taxes   3. How to file taxes Extranjero no residente trabajando en barcos o aviones estadounidenses. How to file taxes Tributable si el contrato fue llevado a cabo en los Estados Unidos o el trabajador está empleado en el barco o avión cuando éste toca un puerto estadounidense. How to file taxes Salarios de un trabajador fallecido     1. How to file taxes Salarios de un trabajador fallecido pagados en el año natural de la muerte de éste a su beneficiario o caudal hereditario (relicto). How to file taxes Tributable. How to file taxes Tributable. How to file taxes 2. How to file taxes Salarios de un trabajador fallecido pagados después del final del año de la muerte de éste a su beneficiario o caudal hereditario (relicto). How to file taxes Exenta. How to file taxes Exenta. How to file taxes Compensación pagada a empleados por incapacidad:     Compensación pagada por incapacidad a un empleado en el año que sigue al año en que dicho empleado adquirió el derecho a beneficios por incapacidad bajo la Ley del Seguro Social. How to file taxes Exenta, si el empleado no prestó ningún servicio a su patrono durante el período cubierto por el pago. How to file taxes Tributable. How to file taxes Servicio doméstico en clubes universitarios, fraternidades y hermandades femeninas (sororities). How to file taxes Exenta, si la remuneración se le paga a un estudiante regular. How to file taxes Exenta también si el patrono está exento de la contribución federal sobre ingresos y la paga es menos de $100. How to file taxes Tributable, si el total de los salarios pagados a todos los empleados domésticos en efectivo ascienden a $1,000 o más en cualquier trimestre natural del año actual o anterior. How to file taxes Empleados emparentados:     1. How to file taxes Hijo empleado por un padre (o por una sociedad de la cual cada socio es padre del hijo). How to file taxes Exenta hasta los 18 años de edad. How to file taxes Exenta hasta los 21 años de edad. How to file taxes 2. How to file taxes Hijo empleado por un padre para hacer trabajo doméstico o trabajo que no tenga relación con su ocupación o negocio. How to file taxes Exenta hasta los 21 años de edad. How to file taxes Exenta hasta los 21 años de edad. How to file taxes 3. How to file taxes Padre que presta servicios para un hijo. How to file taxes Tributable, si presta servicios en la ocupación o negocio del hijo. How to file taxes Para empleo doméstico en la residencia particular de un hijo, vea la Publicación 926, en inglés. How to file taxes Exenta. How to file taxes 4. How to file taxes Cónyuge que presta servicios para el otro cónyuge. How to file taxes Tributable, si presta servicios en la ocupación o negocio del otro cónyuge. How to file taxes Exenta. How to file taxes Los empleados federales:     1. How to file taxes Miembros de las fuerzas armadas, voluntarios del Cuerpo de Paz, miembros de Jóvenes Adultos para la Conservación, miembros de los Cuerpos de Trabajo y miembros del Programa Nacional de Voluntarios Contra la Pobreza y líderes voluntarios. How to file taxes Tributable. How to file taxes Exenta. How to file taxes 2. How to file taxes Todos los demás. How to file taxes Tributable, si optó por FERS o si volvió a trabajar para el gobierno federal después de haber estado sin trabajar para éste durante más de un año (a no ser que la interrupción haya sido por servicio militar o de la reserva). How to file taxes Para otros empleados, por lo general, está sujeta a la contribución al Medicare. How to file taxes Exenta, a menos que el trabajador sea un marino mercante que presta servicios en, o relacionados con, un barco estadounidense que es propiedad de, o alquilado por, los Estados Unidos y operado por un agente general del Secretario de Comercio. How to file taxes **Los beneficios proporcionados de acuerdo con los planes llamados “planes cafetería” podrían reunir los requisitos para ser excluidos de los salarios para propósitos de la contribución al Seguro Social, al seguro Medicare y al fondo federal para el desempleo. How to file taxes Reglas especiales para varias clases de servicios y de pagos Clases especiales de empleo y tipos  especiales de paga Contribuciones sobre la Nómina Para la contribución al Seguro Social y al seguro Medicare (incluyendo la Contribución Adicional al Medicare, cuando los salarios pagados exceden de $200,000), la paga es: Bajo la Ley Federal de Contribución para el Desempleo (FUTA), la paga es: Empleo relacionado con la pesca de:     1. How to file taxes Salmón o mero. How to file taxes Tributable a menos que la (3) sea aplicable. How to file taxes Tributable a menos que la (3) sea aplicable. How to file taxes 2. How to file taxes Otra clase de pescado y otra clase de vida acuática animal o vegetal. How to file taxes Tributable a menos que la (3) sea aplicable. How to file taxes Exenta, a menos que sea una embarcación de más de diez toneladas y la (3) no se aplique. How to file taxes 3. How to file taxes Un acuerdo con el dueño u operador de la embarcación mediante el cual la persona recibe una porción de la pesca de la embarcación (o dinero en efectivo de la venta del pescado). How to file taxes Esta porción depende de la pesca de la embarcación. How to file taxes En tales casos la tripulación suele tener menos de 10 personas. How to file taxes Exenta, si cualquier remuneración en efectivo es:  (a) $100 o menos por viaje;  (b) Dependiente de la pesca mínima de la embarcación y  (c) Pagada únicamente por funciones adicionales (tales como maestro, ingeniero o cocinero por los cuales la remuneración suele ser pagada en efectivo). How to file taxes Exenta, si cualquier remuneración en efectivo es: (a) $100 o menos por viaje;  (b) Dependiente de la pesca mínima de la embarcación y  (c) Pagada únicamente por funciones adicionales (tales como maestro, ingeniero o cocinero por los cuales la remuneración suele ser pagada en efectivo). How to file taxes Beneficios marginales. How to file taxes Tributable por la cantidad de beneficio recibida por el empleado. How to file taxes Esta cantidad se obtiene restando del valor en el mercado del beneficio marginal la cantidad pagada por el empleado y toda cantidad exenta por ley. How to file taxes Sin embargo, en ciertos casos corresponden reglas especiales para valorar los beneficios marginales. How to file taxes *** Gobiernos extranjeros y organizaciones internacionales. How to file taxes Exenta. How to file taxes Exenta. How to file taxes Servicio en el extranjero por ciudadanos de los Estados Unidos:     Como empleado del Gobierno Federal de los EE. How to file taxes UU. How to file taxes Tal como los empleados federales que trabajan en los EE. How to file taxes UU. How to file taxes Exenta. How to file taxes (Vea, además, Los empleados federales, anteriormente). How to file taxes Por empresas extranjeras asociadas o subsidiarias con patronos de los EE. How to file taxes UU. How to file taxes y otros patronos privados. How to file taxes Exenta, a menos que (a) un patrono estadounidense, mediante acuerdo con el IRS, conceda la protección del Seguro Social a ciudadanos estadounidenses empleados por sus empresas extranjeras afiliadas o subsidiarias o (b) sea un ciudadano de los EE. How to file taxes UU. How to file taxes que trabaja para un patrono estadounidense. How to file taxes Exenta, a menos que (a) el servicio se preste en un barco o avión y el trabajo se haga de acuerdo a un contrato en los EE. How to file taxes UU. How to file taxes o lo preste un empleado que trabaja en un barco cuando éste toca en un puerto de los EE. How to file taxes UU. How to file taxes o (b) un ciudadano de los EE. How to file taxes UU. How to file taxes que trabaja para un patrono estadounidense (que no esté en un país contiguo con el cual los EE. How to file taxes UU. How to file taxes tiene un acuerdo sobre cómo se trata la compensación por desempleo) o para un patrono en las Islas Vírgenes. How to file taxes Empleados del gobierno (que no sea el gobierno federal). How to file taxes Consulte al Servicio Federal de Rentas Internas en Puerto Rico. How to file taxes Consulte al Servicio Federal de Rentas Internas en Puerto Rico. How to file taxes Trabajo industrial hecho en el hogar:     1. How to file taxes Por empleados bajo la ley común. How to file taxes Tributable. How to file taxes Tributable. How to file taxes 2. How to file taxes Por empleados sujetos a las disposiciones estatutarias (vea el apartado 2 ). How to file taxes Tributable, si se les pagan $100 o más en  efectivo en un año. How to file taxes Exenta. How to file taxes Médicos internos empleados en hospitales. How to file taxes Tributable. How to file taxes Exenta. How to file taxes Trabajadores domésticos:     Servicio doméstico en la residencia privada del patrono. How to file taxes Además, vea Servicio doméstico en clubes universitarios, fraternidades y hermandades femeninas (sororities), anteriormente. How to file taxes Tributable si se hacen los pagos en efectivo de $1,900 o más durante el año 2014. How to file taxes Es exenta si los servicios son prestados por un individuo menor de 18 años de edad durante cualquier porción del año natural y los servicios no son la ocupación principal del empleado. How to file taxes Tributable, si el total de los salarios pagados en efectivo ascienden a $1,000 o más (para todos sus empleados domésticos) en cualquier trimestre natural del año actual o anterior. How to file taxes Agentes de seguros o solicitadores:     1. How to file taxes Vendedores de seguros a tiempo completo. How to file taxes Tributable. How to file taxes Exenta, si no es un empleado de acuerdo a la ley común y si es remunerado únicamente por comisiones. How to file taxes 2. How to file taxes Otros vendedores de seguros de vida, accidente, etc. How to file taxes Tributable, solamente si es un empleado de acuerdo a la ley común. How to file taxes Exenta, si no es un empleado de acuerdo a la ley común y si es remunerado únicamente por comisiones. How to file taxes Interés no realizado sobre préstamos por debajo de la tasa correspondiente del mercado relacionados con la compensación y considerados descuento de emisión original. How to file taxes (Vea la sección 7872 del Código Federal de Rentas Internas y los reglamentos correspondientes para más detalles). How to file taxes Vea la Publicación 15-A, en inglés. How to file taxes Vea la Publicación 15-A, en inglés. How to file taxes ***Los beneficios proporcionados de acuerdo con los planes llamados “planes cafetería” podrían reunir los requisitos para ser excluidos de los salarios para propósitos de la contribución al Seguro Social, al seguro Medicare y al fondo federal para el desempleo. How to file taxes Reglas especiales para varias clases de servicios y de pagos Clases especiales de empleo y tipos  especiales de paga Contribuciones sobre la Nómina Para la contribución al Seguro Social y al seguro Medicare (incluyendo la Contribución Adicional al Medicare, cuando los salarios pagados exceden de $200,000), la paga es: Bajo la Ley Federal de Contribución para el Desempleo (FUTA), la paga es: Comidas y alojamiento, incluyendo los que se le proporcionan a los empleados a un precio reducido. How to file taxes (En el caso de empleados domésticos, agrícolas y servicios que no se prestan en el curso normal de un negocio o profesión, vea Pagos en especie, más adelante). How to file taxes 1. How to file taxes Comidas: Tributables, excepto si son proporcionadas por el patrono, para la conveniencia de éste, en el negocio del patrono. How to file taxes Para información acerca de la exclusión de beneficios marginales mínimos, vea la sección 132(e) del Código. How to file taxes  2. How to file taxes Alojamiento: Tributable, excepto si es proporcionado por el patrono, para la conveniencia de éste, en el negocio del patrono y como requisito para mantener el empleo. How to file taxes 1. How to file taxes Comidas: Tributables, excepto si son proporcionadas por el patrono, para la conveniencia de éste, en el negocio del patrono. How to file taxes Para información acerca de la exclusión de beneficios marginales mínimos, vea la sección 132(e) del Código. How to file taxes  2. How to file taxes Alojamiento: Tributable, excepto si es proporcionado por el patrono, para la conveniencia de éste, en el negocio del patrono y como requisito para mantener el empleo. How to file taxes Ministros de iglesias que ejercen como tal. How to file taxes Exenta. How to file taxes Exenta. How to file taxes Reembolsos de gastos de mudanza:     1. How to file taxes Gastos calificados. How to file taxes Exenta, a menos que usted tenga conocimiento de que el empleado dedujo los gastos en un año anterior. How to file taxes Exenta, a menos que usted tenga conocimiento de que el empleado dedujo los gastos en un año anterior. How to file taxes 2. How to file taxes Gastos no calificados. How to file taxes Tributable. How to file taxes Tributable. How to file taxes Pagos en especie:     a. How to file taxes A trabajadores domésticos o agrícolas y a trabajadores que presten servicios no relacionados con el oficio o negocio del patrono. How to file taxes Exenta. How to file taxes Exenta. How to file taxes b. How to file taxes A ciertos vendedores comisionistas al detal a los cuales se les paga únicamente en efectivo a base de comisión. How to file taxes Tributable. How to file taxes Tributable. How to file taxes Organizaciones sin fines de lucro:     1. How to file taxes Organizaciones religiosas, docentes, caritativas, etc. How to file taxes , del tipo descrito en la sec. How to file taxes 501(c)(3) y exentas de la contribución federal sobre ingresos bajo la sec. How to file taxes 501(a) del Código Federal de Rentas Internas. How to file taxes Tributable si la remuneración durante el año asciende a $100 o más. How to file taxes Las iglesias y ciertas organizaciones calificadas que están dirigidas por iglesias que por motivos religiosos se oponen al Seguro Social, pueden solicitar que se les exima del pago de la contribución patronal al Seguro Social y al Medicare. How to file taxes La solicitud deberá hacerla en el Formulario 8274, Certification by Churches and Qualified Church-Controlled Organizations Electing Exemption From Employer Social Security and Medicare Taxes, en inglés. How to file taxes Exenta. How to file taxes 2. How to file taxes Corporaciones establecidas por el Congreso de acuerdo con la Sec. How to file taxes 501(c) del Código Federal de Rentas Internas. How to file taxes Tributable si el empleado gana $100 o más en un año, a menos que sus servicios estén exentos de acuerdo con la sec. How to file taxes 3121(b)(5) ó (6) del Código Federal de Rentas Internas. How to file taxes Tributable si el empleado gana $50 o más en un año, a menos que sus servicios estén exentos de acuerdo con la sec. How to file taxes 3306(c)(6) del Código Federal de Rentas Internas. How to file taxes 3. How to file taxes Otras organizaciones exentas bajo la sec. How to file taxes 501(a) que no sean un plan de pensiones, de participación en los beneficios, o un plan de bonificación en acciones descrito en la sec. How to file taxes 401(a) o bajo la Sec. How to file taxes 521 del Código Federal de Rentas Internas. How to file taxes Tributable si el empleado gana $100 o más en un año. How to file taxes Tributable si el empleado gana $50 o más en un trimestre. How to file taxes Socios colectivos Exentos. How to file taxes Exentos. How to file taxes Pacientes empleados en hospitales. How to file taxes Tributable (exenta en el caso de los hospitales estatales o locales). How to file taxes Exenta. How to file taxes Órdenes religiosas: Miembros que, de acuerdo con las instrucciones que han recibido de la orden, prestan servicios:     1. How to file taxes En nombre de la orden, de la iglesia dirigente o de una institución asociada. How to file taxes Exenta, a menos que el miembro haya hecho un voto de pobreza y la orden religiosa, o una subdivisión independiente de ésta, opte irrevocablemente por la protección del seguro para todos su miembros activos. How to file taxes Exenta. How to file taxes 2. How to file taxes En nombre de cualquier organización que no sea una de las que se han mencionado en punto (1), anteriormente. How to file taxes Tributable. How to file taxes Tributable. How to file taxes Reglas especiales para varias clases de servicios y de pagos Clases especiales de empleo y tipos  especiales de paga Contribuciones sobre la Nómina Para la contribución al Seguro Social y al seguro Medicare (incluyendo la Contribución Adicional al Medicare, cuando los salarios pagados exceden de $200,000), la paga es: Bajo la Ley Federal de Contribución para el Desempleo (FUTA), la paga es: Planes de retiro y de pensión o anualidad:     1. How to file taxes Aportaciones efectuadas por el patrono a un plan calificado. How to file taxes Exenta. How to file taxes Exenta. How to file taxes 2. How to file taxes Aportaciones electivas del empleado y pagos diferidos a un plan que contiene un arreglo calificado de efectivo o remuneración diferida (por ejemplo, un plan 401(k)). How to file taxes Tributable. How to file taxes Tributable. How to file taxes 3. How to file taxes Aportaciones efectuadas por el empleado a ciertas cuentas de reducción en el salario (SIMPLE). How to file taxes Tributable. How to file taxes Tributable. How to file taxes 4. How to file taxes Aportaciones efectuadas por el patrono a ciertas cuentas personales de retiro de acuerdo a un plan simplificado de pensión del empleado (SEP). How to file taxes Exenta, excepto por cantidades aportadas mediante un acuerdo de reducción en el salario (SEP). How to file taxes Exenta, excepto por cantidades aportadas mediante un acuerdo de reducción en el salario (SEP). How to file taxes 5. How to file taxes Aportaciones efectuadas por el patrono a ciertos contratos de pagar anualidades descritos en la sección 403(b) del Código Federal de Rentas Internas. How to file taxes Tributable, si se paga mediante un acuerdo de reducción en el salario (por escrito o de otra manera). How to file taxes Tributable, si se paga mediante un acuerdo de reducción en el salario (por escrito o de otra manera). How to file taxes 6. How to file taxes Reparticiones de planes calificados de retiro y de pensión y de ciertas anualidades descritas en la sección 403(b) del Código Federal de Rentas Internas. How to file taxes Exenta. How to file taxes Exenta. How to file taxes       Vendedores: 1. How to file taxes Empleados conforme al derecho común. How to file taxes Tributable. How to file taxes Tributable. How to file taxes 2. How to file taxes Empleados estatutarios (referidos en el apartado 2 ). How to file taxes Tributable. How to file taxes Tributable excepto para los agentes de seguro que trabajan a tiempo completo. How to file taxes 3. How to file taxes Individuos a quien la ley no los clasifica como empleados (agentes de bienes raíces y vendedores directos). How to file taxes Exentos. How to file taxes Se tratan como trabajadores por cuenta propia, si todos los pagos están directamente relacionados con las ventas o la producción de otro tipo y servicios prestados como empleados independientes según acordado en el contrato escrito. How to file taxes Los vendedores directos tienen que estar en el negocio de venta de otros productos de consumo. How to file taxes El negocio de venta no puede estar localizado en un establecimiento permanente. How to file taxes Indemnización por separación del empleo. How to file taxes Tributable. How to file taxes Tributable. How to file taxes Pagos por concepto de enfermedad o lesiones:     1. How to file taxes Bajo la ley de compensación a trabajadores. How to file taxes Exenta. How to file taxes Exenta. How to file taxes 2. How to file taxes Bajo ciertos planes patronales. How to file taxes Exenta después que transcurran 6 meses naturales, contados éstos a partir del primer mes que sigue al último mes en que el empleado trabajó para el patrono. How to file taxes Exenta después que transcurran 6 meses naturales, contados éstos a partir del primer mes que sigue al último mes en que el empleado trabajó para el patrono. How to file taxes 3. How to file taxes Bajo planes que no son patronales. How to file taxes Exenta después que transcurran 6 meses naturales, contados éstos a partir del primer mes que sigue al último mes en que el empleado trabajó para el patrono. How to file taxes Exenta después que transcurran 6 meses naturales, contados éstos a partir del primer mes que sigue al último mes en que el empleado trabajó para el patrono. How to file taxes Estudiantes:     1. How to file taxes Estudiante matriculado y que asiste regularmente a clases (con dedicación parcial, o su equivalente, al menos, mientras se dedica a un plan de estudios) y que presta servicios para una:     a. How to file taxes Escuela privada, institución de enseñanza superior o universidad. How to file taxes Exenta. How to file taxes Exenta. How to file taxes b. How to file taxes Organización auxiliar sin fines de lucro operada y controlada por una escuela, institución de enseñanza superior o universidad. How to file taxes Exenta, a menos que los servicios estén amparados conforme a un acuerdo hecho bajo la sección 218 de la Ley del Seguro Social. How to file taxes Exenta. How to file taxes c. How to file taxes Escuela pública, institución de enseñanza superior o universidad. How to file taxes Exenta, a menos que los servicios estén amparados conforme a un acuerdo hecho bajo la sección 218 de la Ley del Seguro Social. How to file taxes Exenta. How to file taxes 2. How to file taxes Estudiante con dedicación completa que presta servicios a cambio de recibir crédito académico, así combinando su instrucción académica con su experiencia en el trabajo como parte esencial de su programa de estudios. How to file taxes Tributable. How to file taxes Exenta, a menos que se haya establecido el programa para, o en nombre de, un patrono o un grupo de patronos. How to file taxes 3. How to file taxes Estudiante para enfermero que presta servicios de tiempo parcial por una paga insignificante en un hospital sólo para cumplir con los requisitos de su adiestramiento. How to file taxes Exenta. How to file taxes Exenta. How to file taxes 4. How to file taxes Estudiante empleado por un campamento organizado. How to file taxes Tributable. How to file taxes Exenta. How to file taxes Beneficios suplementarios de la compensación por desempleo Exentos bajo ciertas condiciones, vea la Publicación 15-A, en inglés. How to file taxes Propinas:     1. How to file taxes Si ascienden a $20 o más en un mes. How to file taxes Tributable. How to file taxes Tributable por el total de propinas declaradas por escrito al patrono. How to file taxes 2. How to file taxes Si ascienden a menos de $20 en un mes. How to file taxes Exenta. How to file taxes Exenta. How to file taxes Compensación del seguro obrero. How to file taxes Exenta. How to file taxes Exenta. How to file taxes Repartidores de periódicos menores de 18 años de edad que efectúan entrega directamente al consumidor. How to file taxes Exenta. How to file taxes Exenta. How to file taxes   Cómo obtener ayuda relacionada con las contribuciones Ya sea si necesita ayuda con un asunto contributivo, o si necesita obtener gratuitamente un formulario o publicación, obtenga la ayuda que necesite de la manera que le sea conveniente a usted. How to file taxes Acceda a la Internet, utilice un teléfono inteligente (smartphone), llame o visite a una oficina del IRS cerca de usted. How to file taxes Ayuda relacionada con las contribuciones. How to file taxes   Si necesita información relacionada con las contribuciones sobre la nómina, puede llamar al 1-800-829-4933. How to file taxes Si es usuario de equipo TDD/TTY para personas que son sordas, tienen dificultades auditivas o tienen impedimentos del habla, puede llamar al 1-800-829-4059. How to file taxes Patronos en Puerto Rico. How to file taxes   Si es patrono en Puerto Rico, entonces utiliza el Formulario 499R-2/W-2PR para informarle a sus empleados sobre los ingresos devengados y las contribuciones estatales y federales retenidas. How to file taxes Puede obtener este formulario en el Departamento de Hacienda, llamando al (787) 722-0216. How to file taxes Si desea más información sobre este formulario, acceda al sitio web www. How to file taxes hacienda. How to file taxes gobierno. How to file taxes pr. How to file taxes Internet. How to file taxes    IRS. How to file taxes gov y IRS2Go están listos cuando usted lo está las 24 horas del día, los 7 días de la semana. How to file taxes Descargue la aplicación gratuita IRS2Go de la tienda de aplicaciones iTunes o Google Play. How to file taxes Utilice la aplicación para verificar el estado de su reembolso, pedir transcripciones de su declaración de contribución o su cuenta tributaria, ver el canal del IRS en YouTube, obtener noticias relacionadas con el IRS tan pronto se difundan al público, suscribirse a noticias actualizadas relacionadas con la temporada de radicación de declaraciones o consejos contributivos diarios y seguir las noticias que el IRS publica en Twitter, en @IRSnews, para obtener las noticias sobre las contribuciones federales más recientes, incluyendo información acerca de cambios en la ley tributaria y programas importantes del IRS. How to file taxes Utilice el Tax Trails (Caminos contributivos), disponible en inglés, que es uno de los temas contributivos que está disponible en IRS. How to file taxes gov, el cual contiene información tributaria para personas físicas y negocios. How to file taxes Además, también puede buscar el IRS Tax Map (Mapa contributivo del IRS), en inglés, el cual incluye un índice de temas contributivos para contribuyentes internacionales. How to file taxes Puede utilizar el Mapa contributivo del IRS para buscar en las publicaciones y las instrucciones por tema o palabra clave. How to file taxes El mapa contributivo del IRS une los formularios y publicaciones del IRS dentro de un recurso de búsqueda y provee un punto de acceso a información sobre la ley tributaria por tema. How to file taxes Si busca en el Mapa contributivo del IRS, encontrará enlaces al material relacionado en las publicaciones, formularios e instrucciones, preguntas y respuestas y Temas Contributivos del IRS. How to file taxes Lea temas contributivos que le proveerán información sobre las contribuciones patronales y otra información contributiva para los residentes de Puerto Rico. How to file taxes Si desea ver estos temas, acceda a IRS. How to file taxes gov/espanol y pulse sobre el enlace titulado “Temas Contributivos”. How to file taxes Luego, busque la serie de temas número “900”, los cuales proveen información para residentes de Puerto Rico. How to file taxes Visite la sección Understanding Your IRS Notice or Letter (Información sobre avisos del IRS) para recibir respuestas a preguntas sobre un aviso o carta que recibió del IRS. How to file taxes Efectúe un pago utilizando una de las opciones seguras y convenientes de pago electrónico que están disponibles en IRS. How to file taxes gov. How to file taxes Si desea más información, seleccione la pestaña titulada Payment (Pago), desde la página principal IRS. How to file taxes gov. How to file taxes La información está disponible en inglés. How to file taxes Solicite un PIN de Declaración Electrónica accediendo a IRS. How to file taxes gov/espanol e ingresando las palabras claves “PIN de declaración electrónica” en la casilla Search (Buscar). How to file taxes Descargue formularios, instrucciones y publicaciones, incluidas algunas versiones accesibles de los mismos para personas con discapacidades. How to file taxes Localice el Centro de Ayuda al Contribuyente del IRS. How to file taxes En la casilla Search (Buscar) escriba local offices, en inglés en IRS. How to file taxes gov. How to file taxes En IRS2Go, escoja la opción Contact Us (Comunicarse con nosotros) y luego local offices, en inglés. How to file taxes Un empleado de esa oficina le puede contestar preguntas sobre su cuenta tributaria o ayudarle a establecer un plan de pagos. How to file taxes Antes de visitar la oficina, verifique la herramienta local offices para la búsqueda de las oficinas locales en IRS. How to file taxes gov o la opción local offices que se encuentra bajo la opción Contact Us, en IRS2Go para que verifique la dirección, el número telefónico, las horas de operación y los servicios que dicha oficina provee. How to file taxes Si tiene una necesidad especial, tal como una discapacidad, puede solicitar una cita. How to file taxes Llame al número telefónico local para la oficina localizado en la herramienta para la búsqueda de las oficinas locales o busque en la guía telefónica, bajo United States Government, Internal Revenue Service (Gobierno de los Estados Unidos, Servicio de Rentas Internas). How to file taxes Solicite un número de identificación del patrono (EIN, por sus siglas en inglés). How to file taxes Acceda a IRS. How to file taxes gov y escriba las palabras “Apply for an EIN” (Solicitar un EIN), en inglés, en la casilla Search (Buscar). How to file taxes Lea el Código Federal de Rentas Internas, los reglamentos u otra información oficial. How to file taxes Lea los Internal Revenue Bulletins (Boletines del IRS). How to file taxes Suscríbase por medio del correo electrónico para recibir noticias locales y nacionales relacionadas con las contribuciones. How to file taxes Simplemente, pulse sobre el enlace titulado Subscriptions, que se encuentra sobre la casilla Search (Buscar) en IRS. How to file taxes gov y escoja entre una variedad de opciones. How to file taxes Teléfono. How to file taxes   Puede llamar al IRS o puede llevarlo en su bolsillo con la aplicación IRS2Go en su teléfono inteligente o tableta. How to file taxes Descargue la aplicación gratuita IRS2Go de la tienda de aplicaciones iTunes o Google Play. How to file taxes Llame al 1-800-829-3676 (1-800-TAXFORM) para pedir formularios, instrucciones y publicaciones del año actual y formularios e instrucciones de años anteriores (limitado a los últimos 5 años). How to file taxes Deberá recibir su pedido dentro de 10 días laborables. How to file taxes Llame para escuchar los temas TeleTax, al 1-800-829-4477, para escuchar mensajes grabados en español sobre varios temas generales relacionados con las contribuciones federales y negocios. How to file taxes Llame si utiliza equipo TTY/TDD al 1-800-829-4059, para realizar sus preguntas sobre impuestos o para pedir formularios y publicaciones. How to file taxes El número telefónico TTY/TDD es para las personas que son sordas, quienes tienen problemas auditivos o quienes tienen una incapacidad del habla. How to file taxes Estas personas pueden acceder al IRS a través de servicios de retransmisión, tal como el Servicio Federal de Retransmisión, en inglés. How to file taxes Visitas en persona. How to file taxes   Puede encontrar una variedad de formularios, publicaciones y servicios en persona. How to file taxes Antes de visitar, verifique los días, horas de operación, y los servicios prestados. How to file taxes Productos. How to file taxes Puede visitar diversas oficinas de correos, bibliotecas y oficinas del IRS para obtener formularios, instrucciones y publicaciones. How to file taxes Algunas oficinas del IRS, bibliotecas, oficinas de gobiernos de ciudades y condados tienen una colección de productos que se pueden fotocopiar del documento original impreso. How to file taxes Servicios. How to file taxes Usted puede visitar su Centro de Ayuda al Contribuyente (TAC, por sus siglas en inglés) en Puerto Rico en la mayoría de los días laborables para recibir ayuda en persona con respecto a todo problema relacionado con las contribuciones. How to file taxes Un empleado de esa oficina le puede contestar preguntas sobre su cuenta contributiva o le puede ayudar a establecer un plan de pagos. How to file taxes Antes de visitar la oficina, verifique en www. How to file taxes irs. How to file taxes gov/uac/Contact-My-Local-Office-in-Puerto-Rico en IRS. How to file taxes gov o la opción local offices, que se encuentra bajo la opción Contact Us, en IRS2Go para que verifique los días y las horas de operación y los servicios que dicha oficina provee. How to file taxes Correo. How to file taxes   Puede enviar su pedido para formularios, instrucciones y publicaciones a la dirección que aparece a continuación. How to file taxes Recibirá una contestación dentro de 10 días laborables después de que recibamos su solicitud. How to file taxes  Internal Revenue Service 1201 N. How to file taxes Mitsubishi Motorway Bloomington, IL 61705-6613 Servicio del Defensor del Contribuyente. How to file taxes   El Servicio del Defensor del Contribuyente está aquí para ayudarlo a usted. How to file taxes El Servicio del Defensor del Contribuyente ( TAS , por sus siglas en inglés) es su voz ante el IRS. How to file taxes Nuestro deber es asegurar que a cada contribuyente se le trate de forma justa, y que usted conozca y entienda sus derechos. How to file taxes   ¿Qué puede hacer TAS por usted? Le ofrecemos ayuda gratuita para ayudarle a resolver problemas con el IRS que no ha podido resolver usted mismo. How to file taxes Sabemos que este proceso puede ser confuso, pero, ¡lo peor que se puede hacer es no hacer nada! TAS le puede ayudar si usted no puede resolver su problema contributivo con el IRS y además: Su problema le causa dificultades financieras a usted, su familia o su negocio. How to file taxes Usted (o su negocio) está enfrentando la amenaza de una acción adversa inmediata. How to file taxes Usted ha intentado, vez tras vez, de comunicarse con el IRS, pero nadie le ha respondido, o si el IRS no le ha respondido para la fecha prometida. How to file taxes   Si usted reúne los requisitos para recibir nuestra ayuda, se le asignará un defensor, quien estará a su lado en cada paso del camino y quien hará lo posible para resolver su problema. How to file taxes Nosotros le podemos ayudar porque: TAS es una organización independiente dentro del IRS. How to file taxes Nuestros servicios son gratuitos y se modifican para satisfacer la necesidades de usted. How to file taxes Nuestros defensores saben cómo trabajar con el IRS. How to file taxes   Tenemos oficinas en cada estado, el Distrito de Columbia y Puerto Rico. How to file taxes que le ayudarán a entender sus derechos. How to file taxes ¿Cómo se puede comunicar con nosotros? Si usted cree que TAS posiblemente le puede ayudar, llame a su defensor local, cuyo número telefónico se halla en el directorio telefónico y también en la página del Servicio del Defensor del Contribuyente, disponible en inglés. How to file taxes O, nos puede llamar libre de cargos al 1-877-777-4778. How to file taxes   ¿Además de esto, de qué otra manera ayuda TAS a los contribuyentes? TAS se ocupa de resolver problemas de gran escala o problemas sistémicos que afectan a muchos contribuyentes. How to file taxes Si usted conoce alguno de estos asuntos, favor de informarnos a través del Sistema de Administración de la Defensa Sistémica, en inglés. How to file taxes Clínicas para Contribuyentes de Bajos Recursos. How to file taxes   El programa de Clínicas para Contribuyentes de Bajos Recursos (LITC, por sus siglas en inglés) sirve a las personas de escasos recursos con algún problema con el Servicio de Rentas Internas. How to file taxes La mayoría de los LITCs proporcionan representación ante el IRS en auditorias, disputas por cobros y otros asuntos en forma gratuita o por un costo nominal. How to file taxes Si el idioma materno de la persona no es inglés, algunas clínicas proporcionan información multilingüe respecto a los derechos y responsabilidades del contribuyente. How to file taxes Visite el sitio www. How to file taxes irs. How to file taxes gov/Spanish/¡Clínicas-para-Contribuyentes-de-Bajos-Recursos! o vea la Publicación 4134(SP) – Lista de Clínicas para Contribuyentes de Bajos Recursos, que proporciona información respecto a las clínicas en su área. How to file taxes Prev  Up  Next   Home   More Online Publications
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The How To File Taxes

How to file taxes Publication 541 - Main Content Table of Contents Forming a PartnershipOrganizations Classified as Partnerships Family Partnership Partnership Agreement Terminating a PartnershipIRS e-file (Electronic Filing) Exclusion From Partnership Rules Partnership Return (Form 1065) Partnership DistributionsSubstantially appreciated inventory items. How to file taxes Partner's Gain or Loss Partner's Basis for Distributed Property Transactions Between Partnership and PartnersGuaranteed Payments Sale or Exchange of Property Contribution of Property Contribution of Services Basis of Partner's InterestAdjusted Basis Effect of Partnership Liabilities Disposition of Partner's InterestSale, Exchange, or Other Transfer Payments for Unrealized Receivables and Inventory Items Liquidation at Partner's Retirement or Death Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA)Partnership Item. How to file taxes Small Partnerships and the Small Partnership Exception Small Partnership TEFRA Election Role of Tax Matters Partner (TMP) in TEFRA Proceedings Statute of Limitations and TEFRA Amended Returns and Administrative Adjustment Requests (AARs) How To Get Tax Help Forming a Partnership The following sections contain general information about partnerships. How to file taxes Organizations Classified as Partnerships An unincorporated organization with two or more members is generally classified as a partnership for federal tax purposes if its members carry on a trade, business, financial operation, or venture and divide its profits. How to file taxes However, a joint undertaking merely to share expenses is not a partnership. How to file taxes For example, co-ownership of property maintained and rented or leased is not a partnership unless the co-owners provide services to the tenants. How to file taxes The rules you must use to determine whether an organization is classified as a partnership changed for organizations formed after 1996. How to file taxes Organizations formed after 1996. How to file taxes   An organization formed after 1996 is classified as a partnership for federal tax purposes if it has two or more members and it is none of the following. How to file taxes An organization formed under a federal or state law that refers to it as incorporated or as a corporation, body corporate, or body politic. How to file taxes An organization formed under a state law that refers to it as a joint-stock company or joint-stock association. How to file taxes An insurance company. How to file taxes Certain banks. How to file taxes An organization wholly owned by a state, local, or foreign government. How to file taxes An organization specifically required to be taxed as a corporation by the Internal Revenue Code (for example, certain publicly traded partnerships). How to file taxes Certain foreign organizations identified in section 301. How to file taxes 7701-2(b)(8) of the regulations. How to file taxes A tax-exempt organization. How to file taxes A real estate investment trust. How to file taxes An organization classified as a trust under section 301. How to file taxes 7701-4 of the regulations or otherwise subject to special treatment under the Internal Revenue Code. How to file taxes Any other organization that elects to be classified as a corporation by filing Form 8832. How to file taxes For more information, see the instructions for Form 8832. How to file taxes Limited liability company. How to file taxes   A limited liability company (LLC) is an entity formed under state law by filing articles of organization as an LLC. How to file taxes Unlike a partnership, none of the members of an LLC are personally liable for its debts. How to file taxes An LLC may be classified for federal income tax purposes as either a partnership, a corporation, or an entity disregarded as an entity separate from its owner by applying the rules in Regulations section 301. How to file taxes 7701-3. How to file taxes See Form 8832 and section 301. How to file taxes 7701-3 of the regulations for more details. How to file taxes A domestic LLC with at least two members that does not file Form 8832 is classified as a partnership for federal income tax purposes. How to file taxes Organizations formed before 1997. How to file taxes   An organization formed before 1997 and classified as a partnership under the old rules will generally continue to be classified as a partnership as long as the organization has at least two members and does not elect to be classified as a corporation by filing Form 8832. How to file taxes Community property. How to file taxes    Spouses who own a qualified entity (defined later) can choose to classify the entity as a partnership for federal tax purposes by filing the appropriate partnership tax returns. How to file taxes They can choose to classify the entity as a sole proprietorship by filing a Schedule C (Form 1040) listing one spouse as the sole proprietor. How to file taxes A change in reporting position will be treated for federal tax purposes as a conversion of the entity. How to file taxes   A qualified entity is a business entity that meets all the following requirements. How to file taxes The business entity is wholly owned by spouses as community property under the laws of a state, a foreign country, or a possession of the United States. How to file taxes No person other than one or both spouses would be considered an owner for federal tax purposes. How to file taxes The business entity is not treated as a corporation. How to file taxes   For more information about community property, see Publication 555, Community Property. How to file taxes Publication 555 discusses the community property laws of Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. How to file taxes Family Partnership Members of a family can be partners. How to file taxes However, family members (or any other person) will be recognized as partners only if one of the following requirements is met. How to file taxes If capital is a material income-producing factor, they acquired their capital interest in a bona fide transaction (even if by gift or purchase from another family member), actually own the partnership interest, and actually control the interest. How to file taxes If capital is not a material income-producing factor, they joined together in good faith to conduct a business. How to file taxes They agreed that contributions of each entitle them to a share in the profits, and some capital or service has been (or is) provided by each partner. How to file taxes Capital is material. How to file taxes   Capital is a material income-producing factor if a substantial part of the gross income of the business comes from the use of capital. How to file taxes Capital is ordinarily an income-producing factor if the operation of the business requires substantial inventories or investments in plants, machinery, or equipment. How to file taxes Capital is not material. How to file taxes   In general, capital is not a material income-producing factor if the income of the business consists principally of fees, commissions, or other compensation for personal services performed by members or employees of the partnership. How to file taxes Capital interest. How to file taxes   A capital interest in a partnership is an interest in its assets that is distributable to the owner of the interest in either of the following situations. How to file taxes The owner withdraws from the partnership. How to file taxes The partnership liquidates. How to file taxes   The mere right to share in earnings and profits is not a capital interest in the partnership. How to file taxes Gift of capital interest. How to file taxes   If a family member (or any other person) receives a gift of a capital interest in a partnership in which capital is a material income-producing factor, the donee's distributive share of partnership income is subject to both of the following restrictions. How to file taxes It must be figured by reducing the partnership income by reasonable compensation for services the donor renders to the partnership. How to file taxes The donee's distributive share of partnership income attributable to donated capital must not be proportionately greater than the donor's distributive share attributable to the donor's capital. How to file taxes Purchase. How to file taxes   For purposes of determining a partner's distributive share, an interest purchased by one family member from another family member is considered a gift from the seller. How to file taxes The fair market value of the purchased interest is considered donated capital. How to file taxes For this purpose, members of a family include only spouses, ancestors, and lineal descendants (or a trust for the primary benefit of those persons). How to file taxes Example. How to file taxes A father sold 50% of his business to his son. How to file taxes The resulting partnership had a profit of $60,000. How to file taxes Capital is a material income-producing factor. How to file taxes The father performed services worth $24,000, which is reasonable compensation, and the son performed no services. How to file taxes The $24,000 must be allocated to the father as compensation. How to file taxes Of the remaining $36,000 of profit due to capital, at least 50%, or $18,000, must be allocated to the father since he owns a 50% capital interest. How to file taxes The son's share of partnership profit cannot be more than $18,000. How to file taxes Business owned and operated by spouses. How to file taxes   If spouses carry on a business together and share in the profits and losses, they may be partners whether or not they have a formal partnership agreement. How to file taxes If so, they should report income or loss from the business on Form 1065. How to file taxes They should not report the income on a Schedule C (Form 1040) in the name of one spouse as a sole proprietor. How to file taxes However, the spouses can elect not to treat the joint venture as a partnership by making a Qualified Joint Venture Election. How to file taxes Qualified Joint Venture Election. How to file taxes   A "qualified joint venture," whose only members are spouses filing a joint return, can elect not to be treated as a partnership for federal tax purposes. How to file taxes A qualified joint venture conducts a trade or business where: the only members of the joint venture are spouses filing jointly; both spouses elect not to be treated as a partnership; both spouses materially participate in the trade or business (see Passive Activity Limitations in the Instructions for Form 1065 for a definition of material participation); and the business is co-owned by both spouses and is not held in the name of a state law entity such as a partnership or LLC. How to file taxes   Under this election, a qualified joint venture conducted by spouses who file a joint return is not treated as a partnership for federal tax purposes and therefore does not have a Form 1065 filing requirement. How to file taxes All items of income, gain, deduction, loss, and credit are divided between the spouses based on their respective interests in the venture. How to file taxes Each spouse takes into account his or her respective share of these items as a sole proprietor. How to file taxes Each spouse would account for his or her respective share on the appropriate form, such as Schedule C (Form 1040). How to file taxes For purposes of determining net earnings from self-employment, each spouse's share of income or loss from a qualified joint venture is taken into account just as it is for federal income tax purposes (i. How to file taxes e. How to file taxes , based on their respective interests in the venture). How to file taxes   If the spouses do not make the election to treat their respective interests in the joint venture as sole proprietorships, each spouse should carry his or her share of the partnership income or loss from Schedule K-1 (Form 1065) to their joint or separate Form(s) 1040. How to file taxes Each spouse should include his or her respective share of self-employment income on a separate Schedule SE (Form 1040), Self-Employment Tax. How to file taxes   This generally does not increase the total tax on the return, but it does give each spouse credit for social security earnings on which retirement benefits are based. How to file taxes However, this may not be true if either spouse exceeds the social security tax limitation. How to file taxes   For more information on qualified joint ventures, go to IRS. How to file taxes gov, enter “Election for Qualified Joint Ventures” in the search box and select the link reading “Election for Husband and Wife Unincorporated Businesses. How to file taxes ” Partnership Agreement The partnership agreement includes the original agreement and any modifications. How to file taxes The modifications must be agreed to by all partners or adopted in any other manner provided by the partnership agreement. How to file taxes The agreement or modifications can be oral or written. How to file taxes Partners can modify the partnership agreement for a particular tax year after the close of the year but not later than the date for filing the partnership return for that year. How to file taxes This filing date does not include any extension of time. How to file taxes If the partnership agreement or any modification is silent on any matter, the provisions of local law are treated as part of the agreement. How to file taxes Terminating a Partnership A partnership terminates when one of the following events takes place. How to file taxes All its operations are discontinued and no part of any business, financial operation, or venture is continued by any of its partners in a partnership. How to file taxes At least 50% of the total interest in partnership capital and profits is sold or exchanged within a 12-month period, including a sale or exchange to another partner. How to file taxes Unlike other partnerships, an electing large partnership does not terminate on the sale or exchange of 50% or more of the partnership interests within a 12-month period. How to file taxes See section 1. How to file taxes 708-1(b) of the regulations for more information on the termination of a partnership. How to file taxes For special rules that apply to a merger, consolidation, or division of a partnership, see sections 1. How to file taxes 708-1(c) and 1. How to file taxes 708-1(d) of the regulations. How to file taxes Date of termination. How to file taxes   The partnership's tax year ends on the date of termination. How to file taxes For the event described in (1), above, the date of termination is the date the partnership completes the winding up of its affairs. How to file taxes For the event described in (2), above, the date of termination is the date of the sale or exchange of a partnership interest that, by itself or together with other sales or exchanges in the preceding 12 months, transfers an interest of 50% or more in both capital and profits. How to file taxes Short period return. How to file taxes   If a partnership is terminated before the end of what would otherwise be its tax year, Form 1065 must be filed for the short period, which is the period from the beginning of the tax year through the date of termination. How to file taxes The return is due the 15th day of the fourth month following the date of termination. How to file taxes See Partnership Return (Form 1065), later, for information about filing Form 1065. How to file taxes Conversion of partnership into limited liability company (LLC). How to file taxes   The conversion of a partnership into an LLC classified as a partnership for federal tax purposes does not terminate the partnership. How to file taxes The conversion is not a sale, exchange, or liquidation of any partnership interest; the partnership's tax year does not close; and the LLC can continue to use the partnership's taxpayer identification number. How to file taxes   However, the conversion may change some of the partners' bases in their partnership interests if the partnership has recourse liabilities that become nonrecourse liabilities. How to file taxes Because the partners share recourse and nonrecourse liabilities differently, their bases must be adjusted to reflect the new sharing ratios. How to file taxes If a decrease in a partner's share of liabilities exceeds the partner's basis, he or she must recognize gain on the excess. How to file taxes For more information, see Effect of Partnership Liabilities under Basis of Partner's Interest, later. How to file taxes   The same rules apply if an LLC classified as a partnership is converted into a partnership. How to file taxes IRS e-file (Electronic Filing) Please click here for the text description of the image. How to file taxes e-file Certain partnerships with more than 100 partners are required to file Form 1065, Schedules K-1, and related forms and schedules electronically (e-file). How to file taxes Other partnerships generally have the option to file electronically. How to file taxes For details about IRS e-file, see the Form 1065 instructions. How to file taxes Exclusion From Partnership Rules Certain partnerships that do not actively conduct a business can choose to be completely or partially excluded from being treated as partnerships for federal income tax purposes. How to file taxes All the partners must agree to make the choice, and the partners must be able to compute their own taxable income without computing the partnership's income. How to file taxes However, the partners are not exempt from the rule that limits a partner's distributive share of partnership loss to the adjusted basis of the partner's partnership interest. How to file taxes Nor are they exempt from the requirement of a business purpose for adopting a tax year for the partnership that differs from its required tax year. How to file taxes Investing partnership. How to file taxes   An investing partnership can be excluded if the participants in the joint purchase, retention, sale, or exchange of investment property meet all the following requirements. How to file taxes They own the property as co-owners. How to file taxes They reserve the right separately to take or dispose of their shares of any property acquired or retained. How to file taxes They do not actively conduct business or irrevocably authorize some person acting in a representative capacity to purchase, sell, or exchange the investment property. How to file taxes Each separate participant can delegate authority to purchase, sell, or exchange his or her share of the investment property for the time being for his or her account, but not for a period of more than a year. How to file taxes Operating agreement partnership. How to file taxes   An operating agreement partnership group can be excluded if the participants in the joint production, extraction, or use of property meet all the following requirements. How to file taxes They own the property as co-owners, either in fee or under lease or other form of contract granting exclusive operating rights. How to file taxes They reserve the right separately to take in kind or dispose of their shares of any property produced, extracted, or used. How to file taxes They do not jointly sell services or the property produced or extracted. How to file taxes Each separate participant can delegate authority to sell his or her share of the property produced or extracted for the time being for his or her account, but not for a period of time in excess of the minimum needs of the industry, and in no event for more than one year. How to file taxes However, this exclusion does not apply to an unincorporated organization one of whose principal purposes is cycling, manufacturing, or processing for persons who are not members of the organization. How to file taxes Electing the exclusion. How to file taxes   An eligible organization that wishes to be excluded from the partnership rules must make the election not later than the time for filing the partnership return for the first tax year for which exclusion is desired. How to file taxes This filing date includes any extension of time. How to file taxes See Regulations section 1. How to file taxes 761-2(b) for the procedures to follow. How to file taxes Partnership Return (Form 1065) Every partnership that engages in a trade or business or has gross income must file an information return on Form 1065 showing its income, deductions, and other required information. How to file taxes The partnership return must show the names and addresses of each partner and each partner's distributive share of taxable income. How to file taxes The return must be signed by a general partner. How to file taxes If a limited liability company is treated as a partnership, it must file Form 1065 and one of its members must sign the return. How to file taxes A partnership is not considered to engage in a trade or business, and is not required to file a Form 1065, for any tax year in which it neither receives income nor pays or incurs any expenses treated as deductions or credits for federal income tax purposes. How to file taxes See the Instructions for Form 1065 for more information about who must file Form 1065. How to file taxes Partnership Distributions Partnership distributions include the following. How to file taxes A withdrawal by a partner in anticipation of the current year's earnings. How to file taxes A distribution of the current year's or prior years' earnings not needed for working capital. How to file taxes A complete or partial liquidation of a partner's interest. How to file taxes A distribution to all partners in a complete liquidation of the partnership. How to file taxes A partnership distribution is not taken into account in determining the partner's distributive share of partnership income or loss. How to file taxes If any gain or loss from the distribution is recognized by the partner, it must be reported on his or her return for the tax year in which the distribution is received. How to file taxes Money or property withdrawn by a partner in anticipation of the current year's earnings is treated as a distribution received on the last day of the partnership's tax year. How to file taxes Effect on partner's basis. How to file taxes   A partner's adjusted basis in his or her partnership interest is decreased (but not below zero) by the money and adjusted basis of property distributed to the partner. How to file taxes See Adjusted Basis under Basis of Partner's Interest, later. How to file taxes Effect on partnership. How to file taxes   A partnership generally does not recognize any gain or loss because of distributions it makes to partners. How to file taxes The partnership may be able to elect to adjust the basis of its undistributed property. How to file taxes Certain distributions treated as a sale or exchange. How to file taxes   When a partnership distributes the following items, the distribution may be treated as a sale or exchange of property rather than a distribution. How to file taxes Unrealized receivables or substantially appreciated inventory items distributed in exchange for any part of the partner's interest in other partnership property, including money. How to file taxes Other property (including money) distributed in exchange for any part of a partner's interest in unrealized receivables or substantially appreciated inventory items. How to file taxes   See Payments for Unrealized Receivables and Inventory Items under Disposition of Partner's Interest, later. How to file taxes   This treatment does not apply to the following distributions. How to file taxes A distribution of property to the partner who contributed the property to the partnership. How to file taxes Payments made to a retiring partner or successor in interest of a deceased partner that are the partner's distributive share of partnership income or guaranteed payments. How to file taxes Substantially appreciated inventory items. How to file taxes   Inventory items of the partnership are considered to have appreciated substantially in value if, at the time of the distribution, their total fair market value is more than 120% of the partnership's adjusted basis for the property. How to file taxes However, if a principal purpose for acquiring inventory property is to avoid ordinary income treatment by reducing the appreciation to less than 120%, that property is excluded. How to file taxes Partner's Gain or Loss A partner generally recognizes gain on a partnership distribution only to the extent any money (and marketable securities treated as money) included in the distribution exceeds the adjusted basis of the partner's interest in the partnership. How to file taxes Any gain recognized is generally treated as capital gain from the sale of the partnership interest on the date of the distribution. How to file taxes If partnership property (other than marketable securities treated as money) is distributed to a partner, he or she generally does not recognize any gain until the sale or other disposition of the property. How to file taxes For exceptions to these rules, see Distribution of partner's debt and Net precontribution gain, later. How to file taxes Also, see Payments for Unrealized Receivables and Inventory Items under Disposition of Partner's Interest, later. How to file taxes Example. How to file taxes The adjusted basis of Jo's partnership interest is $14,000. How to file taxes She receives a distribution of $8,000 cash and land that has an adjusted basis of $2,000 and a fair market value of $3,000. How to file taxes Because the cash received does not exceed the basis of her partnership interest, Jo does not recognize any gain on the distribution. How to file taxes Any gain on the land will be recognized when she sells or otherwise disposes of it. How to file taxes The distribution decreases the adjusted basis of Jo's partnership interest to $4,000 [$14,000 − ($8,000 + $2,000)]. How to file taxes Marketable securities treated as money. How to file taxes   Generally, a marketable security distributed to a partner is treated as money in determining whether gain is recognized on the distribution. How to file taxes This treatment, however, does not generally apply if that partner contributed the security to the partnership or an investment partnership made the distribution to an eligible partner. How to file taxes   The amount treated as money is the security's fair market value when distributed, reduced (but not below zero) by the excess (if any) of: The partner's distributive share of the gain that would be recognized had the partnership sold all its marketable securities at their fair market value immediately before the transaction resulting in the distribution, over The partner's distributive share of the gain that would be recognized had the partnership sold all such securities it still held after the distribution at the fair market value in (1). How to file taxes   For more information, including the definition of marketable securities, see section 731(c) of the Internal Revenue Code. How to file taxes Loss on distribution. How to file taxes   A partner does not recognize loss on a partnership distribution unless all the following requirements are met. How to file taxes The adjusted basis of the partner's interest in the partnership exceeds the distribution. How to file taxes The partner's entire interest in the partnership is liquidated. How to file taxes The distribution is in money, unrealized receivables, or inventory items. How to file taxes   There are exceptions to these general rules. How to file taxes See the following discussions. How to file taxes Also, see Liquidation at Partner's Retirement or Death under Disposition of Partner's Interest, later. How to file taxes Distribution of partner's debt. How to file taxes   If a partnership acquires a partner's debt and extinguishes the debt by distributing it to the partner, the partner will recognize capital gain or loss to the extent the fair market value of the debt differs from the basis of the debt (determined under the rules discussed in Partner's Basis for Distributed Property, later). How to file taxes   The partner is treated as having satisfied the debt for its fair market value. How to file taxes If the issue price (adjusted for any premium or discount) of the debt exceeds its fair market value when distributed, the partner may have to include the excess amount in income as canceled debt. How to file taxes   Similarly, a deduction may be available to a corporate partner if the fair market value of the debt at the time of distribution exceeds its adjusted issue price. How to file taxes Net precontribution gain. How to file taxes   A partner generally must recognize gain on the distribution of property (other than money) if the partner contributed appreciated property to the partnership during the 7-year period before the distribution. How to file taxes   The gain recognized is the lesser of the following amounts. How to file taxes The excess of: The fair market value of the property received in the distribution, over The adjusted basis of the partner's interest in the partnership immediately before the distribution, reduced (but not below zero) by any money received in the distribution. How to file taxes The “net precontribution gain” of the partner. How to file taxes This is the net gain the partner would recognize if all the property contributed by the partner within 7 years of the distribution, and held by the partnership immediately before the distribution, were distributed to another partner, other than a partner who owns more than 50% of the partnership. How to file taxes For information about the distribution of contributed property to another partner, see Contribution of Property , under Transactions Between Partnership and Partners, later. How to file taxes   The character of the gain is determined by reference to the character of the net precontribution gain. How to file taxes This gain is in addition to any gain the partner must recognize if the money distributed is more than his or her basis in the partnership. How to file taxes For these rules, the term “money” includes marketable securities treated as money, as discussed earlier. How to file taxes Effect on basis. How to file taxes   The adjusted basis of the partner's interest in the partnership is increased by any net precontribution gain recognized by the partner. How to file taxes Other than for purposes of determining the gain, the increase is treated as occurring immediately before the distribution. How to file taxes See Basis of Partner's Interest , later. How to file taxes   The partnership must adjust its basis in any property the partner contributed within 7 years of the distribution to reflect any gain that partner recognizes under this rule. How to file taxes Exceptions. How to file taxes   Any part of a distribution that is property the partner previously contributed to the partnership is not taken into account in determining the amount of the excess distribution or the partner's net precontribution gain. How to file taxes For this purpose, the partner's previously contributed property does not include a contributed interest in an entity to the extent its value is due to property contributed to the entity after the interest was contributed to the partnership. How to file taxes   Recognition of gain under this rule also does not apply to a distribution of unrealized receivables or substantially appreciated inventory items if the distribution is treated as a sale or exchange, as discussed earlier. How to file taxes Partner's Basis for Distributed Property Unless there is a complete liquidation of a partner's interest, the basis of property (other than money) distributed to the partner by a partnership is its adjusted basis to the partnership immediately before the distribution. How to file taxes However, the basis of the property to the partner cannot be more than the adjusted basis of his or her interest in the partnership reduced by any money received in the same transaction. How to file taxes Example 1. How to file taxes The adjusted basis of Emily's partnership interest is $30,000. How to file taxes She receives a distribution of property that has an adjusted basis of $20,000 to the partnership and $4,000 in cash. How to file taxes Her basis for the property is $20,000. How to file taxes Example 2. How to file taxes The adjusted basis of Steve's partnership interest is $10,000. How to file taxes He receives a distribution of $4,000 cash and property that has an adjusted basis to the partnership of $8,000. How to file taxes His basis for the distributed property is limited to $6,000 ($10,000 − $4,000, the cash he receives). How to file taxes Complete liquidation of partner's interest. How to file taxes   The basis of property received in complete liquidation of a partner's interest is the adjusted basis of the partner's interest in the partnership reduced by any money distributed to the partner in the same transaction. How to file taxes Partner's holding period. How to file taxes   A partner's holding period for property distributed to the partner includes the period the property was held by the partnership. How to file taxes If the property was contributed to the partnership by a partner, then the period it was held by that partner is also included. How to file taxes Basis divided among properties. How to file taxes   If the basis of property received is the adjusted basis of the partner's interest in the partnership (reduced by money received in the same transaction), it must be divided among the properties distributed to the partner. How to file taxes For property distributed after August 5, 1997, allocate the basis using the following rules. How to file taxes Allocate the basis first to unrealized receivables and inventory items included in the distribution by assigning a basis to each item equal to the partnership's adjusted basis in the item immediately before the distribution. How to file taxes If the total of these assigned bases exceeds the allocable basis, decrease the assigned bases by the amount of the excess. How to file taxes Allocate any remaining basis to properties other than unrealized receivables and inventory items by assigning a basis to each property equal to the partnership's adjusted basis in the property immediately before the distribution. How to file taxes If the allocable basis exceeds the total of these assigned bases, increase the assigned bases by the amount of the excess. How to file taxes If the total of these assigned bases exceeds the allocable basis, decrease the assigned bases by the amount of the excess. How to file taxes Allocating a basis increase. How to file taxes   Allocate any basis increase required in rule (2), above, first to properties with unrealized appreciation to the extent of the unrealized appreciation. How to file taxes If the basis increase is less than the total unrealized appreciation, allocate it among those properties in proportion to their respective amounts of unrealized appreciation. How to file taxes Allocate any remaining basis increase among all the properties in proportion to their respective fair market values. How to file taxes Example. How to file taxes Eun's basis in her partnership interest is $55,000. How to file taxes In a distribution in liquidation of her entire interest, she receives properties A and B, neither of which is inventory or unrealized receivables. How to file taxes Property A has an adjusted basis to the partnership of $5,000 and a fair market value of $40,000. How to file taxes Property B has an adjusted basis to the partnership of $10,000 and a fair market value of $10,000. How to file taxes To figure her basis in each property, Eun first assigns bases of $5,000 to property A and $10,000 to property B (their adjusted bases to the partnership). How to file taxes This leaves a $40,000 basis increase (the $55,000 allocable basis minus the $15,000 total of the assigned bases). How to file taxes She first allocates $35,000 to property A (its unrealized appreciation). How to file taxes The remaining $5,000 is allocated between the properties based on their fair market values. How to file taxes $4,000 ($40,000/$50,000) is allocated to property A and $1,000 ($10,000/$50,000) is allocated to property B. How to file taxes Eun's basis in property A is $44,000 ($5,000 + $35,000 + $4,000) and her basis in property B is $11,000 ($10,000 + $1,000). How to file taxes Allocating a basis decrease. How to file taxes   Use the following rules to allocate any basis decrease required in rule (1) or rule (2), earlier. How to file taxes Allocate the basis decrease first to items with unrealized depreciation to the extent of the unrealized depreciation. How to file taxes If the basis decrease is less than the total unrealized depreciation, allocate it among those items in proportion to their respective amounts of unrealized depreciation. How to file taxes Allocate any remaining basis decrease among all the items in proportion to their respective assigned basis amounts (as decreased in (1)). How to file taxes Example. How to file taxes Armando's basis in his partnership interest is $20,000. How to file taxes In a distribution in liquidation of his entire interest, he receives properties C and D, neither of which is inventory or unrealized receivables. How to file taxes Property C has an adjusted basis to the partnership of $15,000 and a fair market value of $15,000. How to file taxes Property D has an adjusted basis to the partnership of $15,000 and a fair market value of $5,000. How to file taxes To figure his basis in each property, Armando first assigns bases of $15,000 to property C and $15,000 to property D (their adjusted bases to the partnership). How to file taxes This leaves a $10,000 basis decrease (the $30,000 total of the assigned bases minus the $20,000 allocable basis). How to file taxes He allocates the entire $10,000 to property D (its unrealized depreciation). How to file taxes Armando's basis in property C is $15,000 and his basis in property D is $5,000 ($15,000 − $10,000). How to file taxes Distributions before August 6, 1997. How to file taxes   For property distributed before August 6, 1997, allocate the basis using the following rules. How to file taxes Allocate the basis first to unrealized receivables and inventory items included in the distribution to the extent of the partnership's adjusted basis in those items. How to file taxes If the partnership's adjusted basis in those items exceeded the allocable basis, allocate the basis among the items in proportion to their adjusted bases to the partnership. How to file taxes Allocate any remaining basis to other distributed properties in proportion to their adjusted bases to the partnership. How to file taxes Partner's interest more than partnership basis. How to file taxes   If the basis of a partner's interest to be divided in a complete liquidation of the partner's interest is more than the partnership's adjusted basis for the unrealized receivables and inventory items distributed, and if no other property is distributed to which the partner can apply the remaining basis, the partner has a capital loss to the extent of the remaining basis of the partnership interest. How to file taxes Special adjustment to basis. How to file taxes   A partner who acquired any part of his or her partnership interest in a sale or exchange or upon the death of another partner may be able to choose a special basis adjustment for property distributed by the partnership. How to file taxes To choose the special adjustment, the partner must have received the distribution within 2 years after acquiring the partnership interest. How to file taxes Also, the partnership must not have chosen the optional adjustment to basis when the partner acquired the partnership interest. How to file taxes   If a partner chooses this special basis adjustment, the partner's basis for the property distributed is the same as it would have been if the partnership had chosen the optional adjustment to basis. How to file taxes However, this assigned basis is not reduced by any depletion or depreciation that would have been allowed or allowable if the partnership had previously chosen the optional adjustment. How to file taxes   The choice must be made with the partner's tax return for the year of the distribution if the distribution includes any property subject to depreciation, depletion, or amortization. How to file taxes If the choice does not have to be made for the distribution year, it must be made with the return for the first year in which the basis of the distributed property is pertinent in determining the partner's income tax. How to file taxes   A partner choosing this special basis adjustment must attach a statement to his or her tax return that the partner chooses under section 732(d) of the Internal Revenue Code to adjust the basis of property received in a distribution. How to file taxes The statement must show the computation of the special basis adjustment for the property distributed and list the properties to which the adjustment has been allocated. How to file taxes Example. How to file taxes Chin Ho purchased a 25% interest in X partnership for $17,000 cash. How to file taxes At the time of the purchase, the partnership owned inventory having a basis to the partnership of $14,000 and a fair market value of $16,000. How to file taxes Thus, $4,000 of the $17,000 he paid was attributable to his share of inventory with a basis to the partnership of $3,500. How to file taxes Within 2 years after acquiring his interest, Chin Ho withdrew from the partnership and for his entire interest received cash of $1,500, inventory with a basis to the partnership of $3,500, and other property with a basis of $6,000. How to file taxes The value of the inventory received was 25% of the value of all partnership inventory. How to file taxes (It is immaterial whether the inventory he received was on hand when he acquired his interest. How to file taxes ) Since the partnership from which Chin Ho withdrew did not make the optional adjustment to basis, he chose to adjust the basis of the inventory received. How to file taxes His share of the partnership's basis for the inventory is increased by $500 (25% of the $2,000 difference between the $16,000 fair market value of the inventory and its $14,000 basis to the partnership at the time he acquired his interest). How to file taxes The adjustment applies only for purposes of determining his new basis in the inventory, and not for purposes of partnership gain or loss on disposition. How to file taxes The total to be allocated among the properties Chin Ho received in the distribution is $15,500 ($17,000 basis of his interest − $1,500 cash received). How to file taxes His basis in the inventory items is $4,000 ($3,500 partnership basis + $500 special adjustment). How to file taxes The remaining $11,500 is allocated to his new basis for the other property he received. How to file taxes Mandatory adjustment. How to file taxes   A partner does not always have a choice of making this special adjustment to basis. How to file taxes The special adjustment to basis must be made for a distribution of property (whether or not within 2 years after the partnership interest was acquired) if all the following conditions existed when the partner received the partnership interest. How to file taxes The fair market value of all partnership property (other than money) was more than 110% of its adjusted basis to the partnership. How to file taxes If there had been a liquidation of the partner's interest immediately after it was acquired, an allocation of the basis of that interest under the general rules (discussed earlier under Basis divided among properties) would have decreased the basis of property that could not be depreciated, depleted, or amortized and increased the basis of property that could be. How to file taxes The optional basis adjustment, if it had been chosen by the partnership, would have changed the partner's basis for the property actually distributed. How to file taxes Required statement. How to file taxes   Generally, if a partner chooses a special basis adjustment and notifies the partnership, or if the partnership makes a distribution for which the special basis adjustment is mandatory, the partnership must provide a statement to the partner. How to file taxes The statement must provide information necessary for the partner to compute the special basis adjustment. How to file taxes Marketable securities. How to file taxes   A partner's basis in marketable securities received in a partnership distribution, as determined in the preceding discussions, is increased by any gain recognized by treating the securities as money. How to file taxes See Marketable securities treated as money under Partner's Gain or Loss, earlier. How to file taxes The basis increase is allocated among the securities in proportion to their respective amounts of unrealized appreciation before the basis increase. How to file taxes Transactions Between Partnership and Partners For certain transactions between a partner and his or her partnership, the partner is treated as not being a member of the partnership. How to file taxes These transactions include the following. How to file taxes Performing services for, or transferring property to, a partnership if: There is a related allocation and distribution to a partner, and The entire transaction, when viewed together, is properly characterized as occurring between the partnership and a partner not acting in the capacity of a partner. How to file taxes Transferring money or other property to a partnership if: There is a related transfer of money or other property by the partnership to the contributing partner or another partner, and The transfers together are properly characterized as a sale or exchange of property. How to file taxes Payments by accrual basis partnership to cash basis partner. How to file taxes   A partnership that uses an accrual method of accounting cannot deduct any business expense owed to a cash basis partner until the amount is paid. How to file taxes However, this rule does not apply to guaranteed payments made to a partner, which are generally deductible when accrued. How to file taxes Guaranteed Payments Guaranteed payments are those made by a partnership to a partner that are determined without regard to the partnership's income. How to file taxes A partnership treats guaranteed payments for services, or for the use of capital, as if they were made to a person who is not a partner. How to file taxes This treatment is for purposes of determining gross income and deductible business expenses only. How to file taxes For other tax purposes, guaranteed payments are treated as a partner's distributive share of ordinary income. How to file taxes Guaranteed payments are not subject to income tax withholding. How to file taxes The partnership generally deducts guaranteed payments on line 10 of Form 1065 as a business expense. How to file taxes They are also listed on Schedules K and K-1 of the partnership return. How to file taxes The individual partner reports guaranteed payments on Schedule E (Form 1040) as ordinary income, along with his or her distributive share of the partnership's other ordinary income. How to file taxes Guaranteed payments made to partners for organizing the partnership or syndicating interests in the partnership are capital expenses. How to file taxes Generally, organizational and syndication expenses are not deductible by the partnership. How to file taxes However, a partnership can elect to deduct a portion of its organizational expenses and amortize the remaining expenses (see Business start-up and organizational costs in the Instructions for Form 1065). How to file taxes Organizational expenses (if the election is not made) and syndication expenses paid to partners must be reported on the partners' Schedule K-1 as guaranteed payments. How to file taxes Minimum payment. How to file taxes   If a partner is to receive a minimum payment from the partnership, the guaranteed payment is the amount by which the minimum payment is more than the partner's distributive share of the partnership income before taking into account the guaranteed payment. How to file taxes Example. How to file taxes Under a partnership agreement, Divya is to receive 30% of the partnership income, but not less than $8,000. How to file taxes The partnership has net income of $20,000. How to file taxes Divya's share, without regard to the minimum guarantee, is $6,000 (30% × $20,000). How to file taxes The guaranteed payment that can be deducted by the partnership is $2,000 ($8,000 − $6,000). How to file taxes Divya's income from the partnership is $8,000, and the remaining $12,000 of partnership income will be reported by the other partners in proportion to their shares under the partnership agreement. How to file taxes If the partnership net income had been $30,000, there would have been no guaranteed payment since her share, without regard to the guarantee, would have been greater than the guarantee. How to file taxes Self-employed health insurance premiums. How to file taxes   Premiums for health insurance paid by a partnership on behalf of a partner, for services as a partner, are treated as guaranteed payments. How to file taxes The partnership can deduct the payments as a business expense, and the partner must include them in gross income. How to file taxes However, if the partnership accounts for insurance paid for a partner as a reduction in distributions to the partner, the partnership cannot deduct the premiums. How to file taxes   A partner who qualifies can deduct 100% of the health insurance premiums paid by the partnership on his or her behalf as an adjustment to income. How to file taxes The partner cannot deduct the premiums for any calendar month, or part of a month, in which the partner is eligible to participate in any subsidized health plan maintained by any employer of the partner, the partner's spouse, the partner's dependents, or any children under age 27 who are not dependents. How to file taxes For more information on the self-employed health insurance deduction, see chapter 6 in Publication 535. How to file taxes Including payments in partner's income. How to file taxes   Guaranteed payments are included in income in the partner's tax year in which the partnership's tax year ends. How to file taxes Example 1. How to file taxes Under the terms of a partnership agreement, Erica is entitled to a fixed annual payment of $10,000 without regard to the income of the partnership. How to file taxes Her distributive share of the partnership income is 10%. How to file taxes The partnership has $50,000 of ordinary income after deducting the guaranteed payment. How to file taxes She must include ordinary income of $15,000 ($10,000 guaranteed payment + $5,000 ($50,000 × 10%) distributive share) on her individual income tax return for her tax year in which the partnership's tax year ends. How to file taxes Example 2. How to file taxes Lamont is a calendar year taxpayer who is a partner in a partnership. How to file taxes The partnership uses a fiscal year that ended January 31, 2013. How to file taxes Lamont received guaranteed payments from the partnership from February 1, 2012, until December 31, 2012. How to file taxes He must include these guaranteed payments in income for 2013 and report them on his 2013 income tax return. How to file taxes Payments resulting in loss. How to file taxes   If guaranteed payments to a partner result in a partnership loss in which the partner shares, the partner must report the full amount of the guaranteed payments as ordinary income. How to file taxes The partner separately takes into account his or her distributive share of the partnership loss, to the extent of the adjusted basis of the partner's partnership interest. How to file taxes Sale or Exchange of Property Special rules apply to a sale or exchange of property between a partnership and certain persons. How to file taxes Losses. How to file taxes   Losses will not be allowed from a sale or exchange of property (other than an interest in the partnership) directly or indirectly between a partnership and a person whose direct or indirect interest in the capital or profits of the partnership is more than 50%. How to file taxes   If the sale or exchange is between two partnerships in which the same persons directly or indirectly own more than 50% of the capital or profits interests in each partnership, no deduction of a loss is allowed. How to file taxes   The basis of each partner's interest in the partnership is decreased (but not below zero) by the partner's share of the disallowed loss. How to file taxes   If the purchaser later sells the property, only the gain realized that is greater than the loss not allowed will be taxable. How to file taxes If any gain from the sale of the property is not recognized because of this rule, the basis of each partner's interest in the partnership is increased by the partner's share of that gain. How to file taxes Gains. How to file taxes   Gains are treated as ordinary income in a sale or exchange of property directly or indirectly between a person and a partnership, or between two partnerships, if both of the following tests are met. How to file taxes More than 50% of the capital or profits interest in the partnership(s) is directly or indirectly owned by the same person(s). How to file taxes The property in the hands of the transferee immediately after the transfer is not a capital asset. How to file taxes Property that is not a capital asset includes accounts receivable, inventory, stock-in-trade, and depreciable or real property used in a trade or business. How to file taxes More than 50% ownership. How to file taxes   To determine if there is more than 50% ownership in partnership capital or profits, the following rules apply. How to file taxes An interest directly or indirectly owned by, or for, a corporation, partnership, estate, or trust is considered to be owned proportionately by, or for, its shareholders, partners, or beneficiaries. How to file taxes An individual is considered to own the interest directly or indirectly owned by, or for, the individual's family. How to file taxes For this rule, “family” includes only brothers, sisters, half-brothers, half-sisters, spouses, ancestors, and lineal descendants. How to file taxes If a person is considered to own an interest using rule (1), that person (the “constructive owner”) is treated as if actually owning that interest when rules (1) and (2) are applied. How to file taxes However, if a person is considered to own an interest using rule (2), that person is not treated as actually owning that interest in reapplying rule (2) to make another person the constructive owner. How to file taxes Example. How to file taxes Individuals A and B and Trust T are equal partners in Partnership ABT. How to file taxes A's husband, AH, is the sole beneficiary of Trust T. How to file taxes Trust T's partnership interest will be attributed to AH only for the purpose of further attributing the interest to A. How to file taxes As a result, A is a more-than-50% partner. How to file taxes This means that any deduction for losses on transactions between her and ABT will not be allowed, and gain from property that in the hands of the transferee is not a capital asset is treated as ordinary, rather than capital, gain. How to file taxes More information. How to file taxes   For more information on these special rules, see Sales and Exchanges Between Related Persons in chapter 2 of Publication 544. How to file taxes Contribution of Property Usually, neither the partner nor the partnership recognizes a gain or loss when property is contributed to the partnership in exchange for a partnership interest. How to file taxes This applies whether a partnership is being formed or is already operating. How to file taxes The partnership's holding period for the property includes the partner's holding period. How to file taxes The contribution of limited partnership interests in one partnership for limited partnership interests in another partnership qualifies as a tax-free contribution of property to the second partnership if the transaction is made for business purposes. How to file taxes The exchange is not subject to the rules explained later under Disposition of Partner's Interest. How to file taxes Disguised sales. How to file taxes   A contribution of money or other property to the partnership followed by a distribution of different property from the partnership to the partner is treated not as a contribution and distribution, but as a sale of property, if both of the following tests are met. How to file taxes The distribution would not have been made but for the contribution. How to file taxes The partner's right to the distribution does not depend on the success of partnership operations. How to file taxes   All facts and circumstances are considered in determining if the contribution and distribution are more properly characterized as a sale. How to file taxes However, if the contribution and distribution occur within 2 years of each other, the transfers are presumed to be a sale unless the facts clearly indicate that the transfers are not a sale. How to file taxes If the contribution and distribution occur more than 2 years apart, the transfers are presumed not to be a sale unless the facts clearly indicate that the transfers are a sale. How to file taxes Form 8275 required. How to file taxes   A partner must attach Form 8275, Disclosure Statement, (or other statement) to his or her return if the partner contributes property to a partnership and, within 2 years (before or after the contribution), the partnership transfers money or other consideration to the partner. How to file taxes For exceptions to this requirement, see section 1. How to file taxes 707-3(c)(2) of the regulations. How to file taxes   A partnership must attach Form 8275 (or other statement) to its return if it distributes property to a partner, and, within 2 years (before or after the distribution), the partner transfers money or other consideration to the partnership. How to file taxes   Form 8275 must include the following information. How to file taxes A caption identifying the statement as a disclosure under section 707 of the Internal Revenue Code. How to file taxes A description of the transferred property or money, including its value. How to file taxes A description of any relevant facts in determining if the transfers are properly viewed as a disguised sale. How to file taxes See section 1. How to file taxes 707-3(b)(2) of the regulations for a description of the facts and circumstances considered in determining if the transfers are a disguised sale. How to file taxes Contribution to partnership treated as investment company. How to file taxes   Gain is recognized when property is contributed (in exchange for an interest in the partnership) to a partnership that would be treated as an investment company if it were incorporated. How to file taxes   A partnership is generally treated as an investment company if over 80% of the value of its assets is held for investment and consists of certain readily marketable items. How to file taxes These items include money, stocks and other equity interests in a corporation, and interests in regulated investment companies and real estate investment trusts. How to file taxes For more information, see section 351(e)(1) of the Internal Revenue Code and the related regulations. How to file taxes Whether a partnership is treated as an investment company under this test is ordinarily determined immediately after the transfer of property. How to file taxes   This rule applies to limited partnerships and general partnerships, regardless of whether they are privately formed or publicly syndicated. How to file taxes Contribution to foreign partnership. How to file taxes   A domestic partnership that contributed property after August 5, 1997, to a foreign partnership in exchange for a partnership interest may have to file Form 8865 if either of the following apply. How to file taxes Immediately after the contribution, the partnership owned, directly or indirectly, at least a 10% interest in the foreign partnership. How to file taxes The fair market value of the property contributed to the foreign partnership, when added to other contributions of property made to the partnership during the preceding 12-month period, is greater than $100,000. How to file taxes   The partnership may also have to file Form 8865, even if no contributions are made during the tax year, if it owns a 10% or more interest in a foreign partnership at any time during the year. How to file taxes See the form instructions for more information. How to file taxes Basis of contributed property. How to file taxes   If a partner contributes property to a partnership, the partnership's basis for determining depreciation, depletion, gain, or loss for the property is the same as the partner's adjusted basis for the property when it was contributed, increased by any gain recognized by the partner at the time of contribution. How to file taxes Allocations to account for built-in gain or loss. How to file taxes   The fair market value of property at the time it is contributed may be different from the partner's adjusted basis. How to file taxes The partnership must allocate among the partners any income, deduction, gain, or loss on the property in a manner that will account for the difference. How to file taxes This rule also applies to contributions of accounts payable and other accrued but unpaid items of a cash basis partner. How to file taxes   The partnership can use different allocation methods for different items of contributed property. How to file taxes A single reasonable method must be consistently applied to each item, and the overall method or combination of methods must be reasonable. How to file taxes See section 1. How to file taxes 704-3 of the regulations for allocation methods generally considered reasonable. How to file taxes   If the partnership sells contributed property and recognizes gain or loss, built-in gain or loss is allocated to the contributing partner. How to file taxes If contributed property is subject to depreciation or other cost recovery, the allocation of deductions for these items takes into account built-in gain or loss on the property. How to file taxes However, the total depreciation, depletion, gain, or loss allocated to partners cannot be more than the depreciation or depletion allowable to the partnership or the gain or loss realized by the partnership. How to file taxes Example. How to file taxes Areta and Sofia formed an equal partnership. How to file taxes Areta contributed $10,000 in cash to the partnership and Sofia contributed depreciable property with a fair market value of $10,000 and an adjusted basis of $4,000. How to file taxes The partnership's basis for depreciation is limited to the adjusted basis of the property in Sofia's hands, $4,000. How to file taxes In effect, Areta purchased an undivided one-half interest in the depreciable property with her contribution of $10,000. How to file taxes Assuming that the depreciation rate is 10% a year under the General Depreciation System (GDS), she would have been entitled to a depreciation deduction of $500 per year, based on her interest in the partnership, if the adjusted basis of the property equaled its fair market value when contributed. How to file taxes To simplify this example, the depreciation deductions are determined without regard to any first-year depreciation conventions. How to file taxes However, since the partnership is allowed only $400 per year of depreciation (10% of $4,000), no more than $400 can be allocated between the partners. How to file taxes The entire $400 must be allocated to Areta. How to file taxes Distribution of contributed property to another partner. How to file taxes   If a partner contributes property to a partnership and the partnership distributes the property to another partner within 7 years of the contribution, the contributing partner must recognize gain or loss on the distribution. How to file taxes   The recognized gain or loss is the amount the contributing partner would have recognized if the property had been sold for its fair market value when it was distributed. How to file taxes This amount is the difference between the property's basis and its fair market value at the time of contribution. How to file taxes The character of the gain or loss will be the same as the character of the gain or loss that would have resulted if the partnership had sold the property to the distributee partner. How to file taxes Appropriate adjustments must be made to the adjusted basis of the contributing partner's partnership interest and to the adjusted basis of the property distributed to reflect the recognized gain or loss. How to file taxes Disposition of certain contributed property. How to file taxes   The following rules determine the character of the partnership's gain or loss on a disposition of certain types of contributed property. How to file taxes Unrealized receivables. How to file taxes If the property was an unrealized receivable in the hands of the contributing partner, any gain or loss on its disposition by the partnership is ordinary income or loss. How to file taxes Unrealized receivables are defined later under Payments for Unrealized Receivables and Inventory Items. How to file taxes When reading the definition, substitute “partner” for “partnership. How to file taxes ” Inventory items. How to file taxes If the property was an inventory item in the hands of the contributing partner, any gain or loss on its disposition by the partnership within 5 years after the contribution is ordinary income or loss. How to file taxes Inventory items are defined later in Payments for Unrealized Receivables and Inventory Items. How to file taxes Capital loss property. How to file taxes If the property was a capital asset in the contributing partner's hands, any loss on its disposition by the partnership within 5 years after the contribution is a capital loss. How to file taxes The capital loss is limited to the amount by which the partner's adjusted basis for the property exceeded the property's fair market value immediately before the contribution. How to file taxes Substituted basis property. How to file taxes If the disposition of any of the property listed in (1), (2), or (3) is a nonrecognition transaction, these rules apply when the recipient of the property disposes of any substituted basis property (other than certain corporate stock) resulting from the transaction. How to file taxes Contribution of Services A partner can acquire an interest in partnership capital or profits as compensation for services performed or to be performed. How to file taxes Capital interest. How to file taxes   A capital interest is an interest that would give the holder a share of the proceeds if the partnership's assets were sold at fair market value and the proceeds were distributed in a complete liquidation of the partnership. How to file taxes This determination generally is made at the time of receipt of the partnership interest. How to file taxes The fair market value of such an interest received by a partner as compensation for services must generally be included in the partner's gross income in the first tax year in which the partner can transfer the interest or the interest is not subject to a substantial risk of forfeiture. How to file taxes The capital interest transferred as compensation for services is subject to the rules for restricted property discussed in Publication 525 under Employee Compensation. How to file taxes   The fair market value of an interest in partnership capital transferred to a partner as payment for services to the partnership is a guaranteed payment, discussed earlier. How to file taxes Profits interest. How to file taxes   A profits interest is a partnership interest other than a capital interest. How to file taxes If a person receives a profits interest for providing services to, or for the benefit of, a partnership in a partner capacity or in anticipation of being a partner, the receipt of such an interest is not a taxable event for the partner or the partnership. How to file taxes However, this does not apply in the following situations. How to file taxes The profits interest relates to a substantially certain and predictable stream of income from partnership assets, such as income from high-quality debt securities or a high-quality net lease. How to file taxes Within 2 years of receipt, the partner disposes of the profits interest. How to file taxes The profits interest is a limited partnership interest in a publicly traded partnership. How to file taxes   A profits interest transferred as compensation for services is not subject to the rules for restricted property that apply to capital interests. How to file taxes Basis of Partner's Interest The basis of a partnership interest is the money plus the adjusted basis of any property the partner contributed. How to file taxes If the partner must recognize gain as a result of the contribution, this gain is included in the basis of his or her interest. How to file taxes Any increase in a partner's individual liabilities because of an assumption of partnership liabilities is considered a contribution of money to the partnership by the partner. How to file taxes Interest acquired by gift, etc. How to file taxes   If a partner acquires an interest in a partnership by gift, inheritance, or under any circumstance other than by a contribution of money or property to the partnership, the partner's basis must be determined using the basis rules described in Publication 551. How to file taxes Adjusted Basis There is a worksheet for adjusting the basis of a partner's interest in the partnership in the Partner's Instructions for Schedule K-1 (Form 1065). How to file taxes The basis of an interest in a partnership is increased or decreased by certain items. How to file taxes Increases. How to file taxes   A partner's basis is increased by the following items. How to file taxes The partner's additional contributions to the partnership, including an increased share of, or assumption of, partnership liabilities. How to file taxes The partner's distributive share of taxable and nontaxable partnership income. How to file taxes The partner's distributive share of the excess of the deductions for depletion over the basis of the depletable property, unless the property is oil or gas wells whose basis has been allocated to partners. How to file taxes Decreases. How to file taxes   The partner's basis is decreased (but never below zero) by the following items. How to file taxes The money (including a decreased share of partnership liabilities or an assumption of the partner's individual liabilities by the partnership) and adjusted basis of property distributed to the partner by the partnership. How to file taxes The partner's distributive share of the partnership losses (including capital losses). How to file taxes The partner's distributive share of nondeductible partnership expenses that are not capital expenditures. How to file taxes This includes the partner's share of any section 179 expenses, even if the partner cannot deduct the entire amount on his or her individual income tax return. How to file taxes The partner's deduction for depletion for any partnership oil and gas wells, up to the proportionate share of the adjusted basis of the wells allocated to the partner. How to file taxes Partner's liabilities assumed by partnership. How to file taxes   If contributed property is subject to a debt or if a partner's liabilities are assumed by the partnership, the basis of that partner's interest is reduced (but not below zero) by the liability assumed by the other partners. How to file taxes This partner must reduce his or her basis because the assumption of the liability is treated as a distribution of money to that partner. How to file taxes The other partners' assumption of the liability is treated as a contribution by them of money to the partnership. How to file taxes See Effect of Partnership Liabilities , later. How to file taxes Example 1. How to file taxes Ivan acquired a 20% interest in a partnership by contributing property that had an adjusted basis to him of $8,000 and a $4,000 mortgage. How to file taxes The partnership assumed payment of the mortgage. How to file taxes The basis of Ivan's interest is: Adjusted basis of contributed property $8,000 Minus: Part of mortgage assumed by other partners (80% × $4,000) 3,200 Basis of Ivan's partnership interest $4,800 Example 2. How to file taxes If, in Example 1, the contributed property had a $12,000 mortgage, the basis of Ivan's partnership interest would be zero. How to file taxes The $1,600 difference between the mortgage assumed by the other partners, $9,600 (80% × $12,000), and his basis of $8,000 would be treated as capital gain from the sale or exchange of a partnership interest. How to file taxes However, this gain would not increase the basis of his partnership interest. How to file taxes Book value of partner's interest. How to file taxes   The adjusted basis of a partner's interest is determined without considering any amount shown in the partnership books as a capital, equity, or similar account. How to file taxes Example. How to file taxes Enzo contributes to his partnership property that has an adjusted basis of $400 and a fair market value of $1,000. How to file taxes His partner contributes $1,000 cash. How to file taxes While each partner has increased his capital account by $1,000, which will be re