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Irs Gov 2010 Tax Forms

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Irs Gov 2010 Tax Forms

Irs gov 2010 tax forms Index Symbols 529 program (see Qualified tuition program (QTP)) A Academic period American opportunity credit, Academic period. Irs gov 2010 tax forms Lifetime learning credit, Academic period. Irs gov 2010 tax forms Student loan interest deduction, Academic period. Irs gov 2010 tax forms Tuition and fees deduction, Academic period. Irs gov 2010 tax forms Accountable plans, Accountable Plans, Allocating your reimbursements for meals. Irs gov 2010 tax forms Additional tax Coverdell ESA On excess contributions, Additional Tax on Excess Contributions, Figuring and reporting the additional tax. Irs gov 2010 tax forms On taxable distributions, Additional Tax on Taxable Distributions IRA distributions, education exception, Education Exception to Additional Tax on Early IRA Distributions Qualified tuition program (QTP), on taxable distributions, Additional Tax on Taxable Distributions Adjusted qualified education expenses (see Qualified education expenses) American opportunity credit Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses Claiming dependent's expenses, Who Can Claim a Dependent's Expenses, Tuition reduction. Irs gov 2010 tax forms Tuition reduction, Tuition reduction. Irs gov 2010 tax forms Claiming the credit, Can You Claim the Credit, Who Cannot Claim the Credit, Claiming the Credit Qualifying to claim (Figure 2-1), Coordination with Coverdell ESA distributions, Figuring the Taxable Portion of a Distribution Coordination with qualified tuition program (QTP) distributions, Coordination With American Opportunity and Lifetime Learning Credits Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Eligible student, Who Is an Eligible Student Requirements (Figure 2-2), Expenses qualifying for, What Expenses Qualify, Adjustments to Qualified Education Expenses Figuring the credit, Figuring the Credit Income level, effect on amount of credit, Effect of the Amount of Your Income on the Amount of Your Credit, Phaseout. Irs gov 2010 tax forms Income limits, Effect of the Amount of Your Income on the Amount of Your Credit, Phaseout. Irs gov 2010 tax forms Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Worksheet 2-1, Claiming the Credit Overview of American opportunity credit (Table 2-1), Introduction Phaseout, Phaseout. Irs gov 2010 tax forms Qualified education expenses, Qualified Education Expenses Tax benefit of, What is the tax benefit of the American opportunity credit. Irs gov 2010 tax forms Armed Forces Health Professions Scholarship and Financial Assistance Program, Exceptions. Irs gov 2010 tax forms Assistance (see Tax help) Athletic scholarships, Athletic Scholarships B Bar review course, Bar or CPA Review Course Bonds, education savings (see Education savings bond program) Business deduction for work-related education, Business Deduction for Work-Related Education, Illustrated Example Accountable plans, Accountable Plans, Allocating your reimbursements for meals. Irs gov 2010 tax forms Adjustments to qualifying work-related education expenses, Adjustments to Qualifying Work-Related Education Expenses Allocating meal reimbursements, Allocating your reimbursements for meals. Irs gov 2010 tax forms Deductible education expenses, What Expenses Can Be Deducted, Adjustments to Qualifying Work-Related Education Expenses Deducting business expenses, Deducting Business Expenses, Impairment-Related Work Expenses Double benefit not allowed, No Double Benefit Allowed Education required by employer or by law, Education Required by Employer or by Law Education to maintain or improve skills, Education To Maintain or Improve Skills Education to meet minimum requirements, Education To Meet Minimum Requirements, Certification in a new state. Irs gov 2010 tax forms Education to qualify for new trade or business, Education That Qualifies You for a New Trade or Business, Teaching and Related Duties Excess expenses, accountable plan, Excess expenses. Irs gov 2010 tax forms , Allocating your reimbursements for meals. Irs gov 2010 tax forms Indefinite absence, Education during indefinite absence. Irs gov 2010 tax forms Maintaining skills vs. Irs gov 2010 tax forms qualifying for new job, Maintaining skills vs. Irs gov 2010 tax forms qualifying for new job. Irs gov 2010 tax forms Nonaccountable plans, Nonaccountable Plans Nondeductible expenses, Nondeductible expenses. Irs gov 2010 tax forms Qualified education expenses, What Expenses Can Be Deducted, Adjustments to Qualifying Work-Related Education Expenses Recordkeeping requirements, Recordkeeping, Examples of records to keep. Irs gov 2010 tax forms Reimbursements, treatment of, How To Treat Reimbursements, Reimbursements for nondeductible expenses. Irs gov 2010 tax forms Tax benefit of, What is the tax benefit of taking a business deduction for work-related education. Irs gov 2010 tax forms Tax-free educational assistance, Tax-free educational assistance. Irs gov 2010 tax forms Teachers, Requirements for Teachers, Teaching and Related Duties Temporary absence to acquire education, Education during temporary absence. Irs gov 2010 tax forms Transportation expenses, Transportation Expenses, Using your car. Irs gov 2010 tax forms Travel expenses, Travel Expenses C Cancellation of student loan (see Student loan cancellation) Candidate for a degree Scholarships and fellowships, Candidate for a degree. Irs gov 2010 tax forms Change of designated beneficiary Coverdell ESA, Changing the Designated Beneficiary Qualified tuition program, Changing the Designated Beneficiary Collapsed loans, Interest on refinanced student loans. Irs gov 2010 tax forms Comprehensive or bundled fees American opportunity credit, Comprehensive or bundled fees. Irs gov 2010 tax forms Lifetime learning credit, Comprehensive or bundled fees. Irs gov 2010 tax forms Tuition and fees deduction, Comprehensive or bundled fees. Irs gov 2010 tax forms Consolidated loans used to refinance student loans, Interest on refinanced student loans. Irs gov 2010 tax forms Conventions outside U. Irs gov 2010 tax forms S. Irs gov 2010 tax forms , Cruises and conventions. Irs gov 2010 tax forms Coverdell education savings account (ESA), Coverdell Education Savings Account (ESA), Figuring the Taxable Portion of a Distribution, Coordination With American Opportunity and Lifetime Learning Credits, Worksheet 7-3. Irs gov 2010 tax forms Coverdell ESA—Taxable Distributions and Basis Additional tax On excess contributions, Additional Tax on Excess Contributions, Figuring and reporting the additional tax. Irs gov 2010 tax forms On taxable distributions, Additional Tax on Taxable Distributions Assets to be distributed at age 30 or death of beneficiary, When Assets Must Be Distributed Contribution limits, Contribution Limits, Figuring the limit. Irs gov 2010 tax forms Figuring the limit (Worksheet 6-2), Figuring the limit. Irs gov 2010 tax forms Contributions to, Contributions, Figuring and reporting the additional tax. Irs gov 2010 tax forms Table 7-2, Contributions Coordination with American opportunity and lifetime learning credits, Coordination With American Opportunity and Lifetime Learning Credits Coordination with qualified tuition program (QTP), Coordination With Qualified Tuition Program (QTP) Distributions Defined, What Is a Coverdell ESA Distributions, Distributions, How To Figure the Taxable Earnings Overview (Table 7-3), Distributions Divorce, transfer due to, Transfer Because of Divorce Eligible educational institution, Eligible Educational Institution Figuring taxable portion of distribution, Figuring the Taxable Portion of a Distribution Worksheet 7-3, Worksheet 7-3. Irs gov 2010 tax forms Coverdell ESA—Taxable Distributions and Basis Figuring the taxable earnings in required distribution, How To Figure the Taxable Earnings Losses, Losses on Coverdell ESA Investments Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms , MAGI when using Form 1040NR-EZ. Irs gov 2010 tax forms Worksheet 6-1, Worksheet 7-1. Irs gov 2010 tax forms MAGI for a Coverdell ESA Overview (Table 6-1), Coverdell Education Savings Account (ESA) Qualified education expenses, Qualified Education Expenses, Qualified Elementary and Secondary Education Expenses Rollovers, Rollovers Tax benefit of, What is the tax benefit of the Coverdell ESA. Irs gov 2010 tax forms Tax-free distributions, Tax-Free Distributions Taxable distributions, Taxable Distributions, Figuring the additional tax. Irs gov 2010 tax forms Worksheet 7-3 to figure, Worksheet 7-3. Irs gov 2010 tax forms Coverdell ESA—Taxable Distributions and Basis Transfers, Rollovers CPA review course, Bar or CPA Review Course Credits American opportunity (see American opportunity credit) Lifetime learning (see Lifetime learning credit) Cruises, educational, Cruises and conventions. Irs gov 2010 tax forms D Deductions (see Business deduction for work-related education) Designated beneficiary Coverdell ESA, What Is a Coverdell ESA, Changing the Designated Beneficiary Qualified tuition program (QTP), Designated beneficiary. Irs gov 2010 tax forms , Changing the Designated Beneficiary Disabilities, persons with Impairment-related work expenses, Impairment-Related Work Expenses Distributions (see specific benefit ) Divorce Coverdell ESA transfer due to, Transfer Because of Divorce Expenses paid under decree American opportunity credit, Expenses paid by dependent. Irs gov 2010 tax forms Lifetime learning credit, Expenses paid by dependent. Irs gov 2010 tax forms Tuition and fees deduction, Expenses paid under divorce decree. Irs gov 2010 tax forms Double benefit not allowed American opportunity credit, No Double Benefit Allowed Lifetime learning credit, No Double Benefit Allowed Student loan interest deduction, No Double Benefit Allowed Tuition and fees deduction, No Double Benefit Allowed Work-related education, No Double Benefit Allowed E Early distributions from IRAs, Education Exception to Additional Tax on Early IRA Distributions, Reporting Early Distributions Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Figuring amount not subject to 10% tax, Figuring the Amount Not Subject to the 10% Tax Qualified education expenses, Qualified education expenses. Irs gov 2010 tax forms Reporting, Reporting Early Distributions Education IRA (see Coverdell education savings account (ESA)) Education loans (see Student loan interest deduction) Education savings account (see Coverdell education savings account (ESA)) Education savings bond program Cashing in bonds tax free, Who Can Cash In Bonds Tax Free, MAGI when using Form 1040. Irs gov 2010 tax forms Claiming dependent's exemption, Dependent for whom you claim an exemption. Irs gov 2010 tax forms Claiming exclusion, Claiming the Exclusion Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Figuring tax-free amount, Figuring the Tax-Free Amount Income level, effect on amount of exclusion, Effect of the Amount of Your Income on the Amount of Your Exclusion Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms , MAGI when using Form 1040. Irs gov 2010 tax forms Phaseout, Effect of the Amount of Your Income on the Amount of Your Exclusion Qualified education expenses, Qualified education expenses. Irs gov 2010 tax forms Educational assistance, employer-provided (see Employer-provided educational assistance) Eligible educational institution American opportunity credit, Eligible educational institution. Irs gov 2010 tax forms Cancellation of student loan, Eligible educational institution. Irs gov 2010 tax forms Coverdell ESA, Eligible Educational Institution Early distributions from IRAs, Eligible educational institution. Irs gov 2010 tax forms Education savings bond program, Eligible educational institution. Irs gov 2010 tax forms Lifetime learning credit, Eligible educational institution. Irs gov 2010 tax forms Qualified tuition program (QTP), Eligible educational institution. Irs gov 2010 tax forms Qualified tuition reduction, Qualified Tuition Reduction Scholarships and fellowships, Eligible educational institution. Irs gov 2010 tax forms , Eligible educational institution. Irs gov 2010 tax forms Student loan cancellation, Eligible educational institution. Irs gov 2010 tax forms Student loan interest deduction, Eligible educational institution. Irs gov 2010 tax forms Tuition and fees deduction, Eligible educational institution. Irs gov 2010 tax forms Eligible elementary or secondary school Coverdell ESA, Eligible elementary or secondary school. Irs gov 2010 tax forms Eligible student American opportunity credit, Who Is an Eligible Student Lifetime learning credit, Who Is an Eligible Student Student loan interest deduction, Eligible student. Irs gov 2010 tax forms Tuition and fees deduction, Who Is an Eligible Student Employees Deducting work-related education expenses, Employees Employer-provided educational assistance, Employer-Provided Educational Assistance, Working condition fringe benefit. Irs gov 2010 tax forms ESAs (see Coverdell education savings account (ESA)) Estimated tax, Reminders Excess contributions Coverdell ESA, Additional Tax on Excess Contributions, Figuring and reporting the additional tax. Irs gov 2010 tax forms Excess expenses, accountable plan, Excess expenses. Irs gov 2010 tax forms , Allocating your reimbursements for meals. Irs gov 2010 tax forms Expenses (see specific benefit ) F Family members, beneficiary Coverdell ESA, Members of the beneficiary's family. Irs gov 2010 tax forms Qualified tuition program (QTP), Members of the beneficiary's family. Irs gov 2010 tax forms Fee-basis officials, work-related education deduction, Performing Artists and Fee-Basis Officials Fellowships (see Scholarships and fellowships) Figures (see Tables and figures) Financial aid (see Scholarships and fellowships) Form 1098-E Student loan interest deduction, Loan origination fee. Irs gov 2010 tax forms , Form 1098-E. Irs gov 2010 tax forms Form 1098-T, Reminders American opportunity credit, Form 1098-T. Irs gov 2010 tax forms Lifetime learning credit, Form 1098-T. Irs gov 2010 tax forms Tuition and fees deduction, Form 1098-T. Irs gov 2010 tax forms Form 1099-Q Coverdell ESA, Exceptions. Irs gov 2010 tax forms , Earnings and basis. Irs gov 2010 tax forms Qualified tuition program (QTP), Earnings and return of investment. Irs gov 2010 tax forms Form 1099-R Early distributions from IRAs, Reporting Early Distributions Form 2106, 50% limit on meals. Irs gov 2010 tax forms , Form 2106 or 2106-EZ. Irs gov 2010 tax forms Form 2106-EZ, 50% limit on meals. Irs gov 2010 tax forms , Form 2106 or 2106-EZ. Irs gov 2010 tax forms , Using Form 2106-EZ. Irs gov 2010 tax forms Filled-in example, Form 5329 Coverdell ESA, Figuring the additional tax. Irs gov 2010 tax forms Early distributions from IRAs, Reporting Early Distributions Qualified tuition program (QTP), Figuring the additional tax. Irs gov 2010 tax forms Form 8815, MAGI when using Form 1040. Irs gov 2010 tax forms , Claiming the Exclusion Form 8863 Filled-in examples, Form 8917 Filled-in examples, Form W-9S, Form 1098-T. Irs gov 2010 tax forms , Form 1098-T. Irs gov 2010 tax forms , Form 1098-E. Irs gov 2010 tax forms , Form 1098-T. Irs gov 2010 tax forms Free tax services, Free help with your tax return. Irs gov 2010 tax forms Fulbright grants, Fulbright Grants G Glossary, Glossary. Irs gov 2010 tax forms , Glossary, Transfer: Graduate education tuition reduction, Graduate Education Grants Fulbright, Fulbright Grants Pell, Pell Grants and Other Title IV Need-Based Education Grants Title IV need-based education, Pell Grants and Other Title IV Need-Based Education Grants H Half-time student American opportunity credit, Enrolled at least half-time. Irs gov 2010 tax forms Coverdell ESA, Half-time student. Irs gov 2010 tax forms Early distributions from IRAs, Half-time student. Irs gov 2010 tax forms Student loan interest deduction, Enrolled at least half-time. Irs gov 2010 tax forms Help (see Tax help) I Illustrated example of education credits (Appendix A), Appendix A. Irs gov 2010 tax forms Illustrated Example of Education Credits, Impairment-related work expenses Work-related education deduction, Impairment-Related Work Expenses Individual retirement arrangements (IRAs), Coverdell Education Savings Account (ESA) Early distributions (see Early distributions from IRAs) L Lifetime learning credit, Differences between the American opportunity and lifetime learning credits. Irs gov 2010 tax forms Academic period, Academic period. Irs gov 2010 tax forms Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses Claiming dependent's expenses, Who Can Claim a Dependent's Expenses Tuition reduction, Tuition reduction. Irs gov 2010 tax forms Claiming the credit, Can You Claim the Credit, Who Cannot Claim the Credit, Claiming the Credit Qualifying to claim (Figure 3-1), Coordination with Coverdell ESA distributions, Figuring the Taxable Portion of a Distribution, Coordination With American Opportunity and Lifetime Learning Credits Coordination with qualified tuition program (QTP) distributions, Coordination With American Opportunity and Lifetime Learning Credits Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Eligible student, Who Is an Eligible Student Expenses qualifying for, What Expenses Qualify, Amounts that do not reduce qualified education expenses. Irs gov 2010 tax forms Figuring the credit, Figuring the Credit, Claiming the Credit Income level, effect on amount of credit, Effect of the Amount of Your Income on the Amount of Your Credit Income limits, Effect of the Amount of Your Income on the Amount of Your Credit Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Worksheet 3-1, MAGI when using Form 1040. Irs gov 2010 tax forms Overview (Table 3-1), Table 3-1. Irs gov 2010 tax forms Overview of the Lifetime Learning Credit Phaseout, Phaseout. Irs gov 2010 tax forms Qualified education expenses, Qualified Education Expenses, Amounts that do not reduce qualified education expenses. Irs gov 2010 tax forms Qualifying to claim (Figure 3-1), Tax benefit of, What is the tax benefit of the lifetime learning credit. Irs gov 2010 tax forms Loans Cancellation (see Student loan cancellation) Capitalized interest on student loan, Capitalized interest. Irs gov 2010 tax forms Origination fees on student loan, Loan origination fee. Irs gov 2010 tax forms Qualified education expenses paid with American opportunity credit, Academic period. Irs gov 2010 tax forms Lifetime learning credit, Paid with borrowed funds. Irs gov 2010 tax forms Student loan repayment assistance, Student Loan Repayment Assistance Losses, deducting Coverdell ESA, Losses on Coverdell ESA Investments Qualified tuition program (QTP), Losses on QTP Investments Luxury water transportation, Cruises and conventions. Irs gov 2010 tax forms M Mileage deduction for work-related education, What's New, Using your car. Irs gov 2010 tax forms Military academy cadets, Payment to Service Academy Cadets Missing children, photographs of, Reminders Modified adjusted gross income (MAGI) American opportunity credit Worksheet 2-1, Claiming the Credit Coverdell ESA, Modified adjusted gross income (MAGI). Irs gov 2010 tax forms , MAGI when using Form 1040NR-EZ. Irs gov 2010 tax forms Worksheet 6-1, Worksheet 7-1. Irs gov 2010 tax forms MAGI for a Coverdell ESA Education savings bond program, Modified adjusted gross income (MAGI). Irs gov 2010 tax forms , MAGI when using Form 1040. Irs gov 2010 tax forms Lifetime learning credit, Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Worksheet 3-1, MAGI when using Form 1040. Irs gov 2010 tax forms Student loan interest deduction, Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Table 4-2, Table 4-2. Irs gov 2010 tax forms Effect of MAGI on Student Loan Interest Deduction Tuition and fees deduction, Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Table 6-2, Table 6-2. Irs gov 2010 tax forms Effect of MAGI on Maximum Tuition and Fees Deduction Worksheet 6-1, Worksheet 6-1. Irs gov 2010 tax forms MAGI for the Tuition and Fees Deduction N National Health Service Corps Scholarship Program, Exceptions. Irs gov 2010 tax forms , Exceptions. Irs gov 2010 tax forms Nonaccountable plans Work-related education, Nonaccountable Plans P Pell grants, Pell Grants and Other Title IV Need-Based Education Grants, Coordination with Pell grants and other scholarships. Irs gov 2010 tax forms , Coordination with Pell grants and other scholarships. Irs gov 2010 tax forms Performing artists, work-related education deduction, Performing Artists and Fee-Basis Officials Phaseout American opportunity credit, Phaseout. Irs gov 2010 tax forms Education savings bond program, Effect of the Amount of Your Income on the Amount of Your Exclusion Lifetime learning credit, Phaseout. Irs gov 2010 tax forms Student loan interest deduction, Phaseout. Irs gov 2010 tax forms , Effect of the Amount of Your Income on the Amount of Your Deduction Publications (see Tax help) Q Qualified education expenses Adjustments to American opportunity credit, Adjustments to Qualified Education Expenses Coverdell ESA, Adjusted qualified education expenses. Irs gov 2010 tax forms Education savings bond program, Adjusted qualified education expenses. Irs gov 2010 tax forms Lifetime learning credit, Adjustments to Qualified Education Expenses Qualified tuition program (QTP), Adjusted qualified education expenses. Irs gov 2010 tax forms Student loan interest deduction, Adjustments to Qualified Education Expenses Tuition and fees deduction, Adjustments to Qualified Education Expenses Work-related education, Adjustments to Qualifying Work-Related Education Expenses American opportunity credit, Qualified Education Expenses, Adjustments to Qualified Education Expenses Coverdell ESA, Qualified Education Expenses, Qualified Elementary and Secondary Education Expenses Early distributions from IRAs, Qualified education expenses. Irs gov 2010 tax forms Education savings bond program, Qualified education expenses. Irs gov 2010 tax forms Expenses not qualified American opportunity credit, Expenses That Do Not Qualify, Comprehensive or bundled fees. Irs gov 2010 tax forms Lifetime learning credit, Expenses That Do Not Qualify Tuition and fees deduction, Expenses That Do Not Qualify Lifetime learning credit, Qualified Education Expenses, Amounts that do not reduce qualified education expenses. Irs gov 2010 tax forms Qualified tuition program (QTP), Qualified education expenses. Irs gov 2010 tax forms Scholarships and fellowships, Qualified education expenses. Irs gov 2010 tax forms Student loan interest deduction, Qualified Education Expenses Tuition and fees deduction, What Expenses Qualify, Adjustments to Qualified Education Expenses Work-related education, What Expenses Can Be Deducted, Adjustments to Qualifying Work-Related Education Expenses Qualified elementary and secondary education expenses Coverdell ESAs, Qualified Elementary and Secondary Education Expenses Qualified employer plans Student loan interest deduction not allowed, Qualified employer plan. Irs gov 2010 tax forms Qualified student loans, Qualified Student Loan, Qualified employer plan. Irs gov 2010 tax forms Qualified tuition program (QTP), Qualified Tuition Program (QTP), Changing the Designated Beneficiary Additional tax on taxable distributions, Additional Tax on Taxable Distributions Change of designated beneficiary, Changing the Designated Beneficiary Contributions to, How Much Can You Contribute Coordination with American opportunity and lifetime learning credits, Coordination With American Opportunity and Lifetime Learning Credits Coordination with Coverdell ESA distributions, Coordination With Coverdell ESA Distributions Defined, What Is a Qualified Tuition Program Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Figuring taxable portion of distribution, Figuring the Taxable Portion of a Distribution, Losses on QTP Investments Losses, Losses on QTP Investments Qualified education expenses, Qualified education expenses. Irs gov 2010 tax forms Rollovers, Rollovers and Other Transfers, Changing the Designated Beneficiary Tax benefit of, What is the tax benefit of a QTP. Irs gov 2010 tax forms Taxability of distributions, Are Distributions Taxable, Figuring the additional tax. Irs gov 2010 tax forms Taxable earnings, Taxable earnings. Irs gov 2010 tax forms Transfers, Rollovers and Other Transfers, Changing the Designated Beneficiary Qualified tuition reduction, Qualified Tuition Reduction, How To Report Qualified U. Irs gov 2010 tax forms S. Irs gov 2010 tax forms savings bonds, Qualified U. Irs gov 2010 tax forms S. Irs gov 2010 tax forms savings bonds. Irs gov 2010 tax forms Qualifying work-related education, Qualifying Work-Related Education, Teaching and Related Duties Determining if qualified (Figure 11-1), R Recapture American opportunity credit, Credit recapture. Irs gov 2010 tax forms Lifetime learning credit, Credit recapture. Irs gov 2010 tax forms Tuition and fees deduction, Credit recapture. Irs gov 2010 tax forms Recordkeeping requirements Work-related education, Recordkeeping, Examples of records to keep. Irs gov 2010 tax forms Refinanced student loans, Interest on refinanced student loans. Irs gov 2010 tax forms , Refinanced Loan Reimbursements Nondeductible expenses, Reimbursements for nondeductible expenses. Irs gov 2010 tax forms Work-related education, How To Treat Reimbursements, Reimbursements for nondeductible expenses. Irs gov 2010 tax forms Related persons Coverdell ESA, Members of the beneficiary's family. Irs gov 2010 tax forms Qualified tuition program (QTP), Members of the beneficiary's family. Irs gov 2010 tax forms Student loan interest deduction, Related person. Irs gov 2010 tax forms Repayment programs (see Student loan repayment assistance) Reporting American opportunity credit, Claiming the Credit Coverdell ESA, Exceptions. Irs gov 2010 tax forms , Figuring and reporting the additional tax. Irs gov 2010 tax forms , Figuring the Taxable Portion of a Distribution, Figuring the additional tax. Irs gov 2010 tax forms Early distributions from IRAs, Reporting Early Distributions Education savings bond program, Claiming the Exclusion Lifetime learning credit, Claiming the Credit Qualified tuition program (QTP), Taxable earnings. Irs gov 2010 tax forms , Losses on QTP Investments, Rollovers Scholarships and fellowships, taxable, Reporting Scholarships and Fellowships Student loan interest deduction, Claiming the Deduction Tuition and fees deduction, Claiming the Deduction Tuition reduction, taxable, How To Report Work-related education expenses, Deducting Business Expenses, Impairment-Related Work Expenses Revolving lines of credit, interest on, Interest on revolving lines of credit. Irs gov 2010 tax forms Rollovers Coverdell ESA, Rollovers Qualified tuition program (QTP), Rollovers and Other Transfers, Changing the Designated Beneficiary S Scholarships and fellowships, Scholarships and Fellowships, Form 1040NR-EZ. Irs gov 2010 tax forms , Coordination with Pell grants and other scholarships. Irs gov 2010 tax forms , Coordination with Pell grants and other scholarships. Irs gov 2010 tax forms Athletic scholarships, Athletic Scholarships Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms , Eligible educational institution. Irs gov 2010 tax forms Figuring tax-free and taxable parts (Worksheet 1-1), Worksheet 1-1. Irs gov 2010 tax forms Qualified education expenses, Qualified education expenses. Irs gov 2010 tax forms Reporting, Reporting Scholarships and Fellowships Scholarship, defined, Scholarships and Fellowships Tax treatment of (Table 1-1), Tax-Free Scholarships and Fellowships Tax-free, Tax-Free Scholarships and Fellowships, Athletic Scholarships Taxable, Taxable Scholarships and Fellowships Section 501(c)(3) organizations (see Student loan cancellation) Section 529 program (see Qualified tuition program (QTP)) Self-employed persons Deducting work-related education expenses, Self-Employed Persons Service academy cadets, Payment to Service Academy Cadets Sports, games, hobbies, and noncredit courses American opportunity credit, Sports, games, hobbies, and noncredit courses. Irs gov 2010 tax forms Education savings bond program, Qualified education expenses. Irs gov 2010 tax forms Lifetime learning credit, Sports, games, hobbies, and noncredit courses. Irs gov 2010 tax forms Tuition and fees deduction, Sports, games, hobbies, and noncredit courses. Irs gov 2010 tax forms Standard mileage rate Work-related education, What's New, Using your car. Irs gov 2010 tax forms State prepaid education accounts (see Qualified tuition program (QTP)) Student loan cancellation, Student Loan Cancellation Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Section 501(c)(3) organizations, Section 501(c)(3) organization. Irs gov 2010 tax forms Student loan interest deduction Academic period, Academic period. Irs gov 2010 tax forms Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses Allocation between interest and principal, Allocating Payments Between Interest and Principal Claiming the deduction, Claiming the Deduction Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Eligible student, Eligible student. Irs gov 2010 tax forms Figuring the deduction, Figuring the Deduction, Which Worksheet To Use Include as interest, Include As Interest Income level, effect on amount of deduction, Effect of the Amount of Your Income on the Amount of Your Deduction Loan repayment assistance, Do Not Include As Interest Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms , Which Worksheet To Use Table 4-2, Table 4-2. Irs gov 2010 tax forms Effect of MAGI on Student Loan Interest Deduction Not included as interest, Do Not Include As Interest Phaseout, Phaseout. Irs gov 2010 tax forms , Effect of the Amount of Your Income on the Amount of Your Deduction Qualified education expenses, Qualified Education Expenses Qualified employer plans, Qualified employer plan. Irs gov 2010 tax forms Qualified student loans, Qualified Student Loan, Qualified employer plan. Irs gov 2010 tax forms Reasonable period of time, Reasonable period of time. Irs gov 2010 tax forms Related persons, Related person. Irs gov 2010 tax forms Student loan interest, defined, Student Loan Interest Defined, When Must Interest Be Paid Third party interest payments, Interest paid by others. Irs gov 2010 tax forms When interest must be paid, When Must Interest Be Paid Worksheet 4-1, Worksheet 4-1. Irs gov 2010 tax forms Student Loan Interest Deduction Worksheet Student loan repayment assistance, Student Loan Repayment Assistance Surviving spouse Coverdell ESA transfer to, Exception for Transfer to Surviving Spouse or Family Member T Tables and figures American opportunity credit Eligible student requirements (Figure 2-2), Overview (Table 2-1), Introduction Qualifying to claim (Figure 2-1), Comparison of education tax benefits (Appendix B), Coverdell ESAs Contributions to (Table 7-2), Contribution Limits Distributions (Table 7-3), Distributions Overview (Table 6-1), Coverdell Education Savings Account (ESA) Education credits Overview of American opportunity credit (Table 2-1), Introduction Overview of lifetime learning credit (Table 3-1), Table 3-1. Irs gov 2010 tax forms Overview of the Lifetime Learning Credit Lifetime learning credit Overview (Table 3-1), Table 3-1. Irs gov 2010 tax forms Overview of the Lifetime Learning Credit Qualifying to claim (Figure 3-1), Scholarships and fellowships, taxability of (Table 1-1), Tax-Free Scholarships and Fellowships Student loan interest deduction MAGI, effect of (Table 4-2), Table 4-2. Irs gov 2010 tax forms Effect of MAGI on Student Loan Interest Deduction Overview (Table 4-1), Table 4-1. Irs gov 2010 tax forms Student Loan Interest Deduction at a Glance Summary chart of differences between education tax benefits (Appendix B), Tuition and fees deduction MAGI, effect of (Table 6-2), Table 6-2. Irs gov 2010 tax forms Effect of MAGI on Maximum Tuition and Fees Deduction Overview (Table 6-1), Table 6-1. Irs gov 2010 tax forms Tuition and Fees Deduction at a Glance Work-related education, qualifying (Figure 112-1), Tax help, How To Get Tax Help Tax-free educational assistance American opportunity credit, Tax-free educational assistance. Irs gov 2010 tax forms Coverdell ESA, Adjusted qualified education expenses. Irs gov 2010 tax forms Early distributions from IRAs, Figuring the Amount Not Subject to the 10% Tax Education savings bond program, Adjusted qualified education expenses. Irs gov 2010 tax forms Lifetime learning credit, Tax-free educational assistance. Irs gov 2010 tax forms Qualified tuition program (QTP), Adjusted qualified education expenses. Irs gov 2010 tax forms Tuition and fees deduction, Tax-free educational assistance. Irs gov 2010 tax forms Work-related education, Tax-free educational assistance. Irs gov 2010 tax forms Taxable scholarships and fellowships, Taxable Scholarships and Fellowships Teachers, Requirements for Teachers, Teaching and Related Duties Temporary-basis student, transportation expenses of, Temporary basis. Irs gov 2010 tax forms Title IV need-based education grants, Pell Grants and Other Title IV Need-Based Education Grants Transfers Coverdell ESA, Rollovers Qualified tuition program (QTP), Rollovers and Other Transfers, Changing the Designated Beneficiary Transportation expenses Work-related education, Transportation Expenses, Using your car. Irs gov 2010 tax forms Travel expenses 50% limit on meals, 50% limit on meals. Irs gov 2010 tax forms Not deductible as form of education, Travel as Education Work-related education, Travel Expenses TTY/TDD information, How To Get Tax Help Tuition and fees deduction, Tuition and Fees Deduction, Illustrated Example Academic period, Academic period. Irs gov 2010 tax forms Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses Can you claim the deduction, Can You Claim the Deduction Claiming dependent's expenses, Who Can Claim a Dependent's Expenses Claiming the deduction, Claiming the Deduction Double benefit not allowed, No Double Benefit Allowed Eligible educational institution, Eligible educational institution. Irs gov 2010 tax forms Eligible student, Who Is an Eligible Student Expenses not qualifying for, Expenses That Do Not Qualify Expenses qualifying for, What Expenses Qualify, Adjustments to Qualified Education Expenses Figuring the deduction, Figuring the Deduction, MAGI when using Form 1040. Irs gov 2010 tax forms Income level, effect on amount of deduction, Effect of the Amount of Your Income on the Amount of Your Deduction Loan used to pay tuition and fees, Paid with borrowed funds. Irs gov 2010 tax forms Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI). Irs gov 2010 tax forms Table 6-2, Table 6-2. Irs gov 2010 tax forms Effect of MAGI on Maximum Tuition and Fees Deduction Worksheet 6-1, Worksheet 6-1. Irs gov 2010 tax forms MAGI for the Tuition and Fees Deduction Overview (Table 4-1), Table 4-1. Irs gov 2010 tax forms Student Loan Interest Deduction at a Glance Overview (Table 6-1), Table 6-1. Irs gov 2010 tax forms Tuition and Fees Deduction at a Glance Qualified education expenses, What Expenses Qualify, Adjustments to Qualified Education Expenses Qualifying for deduction, Can You Claim the Deduction Tax benefit of, What is the tax benefit of the tuition and fees deduction. Irs gov 2010 tax forms Tax-free educational assistance, Tax-free educational assistance. Irs gov 2010 tax forms Tuition reduction American opportunity credit, Tuition reduction. Irs gov 2010 tax forms Lifetime learning credit, Tuition reduction. Irs gov 2010 tax forms Qualified, Qualified Tuition Reduction, How To Report Tuition and fees deduction, Tuition reduction. Irs gov 2010 tax forms U U. Irs gov 2010 tax forms S. Irs gov 2010 tax forms savings bonds, Qualified U. Irs gov 2010 tax forms S. Irs gov 2010 tax forms savings bonds. Irs gov 2010 tax forms Unclaimed reimbursement Work-related education, Unclaimed reimbursement. Irs gov 2010 tax forms V Veterans' benefits, Veterans' Benefits Voluntary interest payments, Voluntary interest payments. Irs gov 2010 tax forms W Withholding, Analyzing your tax withholding. Irs gov 2010 tax forms Work-related education (see Business deduction for work-related education) Working condition fringe benefit, Working condition fringe benefit. Irs gov 2010 tax forms Worksheets Coverdell ESA Contribution limit (Worksheet 6-2), Figuring the limit. Irs gov 2010 tax forms MAGI, calculation of (Worksheet 6-1), Worksheet 7-1. Irs gov 2010 tax forms MAGI for a Coverdell ESA Taxable distributions and basis (Worksheet 6-3), Worksheet 7-3. Irs gov 2010 tax forms Coverdell ESA—Taxable Distributions and Basis Taxable distributions and basis (Worksheet 7-3), Worksheet 7-3. Irs gov 2010 tax forms Coverdell ESA—Taxable Distributions and Basis Lifetime learning credit MAGI calculation (Worksheet 3-1), MAGI when using Form 1040. Irs gov 2010 tax forms Scholarships and fellowships, taxable income (Worksheet 1-1), Worksheet 1-1. Irs gov 2010 tax forms Student loan interest deduction (Worksheet 4-1), Worksheet 4-1. Irs gov 2010 tax forms Student Loan Interest Deduction Worksheet Tuition and fees deduction, MAGI calculation (Worksheet 6-1), Worksheet 6-1. Irs gov 2010 tax forms MAGI for the Tuition and Fees Deduction Prev  Up     Home   More Online Publications
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The Irs Gov 2010 Tax Forms

Irs gov 2010 tax forms Internal Revenue Bulletin:  2013-7  February 11, 2013  Rev. Irs gov 2010 tax forms Proc. Irs gov 2010 tax forms 2013-16 Table of Contents SECTION 1. Irs gov 2010 tax forms PURPOSE SECTION 2. Irs gov 2010 tax forms BACKGROUND—HAMP AND THE HAMP PRINCIPAL REDUCTION ALTERNATIVE SECTION 3. Irs gov 2010 tax forms BACKGROUND—APPLICABLE PROVISIONS OF LAW SECTION 4. Irs gov 2010 tax forms FEDERAL INCOME TAX TREATMENT SECTION 5. Irs gov 2010 tax forms INFORMATION-REPORTING OBLIGATIONS SECTION 6. Irs gov 2010 tax forms HAMP-PRA BORROWERS’ REPORTING OF DISCHARGES OF INDEBTEDNESS UNDER HAMP-PRA SECTION 7. Irs gov 2010 tax forms PENALTY RELIEF FOR 2012 SECTION 8. Irs gov 2010 tax forms SCOPE AND EFFECTIVE DATE SECTION 9. Irs gov 2010 tax forms DRAFTING INFORMATION SECTION 1. Irs gov 2010 tax forms PURPOSE This revenue procedure provides guidance to mortgage loan holders, loan servicers, and borrowers who are participating in the Department of the Treasury’s (Treasury) and Department of Housing and Urban Development’s (HUD) Home Affordable Modification Program® (HAMP®). Irs gov 2010 tax forms Under HAMP, a borrower may be eligible for principal reduction of the outstanding balance of a qualifying mortgage pursuant to the program’s Principal Reduction AlternativeSM (PRA). Irs gov 2010 tax forms In appropriate cases, HAMP has been offering the PRA as part of a HAMP loan modification since the last quarter of 2010. Irs gov 2010 tax forms Current plans call for HAMP to continue accepting new borrowers through the end of 2013. Irs gov 2010 tax forms The Internal Revenue Service (Service) is providing this guidance to address the tax consequences for borrowers (HAMP-PRA borrowers) who are participating in the PRA and the reporting obligations for participating mortgage loan holders and servicers. Irs gov 2010 tax forms SECTION 2. Irs gov 2010 tax forms BACKGROUND—HAMP AND THE HAMP PRINCIPAL REDUCTION ALTERNATIVE . Irs gov 2010 tax forms 01 To help distressed borrowers lower their monthly mortgage payments, Treasury and HUD established HAMP for mortgage loans that are not owned or guaranteed by the Federal National Mortgage Association (Fannie Mae) or the Federal Home Loan Mortgage Corporation (Freddie Mac). Irs gov 2010 tax forms A description of the program can be found at www. Irs gov 2010 tax forms makinghomeaffordable. Irs gov 2010 tax forms gov. Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 Under HAMP, a participating loan servicer, acting on behalf of the mortgage loan holder, must consider a sequence of modification steps for each eligible borrower’s mortgage loan until the borrower’s monthly payment is reduced to a monthly payment amount determined under the HAMP guidelines. Irs gov 2010 tax forms These steps include a reduction in the mortgage loan’s interest rate, an extension of the mortgage loan’s term, and a reduction in the mortgage loan’s principal balance. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 In some cases, the unpaid principal balance of the modified mortgage loan is divided into (1) an amount that bears stated interest and that is used to calculate the borrower’s new monthly mortgage payment (the “Non-forbearance Portion”), and (2) a forbearance amount, which does not bear stated interest and on which periodic payments of stated principal are not required. Irs gov 2010 tax forms The stated principal of the forbearance amount is due upon the earliest of the borrower’s transfer of the property, payoff of the balance on the Non-forbearance Portion of the mortgage loan, or maturity of the mortgage loan. Irs gov 2010 tax forms However, as noted in section 2. Irs gov 2010 tax forms 06 of this revenue procedure, a HAMP-PRA borrower sometimes may not have to pay all or a portion of the forbearance amount. Irs gov 2010 tax forms (The forbearance amount associated with a HAMP-PRA principal reduction is called the “PRA Forbearance Amount. Irs gov 2010 tax forms ”) . Irs gov 2010 tax forms 04 If a mortgage loan is being considered for a HAMP modification and the amount owed on the mortgage loan is greater than 115 percent of the value of the property, then the servicer must consider whether principal reduction under PRA should be used as part of the HAMP modification. Irs gov 2010 tax forms . Irs gov 2010 tax forms 05 The first step toward a HAMP modification is a trial period plan, in which the borrower’s monthly mortgage payment is set at a monthly payment amount determined under the HAMP guidelines. Irs gov 2010 tax forms The trial period plan effective date is the due date for the first of the reduced payments that are to be made under the trial period plan. Irs gov 2010 tax forms (It is the first day of either the first or the second month after the servicer transmits the trial period notice to the borrower. Irs gov 2010 tax forms ) In general, the trial period is three months, and, during this period, the borrower must satisfy certain conditions before the changes to the terms of the mortgage loan become permanent (the “Trial Period Conditions”). Irs gov 2010 tax forms Specifically, depending on the borrower’s trial period payment history, the borrower’s compliance with HAMP and servicer guidelines, and his or her satisfaction of all other Trial Period Conditions, the borrower will be offered a permanent modification of the terms of the mortgage loan, including monthly mortgage payments that are lower than those under the old mortgage loan. Irs gov 2010 tax forms Until the effective date of a permanent modification, the terms of the existing mortgage loan continue to apply. Irs gov 2010 tax forms . Irs gov 2010 tax forms 06 After the mortgage loan is permanently modified under HAMP, if the modified mortgage loan is in good standing on the first, second, or third annual anniversary of the trial period plan effective date (the “Three-year Period”), the servicer must reduce the unpaid principal balance of the mortgage loan on the respective anniversary date by one-third of the initial PRA Forbearance Amount. Irs gov 2010 tax forms (The servicer allocates the entire reduction to the remaining PRA Forbearance Amount. Irs gov 2010 tax forms ) In general, if a HAMP-PRA borrower’s mortgage loan is in good standing and if the HAMP-PRA borrower pays in full the Non-forbearance Portion of the mortgage loan prior to the reduction of the entire PRA Forbearance Amount, the servicer must reduce the remaining outstanding principal balance of the mortgage loan by the remaining PRA Forbearance Amount. Irs gov 2010 tax forms . Irs gov 2010 tax forms 07 In connection with every HAMP loan modification, the HAMP program administrator (acting on behalf of the federal government) provides incentives to the borrower, the servicer, and the investor (that is, the holder of the mortgage loan). Irs gov 2010 tax forms If a HAMP loan modification includes a PRA principal reduction, the HAMP program administrator makes additional incentive payments to the investor. Irs gov 2010 tax forms These additional incentives are called “PRA Investor Incentive Payments” and are generally spread over three years. Irs gov 2010 tax forms The size of the PRA Investor Incentive Payments depends on the amount of principal reduced, the loan-to-value ratio at the time of the HAMP modification, and the loan’s payment history before the modification. Irs gov 2010 tax forms The PRA Investor Incentive Payments range from 18 to 63 percent of the principal amounts reduced. Irs gov 2010 tax forms For purposes of this revenue procedure, the excess of the initial PRA Forbearance Amount of a mortgage loan over the aggregate PRA Investor Incentive Payments scheduled to be paid with respect to that loan is called the “PRA Adjusted Forbearance Amount. Irs gov 2010 tax forms ” . Irs gov 2010 tax forms 08 A PRA Investor Incentive Payment is earned by the investor on each date on which the servicer reduces the unpaid principal balance of the mortgage loan by a portion of the PRA Forbearance Amount (generally, on the first three annual anniversaries of the trial period plan effective date). Irs gov 2010 tax forms . Irs gov 2010 tax forms 09 If a HAMP-PRA borrower’s early payment in full of the Non-forbearance Portion of the mortgage loan accelerates the reduction of the remaining PRA Forbearance Amount (described above in section 2. Irs gov 2010 tax forms 06 of this revenue procedure), the remaining PRA Investor Incentive Payments from the HAMP program administrator are also accelerated. Irs gov 2010 tax forms . Irs gov 2010 tax forms 10 If, prior to completion of the Three-year Period, a mortgage loan ceases to be in good standing because of the HAMP-PRA borrower’s payment history, then the remaining PRA Forbearance Amount is not further reduced and is due when the HAMP-PRA borrower transfers the property, the HAMP-PRA borrower refinances, or otherwise pays off the Non-forbearance Portion of the mortgage loan, or the mortgage loan matures. Irs gov 2010 tax forms SECTION 3. Irs gov 2010 tax forms BACKGROUND—APPLICABLE PROVISIONS OF LAW . Irs gov 2010 tax forms 01 Under § 61 of the Internal Revenue Code, except as otherwise provided in subtitle A, gross income means all income from whatever source derived, including income from discharge of indebtedness. Irs gov 2010 tax forms See § 61(a)(12). Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 Under § 1. Irs gov 2010 tax forms 1001-3 of the Income Tax Regulations, if a debt instrument undergoes a significant modification, then the modification results in an exchange of the original debt instrument for the modified debt instrument. Irs gov 2010 tax forms In general, an agreement to change a term of a debt instrument is a modification at the time the borrower and holder enter into the agreement, even if the change in term is not immediately effective. Irs gov 2010 tax forms However, if the change is conditioned on reasonable closing conditions, a modification occurs on the closing date of the agreement. Irs gov 2010 tax forms See § 1. Irs gov 2010 tax forms 1001-3(c)(6). Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 Under § 108(e)(10), in the case of a debt-for-debt exchange (including a deemed exchange under § 1. Irs gov 2010 tax forms 1001-3), the borrower is treated as having satisfied the original debt instrument with an amount of money equal to the issue price of the new debt instrument. Irs gov 2010 tax forms If the amount of debt satisfied in this manner exceeds that issue price, the borrower realizes discharge of indebtedness income on the exchange. Irs gov 2010 tax forms See also § 1. Irs gov 2010 tax forms 61-12(c). Irs gov 2010 tax forms . Irs gov 2010 tax forms 04 The issue price of a non-publicly traded debt instrument issued for non-publicly traded property generally reflects the amount of principal that the borrower is required to pay to the holder of the instrument. Irs gov 2010 tax forms If a borrower has the ability to avoid paying certain amounts (including principal) without violating the terms of the instrument, the payment schedule for the instrument is generally determined based on an assumption that the borrower will avoid any requirement to make those payments. Irs gov 2010 tax forms See, e. Irs gov 2010 tax forms g. Irs gov 2010 tax forms , §§ 1. Irs gov 2010 tax forms 1272-1(c)(5) and 1. Irs gov 2010 tax forms 1274-2(d). Irs gov 2010 tax forms . Irs gov 2010 tax forms 05 Under § 108(a), gross income does not include any amount that but for § 108(a) would be includible in gross income by reason of the discharge (in whole or in part) of a taxpayer’s indebtedness if (1) the indebtedness discharged is qualified principal residence indebtedness that is discharged before January 1, 2014, or (2) the discharge occurs when the taxpayer is insolvent. Irs gov 2010 tax forms Section 108(a)(1)(E) and 108(a)(1)(B). Irs gov 2010 tax forms (Although § 108 contains other exclusions as well, this revenue procedure focuses on these two exclusions because they are the most likely to apply to the greatest number of HAMP-PRA borrowers. Irs gov 2010 tax forms ) . Irs gov 2010 tax forms 06 Under §§ 108(h) and 163(h)(3)(B), qualified principal residence indebtedness is any indebtedness that is incurred by a borrower to buy, build, or substantially improve the borrower’s principal residence and is secured by that residence. Irs gov 2010 tax forms . Irs gov 2010 tax forms 07 Qualified principal residence indebtedness also includes a loan secured by the borrower’s principal residence that refinances qualified principal residence indebtedness, but only to the extent of the amount of the refinanced indebtedness. Irs gov 2010 tax forms See §§ 108(h) and 163(h)(3)(B)(i). Irs gov 2010 tax forms . Irs gov 2010 tax forms 08 The maximum amount of discharged indebtedness that a borrower may exclude from gross income under the qualified principal residence indebtedness exclusion is $2,000,000 ($1,000,000 for a married individual filing a separate return). Irs gov 2010 tax forms Under § 108(h)(4), if only part of the discharged indebtedness is qualified principal residence indebtedness, then the exclusion applies only to the amount of the discharged indebtedness that exceeds the amount of the loan (determined immediately before the discharge) that is not qualified principal residence indebtedness. Irs gov 2010 tax forms . Irs gov 2010 tax forms 09 Under § 108(a)(3), the insolvency exclusion applies to the lesser of the amount of the debt discharged or the amount by which the taxpayer is insolvent immediately before the discharge. Irs gov 2010 tax forms . Irs gov 2010 tax forms 10 Section 108(d)(3) provides that, for purposes of the insolvency exclusion, a taxpayer is insolvent to the extent that the taxpayer’s total liabilities exceed the fair market value of all of the taxpayer’s assets immediately before the discharge of indebtedness. Irs gov 2010 tax forms Under § 108(a)(2)(C), the qualified principal residence indebtedness exclusion takes precedence over the insolvency exclusion when both exclusions apply to discharged indebtedness, unless the taxpayer elects to apply the insolvency exclusion. Irs gov 2010 tax forms . Irs gov 2010 tax forms 11 If an amount is excluded from gross income as a discharge of qualified principal residence indebtedness, the taxpayer must reduce the basis of the taxpayer’s principal residence. Irs gov 2010 tax forms See § 108(h)(1). Irs gov 2010 tax forms If a discharged amount is excluded from gross income because the taxpayer was insolvent when the discharge occurred, the taxpayer must reduce certain tax attributes (possibly including basis). Irs gov 2010 tax forms See § 108(b). Irs gov 2010 tax forms For further discussion of income from the discharge of indebtedness, the qualified principal residence indebtedness exclusion, the insolvency exclusion, and other exclusions from gross income that may apply, see Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments (for Individuals). Irs gov 2010 tax forms . Irs gov 2010 tax forms 12 Taxpayers who exclude any discharged amounts from gross income report both the exclusion and the resulting reduction in basis or other tax attributes on Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness (and Section 1082 Basis Adjustment). Irs gov 2010 tax forms See Form 982 instructions and Publication 4681. Irs gov 2010 tax forms This form is to be filed with the tax return for the taxable year in which the amount is discharged but is excluded from gross income. Irs gov 2010 tax forms . Irs gov 2010 tax forms 13 Governmental payments made to or on behalf of individuals or other persons are included within the broad definition of gross income under § 61 unless an exception applies. Irs gov 2010 tax forms See Notice 2003-18, 2003-1 C. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 699, and Rev. Irs gov 2010 tax forms Rul. Irs gov 2010 tax forms 79-356, 1979-2 C. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 28. Irs gov 2010 tax forms However, if disbursements are made by a governmental unit to individuals in the interest of the general welfare (that is, are generally based on individual or family need) and the disbursements do not represent compensation for services, then the amounts disbursed are excluded from the income of the recipient (general welfare exclusion). Irs gov 2010 tax forms See Rev. Irs gov 2010 tax forms Rul. Irs gov 2010 tax forms 2005-46, 2005-2 C. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 120, and Rev. Irs gov 2010 tax forms Rul. Irs gov 2010 tax forms 75-246, 1975-1 C. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 24. Irs gov 2010 tax forms . Irs gov 2010 tax forms 14 Under § 451 and § 1. Irs gov 2010 tax forms 451-1(a), a taxpayer that uses the cash receipts and disbursements method of accounting includes income in gross income when the taxpayer actually or constructively receives the income. Irs gov 2010 tax forms . Irs gov 2010 tax forms 15 Section 6041 requires every person engaged in a trade or business (including the United States and its agencies) to (1) file an information return (Form 1099-MISC, Miscellaneous Income, is used for this purpose) for each calendar year in which the person makes, in the course of its trade or business, payments to another person of fixed or determinable income aggregating $600 or more, and (2) furnish a copy of the information return to that other person. Irs gov 2010 tax forms See § 6041(a) and (d) and § 1. Irs gov 2010 tax forms 6041-1(a)(1) and (b). Irs gov 2010 tax forms . Irs gov 2010 tax forms 16 Section 6050P requires applicable entities (including the United States and its agencies, financial entities, and any organization a significant trade or business of which is the lending of money) to (1) file an information return (Form 1099-C, Cancellation of Debt, is used for this purpose) for each calendar year in which it discharges indebtedness of another person of $600 or more, and (2) furnish a copy of the information return to that other person. Irs gov 2010 tax forms See § 6050P(a)-(c) and §§ 1. Irs gov 2010 tax forms 6050P-1(a) and 1. Irs gov 2010 tax forms 6050P-2(a) and (d). Irs gov 2010 tax forms . Irs gov 2010 tax forms 17 Section 6721 imposes penalties with respect to information returns required to be filed with the Service. Irs gov 2010 tax forms These penalties apply in the case of a failure to timely file an information return, a failure to include all required information on the return, or the inclusion of incorrect information on the return. Irs gov 2010 tax forms Section 6724(d)(1) includes Forms 1099-MISC and 1099-C in the term “information return. Irs gov 2010 tax forms ” . Irs gov 2010 tax forms 18 Section 6722 imposes penalties with respect to payee statements required to be furnished to payees. Irs gov 2010 tax forms These penalties apply in the case of a failure to timely furnish a payee statement, a failure to include all required information on the statement, or the inclusion of incorrect information on the payee statement. Irs gov 2010 tax forms Section 6724(d)(2) includes in the term “payee statement” copies of Forms 1099-MISC and 1099-C that are required to be furnished to taxpayers. Irs gov 2010 tax forms SECTION 4. Irs gov 2010 tax forms FEDERAL INCOME TAX TREATMENT . Irs gov 2010 tax forms 01 Because a HAMP modification with a PRA principal reduction is a significant modification, it results in a deemed debt-for-debt exchange in which the HAMP-PRA borrower satisfies the old mortgage loan by issuing a new one. Irs gov 2010 tax forms See § 1. Irs gov 2010 tax forms 1001-3. Irs gov 2010 tax forms At the time of the modification, therefore, under § 108 and this revenue procedure, the HAMP-PRA borrower realizes discharge of indebtedness income equal to any excess of the adjusted issue price of the old mortgage loan (which was satisfied in the deemed exchange) over the issue price of the new (post-modification) mortgage loan. Irs gov 2010 tax forms See also § 61(a)(12) and § 1. Irs gov 2010 tax forms 61-12(c). Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 A HAMP-PRA borrower has the ability to avoid payment of the PRA Adjusted Forbearance Amount. Irs gov 2010 tax forms Because the HAMP-PRA borrower has this ability, that amount should not be taken into account in determining the issue price of the new mortgage loan. Irs gov 2010 tax forms Because the issue price of the new mortgage loan does not include the PRA Adjusted Forbearance Amount, the PRA Adjusted Forbearance Amount contributes to the excess of the adjusted issue price of the old mortgage loan (which was satisfied in the deemed exchange) over the issue price of the new mortgage loan. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 On the other hand, the investor has not given up its right to receive the remainder of the PRA Forbearance Amount, because the HAMP program administrator is expected to make those payments on the HAMP-PRA borrower’s behalf by making the PRA Investor Incentive Payments. Irs gov 2010 tax forms Because the remainder of the PRA Forbearance Amount is payable in this manner, that remainder is included in the issue price of the new mortgage loan. Irs gov 2010 tax forms . Irs gov 2010 tax forms 04 The Trial Period Conditions are reasonable closing conditions that must be satisfied before the changes to the terms of the mortgage loan become permanent. Irs gov 2010 tax forms Therefore, for purposes of § 1. Irs gov 2010 tax forms 1001-3, the date of the modification is the date of the permanent modification. Irs gov 2010 tax forms . Irs gov 2010 tax forms 05 Unless an exclusion applies, the HAMP-PRA borrower includes in gross income the discharge of indebtedness income described in section 4. Irs gov 2010 tax forms 01 of this revenue procedure for the taxable year in which the permanent modification occurs. Irs gov 2010 tax forms Under certain conditions, however, section 6 of this revenue procedure permits a borrower to report the discharge of indebtedness under HAMP-PRA over the Three-year Period. Irs gov 2010 tax forms The qualified principal residence indebtedness exclusion under § 108(a)(1)(E) and the insolvency exclusion under § 108(a)(1)(B) are two exclusions that may apply to the discharge. Irs gov 2010 tax forms . Irs gov 2010 tax forms 06 The PRA Investor Incentive Payment is treated as a payment on the mortgage loan by the HAMP program administrator on behalf of the HAMP-PRA borrower. Irs gov 2010 tax forms . Irs gov 2010 tax forms 07 To the extent that the HAMP-PRA borrower uses the property as the HAMP-PRA borrower’s principal residence or the property is occupied by the HAMP-PRA borrower’s legal dependent, parent, or grandparent without rent being charged or collected, the HAMP-PRA borrower excludes from his or her gross income under the general welfare exclusion the PRA Investor Incentive Payments that the HAMP program administrator makes to the investor in the mortgage loan. Irs gov 2010 tax forms This is consistent with Rev. Irs gov 2010 tax forms Rul. Irs gov 2010 tax forms 2009-19, 2009-28 I. Irs gov 2010 tax forms R. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 111, which addressed the treatment of Pay-for-Performance Success Payments. Irs gov 2010 tax forms . Irs gov 2010 tax forms 08 To the extent that the HAMP-PRA borrower uses the property as a rental property or holds the property vacant and available for rent, the HAMP-PRA borrower includes PRA Investor Incentive Payments in gross income. Irs gov 2010 tax forms If the HAMP-PRA borrower uses the cash receipts and disbursements method of accounting, then the HAMP-PRA borrower includes a PRA Investor Incentive Payment in gross income in the taxable year in which it is applied as a payment on the HAMP-PRA borrower’s mortgage loan. Irs gov 2010 tax forms . Irs gov 2010 tax forms 09 As described in section 2. Irs gov 2010 tax forms 09 of this revenue procedure, if a HAMP-PRA borrower pays in full the Non-forbearance Portion of the mortgage loan while the loan is in good standing and prior to completion of the Three-year Period, that payment accelerates both the reduction in the remaining PRA Forbearance Amount and the PRA Investor Incentive Payments from the HAMP program administrator. Irs gov 2010 tax forms To the extent that the HAMP-PRA borrower is described in section 4. Irs gov 2010 tax forms 07 of this revenue procedure, the HAMP-PRA borrower excludes from his or her gross income under the general welfare exclusion the accelerated PRA Investor Incentive Payments. Irs gov 2010 tax forms To the extent that the HAMP-PRA borrower is described in section 4. Irs gov 2010 tax forms 08 of this revenue procedure, the HAMP-PRA borrower includes in income in the year of the acceleration the remaining amount of the PRA Investor Incentive Payment. Irs gov 2010 tax forms SECTION 5. Irs gov 2010 tax forms INFORMATION-REPORTING OBLIGATIONS . Irs gov 2010 tax forms 01 Under § 6050P, the investor is required to file a Form 1099-C with respect to a borrower who realizes discharge of indebtedness of $600 or more. Irs gov 2010 tax forms A copy of this form is required to be furnished to the borrower. Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 As stated in sections 4. Irs gov 2010 tax forms 01 and 4. Irs gov 2010 tax forms 04 of this revenue procedure, the HAMP-PRA discharge of indebtedness is realized at the time of the permanent modification of the mortgage loan. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 An investor is an applicable entity that is required under § 1. Irs gov 2010 tax forms 6050P-1 and this revenue procedure to issue a Form 1099-C for discharge of indebtedness. Irs gov 2010 tax forms Under § 1. Irs gov 2010 tax forms 6050P-1(b)(2)(F), the permanent modification of a mortgage loan is an identifiable event. Irs gov 2010 tax forms Identifiable events determine when Forms 1099-C have to be issued. Irs gov 2010 tax forms Thus, the Form 1099-C is issued for the calendar year in which the permanent mortgage loan modification occurs. Irs gov 2010 tax forms This rule under § 1. Irs gov 2010 tax forms 6050P-1(b)(2)(F) applies even if, under section 6 of this revenue procedure, the HAMP-PRA borrower chooses to treat the HAMP-PRA discharge as being realized at the times when the unpaid principal balance of the new mortgage loan is reduced. Irs gov 2010 tax forms . Irs gov 2010 tax forms 04 The investor (or the loan servicer acting on behalf of the investor) reports the full amount of the discharge on the Form 1099-C regardless of whether some or all of the amount is excludible from income under the qualified principal residence indebtedness exclusion, the insolvency exclusion, or any other exclusion that may apply. Irs gov 2010 tax forms That discharged amount will generally be the PRA Adjusted Forbearance Amount (which does not include the amounts expected to be satisfied by PRA Investor Incentive Payments). Irs gov 2010 tax forms . Irs gov 2010 tax forms 05 To the extent that PRA Investor Incentive Payments are made on behalf of a HAMP-PRA borrower who is described in section 4. Irs gov 2010 tax forms 07 of this revenue procedure, the PRA Investor Incentive Payments are excluded from the gross income of the HAMP-PRA borrower, and thus they are not fixed or determinable income to the HAMP-PRA borrower. Irs gov 2010 tax forms Under § 6041, these payments are not subject to information reporting. Irs gov 2010 tax forms See Notice 2011-14, 2011-11 I. Irs gov 2010 tax forms R. Irs gov 2010 tax forms B. Irs gov 2010 tax forms 544, 546. Irs gov 2010 tax forms . Irs gov 2010 tax forms 06 To the extent that PRA Investor Incentive Payments are made on behalf of a HAMP-PRA borrower who is described in section 4. Irs gov 2010 tax forms 08 of this revenue procedure, the PRA Investor Incentive Payments are includible in gross income as fixed or determinable income in the taxable year required by the HAMP-PRA borrower’s method of accounting. Irs gov 2010 tax forms The payment is subject to the information reporting requirements of § 6041, as described in section 3. Irs gov 2010 tax forms 15 of this revenue procedure. Irs gov 2010 tax forms Accordingly, the HAMP program administrator is required to issue a Form 1099-MISC reporting the PRA Investor Incentive Payment. Irs gov 2010 tax forms SECTION 6. Irs gov 2010 tax forms HAMP-PRA BORROWERS’ REPORTING OF DISCHARGES OF INDEBTEDNESS UNDER HAMP-PRA . Irs gov 2010 tax forms 01 In general. Irs gov 2010 tax forms The HAMP-PRA program began in the last quarter of 2010, and since that time there has been uncertainty about whether the amount of the discharge of indebtedness should be reported in the year of the permanent modification or over the Three-year Period (when the unpaid principal balance on the new mortgage loan is reduced). Irs gov 2010 tax forms As a result, some HAMP-PRA borrowers have been reporting the discharge of indebtedness under HAMP-PRA over the Three-year Period. Irs gov 2010 tax forms Given the temporary nature of the program and the issuance of this guidance after participation in the program has begun, in the interests of equitable and sound tax administration, HAMP-PRA borrowers may report discharges of indebtedness under HAMP-PRA under the rules in this section 6. Irs gov 2010 tax forms A HAMP-PRA borrower may choose to report discharges of indebtedness under HAMP-PRA pursuant to the rules in this section 6 only if the borrower applies the same borrower option under section 6. Irs gov 2010 tax forms 02 of this revenue procedure consistently to the taxable year of the permanent modification and to all subsequent taxable years. Irs gov 2010 tax forms Thus, a HAMP-PRA borrower may not choose a borrower option under section 6. Irs gov 2010 tax forms 02 of this revenue procedure if a statute of limitations has expired for any of the taxable years that are necessary for consistent application of that option. Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 HAMP-PRA borrower options. Irs gov 2010 tax forms A HAMP-PRA borrower may treat the HAMP-PRA discharge as being realized in either of the following ways— (1) One hundred percent of the PRA Adjusted Forbearance Amount at the time of the permanent modification; or (2) One third of the PRA Adjusted Forbearance Amount on each of the first three annual anniversaries of the trial period plan effective date (described in section 2. Irs gov 2010 tax forms 06 of this revenue procedure), when, as required by the terms of the new mortgage loan, the servicer reduces the unpaid principal balance of the new mortgage loan. Irs gov 2010 tax forms If some or all of the reduction in the unpaid principal balance is accelerated (as described in section 2. Irs gov 2010 tax forms 06 of this revenue procedure) because the HAMP-PRA borrower prepays the Non-forbearance Portion of the mortgage loan, then the HAMP-PRA discharge represented by the amount of the reduction that was accelerated is treated as being realized at the time of the accelerated reduction. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 HAMP-PRA borrowers who choose to realize the HAMP-PRA discharge at the time of the permanent modification. Irs gov 2010 tax forms (1) If a HAMP-PRA borrower chooses to treat the HAMP-PRA discharge as being realized at the time of the permanent modification, then for the taxable year in which the permanent modification occurs, the HAMP-PRA borrower reports on Form 982 the amount, if any, of the discharge that is excluded from gross income and includes in gross income any remaining discharge. Irs gov 2010 tax forms (2) If a HAMP-PRA borrower’s mortgage loan was permanently modified under HAMP in 2010 or 2011, and if the borrower was reporting the discharge of indebtedness using the method described in section 6. Irs gov 2010 tax forms 02(2) of this revenue procedure, then the borrower may change to reporting the discharge of indebtedness using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure by filing a 2012 Form 982 with the borrower’s timely filed (with extensions) 2012 income tax return. Irs gov 2010 tax forms This section 6. Irs gov 2010 tax forms 03(2) applies only if the change to reporting the discharge using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure does not change the borrower’s federal income tax liability (including any change in federal income tax liability due to a change in basis or tax attributes (under § 108(h)(1) or § 108(b))) for any taxable year prior to the borrower’s 2012 taxable year. Irs gov 2010 tax forms To make this change, the borrower must— (i) Compute the amount of discharge of indebtedness that would be included in income under § 61(a)(12) or excluded from gross income under § 108, basing the computation of the discharge on the facts as of the year of the permanent modification; and (ii) Report on a 2012 Form 982 the reduction in basis or tax attributes (under § 108(h)(1) or § 108(b)) due to the permanent modification that the borrower would have reported on the Form 982 for the taxable year of the permanent modification, minus any reductions due to the permanent modification that the borrower actually reported on Forms 982 for taxable years prior to 2012. Irs gov 2010 tax forms (3) Example. Irs gov 2010 tax forms The following example illustrates the application of section 6. Irs gov 2010 tax forms 03(2) of this revenue procedure. Irs gov 2010 tax forms In 2010, B’s basis in B’s principal residence was $330,000. Irs gov 2010 tax forms In 2010, B’s mortgage loan on the principal residence is permanently modified under HAMP-PRA. Irs gov 2010 tax forms B realized $30,000 of cancellation of indebtedness from the permanent modification, all of which qualifies for the exclusion from income for qualified principal residence indebtedness under § 108(a)(1)(E). Irs gov 2010 tax forms The trial period plan effective date also fell in 2010. Irs gov 2010 tax forms B’s federal income tax return for 2010 was consistent with B’s reporting this discharge of indebtedness using the method described in section 6. Irs gov 2010 tax forms 02(2) of this revenue procedure. Irs gov 2010 tax forms That is, B’s 2010 return did not include income from discharge of indebtedness under HAMP-PRA, nor did the return contain a Form 982 reporting exclusion of any such discharge of indebtedness. Irs gov 2010 tax forms The next year, B reported on line 10(b) of the 2011 Form 982 that B filed with B’s 2011 federal income tax return a $10,000 reduction in basis in the principal residence. Irs gov 2010 tax forms For 2012, B chooses to change to reporting the discharge of indebtedness using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure. Irs gov 2010 tax forms Thus, B files a 2012 Form 982 with B’s timely filed (including extensions) 2012 federal income tax return, and on line 10(b) of that form, B reports a $20,000 basis reduction in the principal residence ($30,000 basis reduction that B would have excluded from income in 2010 using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure, minus the $10,000 basis reduction that B reported on B’s 2011 Form 982). Irs gov 2010 tax forms (4) If a HAMP-PRA borrower reports the entire HAMP-PRA discharge using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure, and if that HAMP-PRA borrower’s mortgage loan ceases to be in good standing during the Three-year Period as described in section 2. Irs gov 2010 tax forms 10 of this revenue procedure, then some or all of the anticipated reductions in the PRA Adjusted Forbearance Amount will not take place. Irs gov 2010 tax forms Because the amount of these anticipated reductions was not included in determining the issue price of the new mortgage loan that, pursuant to § 1. Irs gov 2010 tax forms 1001-3, the HAMP-PRA borrower is deemed to issue in satisfaction of the old mortgage loan, the issue price of the new mortgage loan was understated. Irs gov 2010 tax forms Under these circumstances, the discharge of indebtedness income determined as of the date of the permanent modification will have been overstated. Irs gov 2010 tax forms (5) The Service will not challenge a HAMP-PRA borrower who is described in section 6. Irs gov 2010 tax forms 03(4) of this revenue procedure and who takes the following corrective measures: (i) If a HAMP-PRA borrower included any of the discharge of indebtedness in gross income, the HAMP-PRA borrower may file an amended return that does not include the amount of the discharge of indebtedness that was previously reported as gross income but that, because of the HAMP-PRA borrower’s failure to keep the new mortgage loan in good standing, was not ultimately discharged. Irs gov 2010 tax forms The amended return should be for the taxable year in which the income was included (that is, the year of the permanent modification), provided the applicable statute of limitations remains open for that taxable year. Irs gov 2010 tax forms (ii) If the HAMP-PRA borrower did not include any of the discharge of indebtedness in gross income (that is, if the HAMP-PRA borrower excluded all of it), the HAMP-PRA borrower may file a new Form 982 that the Service will treat as superseding the earlier Form 982. Irs gov 2010 tax forms The new Form 982 will reflect the revised reduction in basis or in tax attributes (under § 108(h)(1) or § 108(b)). Irs gov 2010 tax forms The new Form 982 should be the Form 982 for the year of the permanent modification and should be filed with the return for the taxable year in which the HAMP-PRA borrower’s mortgage loan ceased to be in good standing. Irs gov 2010 tax forms . Irs gov 2010 tax forms 04 HAMP-PRA borrowers who choose to treat the HAMP-PRA discharge as being realized on the dates on which the unpaid principal balance of the mortgage loan is reduced. Irs gov 2010 tax forms (1) If a HAMP-PRA borrower chooses to realize the HAMP-PRA discharge at the times that the unpaid principal balance on the new mortgage loan is reduced, instead of at the time of the permanent modification, then the HAMP-PRA borrower’s federal income tax returns for the taxable year that contains the permanent modification and for the subsequent taxable years must not treat any of the discharge as being realized at the time of the permanent modification and must treat the entire HAMP-PRA discharge as being realized in the amounts—and at the times—of the reductions in the unpaid principal balance. Irs gov 2010 tax forms Except as described in the last sentence of this paragraph, therefore, the income tax return for the year of the permanent modification must include no gross income from—nor report on Form 982 an exclusion of—any amount of the HAMP-PRA discharge. Irs gov 2010 tax forms Instead, the HAMP-PRA discharge is included in gross income (or is reported on Form 982 as excluded from gross income) in the subsequent years in which the unpaid principal balance is reduced. Irs gov 2010 tax forms If the first such reduction occurs in the year of the permanent modification, however, then the amount of any such reduction is reflected as an inclusion or exclusion on the federal income tax return for that year. Irs gov 2010 tax forms (2) A HAMP-PRA borrower who has been using the method described in section 6. Irs gov 2010 tax forms 02(1) of this revenue procedure may change to the method described in section 6. Irs gov 2010 tax forms 02(2) but must comply with the consistency and open-year requirements described in section 6. Irs gov 2010 tax forms 01 of this revenue procedure. Irs gov 2010 tax forms SECTION 7. Irs gov 2010 tax forms PENALTY RELIEF FOR 2012 . Irs gov 2010 tax forms 01 The Service will not assert penalties under § 6721 or § 6722 against an investor for failing to timely file and furnish a 2012 Form 1099-C as required by section 5. Irs gov 2010 tax forms 03 through 5. Irs gov 2010 tax forms 04 and section 8. Irs gov 2010 tax forms 02 of this revenue procedure with respect to discharge of indebtedness resulting from HAMP-PRA permanent modifications that take place during calendar year 2012 if the following requirements are satisfied: (1) Not later than February 28, 2013, a statement is sent to the HAMP-PRA borrower containing the following: (a) The HAMP-PRA borrower’s name, address, and taxpayer identification number; and (b) The date and amount of the discharge of indebtedness (as described in sections 4. Irs gov 2010 tax forms 01 through 4. Irs gov 2010 tax forms 04 of this revenue procedure) that is required to be reported for 2012. Irs gov 2010 tax forms (2) Not later than March 28, 2013, a statement is sent to the Service. Irs gov 2010 tax forms It must be in the form of a single statement that separately lists for each HAMP-PRA borrower the information specified in section 7. Irs gov 2010 tax forms 01(1) of this revenue procedure. Irs gov 2010 tax forms The statement should be sent to the Service at the following address: Internal Revenue Service Center Stop 6728AUSC Austin, TX 73301 . Irs gov 2010 tax forms 02 The Service will not assert penalties under § 6721 or § 6722 with respect to any Forms 1099-MISC for 2012 that sections 5. Irs gov 2010 tax forms 06 and 8. Irs gov 2010 tax forms 02 of this revenue procedure require to be filed with the Service and furnished to taxpayers. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 Section 8. Irs gov 2010 tax forms 03 and 8. Irs gov 2010 tax forms 04 of this revenue procedure, below, describes penalty relief regarding Forms 1099-C and 1099-MISC for 2010 and 2011. Irs gov 2010 tax forms SECTION 8. Irs gov 2010 tax forms SCOPE AND EFFECTIVE DATE . Irs gov 2010 tax forms 01 This revenue procedure applies to all borrowers, investors, and servicers who participate, or have participated, in the HAMP-PRA, regardless of when the permanent modification occurs. Irs gov 2010 tax forms . Irs gov 2010 tax forms 02 Section 5 of this revenue procedure is effective for Forms 1099-C and 1099-MISC due or filed after January 24, 2013. Irs gov 2010 tax forms . Irs gov 2010 tax forms 03 Because of the effective date in section 8. Irs gov 2010 tax forms 02 of this revenue procedure, an investor is not subject to penalties under § 6721 or § 6722 on the grounds that the investor failed to timely file and furnish a 2010 or 2011 Form 1099-C as described in section 5. Irs gov 2010 tax forms 03 through 5. Irs gov 2010 tax forms 04 of this revenue procedure (or on the grounds that the investor filed or furnished a 2010 or 2011 Form 1099-C that is inconsistent with section 5. Irs gov 2010 tax forms 03 through 5. Irs gov 2010 tax forms 04 of this revenue procedure), provided that the investor demonstrates a good faith attempt to comply with the requirements of § 6050P and that the failure was not due to willful neglect. Irs gov 2010 tax forms . Irs gov 2010 tax forms 04 Because of the effective date in section 8. Irs gov 2010 tax forms 02 of this revenue procedure, the Service will not assert penalties under § 6721 or § 6722 on the grounds of a failure to timely file and furnish a 2010 or 2011 Form 1099-MISC, as described in section 5. Irs gov 2010 tax forms 06 of this revenue procedure. Irs gov 2010 tax forms SECTION 9. Irs gov 2010 tax forms DRAFTING INFORMATION The principal authors of this revenue procedure are Ronald J. Irs gov 2010 tax forms Goldstein of the Office of Chief Counsel (Procedure and Administration); Shareen S. Irs gov 2010 tax forms Pflanz and Sheldon A. Irs gov 2010 tax forms Iskow of the Office of Chief Counsel (Income Tax and Accounting); and Andrea M. Irs gov 2010 tax forms Hoffenson of the Office of Chief Counsel (Financial Institutions and Products). Irs gov 2010 tax forms For further information regarding this revenue procedure, contact Procedure and Administration branch 1 at (202) 622-4910, Income Tax and Accounting branch 4 at (202) 622-4920, or Financial Institutions and Products branch 1 at (202) 622-3920 (not toll-free calls). Irs gov 2010 tax forms Prev  Up  Next   Home   More Internal Revenue Bulletins