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Taxes 2010

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Taxes 2010

Taxes 2010 31. Taxes 2010   Impuesto sobre Ingresos No Derivados del Trabajo de Determinados Hijos Table of Contents ¿Que Hay de Nuevo? Introduction Useful Items - You may want to see: Cómo Saber si se Tiene que Utilizar la Declaración del Padre o de la MadrePadres que no Presentan la Declaración Conjunta Elección de los Padres de Declarar los Intereses y Dividendos del HijoConsecuencias de Incluir los Ingresos del Hijo Cómo Calcular los Ingresos del Hijo Cómo Calcular el Impuesto Adicional Impuesto para Determinados Hijos con Ingresos No Derivados del TrabajoCómo Facilitar Información sobre los Padres (líneas A-C del Formulario 8615) Paso 1. Taxes 2010 Cómo Calcular los Ingresos Netos No Derivados del Trabajo del Hijo (Parte I del Formulario 8615) Paso 2. Taxes 2010 Cómo Calcular el Impuesto Provisional a la Tasa Impositiva de los Padres (Parte II del Formulario 8615) Paso 3. Taxes 2010 Cómo Calcular el Impuesto del Hijo (Parte III del Formulario 8615) ¿Que Hay de Nuevo? Impuesto sobre el ingreso neto de inversiones. Taxes 2010  Para años empezando después del 31 de diciembre de 2012, el impuesto de un hijo, el cual se calcula en el Formulario 8615, puede estar sujeto al impuesto sobre el ingreso neto de inversiones (NIIT, por sus siglas en inglés). Taxes 2010 El NIIT es un impuesto de 3. Taxes 2010 8% sobre la cantidad menor entre el ingreso neto de inversión o el exceso del ingreso bruto ajustado modificado (MAGI) del hijo que exceda del límite superior específico. Taxes 2010 Utilice el Formulario 8960, Net Investment Income Tax (Impuesto sobre ingreso neto de inversiones), en inglés, para calcular este impuesto. Taxes 2010 Para más información sobre el NIIT, visite www. Taxes 2010 irs. Taxes 2010 gov e ingrese “Net Investment Income Tax” en la casilla de búsqueda “Search” (Buscar), en inglés. Taxes 2010 Introduction Este capítulo explica los dos requisitos siguientes, los cuales podrían afectar el impuesto sobre ingresos no derivados del trabajo de determinados hijos: Si los ingresos procedentes de intereses y dividendos del hijo (incluidas las distribuciones de ganancias de capital) totalizan menos de $10,000, el padre o la madre tal vez pueda optar por incluir dichos ingresos en la declaración de uno de los padres en vez de presentar una declaración a nombre del hijo. Taxes 2010 Vea Elección de los Padres de Declarar Intereses y Dividendos del Hijo , más adelante. Taxes 2010 Si el total de intereses, dividendos y otros ingresos no derivados del trabajo del hijo sobrepasa $2,000, una parte de dichos ingresos podría estar sujeta a la misma tasa de impuesto que la de sus padres en lugar de estar sujeta a la tasa del hijo. Taxes 2010 (Vea Impuesto para Determinados Hijos con Ingresos No Derivados del Trabajo , más adelante). Taxes 2010 En lo que concierne a estos requisitos, el término “hijo” abarca a hijos legalmente adoptados e hijastros. Taxes 2010 Estos requisitos corresponden tanto si el hijo es dependiente como si no lo es. Taxes 2010 Useful Items - You may want to see: Publicación 929 Tax Rules for Children and Dependents (Requisitos tributarios para hijos y dependientes), en inglés Formulario (e Instrucciones) 8615 Tax for Certain Children Who Have Unearned Income (Impuesto para determinados hijos con ingresos no derivados del trabajo), en inglés 8814 Parents' Election To Report Child's Interest and Dividends (Elección de los padres de declarar los intereses y dividendos del hijo), en inglés Cómo Saber si se Tiene que Utilizar la Declaración del Padre o de la Madre Si los padres del hijo están casados el uno con el otro y presentan una declaración conjunta, básese en la declaración conjunta para calcular el impuesto sobre los ingresos no derivados del trabajo de dicho hijo. Taxes 2010 La tasa impositiva y otra información de dicha declaración se utiliza para calcular el impuesto del hijo según se explica más adelante bajo Impuesto para Determinados Hijos con Ingresos No Derivados del Trabajo . Taxes 2010 Padres que no Presentan la Declaración Conjunta Para los padres que no presenten la declaración conjunta, los siguientes temas aclaran, cuál declaración de impuestos de los padres tiene que utilizar para calcular el impuesto. Taxes 2010 Sólo el padre o la madre cuya declaración se utilice puede elegir la opción descrita bajo Elección de los Padres de Declarar Intereses y Dividendos del Hijo . Taxes 2010 Padres casados. Taxes 2010   Si los padres del hijo presentan declaraciones por separado, utilice la declaración de quien tenga el mayor ingreso tributable. Taxes 2010 Padres que no viven juntos. Taxes 2010   Si los padres del hijo están casados el uno con el otro pero no viven juntos, y el padre o la madre con quien vive el hijo (el padre o la madre con custodia) se considera no casado, utilice la declaración del padre o de la madre con custodia. Taxes 2010 Si el padre o la madre con custodia no es considerado no casado, utilice la declaración de quien tenga el mayor ingreso tributable. Taxes 2010   Para una explicación sobre cuándo una persona casada que vive aparte de su cónyuge es considerada no casada, vea Cabeza de Familia en el capítulo 2. Taxes 2010 Padres divorciados. Taxes 2010   Si los padres del hijo están divorciados o legalmente separados y el padre o la madre que tuvo la custodia del hijo durante la mayor parte del año (el padre o la madre con custodia) no se ha vuelto a casar, utilice la declaración del padre o de la madre con custodia. Taxes 2010 Padre o madre con custodia que se ha vuelto a casar. Taxes 2010   Si el padre o la madre con custodia ha vuelto a casarse, el padrastro o la madrastra (en vez del padre o la madre sin custodia) se considera el otro padre o la otra madre del hijo. Taxes 2010 Por lo tanto, si el padre o la madre con custodia y el padrastro o la madrastra presentan una declaración conjunta, utilice dicha declaración conjunta. Taxes 2010 No utilice la declaración del padre o de la madre sin custodia. Taxes 2010   Si el padre o la madre con custodia está casado con el padrastro o la madrastra pero presentan declaraciones por separado, utilice la declaración de quien tenga el mayor ingreso tributable. Taxes 2010 Si el padre o la madre con custodia está casado con el padrastro o la madrastra pero no viven juntos, corresponde el tema anterior Padres que no viven juntos . Taxes 2010 Padres que nunca se han casado. Taxes 2010   Si los padres del hijo nunca han estado casados el uno con el otro pero vivieron juntos durante todo el año, utilice la declaración de quien tenga el mayor ingreso tributable. Taxes 2010 Si los padres no vivieron juntos durante todo el año, corresponden los requisitos explicados anteriormente bajo Padres divorciados . Taxes 2010 Padre viudo o madre viuda que se vuelve a casar. Taxes 2010   Si un viudo o una viuda vuelve a casarse, el nuevo cónyuge se considera el otro padre o la otra madre del hijo. Taxes 2010 En este caso, corresponden los requisitos explicados anteriormente bajo Padre o madre con custodia que se ha vuelto a casar . Taxes 2010 Elección de los Padres de Declarar los Intereses y Dividendos del Hijo Tal vez pueda optar por incluir los ingresos de su hijo procedentes de intereses y dividendos (incluidas las distribuciones de ganancias de capital) en la declaración de impuestos. Taxes 2010 En tal caso, su hijo no estará obligado a presentar una declaración. Taxes 2010 Puede elegir esta opción sólo si se cumplen todas las condiciones siguientes: Su hijo tenía menos de 19 años de edad (o tenía menos de 24 años si era estudiante a tiempo completo) al finalizar el año. Taxes 2010 Su hijo recibió ingresos sólo de intereses y dividendos (incluidas las distribuciones de ganancias de capital y dividendos del Alaska Permanent Fund (Fondo Permanente de Alaska)). Taxes 2010 Los ingresos brutos del hijo eran menos de $10,000. Taxes 2010 El hijo está obligado a presentar la declaración a no ser que usted elija incluir estos ingresos. Taxes 2010 El hijo no presenta una declaración conjunta correspondiente al año actual. Taxes 2010 No se efectuó ningún pago de impuestos estimados para el año ni se aplicó a este año ningún pago del año anterior (ni de una declaración enmendada) en exceso bajo el nombre y número de Seguro Social de su hijo. Taxes 2010 No se retuvo de los ingresos de su hijo ningún impuesto federal sobre los ingresos conforme a las reglas de la retención adicional. Taxes 2010 Usted es el padre o la madre cuya declaración se tiene que utilizar al aplicar los requisitos tributarios especiales para hijos. Taxes 2010 (Vea Cómo Saber si se Tiene que Utilizar la Declaración del Padre o de la Madre , anteriormente). Taxes 2010 Estas condiciones se hallan también en la Figura 31-A. Taxes 2010 Determinados cumpleaños el 1 de enero. Taxes 2010   Un hijo que haya nacido el 1 de enero de 1995 se considerará de 19 años de edad al final del año 2013. Taxes 2010 Usted no puede optar por declarar los intereses y dividendos de tal hijo a menos que éste fuera estudiante a tiempo completo. Taxes 2010   Aquel hijo que haya nacido el 1 de enero de 1990 se considerará de 24 años de edad al final del año 2013. Taxes 2010 Usted no puede optar por declarar los intereses y dividendos de tal hijo. Taxes 2010 Estudiante a tiempo completo. Taxes 2010   Un estudiante a tiempo completo es un hijo matriculado como tal durante alguna parte de cada uno de 5 meses del año calendario en una escuela o que asistió a tiempo completo a un curso de capacitación agrícola ofrecido sobre el terreno por una escuela, agencia del estado, condado o gobierno local. Taxes 2010 El término “escuela” abarca escuelas politécnicas, profesionales e industriales. Taxes 2010 Una escuela no incluye un curso de capacitación en el trabajo, escuela por correspondencia, ni escuelas que ofrecen cursos sólo por Internet. Taxes 2010 Cómo optar por incluir los ingresos de su hijo. Taxes 2010   Elija incluir los ingresos de su hijo adjuntando el Formulario 8814 al Formulario 1040. Taxes 2010 (Si opta por hacer esto, no puede presentar el Formulario 1040A ni el Formulario 1040EZ). Taxes 2010 Adjunte un Formulario 8814 distinto correspondiente a cada hijo cuyos ingresos desee incluir. Taxes 2010 Puede incluir los ingresos de uno o más hijos y no incluir los ingresos de otros. Taxes 2010 Consecuencias de Incluir los Ingresos del Hijo El impuesto federal sobre los ingresos de su hijo podría ser mayor si opta por usar el Formulario 8814. Taxes 2010 La tasa impositiva podría ser más alta. Taxes 2010   Si su hijo recibió dividendos calificados o distribuciones de ganancias de capital, usted podría pagar hasta $100 adicionales de impuestos si incluye los ingresos de su hijo en vez de presentar una declaración de impuestos por separado a nombre del hijo. Taxes 2010 Esto se debe a que la tasa impositiva que corresponde a los ingresos de su hijo entre $1,000 y $2,000 es de 10% si usted opta por incluirlos. Taxes 2010 No obstante, si presenta una declaración por separado en nombre del hijo, la tasa impositiva podría bajar hasta 0% (porcentaje de cero) debido a las tasas impositivas preferentes para dividendos calificados y distribuciones de ganancias de capital. Taxes 2010 Deducciones que no puede tomar. Taxes 2010   Al hacer la elección de incluir estos ingresos en el Formulario 8814, no puede tomar ninguna de las deducciones siguientes a la que el hijo tendría derecho en su propia declaración. Taxes 2010 La deducción estándar adicional si el hijo es ciego. Taxes 2010 La deducción por una multa por el retiro prematuro de los ahorros de su hijo. Taxes 2010 Deducciones detalladas (como gastos de inversiones de su hijo o donaciones caritativas). Taxes 2010 Deducciones o créditos reducidos. Taxes 2010   Si utiliza el Formulario 8814, su ingreso bruto ajustado aumentado podría reducir determinados créditos o deducciones en la declaración, incluyendo lo siguiente: Deducciones por aportaciones a una cuenta de ahorros tradicional para la jubilación (IRA, por sus siglas en inglés). Taxes 2010 Deducciones por intereses sobre un préstamo de estudios. Taxes 2010 Deducciones detalladas por gastos médicos, pérdidas por hecho fortuito y robo y ciertos gastos misceláneos. Taxes 2010 Crédito por gastos del cuidado de hijos y dependientes. Taxes 2010 Crédito tributario por hijos. Taxes 2010 Créditos tributarios por estudios. Taxes 2010 Crédito por ingreso del trabajo. Taxes 2010 Figura 31-A. Taxes 2010 ¿Puede Incluir Usted en su Declaración de Impuestos los Ingresos de su Hijo? Please click here for the text description of the image. Taxes 2010 Figura 31–A. Taxes 2010 ¿Puede Incluir Usted en su Declaración de Impuestos los Ingresos de su Hijo? Multa por pago insuficiente del impuesto estimado. Taxes 2010   Si elige incluir estos ingresos para 2013 y no se le retuvo impuesto suficiente o no pagó suficiente impuesto estimado para saldar los impuestos adeudados, podría estar sujeto a una multa. Taxes 2010 Si piensa elegir lo mismo para 2014, es posible que necesite aumentar la retención de impuestos federales sobre el ingreso o los pagos de impuesto estimado para evitar la multa. Taxes 2010 Vea el capítulo 4 para más información. Taxes 2010 Cómo Calcular los Ingresos del Hijo Utilice la Parte I del Formulario 8814 para calcular los ingresos de su hijo procedentes de intereses y dividendos declarados por usted. Taxes 2010 A sus ingresos sólo se le añade la cantidad que sea superior a $2,000. Taxes 2010 La cantidad superior a $2,000 se indica en la línea 6 del Formulario 8814. Taxes 2010 A menos que los ingresos del hijo abarquen dividendos calificados o distribuciones de ganancias de capital (explicadas a continuación), la misma cantidad se indica en la línea 12 del Formulario 8814. Taxes 2010 Incluya la cantidad de la línea 12 del Formulario 8814 en la línea 21 del Formulario 1040. Taxes 2010 Anote en inglés “Form 8814” en la línea de puntos al lado de la línea 21. Taxes 2010 Si presenta más de un Formulario 8814, incluya el total de los montos de la línea 12 de todos los Formularios 8814 en la línea 21 del Formulario 1040. Taxes 2010 Distribuciones de ganancias de capital y dividendos calificados. Taxes 2010   Si se incluye alguna distribución de ganancias de capital en los ingresos de dividendos de su hijo, vea Capital gain distributions (Distribuciones de ganancias de capital) bajo Figuring Child's Income (Cómo calcular los ingresos del hijo) en la Parte 2 de la Publicación 929, en inglés. Taxes 2010 Si se incluye algún dividendo calificado en los ingresos de dividendos de su hijo, vea Qualified dividends (Dividendos calificados) bajo Figuring Child's Income (Cómo calcular los ingresos del hijo) en la Parte 2 de la Publicación 929, en inglés. Taxes 2010 Cómo Calcular el Impuesto Adicional Utilice la Parte II del Formulario 8814 para calcular el impuesto sobre los $2,000 de los intereses y dividendos de su hijo que no incluya usted en sus ingresos. Taxes 2010 Este impuesto se suma al impuesto calculado sobre los ingresos suyos. Taxes 2010 Dicho impuesto adicional es la cantidad que sea menor entre: El 10% (multiplicado por la cantidad de los ingresos brutos de su hijo menos $1,000) o $100. Taxes 2010 Incluya el monto de la línea 15 de todos los Formularios 8814 en el total de la línea 44 del Formulario 1040. Taxes 2010 Marque el recuadro a de la línea 44 del Formulario 1040. Taxes 2010 Figura 31-B. Taxes 2010 ¿Tiene que Utilizar el Formulario 8615 para Calcular los Impuestos de su Hijo? Please click here for the text description of the image. Taxes 2010 Figura 31-B. Taxes 2010 ¿Tiene que Utilizar el Formulario 8615 para Calcular los Impuestos de su Hijo? Impuesto para Determinados Hijos con Ingresos No Derivados del Trabajo Si el total de intereses, dividendos y otros ingresos no derivados del trabajo de un hijo sobrepasa $2,000, una parte de dichos ingresos podría estar sujeta a la misma tasa impositiva que la de sus padres en lugar de estar sujeta a la tasa del hijo. Taxes 2010 Si el padre o la madre no elige, o no puede elegir, incluir los ingresos del hijo en su declaración, utilice el Formulario 8615 para calcular los impuestos del hijo. Taxes 2010 Adjunte el formulario completado al Formulario 1040 o al Formulario 1040A del hijo. Taxes 2010 Cuándo se tiene que presentar el Formulario 8615. Taxes 2010   El Formulario 8615 tiene que presentarse para un hijo si se dan todas las siguientes condiciones: Los ingresos del hijo no derivados del trabajo eran superiores a $2,000. Taxes 2010 El hijo está obligado a presentar una declaración para 2013. Taxes 2010 Dicho hijo: Era menor de 18 años de edad al final del año, Tenía 18 años a finales del año y su ingreso del trabajo no constituía más de la mitad de su manutención o Era estudiante a tiempo completo mayor de 18 años y menor de 24 años al finalizar el año y su ingreso del trabajo no constituía más de la mitad de la manutención suya. Taxes 2010 Por lo menos uno de los padres del hijo estaba vivo al finalizar el año 2013. Taxes 2010 El hijo no presenta una declaración conjunta para 2013. Taxes 2010 Estas condiciones se hallan también en la Figura 31-B. Taxes 2010 Ingreso del trabajo. Taxes 2010   El ingreso del trabajo incluye sueldos, salarios, propinas y otras remuneraciones recibidas por servicios personales que usted prestó. Taxes 2010 No incluye los ingresos no derivados del trabajo según se define más adelante en este capítulo. Taxes 2010 Manutención. Taxes 2010   La manutención de su hijo incluye todas las cantidades gastadas para proveerle alimentos, alojamiento, ropa, educación, cuidado médico y dental, recreación, transporte y necesidades similares. Taxes 2010 Al calcular la manutención de su hijo, incluya aquélla proporcionada por usted, su hijo y otras personas. Taxes 2010 Sin embargo, no se considera como manutención una beca que su hijo haya recibido si éste es estudiante a tiempo completo. Taxes 2010 Vea el capítulo 3 para más detalles acerca de la manutención. Taxes 2010 Determinados cumpleaños el 1 de enero. Taxes 2010   Utilice la siguiente tabla para saber si determinados hijos con cumpleaños en el 1 de enero cumplen la condición 3 bajo Cuándo se tiene que presentar el Formulario 8615. Taxes 2010    SI un hijo nació. Taxes 2010 . Taxes 2010 . Taxes 2010 ENTONCES, al finalizar 2013, se considera que el hijo tiene. Taxes 2010 . Taxes 2010 . Taxes 2010 el 1 de enero de 1996 18 años* el 1 de enero de 1995 19 años** el 1 de enero de 1990 24 años*** *Este hijo no es menor de 18 años. Taxes 2010 El hijo cumple la condición 3 sólo si éste no tuvo ingresos derivados del trabajo superiores a más de la mitad de la manutención suya. Taxes 2010  **El hijo cumple la condición 3 sólo si éste era estudiante a tiempo completo y no tuvo ingresos derivados del trabajo superiores a más de la mitad de la manutención suya. Taxes 2010  ***No utilice el Formulario 8615 para este hijo. Taxes 2010 Cómo Facilitar Información sobre los Padres (líneas A-C del Formulario 8615) En las líneas A y B del Formulario 8615, escriba el nombre y número de Seguro Social de los padres. Taxes 2010 (Si los padres presentaron una declaración conjunta, escriba el nombre y número de Seguro Social que aparezca primero en la declaración conjunta). Taxes 2010 En la línea C, marque el recuadro correspondiente al estado civil para efectos de la declaración del padre o de la madre. Taxes 2010 Vea Cómo Saber si se Tiene que Utilizar la Declaración del Padre o de la Madre al principio de este capítulo para información sobre qué información de la declaración de los padres tiene que utilizar para llenar el Formulario 8615. Taxes 2010 Padre o madre con año tributario distinto. Taxes 2010   Si el padre o la madre y el hijo no tienen el mismo año tributario, complete el Formulario 8615 utilizando la información de la declaración del padre o de la madre para el año tributario que finalice durante el año tributario del hijo. Taxes 2010 Si no se obtiene a tiempo la información de la declaración del padre o de la madre. Taxes 2010   Si la información necesaria de la declaración de los padres no se obtiene para la fecha de vencimiento del plazo de entrega de la declaración del hijo (normalmente el 15 de abril), puede utilizar cálculos aproximados para presentar la declaración. Taxes 2010   Puede utilizar cualquier cálculo aproximado razonable. Taxes 2010 Dicho cálculo puede derivarse de información de la declaración del año anterior. Taxes 2010 Si utiliza un cálculo aproximado en el Formulario 8615, anote en inglés, “Estimated” (Aproximado) en la línea junto a dicha cantidad. Taxes 2010    Cuando obtenga la información correcta, presente una declaración enmendada utilizando el Formulario 1040X, Amended U. Taxes 2010 S. Taxes 2010 Individual Income Tax Return (Declaración enmendada de impuestos sobre el ingreso personal de los Estados Unidos), en inglés. Taxes 2010   En vez de utilizar cálculos aproximados, quizás pueda conseguir una prórroga automática de 6 meses para presentar la declaración de impuestos si para la fecha de vencimiento del plazo de entrega de la misma, presenta el Formulario 4868(SP), Solicitud de Prórroga Automática para Presentar la Declaración del Impuesto sobre el Ingreso Personal de los Estados Unidos (o el Formulario 4868, en inglés). Taxes 2010 Las prórrogas se explican en el capítulo 1 . Taxes 2010 Paso 1. Taxes 2010 Cómo Calcular los Ingresos Netos No Derivados del Trabajo del Hijo (Parte I del Formulario 8615) Al calcular el impuesto de un hijo utilizando el Formulario 8615, el primer paso es calcular los ingresos netos no derivados del trabajo del hijo. Taxes 2010 Para hacerlo, utilice la Parte I del Formulario 8615. Taxes 2010 Línea 1 (ingresos no derivados del trabajo). Taxes 2010   Si el hijo no recibió ingresos del trabajo, anote en esta línea los ingresos brutos ajustados indicados en la declaración del hijo. Taxes 2010 Los ingresos brutos ajustados aparecen en la línea 38 del Formulario 1040 o en la línea 22 del Formulario 1040A. Taxes 2010 No se puede utilizar el Formulario 1040EZ si se tiene que presentar el Formulario 8615. Taxes 2010   Si el hijo sí recibió ingresos del trabajo, calcule la cantidad a anotar en la línea 1 del Formulario 8615 utilizando la hoja de trabajo de las instrucciones del formulario. Taxes 2010   No obstante, si el hijo: ha excluido de la declaración algunos ingresos ganados en el extranjero, ha deducido alguna pérdida del trabajo por cuenta propia o ha deducido alguna pérdida neta de operación de otro año, utilice la Alternate Worksheet (Hoja de trabajo alternativa) para la línea 1 del Formulario 8615 que se encuentra en la Publicación 929, en inglés, para calcular la cantidad a anotar en la línea 1 del Formulario 8615. Taxes 2010 Definición de los ingresos no derivados del trabajo. Taxes 2010   Los ingresos no derivados del trabajo generalmente son todos los ingresos que no sean sueldos, salarios ni otras cantidades recibidas como pago por trabajo que de hecho se haya realizado. Taxes 2010 Dichos ingresos abarcan los intereses tributables, dividendos (inclusive las distribuciones de ganancias de capital), ganancias de capital, compensación por desempleo, la parte sujeta a impuestos de pagos del Seguro Social y pensiones y determinadas distribuciones de fideicomisos. Taxes 2010 Además, los ingresos no derivados del trabajo abarcan cantidades derivadas de bienes que el hijo haya adquirido con ingresos del trabajo (como intereses sobre una cuenta de ahorros en la que el hijo haya depositado sueldos). Taxes 2010 Ingresos no sujetos a impuestos. Taxes 2010   Para este fin, los ingresos no derivados del trabajo sólo abarcan cantidades que su hijo tenga que incluir en el total de ingresos. Taxes 2010 No se incluyen los ingresos no tributables no derivados del trabajo, tales como los intereses exentos de impuestos y la parte no tributable de pagos del Seguro Social y pensiones. Taxes 2010 Ingresos procedentes de bienes recibidos como regalo. Taxes 2010   Los ingresos no derivados del trabajo de un hijo abarcan todo ingreso generado por bienes que pertenezcan al hijo. Taxes 2010 Esto es así aun si se le traspasaron los bienes al hijo, independientemente de cuándo se traspasaron o se compraron dichos bienes ni quién los traspasó. Taxes 2010   Los ingresos no derivados del trabajo de un hijo incluyen ingresos generados por bienes dados al hijo como regalo. Taxes 2010 Esto incluye regalos dados al hijo por los abuelos o cualquier otra persona y regalos dados conforme a la Uniform Gift to Minors Act (Ley de Uniformidad Respecto a Regalos a Menores). Taxes 2010 Ejemplo. Taxes 2010 Amanda Naranjo, de 13 años de edad, recibió los siguientes ingresos: Dividendos — $800 Salarios — $2,100 Intereses tributables — $1,200 Intereses exentos de impuestos — $100 Ganancias netas de capital — $100 Los dividendos eran dividendos calificados sobre acciones que le habían regalado sus abuelos. Taxes 2010 Los ingresos no derivados del trabajo de Amanda son $2,100. Taxes 2010 Éste es el total de dividendos ($800), intereses tributables ($1,200) y ganancias netas de capital ($100). Taxes 2010 Su salario se considera ingreso del trabajo, y no de ingreso no derivado del trabajo porque se le paga por un trabajo que de hecho se ha realizado. Taxes 2010 No se incluyen los intereses exentos de impuestos porque éstos no están sujetos a impuestos. Taxes 2010 Ingresos provenientes de fideicomisos. Taxes 2010   Si el hijo es beneficiario de un fideicomiso, las distribuciones de intereses, dividendos, ganancias de capital y otros ingresos no derivados del trabajo tributables procedentes de dicho fideicomiso se consideran ingresos no derivados del trabajo del hijo. Taxes 2010   No obstante, para llenar el Formulario 8615, una distribución tributable de un fideicomiso calificado establecido para casos de incapacidad no se considera ingresos no derivados del trabajo sino ingresos del trabajo. Taxes 2010 Línea 2 (deducciones). Taxes 2010   Si el hijo no detalla las deducciones en el Anexo A del Formulario 1040, anote $2,000 en la línea 2. Taxes 2010   Si el hijo sí detalla las deducciones, anote en la línea 2 la cantidad mayor entre: $1,000 más la parte de las deducciones detalladas del hijo de la línea 29 del Anexo A del Formulario 1040 que esté directamente relacionada con la generación de ingresos no derivados del trabajo anotados en la línea 1 o $2,000. Taxes 2010 Relación directa entre las deducciones y la generación de ingresos no derivados del trabajo. Taxes 2010   Se considera que las deducciones detalladas están directamente relacionadas con la generación de ingresos no derivados del trabajo si las mismas corresponden a gastos pagados para generar o cobrar ingresos sujetos a impuestos o para administrar, conservar o mantener bienes cuyo fin es generar ingresos. Taxes 2010 Esos gastos abarcan cargos por custodia y servicios, cargos por servicios de cobro de intereses y dividendos tributables y determinados cargos por asesoramiento sobre inversiones. Taxes 2010   Estos gastos se suman a otras deducciones detalladas misceláneas en el Anexo A (Formulario 1040). Taxes 2010 Sólo se puede deducir la cantidad que sea superior al 2% de los ingresos brutos ajustados del hijo. Taxes 2010 Vea el capítulo 28 para más información. Taxes 2010 Ejemplo 1. Taxes 2010 Roberto, de 12 años de edad, tiene ingresos no derivados del trabajo de $8,000, sin otros ingresos ni ajustes a los ingresos. Taxes 2010 Tiene deducciones detalladas de $300 (netas del límite del 2%) que están directamente relacionadas con sus ingresos no derivados del trabajo. Taxes 2010 Tiene ingresos brutos ajustados de $8,000 que se anotan en la línea 38 del Formulario 1040 y en la línea 1 del Formulario 8615. Taxes 2010 En la línea 2 se anotan $2,000 porque dicha cantidad supera la suma de $1,000 más las deducciones detalladas de $300 directamente relacionadas con la generación de ingresos de inversiones. Taxes 2010 Ejemplo 2. Taxes 2010 Elena, de 8 años de edad, tiene ingresos no derivados del trabajo de $16,000 y tiene una multa de $100 por retiro prematuro. Taxes 2010 No tiene otros ingresos. Taxes 2010 Tiene deducciones detalladas de $1,050 (netas del límite del 2%) que están directamente relacionadas con la generación de sus ingresos no derivados del trabajo. Taxes 2010 Sus ingresos brutos ajustados, anotados en la línea 1, son $15,900 ($16,000 − $100). Taxes 2010 La cantidad de la línea 2 es $2,050. Taxes 2010 Ésta es la cantidad mayor de: $1,000 más los $1,050 de deducciones detalladas directamente relacionadas con la generación de ingresos de inversiones o $2,000. Taxes 2010 Línea 3. Taxes 2010   De la línea 1 reste la línea 2 y anote el resultado en esta línea. Taxes 2010 Si es cero o menos, no llene el resto del formulario. Taxes 2010 No obstante, tiene que adjuntar el Formulario 8615 a la declaración del hijo. Taxes 2010 Calcule el impuesto sobre los ingresos tributables del hijo de manera normal. Taxes 2010 Línea 4 (ingresos tributables del hijo). Taxes 2010   Anote en la línea 4 los ingresos tributables del hijo provenientes de la línea 43 del Formulario 1040 o de la línea 27 del Formulario 1040A. Taxes 2010   Sin embargo, si el hijo presenta el Formulario 2555 o el Formulario 2555-EZ para declarar la exclusión de ingresos ganados en el extranjero, la exclusión por concepto de vivienda o la deducción por concepto de vivienda, vea las Instrucciones del Formulario 8615 o la Publicación 929, ambas en inglés. Taxes 2010 Línea 5 (ingresos netos no derivados del trabajo). Taxes 2010   Los ingresos netos no derivados del trabajo del hijo no pueden sobrepasar sus ingresos tributables. Taxes 2010 Anote en la línea 5 del Formulario 8615 la cantidad de la línea 3 o la línea 4, la que sea menor. Taxes 2010 Esta cantidad corresponde a los ingresos netos no derivados del trabajo del hijo. Taxes 2010   Si es cero o menos, no llene el resto del formulario. Taxes 2010 No obstante, tiene que adjuntar el Formulario 8615 a la declaración del hijo. Taxes 2010 Calcule el impuesto sobre los ingresos tributables del hijo de manera normal. Taxes 2010 Paso 2. Taxes 2010 Cómo Calcular el Impuesto Provisional a la Tasa Impositiva de los Padres (Parte II del Formulario 8615) El siguiente paso al llenar el Formulario 8615 es calcular un impuesto provisional sobre los ingresos netos no derivados del trabajo del hijo utilizando la tasa impositiva del padre o de la madre. Taxes 2010 El impuesto provisional a la tasa impositiva del padre o de la madre es la diferencia entre el impuesto sobre los ingresos tributables del padre o de la madre calculados con los ingresos netos no derivados del trabajo del hijo (más los ingresos netos no derivados del trabajo de cualquier otro hijo cuyo Formulario 8615 incluya la información de la declaración de impuestos del padre o de la madre) y el impuesto calculado sin dichos ingresos. Taxes 2010 Al calcular el impuesto provisional a la tasa impositiva del padre o de la madre en el Formulario 8615, no vuelva a calcular las exclusiones, deducciones ni créditos en la declaración del padre o de la madre debido a los ingresos netos no derivados del trabajo del hijo. Taxes 2010 Por ejemplo, no vuelva a calcular la deducción por gastos médicos. Taxes 2010 Calcule el impuesto provisional en las líneas 6 a 13 del Formulario 8615. Taxes 2010 Nota: Si el hijo o el padre o la madre tiene pérdidas o ganancias de capital, obtenga la Publicación 929, en inglés, para información que le será de ayuda al completar la Parte II del Formulario 8615. Taxes 2010 Línea 6 (ingresos tributables del padre o de la madre). Taxes 2010   Anote en la línea 6 los ingresos tributables del padre o de la madre provenientes de la línea 43 del Formulario 1040, de la línea 27 del Formulario 1040A o la línea 6 del Formulario 1040EZ. Taxes 2010   Si utilizó la Foreign Earned Income Tax Worksheet (Hoja de trabajo para el impuesto sobre los ingresos del trabajo en el extranjero) de las instrucciones del Formulario 1040 para calcular el impuesto correspondiente al padre o a la madre, anote la cantidad de la línea 3 de dicha hoja de trabajo en vez de los ingresos tributables del padre o de la madre. Taxes 2010 Línea 7 (ingresos netos no derivados del trabajo de otros hijos). Taxes 2010   Si la información de la declaración del padre o de la madre se utiliza también en el Formulario 8615 de otro hijo, anote en la línea 7 el total de las cantidades de la línea 5 de los Formularios 8615 de todos los demás hijos. Taxes 2010 No incluya la cantidad de la línea 5 del Formulario 8615 que esté llenando. Taxes 2010 Ejemplo. Taxes 2010 Pablo y Juana del Pozo tienen tres hijos, Sandra, Geraldo y Miguel, quienes tienen que adjuntar el Formulario 8615 a sus declaraciones de impuestos respectivas. Taxes 2010 Los ingresos netos no derivados del trabajo de los hijos en la línea 5 de sus Formularios 8615 son: Sandra — $800 Geraldo — $600 Miguel — $1,000 La línea 7 del Formulario 8615 de Sandra indicará $1,600, o sea, el total de las cantidades anotadas en la línea 5 de los Formularios 8615 de Geraldo y Miguel. Taxes 2010 La línea 7 del Formulario 8615 de Geraldo indicará $1,800 ($800 + $1,000). Taxes 2010 La línea 7 del Formulario 8615 de Miguel indicará $1,400 ($800 + $600). Taxes 2010 Si no está disponible la información de los otros hijos. Taxes 2010   Si no está disponible la cantidad de los ingresos netos no derivados del trabajo de los otros hijos antes de que venza el plazo para presentar la declaración, preséntela anotando cálculos aproximados o solicite una prórroga del plazo para presentarla. Taxes 2010 Vea Si no se obtiene a tiempo la información de la declaración del padre o de la madre , anteriormente. Taxes 2010 Línea 11 (impuesto provisional). Taxes 2010   Reste la línea 10 de la línea 9 y anote el resultado en esta línea. Taxes 2010 Éste es el impuesto provisional. Taxes 2010   Si la línea 7 está en blanco, ignore las líneas 12a y 12b y anote en la línea 13 la cantidad proveniente de la línea 11. Taxes 2010 Ignore asimismo el tema siguiente que trata de las líneas 12a y 12b. Taxes 2010 Líneas 12a y 12b (dividiendo el impuesto provisional). Taxes 2010   Si anota alguna cantidad en la línea 7 (fuera de cero), divida el impuesto provisional indicado en la línea 11 entre los hijos según la participación de cada hijo en el total de los ingresos netos no derivados del trabajo. Taxes 2010 Esto se hace en las líneas 12a, 12b y 13. Taxes 2010 Sume la cantidad de la línea 7 a la de la línea 5 y anote el total en la línea 12a. Taxes 2010 Divida la cantidad de la línea 5 entre la de la línea 12a y anote el resultado, como número decimal, en la línea 12b. Taxes 2010 Ejemplo. Taxes 2010 En el ejemplo anterior bajo Línea 7 (ingresos netos no derivados del trabajo de otros hijos), el Formulario 8615 de Sandra indica $1,600 en la línea 7. Taxes 2010 La cantidad anotada en la línea 12a es $2,400, o sea, el total de las cantidades provenientes de las líneas 5 y 7 ($800 + $1,600). Taxes 2010 El número decimal en la línea 12b es . Taxes 2010 333, calculado de la siguienta manera y redondeado hasta tres decimales:   $800 = . Taxes 2010 333     $2,400   Paso 3. Taxes 2010 Cómo Calcular el Impuesto del Hijo (Parte III del Formulario 8615) El último paso para calcular el impuesto de su hijo utilizando el Formulario 8615 es determinar la cantidad mayor entre: El total de: La parte del impuesto provisional correspondiente al hijo basado en la tasa impositiva del padre o de la madre, más El impuesto sobre los ingresos tributables del hijo que sean superiores a los ingresos netos no derivados del trabajo, calculado a la tasa impositiva del hijo o El impuesto sobre los ingresos tributables del hijo calculado a la tasa impositiva del hijo. Taxes 2010 Éste es el impuesto del hijo. Taxes 2010 Se calcula en las líneas 14 a 18 del Formulario 8615. Taxes 2010 Impuesto mínimo alternativo. Taxes 2010   Un hijo puede estar sujeto al impuesto mínimo alternativo (AMT, por sus siglas en inglés) si cuenta con determinados elementos que reciben un trato preferente conforme a la ley tributaria. Taxes 2010 Vea el tema titulado Impuesto Mínimo Alternativo (AMT) , en el capítulo 30. Taxes 2010    Para información adicional acerca de quién tiene que pagar el AMT y cómo calcularlo, vea el Formulario 6251, Alternative Minimum Tax—Individuals (Impuesto mínimo alternativo—individuos), en inglés. Taxes 2010 Para información sobre límites especiales aplicables a un hijo que presente el Formulario 6251, vea Certain Children Under Age 24 (Determinados hijos menores de 24 años de edad), en las Instrucciones para el Formulario 6251, en inglés. Taxes 2010 Prev  Up  Next   Home   More Online Publications
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Taxes 2010 Publication 51 - Main Content Table of Contents 1. Taxes 2010 Taxpayer Identification NumbersWhen you receive your EIN. Taxes 2010 Registering for SSNVS. Taxes 2010 2. Taxes 2010 Who Are Employees?Crew Leaders Business Owned and Operated by Spouses 3. Taxes 2010 Wages and Other Compensation 4. Taxes 2010 Social Security and Medicare TaxesThe $150 Test or the $2,500 Test Social Security and Medicare Tax Withholding 5. Taxes 2010 Federal Income Tax WithholdingImplementation of lock-in letter. Taxes 2010 Seasonal employees and employees not currently performing services. Taxes 2010 Termination and re-hire of employees. Taxes 2010 How To Figure Federal Income Tax Withholding 6. Taxes 2010 Required Notice to Employees About Earned Income Credit (EIC) 7. Taxes 2010 Depositing TaxesWhen To Deposit How To Deposit Deposit Penalties Employers of Both Farm and Nonfarm Workers 8. Taxes 2010 Form 943 9. Taxes 2010 Reporting Adjustments on Form 943Current Year Adjustments Prior Year Adjustments 10. Taxes 2010 Federal Unemployment (FUTA) Tax 11. Taxes 2010 Reconciling Wage Reporting Forms 13. Taxes 2010 Federal Income Tax Withholding MethodsWage Bracket Method Percentage Method Alternative Methods of Federal Income Tax Withholding How To Get Tax Help 1. Taxes 2010 Taxpayer Identification Numbers If you are required to withhold any federal income, social security, or Medicare taxes, you will need an employer identification number (EIN) for yourself. Taxes 2010 Also, you will need the SSN of each employee and the name of each employee as shown on the employee's social security card. Taxes 2010 Employer identification number (EIN). Taxes 2010   An employer identification number (EIN) is a nine-digit number that the IRS issues. Taxes 2010 The digits are arranged as follows: 00-0000000. Taxes 2010 It is used to identify the tax accounts of employers and certain others who have no employees. Taxes 2010 Use your EIN on all of the items that you send to the IRS and SSA. Taxes 2010   If you do not have an EIN, you may apply for one online. Taxes 2010 Visit IRS. Taxes 2010 gov and click on the Apply for an EIN Online link under Tools. Taxes 2010 You may also apply for an EIN by calling 1-800-829-4933, or you can fax or mail Form SS-4, Application for Employer Identification Number, to the IRS. Taxes 2010 Do not use a SSN in place of an EIN. Taxes 2010   If you do not have an EIN by the time a return is due, write “Applied For” and the date you applied for it in the space shown for the number. Taxes 2010 If you took over another employer's business, do not use that employer's EIN. Taxes 2010   You should have only one EIN. Taxes 2010 If you have more than one, and are not sure which one to use, call the toll-free Business and Specialty Tax Line at 1-800-829-4933 or 1-800-829-4059 (TDD/TTY for persons who are deaf, hard of hearing, or have a speech disability). Taxes 2010 Provide the EINs that you have, the name and address to which each number was assigned, and the address of your principal place of business. Taxes 2010 The IRS will tell you which EIN to use. Taxes 2010   For more information, see Publication 1635 or Publication 583. Taxes 2010 When you receive your EIN. Taxes 2010   If you are a new employer that indicated a federal tax obligation when requesting an EIN, you will be pre-enrolled in the Electronic Federal Tax Payment System (EFTPS). Taxes 2010 You will receive information in your Employer Identification Number (EIN) Package about Express Enrollment and an additional mailing containing your EFTPS personal identification number (PIN) and instructions for activating your PIN. Taxes 2010 Call the toll-free number located in your “How to Activate Your Enrollment” brochure to activate your enrollment and begin making your employment tax deposits. Taxes 2010 If you outsource any of your payroll and related tax duties to a third party payer, such as a payroll service provider or reporting agent, be sure to tell them about your EFTPS enrollment. Taxes 2010 Social security number (SSN). Taxes 2010   An employee's social security number (SSN) consists of nine digits arranged as follows: 000-00-0000. Taxes 2010 You must obtain each employee's name and SSN as shown on the employee's social security card because you must enter them on Form W-2. Taxes 2010 Do not accept a social security card that says “Not valid for employment. Taxes 2010 ” A social security number issued with this legend does not permit employment. Taxes 2010 You may, but are not required to, photocopy the social security card if the employee provides it. Taxes 2010 If you do not show the employee's correct name and SSN on Form W-2, you may owe a penalty unless you have reasonable cause. Taxes 2010 See Publication 1586, Reasonable Cause Regulations & Requirements for Missing and Incorrect Name/TINs. Taxes 2010 Applying for a social security card. Taxes 2010   Any employee who is legally eligible to work in the United States and does not have a social security card can get one by completing Form SS-5, Application for a Social Security Card, and submitting the necessary documentation to SSA. Taxes 2010 You can get Form SS-5 at SSA offices, by calling 1-800-772-1213 or 1-800-325-0778 (TTY), or from the SSA website at www. Taxes 2010 socialsecurity. Taxes 2010 gov/online/ss-5. Taxes 2010 html. Taxes 2010 The employee must complete and sign Form SS-5; it cannot be filed by the employer. Taxes 2010 You may be asked to supply a letter to accompany Form SS-5 if the employee has exceeded his or her yearly or lifetime limit for the number of replacement cards allowed. Taxes 2010 Applying for a social security number. Taxes 2010   If you file Form W-2 on paper and your employee has applied for an SSN but does not have one when you must file Form W-2, enter “Applied For” on the form. Taxes 2010 If you are filing electronically, enter all zeros (000-00-0000) in the social security number field. Taxes 2010 When the employee receives the SSN, file Copy A of Form W-2c, Corrected Wage and Tax Statement, with the SSA to show the employee's SSN. Taxes 2010 Furnish Copies B, C, and 2 of Form W-2c to the employee. Taxes 2010 Up to 25 Forms W-2c per Form W-3c, Transmittal of Corrected Wage and Tax Statements, may be filed per session over the Internet, with no limit on the number of sessions. Taxes 2010 For more information, visit SSA's Employer W-2 Filing Instructions & Information webpage at www. Taxes 2010 socialsecurity. Taxes 2010 gov/employer. Taxes 2010 Advise your employee to correct the SSN on his or her original Form W-2. Taxes 2010 Correctly record the employee's name and SSN. Taxes 2010   Record the name and number of each employee as they are shown on the employee's social security card. Taxes 2010 If the employee's name is not correct as shown on the card (for example, because of marriage or divorce), the employee should request a corrected card from the SSA. Taxes 2010 Continue to report the employee's wages under the old name until the employee shows you an updated social security card with the new name. Taxes 2010   If the SSA issues the employee a replacement card after a name change, or a new card with a different social security number after a change in alien work status, file a Form W-2c to correct the name/SSN reported on the most recently filed Form W-2. Taxes 2010 It is not necessary to correct other years if the previous name and SSN were used for years before the most recent Form W-2. Taxes 2010 IRS individual taxpayer identification numbers (ITINs) for aliens. Taxes 2010   Do not accept an ITIN in place of an SSN for employee identification or for work. Taxes 2010 An ITIN is issued for use by resident and nonresident aliens who need identification for tax purposes, but who are not eligible for U. Taxes 2010 S. Taxes 2010 employment. Taxes 2010 The ITIN is a nine-digit number formatted like an SSN (for example, NNN-NN-NNNN). Taxes 2010 However, it begins with the number “9” and has either a “7” or “8” as the fourth digit (for example, 9NN-7N-NNNN or 9NN-8N-NNNN). Taxes 2010    An individual with an ITIN who later becomes eligible to work in the United States must obtain an SSN. Taxes 2010 If the individual is currently eligible to work in the United States, instruct the individual to apply for an SSN and follow the instructions under Applying for a social security number, earlier in this section. Taxes 2010 Do not use an ITIN in place of an SSN on Form W-2. Taxes 2010 Verification of social security numbers. Taxes 2010   Employers and authorized reporting agents can use the Social Security Number Verification Service (SSNVS) to instantly verify up to 10 employee names and SSNs (per screen) at a time, or submit an electronic file of up to 250,000 names and SSNs and usually receive results the next business day. Taxes 2010 Visit www. Taxes 2010 socialsecurity. Taxes 2010 gov/employer/ssnv. Taxes 2010 htm for more information. Taxes 2010 Registering for SSNVS. Taxes 2010   You must register online and receive authorization from your employer to use SSNVS. Taxes 2010 To register, visit SSA's website at www. Taxes 2010 socialsecurity. Taxes 2010 gov/employer and click on the Business Services Online link. Taxes 2010 Follow the registration instructions to obtain a user identification (ID) and password. Taxes 2010 You will need to provide the following information about yourself and your company. Taxes 2010 Name. Taxes 2010 SSN. Taxes 2010 Date of birth. Taxes 2010 Type of employer. Taxes 2010 EIN. Taxes 2010 Company name, address, and telephone number. Taxes 2010 Email address. Taxes 2010 When you have completed the online registration process, SSA will mail a one-time activation code to your employer. Taxes 2010 You must enter the activation code online to use SSNVS. Taxes 2010 2. Taxes 2010 Who Are Employees? Generally, employees are defined either under common law or under statutes for certain situations. Taxes 2010 See Publication 15-A for details on statutory employees and nonemployees. Taxes 2010 Employee status under common law. Taxes 2010   Generally, a worker who performs services for you is your employee if you have the right to control what will be done and how it will be done. Taxes 2010 This is so even when you give the employee freedom of action. Taxes 2010 What matters is that you have the right to control the details of how the services are performed. Taxes 2010 See Publication 15-A for more information on how to determine whether an individual providing services is an independent contractor or an employee. Taxes 2010 If an employer-employee relationship exists, it does not matter what it is called. Taxes 2010 The employee may be called an agent or independent contractor. Taxes 2010 It also does not matter how payments are measured or paid, what they are called, or if the employee works full or part time. Taxes 2010 You are responsible for withholding and paying employment taxes for your employees. Taxes 2010 You are also required to file employment tax returns. Taxes 2010 These requirements do not apply to amounts that you pay to independent contractors. Taxes 2010 The rules discussed in this publication apply only to workers who are your employees. Taxes 2010 In general, you are an employer of farmworkers if your employees: Raise or harvest agricultural or horticultural products on your farm (including the raising and feeding of livestock); Work in connection with the operation, management, conservation, improvement, or maintenance of your farm and its tools and equipment; Provide services relating to salvaging timber, or clearing land of brush and other debris, left by a hurricane (also known as hurricane labor); Handle, process, or package any agricultural or horticultural commodity if you produced over half of the commodity (for a group of up to 20 unincorporated operators, all of the commodity); or Do work for you related to cotton ginning, turpentine, gum resin products, or the operation and maintenance of irrigation facilities. Taxes 2010 For this purpose, the term “farm” includes stock, dairy, poultry, fruit, fur-bearing animal, and truck farms, as well as plantations, ranches, nurseries, ranges, greenhouses or other similar structures used primarily for the raising of agricultural or horticultural commodities, and orchards. Taxes 2010 Farmwork does not include reselling activities that do not involve any substantial activity of raising agricultural or horticultural commodities, such as a retail store or a greenhouse used primarily for display or storage. Taxes 2010 The table in section 12, How Do Employment Taxes Apply to Farmwork , distinguishes between farm and nonfarm activities, and also addresses rules that apply in special situations. Taxes 2010 Crew Leaders If you are a crew leader, you are an employer of farmworkers. Taxes 2010 A crew leader is a person who furnishes and pays (either on his or her own behalf or on behalf of the farm operator) workers to do farmwork for the farm operator. Taxes 2010 If there is no written agreement between you and the farm operator stating that you are his or her employee and if you pay the workers (either for yourself or for the farm operator), then you are a crew leader. Taxes 2010 For FUTA tax rules, see section 10. Taxes 2010 Business Owned and Operated by Spouses If you and your spouse jointly own and operate a farm or nonfarm business and share in the profits and losses, you are partners in a partnership, whether or not you have a formal partnership agreement. Taxes 2010 See Publication 541, Partnerships, for more details. Taxes 2010 The partnership is considered the employer of any employees, and is liable for any employment taxes due on wages paid to its employees. Taxes 2010 Exception—Qualified joint venture. Taxes 2010   For tax years beginning after December 31, 2006, the Small Business and Work Opportunity Tax Act of 2007 (Public Law 110-28) provides that a “qualified joint venture,” whose only members are spouses filing a joint income tax return, can elect not to be treated as a partnership for federal tax purposes. Taxes 2010 A qualified joint venture conducts a trade or business where: The only members of the joint venture are spouses who file a joint income tax return, Both spouses materially participate (see Material participation in the Instructions for Schedule C (Form 1040), line G) in the trade or business (mere joint ownership of property is not enough), Both spouses elect to not be treated as a partnership, 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 limited liability company (LLC). Taxes 2010   To make the election, all items of income, gain, loss, deduction, and credit must be divided between the spouses, in accordance with each spouse's interest in the venture, and reported on separate Schedules C or F as sole proprietors. Taxes 2010 Each spouse must also file a separate Schedule SE to pay self-employment taxes, as applicable. Taxes 2010   Spouses using the qualified joint venture rules are treated as sole proprietors for federal tax purposes and generally do not need an EIN. Taxes 2010 If employment taxes are owed by the qualified joint venture, either spouse may report and pay the employment taxes due on the wages paid to the employees using the EIN of that spouse's sole proprietorship. Taxes 2010 Generally, filing as a qualified joint venture will not increase the spouses' total tax owed on the joint income tax return. Taxes 2010 However, it gives each spouse credit for social security earnings on which retirement benefits are based and for Medicare coverage without filing a partnership return. Taxes 2010    Note. Taxes 2010 If your spouse is your employee, not your partner, you must pay social security and Medicare taxes for him or her. Taxes 2010   For more information on qualified joint ventures, visit IRS. Taxes 2010 gov and enter “qualified joint venture” in the search box. Taxes 2010 Exception—Community income. Taxes 2010   If you and your spouse wholly own an unincorporated business as community property under the community property laws of a state, foreign country, or U. Taxes 2010 S. Taxes 2010 possession, you can treat the business either as a sole proprietorship (of the spouse who carried on the business) or a partnership. Taxes 2010 You may still make an election to be taxed as a qualified joint venture instead of a partnership. Taxes 2010 See Exception—Qualified joint venture , earlier in this section. Taxes 2010 3. Taxes 2010 Wages and Other Compensation Cash wages that you pay to employees for farmwork are generally subject to social security tax and Medicare tax. Taxes 2010 You may also be required to withhold, deposit, and report Additional Medicare Tax. Taxes 2010 See section 4 for more information. Taxes 2010 If the wages are subject to social security and Medicare taxes, they are also subject to federal income tax withholding. Taxes 2010 You may also be liable for FUTA tax, which is not withheld by you or paid by the employee. Taxes 2010 FUTA tax is discussed in section 10. Taxes 2010 Cash wages include checks, money orders, etc. Taxes 2010 Do not count as cash wages the value of food, lodging, and other noncash items. Taxes 2010 For more information on what payments are considered taxable wages, see Publication 15 (Circular E). Taxes 2010 Commodity wages. Taxes 2010   Commodity wages are not cash and are not subject to social security and Medicare taxes or federal income tax withholding. Taxes 2010 However, noncash payments, including commodity wages, are treated as cash wages (see above) if the substance of the transaction is a cash payment. Taxes 2010 These noncash payments are subject to social security and Medicare taxes and federal income tax withholding. Taxes 2010 Other compensation. Taxes 2010   Publications 15-A and 15-B discuss other forms of compensation that may be taxable. Taxes 2010 Family members. Taxes 2010   Generally, the wages that you pay to family members who are your employees are subject to social security and Medicare taxes, federal income tax withholding, and FUTA tax. Taxes 2010 However, certain exemptions may apply for your child, spouse, or parent. Taxes 2010 See the table, How Do Employment Taxes Apply to Farmwork , in section 12. Taxes 2010 Household employees. Taxes 2010   The wages of an employee who performs household services, such as a maid, babysitter, gardener, or cook, in your home are not subject to social security and Medicare taxes if you pay that employee cash wages of less than $1,900 in 2014. Taxes 2010   Social security and Medicare taxes do not apply to cash wages for housework in your private home if it was done by your spouse or your child under age 21. Taxes 2010 Nor do the taxes apply to housework done by your parent unless: You have a child living in your home who is under age 18 or has a physical or mental condition that requires care by an adult for at least 4 continuous weeks in a calendar quarter, and You are a widow or widower, or divorced and not remarried, or have a spouse in the home who, because of a physical or mental condition, cannot care for your child for at least 4 continuous weeks in the quarter. Taxes 2010   For more information, see Publication 926, Household Employer's Tax Guide. Taxes 2010    Wages for household work may not be a deductible farm expense. Taxes 2010 See Publication 225, Farmer's Tax Guide. Taxes 2010 Share farmers. Taxes 2010   You do not have to withhold or pay social security and Medicare taxes on amounts paid to share farmers under share-farming arrangements. Taxes 2010 Compensation paid to H-2A visa holders. Taxes 2010   Report compensation of $600 or more paid to foreign agricultural workers who entered the country on H-2A visas in box 1 of Form W-2 but do not report it as social security wages (box 3) or Medicare wages (box 5) on Form W-2 because compensation paid to H-2A workers for agricultural labor performed in connection with this visa is not subject to social security and Medicare taxes. Taxes 2010 On Form W-2, do not check box 13 (Statutory employee), as H-2A workers are not statutory employees. Taxes 2010   An employer is not required to withhold federal income tax from compensation it pays an H-2A worker for agricultural labor performed in connection with this visa unless the worker asks for withholding and the employer agrees. Taxes 2010 In that case, the worker must give the employer a completed Form W-4. Taxes 2010 Federal income tax withheld should be reported in box 2 of Form W-2. Taxes 2010 These reporting rules apply when the H-2A worker provides his or her taxpayer identification number (TIN) to the employer. Taxes 2010 For rules relating to backup withholding and reporting when the H-2A worker does not provide a TIN, see the Instructions for Form 1099-MISC and the Instructions for Form 945. Taxes 2010 4. Taxes 2010 Social Security and Medicare Taxes Generally, you must withhold social security and Medicare taxes on all cash wage payments that you make to your employees. Taxes 2010 You may also be required to withhold Additional Medicare Tax. Taxes 2010 For more information, see Additional Medicare Tax withholding , later. Taxes 2010 The $150 Test or the $2,500 Test All cash wages that you pay to an employee during the year for farmwork are subject to social security and Medicare taxes and federal income tax withholding if either of the two tests below is met. Taxes 2010 You pay cash wages to an employee of $150 or more in a year for farmwork (count all cash wages paid on a time, piecework, or other basis). Taxes 2010 The $150 test applies separately to each farmworker that you employ. Taxes 2010 If you employ a family of workers, each member is treated separately. Taxes 2010 Do not count wages paid by other employers. Taxes 2010 The total that you pay for farmwork (cash and noncash) to all your employees is $2,500 or more during the year. Taxes 2010 Exceptions. Taxes 2010   The $150 and $2,500 tests do not apply to wages that you pay to a farmworker who receives less than $150 in annual cash wages and the wages are not subject to social security and Medicare taxes, or federal income tax withholding, even if you pay $2,500 or more in that year to all of your farmworkers if the farmworker: Is employed in agriculture as a hand-harvest laborer, Is paid piece rates in an operation that is usually paid on a piece-rate basis in the region of employment, Commutes daily from his or her permanent home to the farm, and Had been employed in agriculture less than 13 weeks in the preceding calendar year. Taxes 2010   Amounts that you pay to these seasonal farmworkers, however, count toward the $2,500-or-more test to determine whether wages that you pay to other farmworkers are subject to social security and Medicare taxes. Taxes 2010 Social Security and Medicare Tax Withholding The social security tax rate is 6. Taxes 2010 2%, for both the employee and employer, on the first $117,000 paid to each employee. Taxes 2010 You must withhold at this rate from each employee and pay a matching amount. Taxes 2010 The Medicare tax rate is 1. Taxes 2010 45% each for the employee and employer on all wages. Taxes 2010 You must withhold at this rate from each employee and pay a matching amount. Taxes 2010 There is no wage base limit for Medicare tax; all covered wages are subject to Medicare tax. Taxes 2010 Social security and Medicare taxes apply to most payments of sick pay, including payments made by third parties such as insurance companies. Taxes 2010 For details, see Publication 15-A. Taxes 2010 Additional Medicare Tax withholding. Taxes 2010   In addition to withholding Medicare tax at 1. Taxes 2010 45%, you must withhold a 0. Taxes 2010 9% Additional Medicare Tax from wages you pay to an employee in excess of $200,000 in a calendar year. Taxes 2010 You are required to begin withholding Additional Medicare Tax in the pay period in which you pay wages in excess of $200,000 to an employee and continue to withhold it each pay period until the end of the calendar year. Taxes 2010 Additional Medicare Tax is only imposed on the employee. Taxes 2010 There is no employer share of Additional Medicare Tax. Taxes 2010 All wages that are subject to Medicare tax are subject to Additional Medicare Tax withholding if paid in excess of the $200,000 withholding threshold. Taxes 2010   For more information on what wages are subject to Medicare tax, see the chart, Special Rules for Various Types of Services and Payments, in section 15 of Publication 15 (Circular E). Taxes 2010 For more information on Additional Medicare Tax, visit IRS. Taxes 2010 gov and enter “Additional Medicare Tax” in the search box. Taxes 2010 Employee share paid by employer. Taxes 2010   If you would rather pay a household or agricultural employee's share of the social security and Medicare taxes without withholding them from his or her wages, you may do so. Taxes 2010 If you do not withhold the taxes, however, you must still pay them. Taxes 2010 Any employee social security and Medicare taxes that you pay is additional income to the employee. Taxes 2010 Include it in box 1 of the employee's Form W-2, but do not count it as social security and Medicare wages and do not include it in boxes 3 and 5. Taxes 2010 Also, do not count the additional income as wages for FUTA tax purposes. Taxes 2010 Different rules apply to employer payments of social security and Medicare taxes for non-household and non-agricultural employees. Taxes 2010 See section 7 of Publication 15-A. Taxes 2010 Withholding social security and Medicare taxes on nonresident alien employees. Taxes 2010   In general, if you pay wages to nonresident alien employees, you must withhold social security and Medicare taxes as you would for a U. Taxes 2010 S. Taxes 2010 citizen or resident alien. Taxes 2010 However, see Publication 515, Withholding of Tax on Nonresident Aliens and Foreign Entities, for exceptions to this general rule. Taxes 2010 Also see Compensation paid to H-2A visa holders in section 3. Taxes 2010 Religious exemption. Taxes 2010    An exemption from social security and Medicare taxes is available to members of a recognized religious sect opposed to public insurance. Taxes 2010 This exemption is available only if both the employee and the employer are members of the sect. Taxes 2010   For more information, see Publication 517, Social Security and Other Information for Members of the Clergy and Religious Workers. Taxes 2010 5. Taxes 2010 Federal Income Tax Withholding Farmers and crew leaders must withhold federal income tax from the wages of farmworkers if the wages are subject to social security and Medicare taxes. Taxes 2010 The amount to withhold is figured on gross wages before taking out social security and Medicare taxes, union dues, insurance, etc. Taxes 2010 You may use one of several methods to determine the amount of federal income tax withholding. Taxes 2010 They are discussed in section 13. Taxes 2010 Form W-4. Taxes 2010   To know how much federal income tax to withhold from employees' wages, you should have a Form W-4 on file for each employee. Taxes 2010 Encourage your employees to file an updated Form W-4 for 2014, especially if they owed taxes or received a large refund when filing their 2013 tax return. Taxes 2010 Advise your employees to use the IRS Withholding Calculator on the IRS website at www. Taxes 2010 irs. Taxes 2010 gov/individuals for help in determining how many withholding allowances to claim on their Form W-4. Taxes 2010   Ask each new employee to give you a signed Form W-4 when starting work. Taxes 2010 Make the form effective with the first wage payment. Taxes 2010 If a new employee does not give you a completed Form W-4, withhold tax as if he or she is single, with no withholding allowances. Taxes 2010 Forms in Spanish. Taxes 2010   You can provide Formulario W-4(SP) in place of Form W-4 to your Spanish-speaking employees. Taxes 2010 For more information, see Publicación 17(SP). Taxes 2010 Effective date of Form W-4. Taxes 2010   A Form W-4 remains in effect until the employee gives you a new one. Taxes 2010 When you receive a new Form W-4, do not adjust withholding for pay periods before the effective date of the new form. Taxes 2010 Do not adjust withholding retroactively. Taxes 2010 If an employee gives you a replacement Form W-4, begin withholding no later than the start of the first payroll period ending on or after the 30th day from the date when you received the replacement Form W-4. Taxes 2010 For exceptions, see Exemption from federal income tax withholding , IRS review of requested Forms W-4 , and Invalid Forms W-4 , later in this section. Taxes 2010 A Form W-4 that makes a change for the next calendar year will not take effect in the current calendar year. Taxes 2010 Completing Form W-4. Taxes 2010   The amount of federal income tax withholding is based on marital status and withholding allowances. Taxes 2010 Your employees may not base their withholding amounts on a fixed dollar amount or percentage. Taxes 2010 However, the employee may specify a dollar amount to be withheld in addition to the amount of withholding based on filing status and withholding allowances claimed on Form W-4. Taxes 2010   Employees may claim fewer withholding allowances than they are entitled to claim. Taxes 2010 They may do this to ensure that they have enough withholding or to offset other sources of taxable income that are not subject to withholding. Taxes 2010   See Publication 505, Tax Withholding and Estimated Tax, for more information about completing Form W-4. Taxes 2010 Along with Form W-4, you may wish to order Publication 505 for use by your employees. Taxes 2010    Do not accept any withholding or estimated tax payments from your employees in addition to withholding based on their Form W-4. Taxes 2010 If an employee wants additional withholding, he or she should submit a new Form W-4 and, if necessary, pay estimated tax by filing Form 1040-ES, Estimated Tax for Individuals, or by using the Electronic Federal Tax Payment System (EFTPS) to make estimated tax payments. Taxes 2010 Exemption from federal income tax withholding. Taxes 2010   Generally, an employee may claim exemption from federal income tax withholding because he or she had no federal income tax liability last year and expects none this year. Taxes 2010 See the Form W-4 instructions for more information. Taxes 2010 However, the wages are still subject to social security and Medicare taxes. Taxes 2010   A Form W-4 claiming exemption from withholding is effective when it is filed with the employer and only for that calendar year. Taxes 2010 To continue to be exempt from withholding in the next calendar year, an employee must give you a new Form W-4 by February 15. Taxes 2010 If the employee does not give you a new Form W-4 by February 15, withhold tax based on the last valid Form W-4 you have for the employee that did not claim an exemption from withholding or, if one does not exist, withhold as if he or she is single with zero withholding allowances. Taxes 2010 If the employee provides a new Form W-4 claiming an exemption from withholding on February 16 or later, you may apply the exemption to future wages, but do not refund taxes withheld while the exempt status was not in place. Taxes 2010 Withholding income taxes on the wages of nonresident alien employees. Taxes 2010   In general, you must withhold federal income taxes on the wages of nonresident alien employees. Taxes 2010 However, see Publication 515 for exceptions to this general rule. Taxes 2010 Also see Compensation paid to H-2A visa workers in section 3. Taxes 2010 Withholding adjustment for nonresident alien employees. Taxes 2010   A special procedure applies for figuring the amount of income tax to withhold from wages of nonresident alien employees performing services within the United States for wages paid in 2014. Taxes 2010 This procedure requires a special chart to be used with the withholding tables to determine the amount to withhold from the wages of the nonresident alien employee. Taxes 2010 See Withholding adjustment for nonresident alien employees in section 9 of Publication 15 (Circular E). Taxes 2010 Nonresident alien employee's Form W-4. Taxes 2010   When completing Forms W-4, nonresident aliens are required to: Not claim exemption from income tax withholding; Request withholding as if they are single, regardless of their actual marital status; Claim only one allowance (if the nonresident alien is a resident of Canada, Mexico, or Korea, he or she may claim more than one allowance); and Write “Nonresident Alien” or “NRA” above the dotted line on line 6 of Form W-4. Taxes 2010   If you maintain an electronic Form W-4 system, you should provide a field for nonresident alien employees to enter nonresident alien status in lieu of writing “Nonresident Alien” or “NRA” above the dotted line on line 6. Taxes 2010    A nonresident alien employee may request additional withholding at his or her option for other purposes, although such additions should not be necessary for withholding to cover federal income tax liability related to employment. Taxes 2010 Form 8233. Taxes 2010   If a nonresident alien employee claims a tax treaty exemption from withholding, the employee must submit Form 8233, Exemption from Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Nonresident Alien Individual, with respect to the income exempt under the treaty, instead of Form W-4. Taxes 2010 See Publication 515 for details. Taxes 2010 IRS review of requested Forms W-4. Taxes 2010   When requested by the IRS, you must make original Forms W-4 available for inspection by an IRS employee. Taxes 2010 You may also be directed to send certain Forms W-4 to the IRS. Taxes 2010 You may receive a notice from the IRS requiring you to submit a copy of Form W-4 for one or more of your named employees. Taxes 2010 Send the requested copy or copies of Form W-4 to the IRS at the address provided and in the manner directed by the notice. Taxes 2010 The IRS may also require you to submit copies of Form W-4 to the IRS as directed by a revenue procedure or notice published in the Internal Revenue Bulletin. Taxes 2010 When we refer to Form W-4, the same rules apply to Formulario W-4(SP), its Spanish translation. Taxes 2010   After submitting a copy of the requested Form W-4 to the IRS, continue to withhold federal income tax based on that Form W-4 if it is valid (see Invalid Forms W-4 , later in this section). Taxes 2010 However, if the IRS later notifies you in writing that the employee is not entitled to claim a complete exemption from withholding or more than the maximum number of withholding allowances specified by the IRS in the written notice, withhold federal income tax based on the effective date, marital status, and maximum number of withholding allowances specified in the notice (commonly referred to as a “lock-in letter”). Taxes 2010 Initial lock-in letter. Taxes 2010   The IRS uses information reported on Form W-2 to identify employees with withholding compliance problems. Taxes 2010 In some cases, where a serious under-withholding problem is found to exist for a particular employee, the IRS may issue a lock-in letter to the employer specifying the maximum number of withholding allowances and marital status permitted for a specific employee. Taxes 2010 You will also receive a copy for the employee that identifies the maximum number of withholding allowances permitted and the process by which the employee can provide additional information to the IRS for purposes of determining the appropriate number of withholding allowances. Taxes 2010 If the employee is employed by you as of the date of the notice, you must furnish the employee copy to the employee within 10 business days of receipt. Taxes 2010 You may follow any reasonable business practice to furnish the employee copy to the employee. Taxes 2010 Implementation of lock-in letter. Taxes 2010   When you receive the notice specifying the maximum number of withholding allowances and marital status permitted, you may not withhold immediately on the basis of the notice. Taxes 2010 You must begin withholding tax on the basis of the notice for any wages paid after the date specified in the notice. Taxes 2010 The delay between your receipt of the notice and the date to begin the withholding on the basis of the notice permits the employee to contact the IRS. Taxes 2010 Seasonal employees and employees not currently performing services. Taxes 2010   If you receive a notice for an employee who is not currently performing services for you, you are still required to furnish the employee copy to the employee and withhold based on the notice if any of the following apply. Taxes 2010 You are paying wages for the employee's prior services and the wages are subject to income tax withholding on or after the date specified in the notice. Taxes 2010 You reasonably expect the employee to resume services within 12 months of the date of the notice. Taxes 2010 The employee is on a bona fide leave of absence that does not exceed 12 months or the employee has a right to reemployment after the leave of absence. Taxes 2010 Termination and re-hire of employees. Taxes 2010   If you are required to furnish and withhold based on the notice and the employment relationship is terminated after the date of the notice, you must continue to withhold based on the notice if you continue to pay any wages subject to income tax withholding. Taxes 2010 You must also withhold based on the notice or modification notice (explained next) if the employee resumes the employment relationship with you within 12 months after the termination of the employment relationship. Taxes 2010 Modification notice. Taxes 2010   After issuing the notice specifying the maximum number of withholding allowances and marital status permitted, the IRS may issue a subsequent notice (modification notice) that modifies the original notice. Taxes 2010 The modification notice may change the marital status and/or the number of withholding allowances permitted. Taxes 2010 You must withhold federal income tax based on the effective date specified in the modification notice. Taxes 2010 New Form W-4 after IRS notice. Taxes 2010   After the IRS issues a notice or modification notice, if the employee provides you with a new Form W-4 claiming complete exemption from withholding or claims a marital status, a number of withholding allowances, and any additional withholding that results in less withholding than would result under the IRS notice or modification notice, you must disregard the new Form W-4. Taxes 2010 You are required to withhold on the basis of the notice or modification notice unless the IRS subsequently notifies you to withhold based on the new Form W-4. Taxes 2010 If the employee wants to put a new Form W-4 into effect that results in less withholding than required, the employee must contact the IRS. Taxes 2010   If, after you receive an IRS notice or modification notice, your employee provides you with a new Form W-4 that does not claim exemption from federal income tax withholding and claims a marital status, a number of withholding allowances, and any additional withholding that results in more withholding than would result under the notice or modification notice, you must withhold tax on the basis of that new Form W-4. Taxes 2010 Otherwise, disregard any subsequent Forms W-4 provided by the employee and withhold based on the IRS notice or modification notice. Taxes 2010 Substitute Forms W-4. Taxes 2010   You are encouraged to have your employees use the official version of Form W-4 to claim withholding allowances or exemption from withholding. Taxes 2010 Call the IRS at 1-800-TAX-FORM (1-800-829-3676) or visit IRS. Taxes 2010 gov to obtain copies of Form W-4. Taxes 2010   You may use a substitute version of Form W-4 to meet your business needs. Taxes 2010 However, your substitute Form W-4 must contain language that is identical to the official Form W-4 and your form must meet all current IRS rules for substitute forms. Taxes 2010 At the time that you provide your substitute form to the employee, you must provide him or her with all tables, instructions, and worksheets from the current Form W-4. Taxes 2010   You cannot accept a substitute Form W-4 developed by an employee, and the employee submitting such form will be treated as failing to furnish a Form W-4. Taxes 2010 However, continue to use any valid Forms W-4 developed by your employees that you accepted before October 11, 2007. Taxes 2010 Invalid Forms W-4. Taxes 2010   Any unauthorized change or addition to Form W-4 makes it invalid. Taxes 2010 This includes taking out any language by which the employee certifies that the form is correct. Taxes 2010 A Form W-4 is also invalid if, by the date an employee gives it to you, he or she indicates in any way that it is false. Taxes 2010 An employee who submits a false Form W-4 may be subject to a $500 penalty. Taxes 2010 You may treat a Form W-4 as invalid if the employee wrote “exempt” on line 7 and also entered a number on line 5 or an amount on line 6. Taxes 2010   When you get an invalid Form W-4, do not use it to figure federal income tax withholding. Taxes 2010 Tell the employee that it is invalid and ask for another one. Taxes 2010 If the employee does not give you a valid one, withhold taxes as if the employee was single and claiming no withholding allowances. Taxes 2010 However, if you have an earlier Form W-4 for this worker that is valid, withhold as you did before. Taxes 2010   For additional information about these rules, see Treasury Decision 9337, 2007-35 I. Taxes 2010 R. Taxes 2010 B. Taxes 2010 455, available at www. Taxes 2010 irs. Taxes 2010 gov/irb/2007-35_IRB/ar10. Taxes 2010 html. Taxes 2010 Amounts exempt from levy on wages, salary, and other income. Taxes 2010   If you receive a Notice of Levy on Wages, Salary, and Other Income—Forms 668-W(ACS), 668-W(c)(DO), or 668-W(ICS), you must withhold amounts as described in the instructions for these forms. Taxes 2010 Publication 1494, Tables for Figuring Amount Exempt From Levy on Wages, Salary, and Other Income—Forms 668-W(ACS), 668-W(c)(DO), and 668-W(ICS), shows the exempt amount. Taxes 2010 If a levy issued in a prior year is still in effect and the taxpayer submits a new Statement of Exemptions and Filing Status, use the current year Publication 1494 to compute the exempt amount. Taxes 2010 How To Figure Federal Income Tax Withholding There are several ways to figure federal income tax withholding. Taxes 2010 Wage bracket tables. Taxes 2010 See section 13 for directions on how to use the tables. Taxes 2010 Percentage method. Taxes 2010 See section 13 for directions on how to use the percentage method. Taxes 2010 Alternative formula tables for percentage method withholding. Taxes 2010 See Publication 15-A. Taxes 2010 Wage bracket percentage method withholding tables. Taxes 2010 See Publication 15-A. Taxes 2010 Other alternative methods. Taxes 2010 See Publication 15-A. Taxes 2010 Employers with automated payroll systems will find the two alternative formula tables and the two alternative wage bracket percentage method tables in Publication 15-A useful. Taxes 2010 If an employee wants additional federal tax withheld, have the employee show the extra amount on Form W-4. Taxes 2010 Supplemental wages. Taxes 2010   Supplemental wages are wage payments to an employee that are not regular wages. Taxes 2010 They include, but are not limited to, bonuses, commissions, overtime pay, accumulated sick leave, severance pay, awards, prizes, back pay and retroactive pay increases for current employees, and payments for nondeductible moving expenses. Taxes 2010 Other payments subject to the supplemental wage rules include taxable fringe benefits and expense allowances paid under a nonaccountable plan. Taxes 2010   If you pay supplemental wages with regular wages but do not specify the amount of each, withhold federal income tax as if the total was a single payment for a regular payroll period. Taxes 2010   If you pay supplemental wages separately (or combine them in a single payment and specify the amount of each), the federal income tax withholding method depends partly on whether you withhold federal income tax from your employee's regular wages. Taxes 2010 If you withheld federal income tax from an employee's regular wages in the current or immediately preceding calendar year, you can use one of the following methods for the supplemental wages. Taxes 2010 Withhold a flat 25% (no other percentage allowed). Taxes 2010 If the supplemental wages are paid concurrently with regular wages, add the supplemental wages to the concurrently paid regular wages. Taxes 2010 If there are no concurrently paid regular wages, add the supplemental wages to alternatively, either the regular wages paid or to be paid for the current payroll period or the regular wages paid for the preceding payroll period. Taxes 2010 Figure the income tax withholding as if the total of the regular wages and supplemental wages is a single payment. Taxes 2010 Subtract the tax withheld from the regular wages. Taxes 2010 Withhold the remaining tax from the supplemental wages. Taxes 2010 If there were other payments of supplemental wages paid during the payroll period made before the current payment of supplemental wages, aggregate all the payments of supplemental wages paid during the payroll period with the regular wages paid during the payroll period, calculate the tax on the total, subtract the tax already withheld from the regular wages and previous supplemental wage payments, and withhold the remaining tax from the current payment of supplemental wages. Taxes 2010 If you did not withhold federal income tax from the employee's regular wages in the current or immediately preceding calendar year, use method 1-b above. Taxes 2010 This would occur, for example, when the value of the employee's withholding allowances claimed on Form W-4 is more than the wages. Taxes 2010    Separate rules apply to any supplemental wages exceeding $1 million that you pay to an individual during the year. Taxes 2010 See section 7 in Publication 15 (Circular E) for details. Taxes 2010   Regardless of the method that you use to withhold federal income tax on supplemental wages, they are generally subject to social security, Medicare, and FUTA taxes. Taxes 2010 6. Taxes 2010 Required Notice to Employees About Earned Income Credit (EIC) You must notify employees who have no federal income tax withheld that they may be able to claim a tax refund because of the EIC. Taxes 2010 Although you do not have to notify employees who claim exemption from withholding on Form W-4 about the EIC, you are encouraged to notify any employees whose wages for 2013 were less than $46,227 ($51,567 if married filing jointly) that they may be eligible to claim the credit for 2013. Taxes 2010 This is because eligible employees may get a refund of the amount of EIC that is more than the tax that they owe. Taxes 2010 You will meet the notification requirement if you issue to the employee Form W-2 with the EIC notice on the back of Copy B, or a substitute Form W-2 with the same statement. Taxes 2010 You may also meet the requirement by providing Notice 797, Possible Federal Tax Refund Due to the Earned Income Credit (EIC), or your own statement that contains the same wording. Taxes 2010 If a substitute Form W-2 is given to the employee on time but does not have the required statement, you must notify the employee within 1 week of the date that the substitute Form W-2 is given. Taxes 2010 If Form W-2 is required but is not given on time, you must give the employee Notice 797 or your written statement by the date that Form W-2 is required to be given. Taxes 2010 If Form W-2 is not required, you must notify the employee by February 7, 2014. Taxes 2010 7. Taxes 2010 Depositing Taxes Generally, you must deposit both the employer and employee shares of social security and Medicare taxes and federal income tax withheld. Taxes 2010 You must use electronic funds transfer to make all federal tax deposits. Taxes 2010 See How To Deposit , later in this section. Taxes 2010 The credit against employment taxes for COBRA premium assistance payments is treated as a deposit of taxes on the first day of your return period. Taxes 2010 For more information, see COBRA premium assistance credit under Introduction. Taxes 2010 Payment with return. Taxes 2010   You may make payments with Forms 943 or 945 instead of depositing if one of the following applies. Taxes 2010 You report less than a $2,500 tax liability for the year (Form 943, line 11; Form 945, line 3) and you pay in full with a return that is filed on time. Taxes 2010 However, if you are unsure that you will report less than $2,500, deposit under the rules explained in this section so that you will not be subject to failure-to-deposit penalties. Taxes 2010 You are a monthly schedule depositor and make a payment in accordance with the Accuracy of Deposits Rule discussed later in this section. Taxes 2010 This payment may be $2,500 or more. Taxes 2010 Only monthly schedule depositors, defined later, are allowed to make an Accuracy of Deposits Rule payment with the return. Taxes 2010 Semiweekly schedule depositors must timely deposit the amount. Taxes 2010 See Accuracy of Deposits Rule and How To Deposit, later in this section. Taxes 2010 When To Deposit If you employ both farm and nonfarm workers, do not combine the taxes reportable on Forms 941 or 944 with Form 943 to decide whether to make a deposit. Taxes 2010 See Employers of Both Farm and Nonfarm Workers, later in this section. Taxes 2010 The rules for determining when to deposit Form 943 taxes are discussed below. Taxes 2010 See section 10 for the separate rules that apply to FUTA tax. Taxes 2010 Under these rules, you are classified as either a monthly schedule depositor or a semiweekly schedule depositor. Taxes 2010 The terms “monthly schedule depositor” and “semiweekly schedule depositor” do not refer to how often your business pays its employees or how often you are required to make deposits. Taxes 2010 The terms identify which set of rules you must follow when you incur a tax liability (for example, when you have a payday). Taxes 2010 The deposit schedule that you must use for a calendar year is determined from the tax liability reported on your Form 943, line 9, for the lookback period, discussed next. Taxes 2010 If you reported $50,000 or less of Form 943 taxes for the lookback period, you are a monthly schedule depositor. Taxes 2010 If you reported more than $50,000 of Form 943 taxes for the lookback period, you are a semiweekly schedule depositor. Taxes 2010 Lookback period. Taxes 2010   The lookback period is the second calendar year preceding the current calendar year. Taxes 2010 For example, the lookback period for 2014 is 2012. Taxes 2010 Example of deposit schedule based on lookback period. Taxes 2010 Rose Co. Taxes 2010 reported taxes on Form 943 as follows. Taxes 2010 2012 — $48,000 2013 — $60,000 Rose Co. Taxes 2010 is a monthly schedule depositor for 2014 because its taxes for the lookback period ($48,000 for calendar year 2012) were not more than $50,000. Taxes 2010 However, for 2015, Rose Co. Taxes 2010 is a semiweekly schedule depositor because the total taxes before adjustment for its lookback period ($60,000 for calendar year 2013) exceeded $50,000. Taxes 2010 Adjustments to lookback period taxes. Taxes 2010   To determine your taxes for the lookback period, use only the tax that you reported on the original return (Form 943, line 9). Taxes 2010 Do not include adjustments shown on Form 943-X, Adjusted Employer's Annual Federal Tax Return for Agricultural Employees or Claim for Refund. Taxes 2010 Example of adjustments. Taxes 2010 An employer originally reported total tax of $45,000 for the lookback period in 2012. Taxes 2010 The employer discovered during March 2014 that the tax reported for the lookback period was understated by $10,000 and corrected this error by filing Form 943-X. Taxes 2010 The total tax reported in the lookback period is still $45,000. Taxes 2010 The $10,000 adjustment is also not treated as part of the 2014 taxes. Taxes 2010 Deposit period. Taxes 2010   The term “deposit period” refers to the period during which tax liabilities are accumulated for each required deposit due date. Taxes 2010 For monthly schedule depositors, the deposit period is a calendar month. Taxes 2010 The deposit periods for semiweekly schedule depositors are Wednesday through Friday and Saturday through Tuesday. Taxes 2010 Monthly Deposit Schedule If the tax liability reported on Form 943, line 9, for the lookback period is $50,000 or less, you are a monthly schedule depositor for the current year. Taxes 2010 You must deposit Form 943 taxes on payments made during a calendar month by the 15th day of the following month. Taxes 2010 Monthly schedule example. Taxes 2010   Red Co. Taxes 2010 is a seasonal employer and a monthly schedule depositor. Taxes 2010 It pays wages each Friday. Taxes 2010 It paid wages during August 2014, but did not pay any wages during September. Taxes 2010 Red Co. Taxes 2010 must deposit the combined tax liabilities for the August paydays by September 15. Taxes 2010 Red Co. Taxes 2010 does not have a deposit requirement for September (that is, due by October 15, 2014) because no wages were paid in September; therefore, it did not have a tax liability for September. Taxes 2010 New employers. Taxes 2010   For agricultural employers, your tax liability for any year in the lookback period before the date you started or acquired your business is considered to be zero. Taxes 2010 Therefore, you are a monthly schedule depositor for the first and second calendar years of your agricultural business (but see the $100,000 Next-Day Deposit Rule , later in this section). Taxes 2010 Semiweekly Deposit Schedule You are a semiweekly schedule depositor for a calendar year if the tax liability on Form 943, line 9, during your lookback period was more than $50,000. Taxes 2010 Under the semiweekly deposit schedule, deposit Form 943 taxes for payments made on Wednesday, Thursday, and/or Friday by the following Wednesday. Taxes 2010 Deposit amounts accumulated for payments made on Saturday, Sunday, Monday, and/or Tuesday by the following Friday. Taxes 2010 Semiweekly depositors are not required to deposit twice a week if their payments were in the same semiweekly period unless the $100,000 Next-Day Deposit Rule (discussed later in this section) applies. Taxes 2010 For example, if you made a payment on both Wednesday and Friday and incurred taxes of $10,000 for each pay date, deposit the $20,000 by the following Wednesday. Taxes 2010 If you made no additional payments on Saturday through Tuesday, no deposit is due on Friday. Taxes 2010 Semiweekly schedule depositors must complete Form 943-A, Agricultural Employer's Record of Federal Tax Liability, and submit it with Form 943. Taxes 2010 Semiweekly Deposit Schedule IF the payday falls on a. Taxes 2010 . Taxes 2010 . Taxes 2010 THEN deposit taxes by the following. Taxes 2010 . Taxes 2010 . Taxes 2010 Wednesday, Thursday, and/or Friday Wednesday Saturday, Sunday, Monday, and/or Tuesday Friday Semiweekly schedule example. Taxes 2010   Green, Inc. Taxes 2010 , is a semiweekly schedule depositor and pays wages once each month on the last Friday of the month. Taxes 2010 Green, Inc. Taxes 2010 , will deposit only once a month, but the deposit will be made under the semiweekly deposit schedule as follows. Taxes 2010 Green, Inc. Taxes 2010 's tax liability for the April 25, 2014 (Friday), wage payment must be deposited by April 30, 2014 (Wednesday). Taxes 2010 Semiweekly deposit period spanning two quarters. Taxes 2010   If you have more than one pay date during a semiweekly period and the pay dates fall in different calendar quarters, you will need to make separate deposits for the separate liabilities. Taxes 2010 For example, if you have a pay date on Monday, March 31, 2014 (first quarter), and another pay date on Tuesday, April 1, 2014 (second quarter), two separate deposits will be required even though the pay dates fall within the same semiweekly period. Taxes 2010 Both deposits will be due Friday, April 4, 2014 (3 business days from the end of the semiweekly deposit period). Taxes 2010 Deposits on Business Days Only If a deposit is required to be made on a day that is not a business day, the deposit is considered timely if it is made by the close of the next business day. Taxes 2010 A business day is any day other than a Saturday, Sunday, or legal holiday. Taxes 2010 For example, if a deposit is required to be made on Friday and Friday is a legal holiday, the deposit is considered timely if it is made by the following Monday (if Monday is a business day). Taxes 2010 Semiweekly schedule depositors   will always have 3 business days to make a deposit. Taxes 2010 That is, if any of the 3 weekdays after the end of a semiweekly period is a legal holiday, you will have an additional day for each day that is a legal holiday to make the deposit. Taxes 2010 For example, if a semiweekly schedule depositor accumulated taxes on Friday and the following Monday is a legal holiday, the deposit normally due on Wednesday may be made on Thursday (this allows 3 business days to make the deposit). Taxes 2010 Legal holiday. Taxes 2010   The term “legal holiday” means any legal holiday in the District of Columbia. Taxes 2010 Legal holidays for 2014 are listed below. Taxes 2010 January 1— New Year's Day January 20— Birthday of Martin Luther King, Jr. Taxes 2010 February 17— Washington's Birthday April 16— District of Columbia Emancipation Day May 26— Memorial Day July 4— Independence Day September 1— Labor Day October 13— Columbus Day November 11— Veterans' Day November 27— Thanksgiving Day December 25— Christmas Day $100,000 Next-Day Deposit Rule If you accumulate $100,000 or more of Form 943 taxes (that is, taxes reported on Form 943, line 11) on any day during a deposit period, you must deposit the tax by the close of the next business day, whether you are a monthly or a semiweekly schedule depositor. Taxes 2010 For purposes of the $100,000 rule, do not continue accumulating a tax liability after the end of a deposit period. Taxes 2010 For example, if a semiweekly schedule depositor has accumulated a liability of $95,000 on a Tuesday (of a Saturday-through-Tuesday deposit period) and accumulated a $10,000 liability on Wednesday, the $100,000 next-day deposit rule does not apply because the $10,000 is accumulated in the next deposit period. Taxes 2010 Thus, $95,000 must be deposited by Friday and $10,000 must be deposited by the following Wednesday. Taxes 2010 However, once you accumulate at least $100,000 in a deposit period, stop accumulating at the end of that day and begin to accumulate anew on the next day. Taxes 2010 For example, Fir Co. Taxes 2010 is a semiweekly schedule depositor. Taxes 2010 On Monday, Fir Co. Taxes 2010 accumulates taxes of $110,000 and must deposit this amount on Tuesday, the next business day. Taxes 2010 On Tuesday, Fir Co. Taxes 2010 accumulates additional taxes of $30,000. Taxes 2010 Because the $30,000 is not added to the previous $110,000 and is less than $100,000, Fir Co. Taxes 2010 does not have to deposit the $30,000 until Friday (following the semiweekly deposit schedule). Taxes 2010 If you are a monthly schedule depositor and you accumulate a $100,000 tax liability on any day, you become a semiweekly schedule depositor on the next day and remain so for at least the rest of the calendar year and for the following calendar year. Taxes 2010 Example of the $100,000 next-day deposit rule. Taxes 2010   Elm, Inc. Taxes 2010 , started its business on May 1, 2014. Taxes 2010 Because Elm, Inc. Taxes 2010 , is a new employer, the taxes for its lookback period are considered to be zero; therefore, Elm, Inc. Taxes 2010 , is a monthly schedule depositor. Taxes 2010 On May 8, Elm, Inc. Taxes 2010 , paid wages for the first time and accumulated taxes of $50,000. Taxes 2010 On May 9 (Friday), Elm, Inc. Taxes 2010 , paid wages and accumulated taxes of $60,000, for a total of $110,000. Taxes 2010 Because Elm, Inc. Taxes 2010 , accumulated $110,000 on May 9, it must deposit $110,000 by May 12 (Monday), the next business day. Taxes 2010 Elm, Inc. Taxes 2010 , became a semiweekly schedule depositor on May 10. Taxes 2010 It will be a semiweekly schedule depositor for the remainder of 2014 and for 2015. Taxes 2010 Accuracy of Deposits Rule You are required to deposit 100% of your tax liability on or before the deposit due date. Taxes 2010 However, penalties will not be applied for depositing less than 100% if both of the following conditions are met. Taxes 2010 Any deposit shortfall does not exceed the greater of $100 or 2% of the amount of taxes otherwise required to be deposited. Taxes 2010 The deposit shortfall is paid or deposited by the shortfall makeup date as described below. Taxes 2010 Makeup Date for Deposit Shortfall:    Monthly Schedule Depositor—Deposit the shortfall or pay it with your return by the due date of your Form 943. Taxes 2010 You may pay the shortfall with your Form 943 even if the amount is $2,500 or more. Taxes 2010 Semiweekly Schedule Depositor—Deposit by the earlier of (a) the first Wednesday or Friday (whichever comes first) that falls on or after the 15th of the month following the month in which the shortfall occurred, or (b) the due date for Form 943. Taxes 2010 For example, if a semiweekly schedule depositor has a deposit shortfall during February 2014, the shortfall makeup date is March 19, 2014 (Wednesday). Taxes 2010 How To Deposit You must deposit employment taxes by electronic funds transfer. Taxes 2010 See Payment with return , earlier in this section, for exceptions explaining when taxes may be paid with the tax return instead of being deposited. Taxes 2010 Electronic deposit requirement. Taxes 2010   You must use electronic funds transfer to make all federal tax deposits (such as deposits of employment tax, excise tax, and corporate income tax). Taxes 2010 Generally, electronic funds transfers are made using the Electronic Federal Tax Payment System (EFTPS). Taxes 2010 If you do not want to use EFTPS, you can arrange for your tax professional, financial institution, payroll service, or other trusted third party to make electronic deposits on your behalf. Taxes 2010   EFTPS is a free service provided by the Department of Treasury. Taxes 2010 To get more information or to enroll in EFTPS, call 1-800-555-4477 (business), 1-800-316-6541 (individual), or 1-800-733-4829 (TDD). Taxes 2010 You can also visit the EFTPS website at www. Taxes 2010 eftps. Taxes 2010 gov. Taxes 2010 Additional information about EFTPS is also available in Publication 966. Taxes 2010 New employers that have a federal tax obligation will be pre-enrolled in EFTPS. Taxes 2010 Call the toll-free number located in your Employer Identification Number (EIN) Package to activate your enrollment and begin making your tax deposit payments. Taxes 2010 See When you receive your EIN in section 1 for more information. Taxes 2010 Deposit record. Taxes 2010   For your records, an Electronic Funds Transfer (EFT) Trace Number will be provided with each successful payment. Taxes 2010 The number can be used as a receipt or to trace the payment. Taxes 2010 Depositing on time. Taxes 2010   For deposits made by EFTPS to be on time, you must initiate the deposit by 8 p. Taxes 2010 m. Taxes 2010 Eastern time the day before the date a deposit is due. Taxes 2010 If you use a third party to make a deposit on your behalf, they may have different cutoff times. Taxes 2010 Same-day payment option. Taxes 2010   If you fail to initiate a deposit transaction on EFTPS by 8 p. Taxes 2010 m. Taxes 2010 Eastern time the day before the date a deposit is due, you can still make your deposit on time by using the Federal Tax Application (FTA). Taxes 2010 To use the same-day payment method, you will need to make arrangements with your financial institution ahead of time. Taxes 2010 Please check with your financial institution regarding availability, deadlines, and costs. Taxes 2010 Your financial institution may charge you a fee for payments made this way. Taxes 2010 To learn more about the information you will need to provide to your financial institution to make a same-day wire payment, visit www. Taxes 2010 eftps. Taxes 2010 gov to download the Same-Day Payment Worksheet. Taxes 2010 Deposit Penalties Penalties may apply if you do not make required deposits on time or if you make deposits for less than the required amount. Taxes 2010 The penalties do not apply if any failure to make a proper and timely deposit was due to reasonable cause and not to willful neglect. Taxes 2010 IRS may also waive deposit penalties if you inadvertently fail to deposit in the first quarter that a deposit is due, or the first quarter during which your frequency of deposits changed, if you timely filed your employment tax return. Taxes 2010 For amounts not properly deposited or not deposited on time, the penalty rates are shown next. Taxes 2010 Penalty Charged for. Taxes 2010 . Taxes 2010 . Taxes 2010 2% Deposits made 1 to 5 days late. Taxes 2010 5% Deposits made 6 to 15 days late. Taxes 2010 10% Deposits made 16 or more days late. Taxes 2010 Also applies to amounts paid within 10 days of the date of the first notice the IRS sent asking for the tax due. Taxes 2010 10% Amounts (that should have been deposited) paid directly to the IRS or paid with your tax return. Taxes 2010 See Payment with return , earlier in this section, for exceptions. Taxes 2010 15% Amounts still unpaid more than 10 days after the date of the first notice that the IRS sent asking for the tax due or the day on which you received notice and demand for immediate payment, whichever is earlier. Taxes 2010 Late deposit penalty amounts are determined using calendar days, starting from the due date of the liability. Taxes 2010 Order in which deposits are applied. Taxes 2010   Deposits generally are applied to the most recent tax liability within the year. Taxes 2010 If you receive a failure-to-deposit penalty notice, you may designate how your deposits are to be applied in order to minimize the amount of the penalty, if you do so within 90 days of the date of the notice. Taxes 2010 Follow the instructions on the penalty notice that you received. Taxes 2010 For examples on how the IRS will apply deposits and more information on designating deposits, see Revenue Procedure 2001-58. Taxes 2010 You can find Revenue Procedure 2001-58 on page 579 of Internal Revenue Bulletin 2001-50 at www. Taxes 2010 irs. Taxes 2010 gov/pub/irs-irbs/irb01-50. Taxes 2010 pdf. Taxes 2010 Example. Taxes 2010 Cedar, Inc. Taxes 2010 , is required to make a deposit of $1,000 on July 15 and $1,500 on August 15. Taxes 2010 It does not make the deposit on July 15. Taxes 2010 On August 15, Cedar, Inc. Taxes 2010 , deposits $2,000. Taxes 2010 Under the deposits rule, which applies deposits to the most recent tax liability, $1,500 of the deposit is applied to the August 15 deposit and the remaining $500 is applied to the July deposit. Taxes 2010 Accordingly, $500 of the July 15 liability remains undeposited. Taxes 2010 The penalty on this underdeposit will apply as explained above. Taxes 2010 Trust fund recovery penalty. Taxes 2010   If federal income, social security, or Medicare taxes that must be withheld are not withheld or are not deposited or paid to the United States Treasury, the trust fund recovery penalty may apply. Taxes 2010 The penalty is the full amount of the unpaid trust fund tax. Taxes 2010 This penalty may apply to you if these unpaid taxes cannot be immediately collected from the employer or business. Taxes 2010   The trust fund recovery penalty may be imposed on all persons who are determined by the IRS to be responsible for collecting, accounting for, and paying over these taxes, and who acted willfully in not doing so. Taxes 2010   A responsible person can be an officer or employee of a corporation, a partner or employee of a partnership, an accountant, a volunteer director/trustee, or an employee of a sole proprietorship. Taxes 2010 A responsible person also may include one who signs checks for the business or otherwise has authority to cause the spending of business funds. Taxes 2010    Willfully means voluntarily, consciously, and intentionally. Taxes 2010 A responsible person acts willfully if the person knows that the required actions of collecting, accounting for or paying over trust fund taxes are not taking place, or recklessly disregards obvious and known risks to the government's right to receive trust fund taxes. Taxes 2010 “Average” failure-to-deposit penalty. Taxes 2010   IRS may assess an “averaged” failure-to-deposit penalty of 2% to 10% if you are a monthly schedule depositor and did not properly complete Form 943, line 17, when your tax liability shown on Form 943, line 11, was $2,500 or more. Taxes 2010 IRS may also assess this penalty of 2% to 10% if you are a semiweekly schedule depositor and your tax liability shown on Form 943, line 11, was $2,500 or more and you did any of the following. Taxes 2010 Completed Form 943, line 17, instead of Form 943-A. Taxes 2010 Failed to attach a properly completed Form 943-A. Taxes 2010 Completed Form 943-A incorrectly, for example, by entering tax deposits instead of tax liabilities in the numbered spaces. Taxes 2010   IRS figures the penalty by allocating your tax liability on Form 943, line 11, equally throughout the tax period. Taxes 2010 Your deposits and payments may not be counted as timely because IRS does not know the actual dates of your tax liabilities. Taxes 2010   You can avoid the penalty by reviewing your return before filing it. Taxes 2010 Follow these steps before filing your Form 943. Taxes 2010 If you are a monthly schedule depositor, report your tax liabilities (not your deposits) in the monthly entry spaces on Form 943, line 17. Taxes 2010 If you are a semiweekly schedule depositor, report your tax liabilities (not your deposits) on Form 943-A in the lines that represent the dates you paid your employees. Taxes 2010 Verify that your total liability shown on Form 943, line 17, or Form 943-A, line M, equals your tax liability shown on Form 943, line 11. Taxes 2010 Do not show negative amounts on Form 943, line 17, or Form 943-A. Taxes 2010 For prior period errors discovered after December 31, 2008, do not adjust your tax liabilities reported on Form 943, line 17, or on Form 943-A. Taxes 2010 Employers of Both Farm and Nonfarm Workers If you employ both farm and nonfarm workers, you must treat employment taxes for the farmworkers (Form 943 taxes) separately from employment taxes for the nonfarm workers (Form 941 and 944 taxes). Taxes 2010 Form 943 taxes and Form 941/944 taxes are not combined for purposes of applying any of the deposit schedule rules. Taxes 2010 If a deposit is due, deposi