If you carry forward your NOL to a tax year after the NOL year, list your NOL deduction as a negative figure on the Other income line of Form 1040 or Form 1040NR (line 21 for 2009). Estates and trusts include an NOL deduction on...
Some kinds of income may or may not be self-employment income. The source of your income and your involvement in the activity from which your income is received will determine whether it is self-employment income. INTEREST - Interest is not self-employment income unless you receive it...
Since many businesses in industry are cash oriented, have weak internal controls, lack an audit trail, and have inadequate books and records, the examiner’s audit should focus on probing for unreported income. It is the responsibility of the business owner to maintain the documents needed...
Two federal tax credits available to help you offset the costs of higher education for yourself or your dependents. To qualify for either credit, you must pay postsecondary tuition and fees for yourself, your spouse or your dependent. The credit may be claimed by the...
For 2011 and 2012, the gift, estate and GST tax exemptions are unified again, with the exemption set at $5 million and the tax rate at 35%. The $5 million exclusion is indexed for inflation beginning in 2012. Remember these changes are effective only for the next...
If in December 2010 you purchased and placed in service a new piece of capital equipment to use in your business - say for example a farmer buys a new tractor and placed it in service in his farming business. The tractor cost $300,000. The...
The first step to filing your federal income tax return is to determine which filing status to use. Your filing status is used to determine your filing requirements, standard deduction, eligibility for certain credits and deductions, and your correct tax. There are five filing statuses:...
Please be advised that Net Operating Losses carried back to previous tax years can trigger an Alternative Minimum tax liability in the previous tax year that the loss was carried to, even if you originally did not have a tax liability in the year the...
To determine if you are obligated by law to file a US tax return and pay US income taxes you should consult the instruction book that accompanies the IRS form 1040. You must file a federal income tax return if your income is above a...
Issues for which there is no legal precedent Issues where the courts have rendered opposing or differing decisions in different jurisdictions Industry Specialization Program issues An issue for which you filed a request for competent authority assistance Service Center penalty appeals cases Service Center Offer in Compromise cases Collection Appeals Program cases Automated...
