Author Archives: International

Deductions

Deductions

Code Sections about Deductions

  • Sec. 67. 2-percent floor on miscellaneous itemized deductions
  • Sec. 68. Overall limitation on itemized deductions
  • Sec. 151. Allowance of deductions for personal exemptions
  • Sec. 161. Allowance of deductions
  • Sec. 211. Allowance of deductions
  • Sec. 241. Allowance of special deductions
  • Sec. 246. Rules applying to deductions for dividends received
  • Sec. 261. General rule for disallowance of deductions
  • Sec. 277. Deductions incurred by certain membership organizations in transactions with members
  • Sec. 464. Limitations on deductions for certain farming
  • Sec. 465. Deductions limited to amount at risk
  • Sec. 470. Limitation on deductions allocable to property used by governments or other tax-exempt entities
  • Sec. 482. Allocation of income and deductions among taxpayers
  • Sec. 642. Special rules for credits and deductions
  • Sec. 671. Trust income, deductions, and credits attributable to grantors and others as substantial owners
  • Sec. 804. Life insurance deductions
  • Sec. 805. General deductions
  • Sec. 809. Reduction in certain deductions of mutual life insurance companies – REPEALED
  • Sec. 873. Deductions
  • Sec. 874. Allowance of deductions and credits
  • Sec. 1358. Allocation of credits, income, and deductions
  • Sec. 2524. Extent of deductions
  • Sec. 3123. Deductions as constructive payments
  • Sec. 3307. Deductions as constructive payments
  • Sec. 6034. Returns by trusts described in section 4947(a)(2) or claiming charitable deductions under section 642(c)
  • Some Content about Deductions

  • Alimony Paid
  • Autos, Computers, Electronic Devices (Listed Property) (IRS FAQ)
  • Bad Debt Deduction
  • Business Entertainment Expenses
  • Business Travel Expenses
  • Business Use of Car
  • Business Use of Home
  • Business Use of Home – Is It Deductible?
  • Car Donations
  • Casualty and Theft Losses
  • Casualty, Disaster, and Theft Losses
  • Clean-Fuel Deduction
  • Contributions
  • Contributions (IRS FAQ)
  • Contributions of Motor Vehicles, Boats, and Airplanes
  • Deductible Taxes
  • Deducting a Sec. 754 Depreciation Adjustment
  • Domestic Production Activities Deduction
  • Education & Work-Related Expenses (IRS FAQ)
  • Educational Expenses
  • Educator Expense Deduction
  • Employee Business Expenses
  • Equitable or Beneficial Ownership
  • Gifts & Charitable Contributions (IRS FAQ)
  • Home Mortgage Points
  • Home Office Expenses of a One-Man Corporation
  • Individual Retirement Arrangements (IRAs)
  • Interest Expense
  • Interest, Investment, Money Transactions (Alimony, Bad Debts, Applicable Federal Interest Rate, Gambling, Legal Fees, Loans, etc.) (IRS FAQ)
  • Meals
  • Medical and Dental Expenses
  • Medical, Nursing Home, Special Care Expenses (IRS FAQ)
  • Miscellaneous Expenses
  • Mortgage Interest Deduction on Sale of Second Home Held for Investment Purposes
  • Moving Expenses
  • Other Deduction Questions (IRS FAQ)
  • Partner Section 179 Expense Deduction
  • Points Paid by Seller
  • Real Estate (Taxes, Mortgage Interest, Points, Other Property Expenses) (IRS FAQ)
  • Sales Tax Deduction – Optional Table Method
  • Should I Itemize?
  • State Deductions (CA – NOL Deductions Suspended then Reinstated and PA – Section 179 Deduction)
  • Student Loan Interest Deduction
  • Tax Shelters
  • Tuition and Fees Deduction
  • Description and Definition of Deductions

    Items that directly reduce taxable income. Deductions such as alimony, capital losses, moving expenses, business losses, and deductible IRA and Keogh contributions can offset gross income even if you don't have enough deductions to itemize. Personal expenses such as medical costs, mortgage interest, state and local taxes, employee business expenses, and charitable contributions are deductible only if you itemize your deductions. All taxpayers may claim a standard deduction. If your qualifying expenses exceed your standard deduction, you may claim the higher amount by itemizing your deductions. Although no records are needed to back up your right to the standard deduction, you must maintain records of qualifying expenditures if you itemize.

    Section 179 Deductions Issue

    You may find information about Section 179 Deductions in this Tax Platform of the American Encyclopedia of Law.

    Resources

    See Also

    Further Reading

    Gambling

    Gambling

    Gambling Income and Expenses

    Gambling winnings are fully taxable and must be reported on your tax return. You must file Form 1040 (PDF) and include all of your winnings on line 21. Gambling income includes, but is not limited to, winnings from lotteries, raffles, horse races, and casinos. It includes cash winnings and also the fair market value of prizes such as cars and trips. For additional information, refer to Publication 525, Taxable and Nontaxable Income.

    A payer is required to issue you a Form W-2G (PDF) if you receive $600 or more in gambling winnings or if you have any gambling winnings subject to Federal income tax withholding. The $600 amount is increased to $ 1,200 for winnings from bingo or slot machines and to $ 1,500 for winning from Keno. If you have won more than $5,000, the payer generally is required to withhold 25% of the proceeds for Federal Income Tax. If you did not provide your social security number the payer may have to withhold 28%. For more information on withholding, refer to Publication 505, Tax Withholding and Estimated Tax.

    Per IRC Sec. 165(d) you may deduct gambling losses only if you itemize deductions and only to the extent of the gains from such transactions. (This was formerly Sec. 23(h) of IRC of 1934. You may need to know this for legal research. Claim your gambling losses as a miscellaneous deduction on Form 1040, Schedule A (PDF), line 27. This bifurcation results in the “Gambler’s AGI Penalty.”

    There is much confusion regarding how to report gambling transactions; i.e. should transactions be reported based on each pull of the slot machine, roll of the dice, and draw of the card. Conversely, should gamblers simply report the “net amount for the year?” The courts and IRS have said no. Instead the courts and IRS have developed the concept of the “Gambling Session.” Gamblers should report the total of all “winning” gambling sessions on Form 1040, Page 1, Line 21. Gamblers should report all “losing” gambling sessions on Schedule A, Other Miscellaneous Deductions as “Gambling Losses to the Extent of Gambling Winnings.” Many glossary terms used in reporting gambling winnings and losses have very specific meanings as they pertain to reporting. Preparers should be familiar with these glossary terms.

    It is important to keep an accurate diary or similar record of your gambling winnings and losses. There are many unfortunate myths surrounding the documentation required to deduct gambling losses. According to Rev. Proc. 77-29 gamblers must keep a diary that shows 1) the date & type of wager, 2) the name of the gambling establishment, 3) the address of the gambling estabishment, 4) the name of any other persons present at the time, and 5) the amount won or lost. Related court cases shed additional light on how the courts and IRS have interpreted Sec. 165(d)

    Refer to Publication 529, Miscellaneous Deductions, for more information.

    Description and Definition of Gambling Income and Losses

    Income and losses from gambling, such as lotteries, bingo, and racing. Even if your wager was illegal the winnings are taxable. Gambling losses are only deductible to the extent that you report gambling income for the tax year.

    Resources

    See Also

    Further Reading

    Health Savings Accounts

    Health Savings Accounts (HSAs)

    Treasury March 30, 2004 Guidance on Health Savings Accounts (HSAs)

    Today the Treasury Department and the IRS issued additional guidance on Health Savings Accounts (HSAs). The guidance clarifies the types of preventive care that can be provided under a high deductible health plan (HDHP) and the interaction between an HDHP and other prescription drug benefits. In addition, guidance is being issued to provide transitional relief for the prescription coverage interaction as well as allowing HSAs to reimburse medical expenses incurred after the establishment of the HDHP (rather than the establishment of the HSA).

    “HSAs are an historic change in the way we look at health care,” stated Secretary Snow. “We want to make it easy for those designing HSAs to comply with the rules and help consumers understand how HSAs can help them meet their health care needs,” stated Acting Assistant Secretary Gregory Jenner.
    “The industry asked for more specific guidance on what is allowed as preventive care under a high deductible health plan and for clarification of the allowable interaction between the HDHP and prescription drug benefits. Today we are delivering that guidance, and hope that those providing high deductible health plans and those marketing HSAs will be able to make HSAs available to all consumers as quickly as possible.”

    PREVENTIVE CARE HSAs can only be established by eligible individuals, who must have coverage by a high deductible health plan (HDHP). Generally, an HDHP cannot provide benefits before the deductible is satisfied, but there is an exception for benefits for preventive care. The guidance issued today provides a safe harbor list of benefits that can be provided by an HDHP, generally clarifying that traditional preventive care benefits – such as annual physicals, immunizations and screening services – are preventive care for purposes of HSAs, as well as routine prenatal and well-child care, tobacco cessation programs and obesity weight- loss programs. The guidance also clarifies that preventive care generally does not include treatment of existing conditions. Comments are requested regarding whether other benefits should qualify as preventive care, including payments of certain drug costs benefits provided by
    employee assistance programs, mental preventive care benefits that reduce health costs and encourage early identification of health conditions that may require medical attention.

    INTERACTION OF HDHP BENEFITS WITH PRESCRIPTION BENEFITS AND TRANSITIONAL RELIEF
    Prior guidance noted that an eligible individual must be covered by an HDHP and generally no other health plan that is not an HDHP. Guidance issued today clarifies that individuals covered by a health plan that provides prescription drug benefits before the minimum annual deductible of an HDHP has been satisfied may not make contributions to an HSA. However, companion guidance also issued provides transition relief to those individuals covered by both an HDHP and by a separate health plan or rider that provides prescription drug benefits before the deductible of the HDHP is satisfied. Under the relief, such individuals continue to be eligible to contribute to HSAs before 2006.

    MEDICAL EXPENSE TRANSITION RELIEF Prior guidance provided that HSAs may only
    reimburse medical expenses incurred after the HSA is established. However, many individuals eligible to establish HSAs have been unable to locate trustees or custodians will and able to open HSAs at this time.
    Guidance issued today provides that for 2004, an HSA established by an eligible individual on or before April 15, 2005 may reimburse expenses incurred on or after the later of January 1, 2004 or the first day of the first month that the individual became an eligible individual.

    See Also:

    • Internal Revenue Ruling 2004-2 — Health Savings Accounts
    • Internal Revenue Notice 2004-23 — Health Savings Accounts
    • Internal Revenue Notice 2004-25 — Health Savings Accounts
    • Internal Revenue Ruling 2004-38 — Health Savings Accounts
    • Internal Revenue Procedure 2004-22 — Health Savings Accounts
    • Internal Revenue Notice 2004-50 — Health Savings Accounts
    • Employer Comparable Contributions……..Section 4980G
    • Statute HR 6111 (Tax Relief And Health Care Act of 2006)

    Health Savings Accounts Issue

    You may find information about Health Savings Accounts in this Tax Platform of the American Encyclopedia of Law.

    Taxation

    Taxation

    Resources

    Further Reading

    • Tax Aspects of Divorce and Separation (LJP)
    • Tax Controversies: Audits, Investigations, Trials
    • Tax Planning For Corporations and Shareholders
    • Tax Planning for Corporations and Shareholders-Forms
    • Tax Planning for Retirees
    • Tax Planning for S Corporations
    • Tax Planning for the Alternative Minimum Tax
    • Tax, Estate & Financial Planning for the Elderly
    • Taxation of Executive Compensation: Planning and Practice
    • Taxation of Financial Institutions
    • Taxation of Hospitals and Health Care Organizations
    • Taxation of Intellectual Property and Technology
    • Taxation of Mining Operations
    • Taxation of Securities Transactions

    State Income Taxes

    State Income and Franchise Taxes

    This entry offer comprehensive coverage of every major aspect of state income taxes, including bankruptcy, corporate income taxes, state credits and incentives, tax shelters, and more.

  • Bankruptcy (see below)
  • Compensation Planning (see below)
  • Corporate Income Taxes (see below)
  • Credits and Incentives for State Taxes (see below)
  • Personal Income Taxes (see below)
  • Tax Shelters (see below)
  • Bankruptcy State Tax

    This section provides guidance on every aspect of bankruptcy, including discharge of tax debt, automatic stay, chapter 11, pre-petition taxes, and more.

    Compensation Planning State Tax

    This section offers state tax coverage of compensation planning includes executive and employee compensation, nonresidents, Social Security taxes, state withholdings, and more. This area includes: Executive and Employee Compensation (see below), Nonresidents (see below) and Payroll (see below).

    Executive and Employee Compensation State Tax

    This subsection covers state taxation of executive and employee compensation, including allocation of income, state income tax base and its conformity to the federal base, ERISA coverage and funding, funding deferred obligations, and more.

    Nonresidents State Tax

    This subsection provides insights on policies and developments concerning every facet of compensation planning for nonresidents, including source taxation of nonresidents, source income, deferred compensation, withholding and special accruals, and more.

    Payroll State Tax

    This subsection offers comprehensive coverage of state tax issues in payroll, including withholding, apportionment formula, payroll factor, payroll taxes, and more.

    Corporate Income Taxes

    This section provides insights on policies and developments concerning every state tax facet of corporate income taxes, including consolidated returns, formulary apportionment, limitations on authority to tax, mergers and acquisitions, and more.

  • Consolidated Returns for State Taxes (see below)
  • Formulary Apportionment Taxation (see below)
  • Intangible Property Taxation (see below)
  • Limitations On Authority to Tax (see below)
  • Mergers and Acquisitions Taxation (see below)
  • Consolidated Returns for State Taxes

    This subsection offers comprehensive coverage of every major aspect of consolidated returns, including methods of computing taxable income, comparison of combined reports and state consolidated returns, implications of state taxation of multi-corporate groups, state-by-state analysis of consolidated returns and combined reporting, and more.

    Formulary Apportionment State Tax

    This subsection offers guidance on every aspect of formulary apportionment, including the payroll, property and sales factors, UDITPA, allocation, and more.

    Intangible Property State Tax

    This subsection provides coverage of state taxation of intangible property includes exemption for intangibles, business and non-business income, allocation and apportionment, nexus, and more. This area includes Software state taxation and Stock state taxation (see in this tax law encyclopedia).

    Limitations on Authority to Tax

    This subsection offers comprehensive coverage of nexus, including commerce clause, due process clause, Public Law No. 86-272, and more.

    Mergers and Acquisitions State Tax

    This subsection provides guidance on every state tax aspect of mergers and acquisitions, including taxable acquisitions, tax-free reorganizations, liquidations, sale of assets, and more.

    State Tax Credits and Incentives

    This section provides coverage of state tax credits and incentives includes economic development credits, historic preservation credits, low-income housing tax credit, research and development credits, and more.

  • Economic Development Credits (see below)
  • Enterprise Zone Credits (see below)
  • Environmental Credits (see below)
  • Film Production Credits (see below)
  • Historic Preservation Tax Credits (see below)
  • Investment Credits (see below)
  • Jobs Credits (see below)
  • Low-Income Housing Tax Credit (see below)
  • Machinery and Equipment Credits (see below)
  • Neighborhood Assistance Tax Credits (see below)
  • Research and Development Credits (see below)
  • Economic Development Credits State Tax

    This subsection covers economic development credits topics, such as revitalization, expansion, new facility, manufacturing, and more.

    Enterprise Zone Credits State Tax

    This subsection gives coverage of every major state tax aspect of enterprise zone credits, including relocation, headquarters, new business, job creation, and more.

    Environmental Credits State Tax

    This subsection provides guidance on every aspect of state tax environmental credits, including brownfield, recycling, clean coal, pollution, and more.

    Film Production Credits State Tax

    This subsection gives coverage of state tax film production credits includes digital media, television shows, video production, motion pictures, and more.

    Historic Preservation Tax Credits State Tax

    This subsection covers state tax research on historic preservation tax credits topics, such as I.R.C.-47, rehabilitation, historic property, historic structure, and more.

    Investment Credits State Tax

    This subsection
    Find the in-depth analysis, news, practice tools, and guidance you need on state tax investment credits from . Lawi offers a number of resources that provide insights on new state tax policies and developments concerning every facet of investment credits, including angel investors, investment fund, stock, venture capital, and more. Our team of leading practitioners gives you timely updates on best practices, and our products feature working papers, source documents, and sample forms to help you deal with any transaction.

    Jobs Credits State Tax

    This subsection gives state tax coverage of every major aspect of jobs credits, including new employees, job creation, wages, hiring, and more.

    Low-Income Housing Tax Credit State Tax

    This subsection provides guidance on every state tax aspect of low-income housing tax credit, including I.R.C.-42, urban areas’ specifications, low-income individuals, and more.

    Machinery and Equipment Credits State Tax

    This subsection gives state tax coverage of machinery and equipment credits & exemptions includes manufacturing, replacement parts, process, industrial, and more.

    Neighborhood Assistance Tax Credits

    This subsection provides practical state tax research on neighborhood assistance tax credits topics, such as job training, disadvantaged individuals, child daycare, and more.

    Research and Development Credits State Tax

    This subsection offers insights on state tax policies and developments concerning research and development credits, including biotechnology, I.R.C.-41, emerging technology, experiments, and more.

    State Personal Income Taxes

    This section offers comprehensive coverage of every major state tax aspect of personal income taxes, including gross income, addition, subtraction, deduction, and more.

    State Tax Shelters

    This section provides guidance on every aspect of state tax shelters, including tax avoidance transaction, voluntary disclosure, material advisor, reportable transactions, and more.

    Related Topics

    Bankruptcy State Tax
    Corporate Income Taxes
    State Tax Credits and Incentives

    Federal Tax Deductions

    Federal Tax Deductions

    This entry provide you with analysis and compliance guidance on every aspect of federal tax deductions, including itemized deductions, at-risk rules, charitable contributions, bad debts, and more. This area includes the following topics:

    Alimony| Bad Debts| Bribes and Kickbacks| Charitable Contributions| Dependency Exemptions| Depreciation| Dividends| Domestic Production Deduction| Educational Expenses| Equipment Leasing| Housing| Interest Expenses| Legal and Accounting Fees| Limitations| Lobbying and Political Expenditures| Medical Expenses| Moving Expenses| Penalties| Research and Development Expenses| Start-Up Expenditures| State and Local Taxes| Trade or Business Expenses

    Alimony Federal Tax

    This section includes federal tax coverage of alimony includes child support, divorce, Section 71(b), separation, and more.

    Bad Debts Federal Tax

    This section includes practical tax research on bad debts topics, such as discharge-of-indebtedness income, restructuring financially troubled businesses, worthless debts, bad debt deduction, and more.

    Bribes and Kickbacks Federal Tax

    This section includes insights on new federal tax policies and developments concerning bribes and kickbacks, including illegal payments, burden of proof under Section 162(c)(2), deductibility, inclusiveness of public policy doctrine, and more.

    Charitable Contributions

    This section includes analysis and compliance guidance on every aspect of charitable contributions, including income tax deductions, federal gift tax, permissible donees, donor advised funds, and more.

    Dependency Exemptions Federal Tax

    This section includes compliance guidance on every federal tax aspect of dependency exemptions, including special deductions, married child filing jointly, divorced and separated parents, Section 152(3) requirements, and more.

    Depreciation Federal Tax

    This section includes federal tax coverage of depreciation includes depreciable property, depreciation recapture, accelerated cost recovery system, bonus depreciation, and more.

    Dividends Federal Tax

    This section includes practical federal tax research on dividends topics, such as arrearages, corporate distributions, earnings and profits (E&P), consent and deficiency dividends, and more.

    Domestic Production Deduction Federal Tax

    In the context of the federal tax transactions and topics related to the domestic production deduction, this section includes federal tax policies and developments concerning every facet of the domestic production deduction, including 199 deduction, taxable income, qualified production activities income (QPAI), American Jobs Creation Act of 2004, and more.

    Educational Expenses Federal Tax

    This section includes coverage of every major federal tax aspect concerning educational expenses, including qualified tuition programs, scholarships, Coverdell education savings accounts, tax credits for higher education, and more.

    Equipment Leasing Tax Deductions

    This section includes coverage of every major federal tax aspect concerning equipment leasing deductions, including lease transactions, the reasons for leasing, various factors that have affected lease structures, sources of legal principles governing tax lease characterization, transactions of economic substance and anti-disavowal doctrines, conduit rules, partnership anti-abuse rules, tax-exempt entity leasing rules, and more.

    Housing Federal Tax

    This section includes federal tax coverage of housing includes foreclosure, principal residence, mortgages, rental property, and more.

    Interest Expenses Federal Tax

    This section includes analysis and overviews on interest expenses from a federal tax perspective, and research on interest expenses topics, such as bonds, debt instruments, interest income, indebtedness, and more.

    Legal and Accounting Fees Federal Tax

    In the context of legal and accounting fees from a federal tax perspective, this section includes insights on federal tax policies and developments concerning legal and accounting fees, including attorneys’ fees, business and professional fees, transaction expenses, court fees, and more.

    Deduction Limitations Federal Tax

    This section includes the analysis of federal tax deduction limitations, with comprehensive coverage of every major aspect of federal tax deduction limitations, including deduction limits, public policy restrictions, personal deductions, loss deductions, and more.

    Lobbying and Political Expenditures Federal Tax

    This section includes analysis and insights on federal tax transactions and topics related to lobbying and political expenditures, with compliance guidance on every federal tax aspect of lobbying and political expenditures, including political activities, candidates and public office holders, Section 527, campaign contributions, and more.

    Medical Expenses Federal Tax

    This section includes federal tax insights on medical expenses, such as COBRA, HIPAA, workers’ compensation, accident and health benefits, and more.

    Moving Expenses Federal Tax

    In the context of federal tax transactions and topics involving moving expense, this section includes insights on federal tax policies and developments concerning moving expenses topics, including relocation, deductions limited to individuals, change in employment, reimbursements, and more.

    Penalties Federal Tax

    This section includes coverage of every major federal tax aspect of penalties, including civil tax penalties, such as failure to file and failure to pay; fraud; reasonable cause exception; deductibility of fines and similar penalties under Section 162(f); and more.

    Research and Development Expenses Federal Tax

    This section includes detailed analysis and insights on research and development expenses from a federal tax perspective. The content provides compliance guidance on every federal tax aspect of research and development expenses, including Section 41 R&D credit, commercial production of a new product, computer software development, aggregation of expenditures, and more.

    Start-Up Expenditures

    State and Local Taxes Deductions

    This section includes insights on tax policies and developments concerning every facet of the state and local tax deductions, including business or for-profit activities, qualification for deductibility, tax obligations to other persons, proper timing for taking a deduction for paid or accrued taxes, complexities of accrual principles, and more.

    Trade and Business Expenses Federal Tax

    This section includes analysis and overviews on federal tax transactions and topics related to trade or business expenses. It includes federal tax guidance on trade or business expense topics, such as production of income expenses, for-profit activities, entertainment expenses, per diem allowances, and more.

    Federal Tax Credits

    Federal Tax Credits

    This entry offers coverage of every major aspect of credits and incentives for federal taxes, including alternative minimum tax credits, basis recovery, credit provisions, limitations, and restrictions, economically distressed areas, and more.

    Bond Tax Credits

    This section is based on detailed federal tax analysis and insights on bond credits. It covers the compliance on the federal tax aspect of bond credits, including Clean Renewable Energy Bond credit, limitation on amount of designated bonds, Gulf Tax Credit bond credit, Recovery Zone Bond credit, and more.

    Economically Distressed Areas Federal Tax

    This section offers a detailed federal tax analysis on economically distressed areas. The federal tax coverage for economically distressed areas includes the renewal community capital gain exclusion, new markets credit, federally declared disaster areas, recovery zone bond credit, and more.

    Energy Tax Credits

    This section offers several resources that provide insights on federal tax policies and developments concerning every facet of energy tax credits, including Grant in Lieu of Credit, renewable electricity production credit, energy property, advanced nuclear power facility production credit, nuclear power credit, and more.

    Family Tax Credits

    This section offers several resources that provide insights on federal tax policies and developments concerning most of the facets of family tax credits, including adoption assistance credit, child tax credit, earned income credit, household and dependent care credit, and more.

    Farming and Ranching Federal Tax

    This section offers a federal tax analysis for the farming and ranching industry, with comprehensive coverage of every major federal tax aspect of farming and ranching, including production of income expenses, uniform capitalization rules, Section 263A, gasoline tax credits, Section 165 losses, and more.

    Film Production Credits

    This section’s offers an analysis of Film Production Credits.

    Gas, Oil, and Coal Tax Credits

    This section’s resource and reference offers coverage of gas, oil, and coal tax credits includes Trans-Alaska Pipeline Liability Fund credit, marginal well production credit, Qualifying Advanced Coal Project credit, Qualifying Gasification Project credit, Qualifying Advanced Energy Project credit, and more.

    Investment Tax Credit

    This section’s coverage of investment tax credits includes depreciable property, rehabilitation credit, Section 38 property, energy credit, and more.

    General Business Credit

    This section examines the General Business Credits, with existing and forthcoming policies and developments.

    Housing and Rehabilitation Credits Tax

    This section provides insights on federal tax policies and developments concerning every facet of housing and rehabilitation credits, including residential energy credit, low-income housing credit, home mortgage interest credit, first-time homebuyer credit, computational limitations and carryovers, and more.

    Oil and Coal Credits

    This section offers analysis of Oil and Coal Credits, including policies and developments.

    Research and Development Credits Tax

    This section examines, from a federal income tax perspective, the research and development credit topics, such as Section 41 R&D credit, commercial production of a new product, computer software development, aggregation of expenditures, and more.

    Vehicle Tax Credits

    This section provides insights on federal tax policies and developments concerning vehicle credits, including qualified electric vehicle credit, alternative motor vehicle credit, alternative fuel vehicle refueling property credit, qualified plug-in electric drive motor vehicle credit, and more.

    Federal Income Taxes

    Federal Income Taxes

    Examine this entry’s resource and reference tools for detailed analysis on federal income taxes. Lawi gives you expert-written, in-depth analysis, real-life scenarios and examples, working documents, and much more. Our leading coverage of federal income taxes includes tax benefit, assignment of income, basis, gross income, and more to help you reduce research time and improve your best practices. Our team of practitioners — leading experts in their respective fields — gives you timely updates on the latest developments. You’ll also get , , and .

    Alternative Minimum Tax| Bankruptcy| Choice of Entity and Entity Classification| Consolidated Returns| Credits and Incentives for Federal Taxes| Debt Instruments| Estimated Tax| Federal Tax Deductions| Financial Instruments| Gross Income| Income Tax Law| Intangible Property| Liabilities| Losses| Marriage and Divorce| Natural Resources| Refunds| Related Parties| Tax Shelters

    Federal Tax Credits and Incentives

    The main entry offers comprehensive coverage of every major aspect of credits and incentives for federal taxes, including alternative minimum tax credits, basis recovery, credit provisions, limitations, and restrictions, economically distressed areas, and more. Also included are the following topics:

    Bond Credits| Economically Distressed Areas| Energy Credits| Family Credits| Farming and Ranching| Film Production Credits| Gas, Oil, and Coal Credits| General Business Credit| Investment Credits| Low-Income Housing and Rehabilitation Credits| Oil and Coal Credits| Research and Development Credits| Vehicle Credits

    Alternative Minimum Tax

    Access This section’s on alternative minimum tax (AMT). Find practical research on alternative minimum tax topics, such as legislation before and after the Taxpayer Relief Act of 1997, computation of AMTI, MACRS property depreciated and not depreciated, use of nonrefundable credits against regular tax, minimum tax credits, and more. Examine This section’s detailed federal tax analysis, , to help you with any tax transaction.

    Bankruptcy Tax

    Find the in-depth analysis, , , and you need on bankruptcy from a federal tax perspective. Lawi offers several resources that provide insights on new policies and developments concerning federal tax issues arising in bankruptcy, including insolvency, receivership proceedings, restructuring of financially troubled businesses, cancellation of indebtedness, and more. Our team of leading practitioners gives you timely updates on best practices, and our materials , and to help you deal with any transaction.

    Choice of Entity and Entity Classification

    Find the in-depth analysis, , , and you need on federal tax considerations in the choice of entity form and the federal tax classification of entities. This section offers several resources that provide insights on new policies and developments concerning every facet of the “check-the-box” regulations, tax considerations that need to be balanced when creating a new entity, limited liability companies as compared to other entities, disregarded entities, and more. Our team of leading practitioners gives you timely updates on best practices, and our materials , and to fully equip you to deal with any transaction.

    Consolidated Returns

    Turn to This section’s resource and reference tools for detailed analysis and on consolidated returns. Lawi gives you expert-written, in-depth analysis, real-life scenarios and examples, working documents, and much more. Our leading coverage of consolidated returns includes thorough discussion of eligibility to file, investment adjustments, intercompany transactions, limitations on losses, and more to help you reduce research time and improve your best practices. Our team of practitioners — leading experts in their respective fields — gives you timely updates on the latest developments. You’ll also get , and .

    Debt Instruments

    This section’s unparalleled analysis of debt instruments enables you to receive a more in-depth understanding of existing and forthcoming federal taxation policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major federal tax-related aspect of debt instruments, including below-market interest rate loans, bonds, VRDI, variable rate debt instruments, DEFRA, and more. Also included are , and to fully equip you to deal with any transaction.

    Estimated Tax

    This section’s unparalleled analysis of federal estimated tax enables you to receive a more in-depth understanding of existing and forthcoming policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major aspect of estimated tax, including trusts and estates, taxable income, depreciation and amortization, tax-exempt organizations, and more. Also included are , and to fully equip you to deal with any transaction.

    Federal Tax Credits and Incentives

    This section’s unparalleled analysis of federal tax credits and incentives gives you a more in-depth understanding of existing and forthcoming policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major aspect of credits and incentives for federal taxes, including alternative minimum tax credits, basis recovery, credit provisions, limitations, and restrictions, economically distressed areas, and more. Also included are , and to fully equip you to deal with any transaction.

    This area covers the following topics: Bond Credits| Economically Distressed Areas| Energy Credits| Family Credits| Farming and Ranching| Film Production Credits| Gas, Oil, and Coal Credits| General Business Credit| Investment Credits| Low-Income Housing and Rehabilitation Credits| Oil and Coal Credits| Research and Development Credits| Vehicle Credits

    Federal Tax Deductions

    This section is your trusted source for detailed analysis and insights on federal tax deductions. This includes analysis and compliance on every aspect of federal tax deductions, including itemized deductions, at-risk rules, charitable contributions, bad debts, and more. It covers the following topics:

    Alimony| Bad Debts| Bribes and Kickbacks| Charitable Contributions| Dependency Exemptions| Depreciation| Dividends| Domestic Production Deduction| Educational Expenses| Equipment Leasing| Housing| Interest Expenses| Legal and Law Fees| Limitations| Lobbying and Political Expenditures| Medical Expenses| Moving Expenses| Penalties| Research and Development Expenses| Start-Up Expenditures| State and Local Taxes| Trade or Business Expenses

    See more in federal tax deductions.

    Financial Instruments Tax

    This section is your trusted source for detailed analysis and insights on federal taxation of financial instruments. Our renowned Portfolios — written by leading practitioners — provide you with key analysis and compliance on every aspect of federal taxation of financial instruments, including derivatives, wash sales, constructive sales, constructive ownership provisions, straddles, and more. Our experts give you real-world business scenarios providing best practices and alternative approaches to tax & law topics and transactions. Consult , to see why tens of thousands of practitioners rely on LAWI for exceptional tax and law .

    Gross Income Tax

    Examine this section’s on gross income tax transactions and topics. Find practical research on gross income tax topics, such as imputed income, tax-deferred income, recapture income, the timing of income, the form of receipt, pass-through rules, foreign issues, compensation income, trade or business income, investment income, personal transactions, miscellaneous transactions, and more. Access this section’s detailed federal tax analysis, , to help you with any tax transaction.

    Income Tax Law

    Turn to this section’s resource and reference tools for detailed analysis and on income tax law. Lawi gives you expert-written, in-depth analysis, real-life scenarios and examples, working documents, and much more. Our leading coverage of income tax law includes law methods, method changes, and periods; 482 allocations; inventories, long-term contracts, and uniform capitalization rules; and more to help you reduce research time and improve your best practices. Our team of practitioners — leading experts in their respective fields — gives you timely updates on the latest developments. You’ll also get , and .

    Intangible Property Tax

    This section’s unparalleled analysis of intangible property from a federal income tax perspective gives you a more in-depth understanding of existing and forthcoming policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major aspect of intangible property, including copyrights, franchises, patents, trademarks, and more. Also included are , and to fully equip you to deal with any transaction. They include Software and Stock.

    Losses Federal Tax

    Find the in-depth analysis, , , and you need on losses from a federal income tax perspective. This section offers a number of resources that provide insights on new policies and developments concerning every facet of losses, including casualty losses, capital losses, dual consolidated losses, net operating losses (NOLs), and more. Our team of leading practitioners gives you timely updates on best practices, and our materials , and to fully equip you to deal with any transaction.

    Marriage and Divorce Tax

    This section’s unparalleled analysis of marriage and divorce from a federal tax perspective gives you a more in-depth understanding of existing and forthcoming policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major tax aspect associated with marriage and divorce, including alimony, child support, transfers between spouses or incident to divorce, separation, and more. Also included are , and to fully equip you to deal with any transaction.

    Child Support| Divorce and Separation| Joint Tenancies| Marital Agreements

    Child Support Federal Tax

    Consult this section’s on federal tax transactions and topics concerning child support. Find practical federal tax research on child support topics, such as The Lester Rule, divorce and separation, Section 71, contingency involving the child, and more. Access this section’s detailed analysis, , to help you with any transaction.

    Divorce and Separation Federal Tax

    This section is your trusted source for detailed analysis and insights on federal tax transactions and topics related to divorce and separation. Our renowned Portfolios — written by leading practitioners — provide you with key tax analysis and compliance on every aspect of divorce and separation, including alimony, child support, transfers between spouses or incident to divorce, dependency exemptions, and more. Our experts give you real-world business scenarios providing best practices and alternative approaches to tax & law topics and transactions. Examine , to see why tens of thousands of practitioners rely on LAWI for exceptional tax and law .

    Joint Tenancies Federal Tax

    This section’s unparalleled analysis of joint tenancies gives you a more in-depth understanding of existing and forthcoming federal tax policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our materials offer comprehensive coverage of every major federal tax aspect of joint tenancies, including contractual ownership arrangements, jointly held property, estate taxation, income tax basis rules, and more. Also included are , and to fully equip you to deal with any transaction.

    Marital Agreements Federal Tax

    This section is your trusted source for detailed analysis and insights on federal tax transactions and topics related to marital agreements. Our renowned Portfolios — written by leading practitioners — provide you with key analysis and compliance on every federal tax aspect of marital agreements, including premarital agreements and postmarital amendments, UPAA, marital rights, domestic partnership, and more. Our experts give you real-world business scenarios providing best practices and alternative approaches to tax law topics and transactions. Consult , to see why tens of thousands of practitioners rely on LAWI for exceptional tax and law .

    Natural Resources Tax

    Examine this section’s resource and reference tools for detailed federal tax analysis and on natural resources. LAWI gives you expert-written, in-depth analysis, real-life scenarios and examples, working documents, and much more. Our leading coverage of tax-related transactions and topics with natural resources includes mineral properties, oil and gas property, exploration and development, timber, and more. Our team of practitioners — leading experts in their respective fields — gives you timely updates on the latest developments to help you reduce research time and improve your best practices. You’ll also get , and .

    Mineral Property| Oil and Gas| Timber

    Mineral Property Federal Tax

    Access this section’s on federal tax transactions and topics concerning mineral properties. Find practical federal tax research on mineral property topics, such as exploration and development, mining, coal and iron ore, gas and oil, and more. Consult this section’s detailed analysis, , to help you with any transaction.

    Oil and Gas Federal Tax

    Find the in-depth analysis, , , and you need federal tax transactions and topics concerning the oil and gas industries. This section offers a number of resources that provide insights on new federal tax policies and developments affecting oil and gas companies, including drilling, minerals, geological and geophysical costs, Section 199, and more. Our team of leading practitioners gives you timely updates on best practices, and our materials , and to fully equip you to deal with any transaction.

    Timber Federal Tax

    This section’s unparalleled analysis of federal transactions and topics related to timbering gives you a more in-depth understanding of existing and forthcoming policies and developments. Practitioners will find in-depth interpretations along with practical approaches based on real-world scenarios. Our content offers comprehensive coverage of every major federal tax aspect of timbering, including reforestation, fair market value, disposition, timber harvest, and more. Also included are , and to fully equip you to deal with any transaction.

    Federal Tax Refunds

    This section is your trusted source for detailed analysis and insights on federal income tax refunds. Our renowned Portfolios — written by leading practitioners — provide you with key analysis and compliance on every aspect of federal tax refunds, including overpayments, adjustments, claims, suits, and more. Our experts give you real-world business scenarios providing best practices and alternative approaches to tax law topics and transactions. Examine to , to see why tens of thousands of practitioners rely on LAWI for exceptional tax and law .

    Related Parties Income Tax

    Access this section’s on income tax transactions and topics concerning related parties. Find practical research on related parties’ tax transactions, such as Section 267 definitions of related parties, impact of other sections in the Internal Revenue Code (IRC) on deductions, deduction deferrals, applicability of losses, and more. Consult this section’s detailed federal tax analysis, , to help you with any tax transaction.

    Tax Shelters

    Examine this section’s expert-written analysis and examination on Tax Shelters and related topics.

    What’s New

    What’s New

    • 2016 Tax Law Changes – a summary of changes for 2016
    • 2015 Tax Law Changes – a summary of changes for 2015
    • 2014 Tax Law Changes – a summary of changes for 2014
    • 2013 Tax Law Changes – a summary of changes for 2013
    • 2012 Tax Law Changes – a summary of changes for 2012
    • 2011 Tax Law Changes – a summary of changes for 2011
    • 2010 Tax Law Changes – a summary of changes for 2010
    • 2009 Tax Law Changes – a summary of changes for 2009
    • 2008 Tax Law Changes – a summary of changes for 2008 (IRS)
    • 2007 Tax Law Changes – a summary of changes for 2007
    • 2006 Tax Law Changes – a summary of changes for 2006
    • 2005 Tax Law Changes – a summary of changes for 2005

    Miscellaneous

    Miscellaneous

    Below are articles related to miscellaneous subjects.

    Alternative Filing Methods

    Age-Name-SSN Rejects, Errors, Correction Procedures (IRS FAQ)
    Amended Returns (IRS FAQ)
    Due Dates & Extension Dates for e-file (IRS FAQ)
    Electronic Filing
    Electronic Signatures
    Filing Business Returns Electronically
    Forms W-2 & Other Attachments (IRS FAQ)
    How to Choose a Paid Tax Preparer
    Substitute Tax Forms
    TeleFile
    TeleFile (IRS FAQ)

    Basis of Assets, Depreciation, and Sale of Assets

    Basis of Assets
    Depreciation
    Installment Sales
    Sale of Your Home

    Employer Tax Information

    Employer Identification Number (EIN) – How to Apply
    Employment Taxes for Household Employees
    Form 940 and 940-EZ – Deposit Requirements
    Form 940 and 940-EZ – Employer’s Annual Federal Unemployment Tax Returns
    Form 941 – Deposit Requirements
    Form 941 – Employer’s Quarterly Federal Tax Return
    Form W-2 – Where, When, and How to File
    Form W-4 – Employee’s Withholding Allowance Certificate
    Form W-5 – Advance Earned Income Credit
    Independent Contractor vs. Employee
    Social Security and Medicare Withholding Rates
    Tips – Withholding and Reporting

    Foreign Taxes

    Income Tax Treaties
    Australian tax
    Canadian Tax

    Magnetic Media Filers

    Applications, Forms, and Information
    Electronic Filing of Information Returns
    Magnetic Media Filers (2004 IRS FAQ)
    Test Files and Combined Federal and State Filing
    Waivers and Extensions
    Who Must File Magnetically

    IRS Collection

    Failure to Pay Child Support, Federal Non-Tax and State Income Tax Obligations
    Innocent Spouse Relief (And Separation of Liability and Equitable Relief)
    Offers-in-Compromise
    The Collection Process
    What To Do If You Can’t Pay Your Tax

    IRS Help Available

    IRS Services – Volunteer Tax Assistance, Toll-Free Telephone, Walk-in Assistance, and Outreach Programs
    Tax Assistance for Individuals with Disabilities and the Hearing Impaired
    Tax Help for Small Businesses and Self-Employed
    Tax Relief for Victims of Terrorist Attacks
    Taxpayer Advocate Program – Help for Problem Situations

    IRS Links

    IRS Home Page
    IRS Fact Sheets
    Forms And Publications
    Frequently Asked Questions
    IRS Hot Topics
    IRS News Releases
    Tax Professionals
    IRS Tax Tips

    IRS Notices

    IRS Notices and Bills, Penalties and Interest Charges
    Notice of Underreported Income CP2000
    Notices – What to Do

    IRS Procedures

    Circular 230 Information
    2004 Forms W-2 and Form 1099-R (What to Do if Not Received)
    Address Changes (IRS FAQ)
    Amended Returns & Form 1040X (IRS FAQ)
    Change of Address – How to Notify IRS
    Code, Revenue Procedures, Regulations, Letter Rulings (IRS FAQ)
    Collection Procedural Questions (IRS FAQ)
    Copies & Transcripts (IRS FAQ)
    Copy of Your Tax Return – How to Get One
    Ensuring Proper Credit of Payments
    Extensions (IRS FAQ)
    Forms & Publications (IRS FAQ)
    Forms and Publications – How to Order
    General Procedural Questions (IRS FAQ)
    Injured & Innocent Spouse (IRS FAQ)
    Name Changes & Social Security Number Matching Issues (IRS FAQ)
    Notices & Letters (IRS FAQ)
    Refund Inquiries (IRS FAQ)
    Prior Year(s) Form W-2 – (How to Get a Copy of)
    Refunds – How Long They Should Take
    Reporting Fraud (IRS FAQ)
    Signing the Return (IRS FAQ)
    W-2 – Additional, Incorrect, Lost, Non-receipt, Omitted (IRS FAQ)
    W-4 – Allowances, Excess FICA, Students, Withholding
    What To Do if You Haven’t Filed Your Tax Return
    Your Appeal Rights

    Earnings for Clergy
    Minister / Clergy Taxation
    Ministers’ Compensation & Housing Allowance (IRS FAQ)
    Minister’s Housing Allowance
    Sec. 107. Rental value of parsonages
    Publication 1828 – Tax Guide for Churches and Religious Organizations