Tag Archives: Credits

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 Reduction in certain deductions of mutual life insurance companies – REPEALED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

    Income

    Income

    Income means: economic benefit; money or value received. Former IRC (check if this IRC provision is current here) §61.

    Code Sections about Income

    • Sec. 61. Gross income defined
    • Sec. 62. Adjusted gross income defined
    • Sec. 63. Taxable income defined
    • Sec. 64. Ordinary income defined

    Some Information related with Income

    1099-DIV Dividend Income (2004 IRS FAQ)
    1099-INT Interest Income (2004 IRS FAQ)
    1099-MISC, Independent Contractors, and Self-employed (2004 IRS FAQ)
    1099 Information Returns (All Other) (2004 IRS FAQ)
    401(k) Plans
    Alimony Received
    Alimony, Child Support, Court Awards, Damages (2004 IRS FAQ)
    Bartering Income
    Business Income
    Capital Gains and Losses
    Dividends
    Earnings for Clergy
    Employee Reimbursements, Form W-2, Wage Inquiries (2004 IRS FAQ)
    Exchange of Policyholder Interest for Stock
    Farming and Fishing Income
    Gambling Income and Expenses
    Gifts & Inheritances (2004 IRS FAQ)
    Grants, Scholarships, Student Loans, Work Study (2004 IRS FAQ)
    Gross Income
    Interest Received
    Life Insurance & Disability Insurance Proceeds (2004 IRS FAQ)
    Lump-Sum Distributions
    Ministers’ Compensation & Housing Allowance (2004 IRS FAQ)
    Nontaxable Income
    Other Income
    Passive Activities – Losses and Credits
    Pensions and Annuities
    Pensions – The General Rule and the Simplified Method
    Refunds of State and Local Taxes
    Rental Income and Expenses
    Renting Residential and Vacation Property
    Rollovers from Retirement Plans
    Roth IRA Distributions
    Sale of Assets Held for More Than Five Years
    Savings Bonds (2004 IRS FAQ)
    Scholarship and Fellowship Grants
    Social Security and Equivalent Railroad Retirement Benefits
    Sole Proprietorship
    Stock Options
    Tips
    Tips (2004 IRS FAQ)
    Traders in Securities (Information for Form 1040 Filers)
    Unemployment Compensation
    Wages and Salaries

    Income Related Tax Concepts and Issues

    • Academic Scholarships
    • Accrued Annual Leave
    • Accelerated Death Benefits
    • Advance Commissions
    • Alimony Received
    • Allocated Tips
    • Allowances for Housing
    • Annuity Benefits
    • Awards
    • Awards-Prizes
    • Back Pay Awards
    • Bartering Income
    • Bequests
    • Bonuses
    • Businesses-Part Time
    • Campaign Contributions Received
    • Cancellation of Employment, Payments for
    • Capital Gains
    • Child Support Payments Received
    • Clergy
    • Commissions Paid in Advance
    • Court Awards
    • Damages for Emotional Distress
    • Directors Fees
    • Disaster Relief Act Grants
    • Disaster Unemployment Assistance
    • Dividends
    • Dividends – Cooperative Banks
    • Dividends – Credit Unions
    • Dividends – Federal Savings & Loans
    • Dividends – Life Insurance Policies
    • Dividends – Mutual Funds
    • Dividends – Mutual Savings Banks
    • Dividends – Savings and Loans
    • Dividends – Reinvested
    • Educational Assistance Exclusion
    • Election Official Fees
    • Employee Achievement Awards
    • Employee Gifts
    • Employee Stock Options
    • Farming Income
    • Fishing Income
    • Foreclosures-Home
    • Foreign Earnings
    • Fulbright Awards
    • Gambling Winnings
    • Gifts
    • Gifts to Employees
    • Historic Preservation Grants
    • Hobby Income
    • Holiday Gifts to Employees
    • Home Foreclosures
    • Home Sale Proceeds
    • Housing Allowances
    • Illegally Obtained Money or Property
    • Incentive Stock Options
    • Independent Contractors
    • Installment Sales
    • Installment Sale Interest
    • Interest Received – Generally
    • Interest Received – Banks
    • Interest Received – Cooperative Banks
    • Interest Received – Credit Unions
    • Interest Received – Fed. Savings & Loans
    • Interest Received – Life Insurance Policies
    • Interest Received – Mutual Savings Banks
    • Interest Received – Nominee
    • Interest Received – Original Issue Discount
    • Interest Received – Sale of Home
    • Interest Received – Savings and Loans
    • Interest Received – Tax Exempt
    • Interest Received – Tax Refunds
    • Interest Received – Treasury Bills
    • Interest Received – Treasury Bonds
    • Interest Received – Treasury Notes
    • Interest Received – US Savings Bonds
    • Interest Received – Veterans Ins. Dividends
    • IRA Rollovers
    • Job Interview Expenses Received
    • Legal Settlements
    • Life Insurance Proceeds
    • Long Term Disability Payments
    • Lump Sum Distributions
    • Lump Sum Payments-Cancel Employment
    • Meals and Lodging
    • Military Retirement Pay
    • Mutual Fund Dividends
    • Notary Public Fees
    • Part Time Businesses
    • Partnership Income
    • Pension Benefits
    • Prizes
    • Property Received for Services
    • Rebates
    • Reinvested Dividends
    • Rental Income
    • Retirement Distributions – IRA Rollovers
    • Salaries
    • Sale of Home
    • Severance Pay
    • Sick Pay
    • Sick Pay-Railroad Employees
    • Sideline Business
    • Social Security Benefits
    • Sole Proprietorships
    • Sole Proprietorships-Income and Expenses
    • State Tax Refunds
    • Stock Options-Employee
    • Stock Options-Incentive
    • Stock Purchased from Employer
    • Stolen Money or Property
    • Supplemental Unemployment
    • Unemployment-Supplemental
    • Union Benefits
    • VA Rehabilitation Payments
    • Veteran’s Benefits
    • Veteran’s Life Insurance
    • Viatical Settlements
    • Wages
    • Worker’s Compensation

    See also other Tax Terms and Definitions in U.S.A.

    gross income; net income; taxable income.

    Pension and Annuity Income, I.R.S. Pub. 575 Issue

    You may find information about Pension and Annuity Income, I.R.S. Pub. 575 in this Tax Platform of the American Encyclopedia of Law.

    Depreciation

    Depreciation

    Depreciation means:
    an accounting technique in which the cost of an asset is allocated over its useful life. A deduction to reflect the gradual loss of value of business property as it wears out. Former IRC (check if this IRC provision is current here) §167. See Accelerated Cost Recovery System; Modified Accelerated Cost Recovery System.

    See Depreciation in the United States Encyclopedia of Law and Depreciation in the World Encyclopedia of Law.

    The law assigns a tax life to various types of property, and his or her basis (cost) in such property is deducted over that period of time. (For assets put in service after September 8, 2010 and before January 1, 2012, a special rule allowing 100% “bonus” depreciation allows businesses to write off the full cost of qualifying assets in the year they are purchased and placed in service.) See Accelerated Depreciation.

    U.S. and other Developed Countries International Tax Meaning

    An accounting technique in which the cost of an asset is allocated over its useful life.

    Sum-of-the-years’-digits Depreciation (SYD)

    A depreciation calculated by a method of allocating the cost of an asset over its useful life. A fraction is computed each year, which is applied against the depreciable amount. The numerator is the number of years left to be depreciated; the denominator is the sum of the years’ digits of the depreciable life. The formula for the denominator is N (N +1)/2 where N = the depreciable life. Sum-of-the-years’-digits depreciation is generally in use for tax purposes only for assets placed in service before 1981.

    See also other Tax Terms and Definitions in U.S.A.

    accelerated depreciation.

    Example of Depreciation:

    Learn more about tax examples, explanations and calculations here.

    An automobile used in business cost $10,000 and has a 4-year depreciable life. Sum-of-the-years’-digits depreciation results in the deductions shown in Table 7 below.

    See Depreciation in the United States Encyclopedia of Law and Depreciation in the World Encyclopedia of Law.

    Code Sections about Depreciation

    • Sec. 167. Depreciation
    • Sec. 216. Deduction of taxes, interest, and business depreciation by cooperative housing corporation tenant-stockholder
    • Sec. 280F. Limitation on depreciation for luxury automobiles; limitation where certain property used for personal purposes
    • Sec. 1357. Items not subject to regular tax; depreciation; interest

    IRS Publications about Depreciation

    • Publication 463, Travel, Entertainment, Gift and Car Expenses
    • Publication 527, Residential Rental Property
    • Publication 534, Depreciating Property Placed In Service Prior to 1987
    • Publication 535, Business Expenses
    • Publication 538, Accounting Periods and Methods
    • Publication 550, Investment Income and Expenses
    • Publication 551, Basis of Assets
    • Publication 587, Business Use of Your Home
    • Publication 946, How to Depreciate Property

    State Law about Depreciation

    • CA – Bonus Depreciation
    • ME – Depreciation/Section 179
    • NY – Bonus Depreciation
    • NY – Depreciation
    • OK – Bonus Depreciation
    • PA – Bonus Depreciation

    Description and Definition of Depreciation

    A deduction to reflect the gradual loss of value of business property – such as office equipment, vehicles, buildings, and furniture – as it wears out or becomes obsolete. The tax law assigns a life to various types of property and your basis in such property is deducted over that period of time. The tax law specifies the depreciation term for specific types of assets.

    If the expense is assumed to be incurred in equal amounts in each business period over the life of the asset the depreciation method used is straight line (SL). If the expense is assumed to be incurred in decreasing amounts in each business period over the life of the asset the method used is said to be accelerated. Two commonly used variations of the accelerated method of depreciating an asset are the sum-of-years digits (SYD) and the double-declining balance (DDB) methods. Frequently, accelerated depreciation is chosen for a business' tax expense but straight line is chosen for its financial reporting purposes.

    Resources

    See Also

    Further Reading

    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 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.

    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

    IRS Tax Tips

    IRS Tax Tips

    You can access IRS tax tips back to 1997 on the IRS website: IRS Tax Tips.
    The search box on that page is in this order:
    News Releases (IR-year-#)
    Fact Sheets (FS-year-#)
    Tax Tips (AT-year-#)

    IRS Tax Tips Examples

    • Updated ITIN Procedure Changes Announced
    • Earned Income Tax Credit for 2012; Do I Qualify?
    • IRS Combats Identity Theft and Refund Fraud on Many Fronts
    • Tips for Taxpayers, Victims about Identity Theft and Tax Returns
    • IRS Criminal Investigation Targets Identity Theft Refund Fraud
    • IRS Achieves $1 Billion in Cost Savings and Efficiencies
    • Highlights from the IRS Report
    • IRS Offers New Streamlined Option to Certain 501(c)(4) Groups Caught in Application Backlog
    • Tips for Employers Who Outsource Payroll Duties
    • IRS Combats Identity Theft and Refund Fraud on Many Fronts
    • Tips for Taxpayers, Victims about Identity Theft and Tax Returns
    • IRS Criminal Investigation Combats Identity Theft Refund Fraud
    • Earned Income Tax Credit; Do I Qualify?
    • IRS Offshore Voluntary Disclosure Efforts Produce $6.5 Billion; 45,000 Taxpayers Participate
    • Offshore Income and Filing Information for Taxpayers with Offshore Accounts
    • IRS Urges Taxpayers to Choose a Tax Preparer Wisely for the Filing Season Ahead
    • IRS Combats Identity Theft and Refund Fraud on Many Fronts
    • Identity Theft Information for Taxpayers and Victims
    • Taxpayer Bill of Rights- #1 The Right to Be Informed
    • Earned Income Tax Credit; Do I Qualify?
    • Taxpayer Bill of Rights- #2 The Right to Quality Service
    • Understanding Who You Pay to Prepare Your Tax Return
    • Taxpayer Bill of Rights- #3 The Right to Pay No More than the Correct Amount of Tax
    • Tips Versus Service Charges: How to Report
    • 2014 Tax Changes: Health Care Law Brings Updates to Tax Forms; Other Benefits Renewed
    • Taxpayer Bill of Rights: #4, The Right to Challenge the IRS’s Position and Be Heard
    • Taxpayer Bill of Rights: #5, The Right to Appeal an IRS Decision in an Independent Forum
    • Taxpayer Bill of Rights: #6, The Right to Finality
    • Taxpayer Bill of Rights: #7, The Right to Privacy
    • Health Coverage Exemptions: What Are They, How to Obtain Them, and How to Claim Them
    • Taxpayer Bill of Rights: #8, The Right to Confidentiality
    • Payment Alternatives When You Owe the IRS
    • Taxpayer Bill of Rights- #9, The Right to Retain Representation
    • Taxpayer Bill of Rights: #10, The Right to a Fair and Just Tax System
    • New Tangible Property Regulations; Simplified Option Available to Many Small Businesses
    • Payments to Independent Contractors
    • Business Taxes for the Self-Employed: The Basics
    • IRS, States and Industry Partners Provide Update on Collaborative Fight Against Tax-Related Identity Theft
    • Tax Return Preparers: Data Thefts and Protecting Client Tax Information
    • General Employment Tax Issues
    • Tax Preparedness Series: Gathering Essential Documents for Next Filing Season
    • Tax Professionals Should Perform Periodic Check of EFIN Status
    • How Do I Get My Tax Transcript?
    • IRS, States and Tax Industry Combat Identity Theft and Refund Fraud on Many Fronts
    • IRS, States and Tax Industry Urge Taxpayers to Join the Effort to Combat Identity Theft
    • IRS Identity Theft Victim Assistance: How It Works
    • How New Identity Security Changes May Affect Taxpayers for 2016
    • Earned Income Tax Credit; Do I Qualify?
    • Taxpayer Bill of Rights: The Right to Be Informed
    • 2015 Tax Changes Include: Key Benefits Renewed; A New Way to Save for Retirement; New Accounts for People With Disabilities; Health Care Updates

    Credits

    Credits

    The Credits are, under the Social Security Act, the determiners of eligibility for Social Security programs. A person earns credits by working in a job covered by Social Security and by paying Social Security taxes. In 1991, one credit was earned for each $540 in Social Security earnings. A maximum of four credits can be earned in a year. A minimum of 40 credits is required to qualify for retirement benefits.

    IRS Publications about Credits

  • Fuel Tax Credits and Refunds
  • Foreign Tax Credit for Individuals
  • Credit for the Elderly or the Disabled
  • Earned Income Credit
  • Child Tax Credit
  • Code Sections about Credits

  • Sec. 22. Credit for the elderly and the permanently and totally disabled
  • Sec. 24. Child tax credit
  • Sec. 27. Taxes of foreign countries and possessions of the United States; possession tax credit
  • Sec. 30A. Puerto Rico economic activity credit
  • Sec. 30B. Alternative motor vehicle credit
  • Sec. 30C. Alternative fuel vehicle refueling property credit
  • Sec. 38. General business credit
  • Sec. 41. Credit for increasing research activities
  • Sec. 42. Low-income housing credit
  • Sec. 43. Enhanced oil recovery credit
  • Sec. 45A. Indian employment credit
  • Sec. 45B. Credit for portion of employer social security taxes paid with respect to employee cash tips
  • Sec. 45D. New markets tax credit
  • Sec. 45F. Employer-provided child care credit
  • Sec. 45G. Railroad track maintenance credit
  • Sec. 45H. Credit for production of low sulfur diesel fuel
  • Sec. 45I. Credit for producing oil and gas from marginal wells
  • Sec. 45J. Credit for production from advanced nuclear power facilities
  • Sec. 45K. Credit for producing fuel from a nonconventional source
  • Sec. 45L. New Energy Efficient Home Credit
  • Sec. 45M. Energy Efficient Appliance Credit
  • Sec. 46. Amount of credit
  • Sec. 47. Rehabilitation credit
  • Sec. 48. Energy credit
  • Sec. 48A. Qualifying advanced coal project credit
  • Sec. 48B. Qualifying gasification project credit
  • Sec. 51. Amount of credit
  • Sec. 53. Credit for prior year minimum tax liability
  • Sec. 54. Credit to holders of clean renewable energy bonds.
  • Sec. 77. Commodity credit loans
  • Sec. 78. Dividends received from certain foreign corporations by domestic corporations choosing foreign tax credit
  • Sec. 409. Qualifications for tax credit employee stock ownership plans
  • Sec. 418C. Overburden credit against minimum contribution requirement
  • Sec. 841. Credit for foreign taxes
  • Sec. 853. Foreign tax credit allowed to shareholders
  • Sec. 902. Deemed paid credit where domestic corporation owns 10 percent or more of voting stock of foreign corporation
  • Sec. 903. Credit for taxes in lieu of income, etc., taxes
  • Sec. 904. Limitation on credit
  • Sec. 908. Reduction of credit for participation in or co-operation with an international boycott
  • Sec. 936. Puerto Rico and possession tax credit
  • Sec. 960. Special rules for foreign tax credit
  • Sec. 1396. Empowerment zone employment credit
  • Sec. 1397E. Credit to holders of qualified zone academy bonds
  • Sec. 1400C. First-time homebuyer credit for District of Columbia
  • Sec. 1400H. Renewal community employment credit
  • Sec. 1462. Withheld tax as credit to recipient of income
  • Sec. 1551. Disallowance of the benefits of the graduated corporate rates and accumulated earnings credit
  • Sec. 2010. Unified credit against estate tax
  • Sec. 2011. Credit for State death taxes
  • Sec. 2012. Credit for gift tax
  • Sec. 2013. Credit for tax on prior transfers
  • Sec. 2014. Credit for foreign death taxes
  • Sec. 2015. Credit for death taxes on remainders
  • Sec. 2016. Recovery of taxes claimed as credit
  • Sec. 2505. Unified credit against gift tax
  • Sec. 2604. Credit for certain State taxes
  • Sec. 3303. Conditions of additional credit allowance
  • Sec. 3507. Advance payment of earned income credit
  • Sec. 5010. Credit for wine content and for flavors content
  • Sec. 5011. Income Tax Credit for Average Cost of Carrying Excise Tax.
  • Sec. 5056. Refund and credit of tax, or relief from liability
  • Sec. 5705. Credit, refund, or allowance of tax
  • Sec. 6407. Date of allowance of refund or credit
  • Sec. 6511. Limitations on credit or refund
  • Sec. 6709. Penalties with respect to mortgage credit certificates
  • Sec. 7486. Refund, credit, or abatement of amounts disallowed
  • Sec. 6429. Advance Payment of Portion of Increased Child Credit for 2003.
  • Sec. 7527. Advance payment of credit for health insurance costs of eligible individuals
  • Sec. 6050T. Returns relating to credit for health insurance costs of eligible individuals
  • Sec. 6426. Credit for certain alternative fuel mixtures
  • See also other Tax Terms and Definitions in the U.S.

    Tax credits.

    Business

    Business Tax Law

    Business General Information

    Business Entertainment Expenses
    Business Income
    Business Travel Expenses
    Business Use of Car
    Business Use of Home
    Business Use of Home – Is It Deductible?
    Business Use of Home – Taxes and Interest
    Principal Business Activity Codes

    Partnership / 1065

    2005 1065 K-1 instructions
    Basis Limitations for K-1 Losses
    Dispositions with Prior Section 179 Expense
    Form 1065
    Partner Health Insurance Premiums
    Partner Section 179 Expense Deduction
    Partner’s Capital Account Analysis
    Schedule K-1 (Forms 1065 and 1120S)
    Schedule K-1 – Line 20 (Form 1065) Code Definition

    Corporate / 1120

    Alternative Taxation of Income from Qualifying Shipping Activities
    Corporate Extensions
    Form 1120
    Schedule M-3 FAQs
    Unrecaptured 1250 Gain
    Retroactive 1120 Tax Return
    RE in a Corp

    S Corporate / 1120S

    Basis Limitations for K-1 Losses
    Dispositions with Prior Section 179 Expense
    Distributions from AAA
    Electing S Corporation Status
    Election: Family as Single Shareholders for “S” Corps.
    Form 1120S
    S Corporation Distributions
    S Corporation Excess Net Passive Income Tax
    S Corporation Termination of Shareholders Interest
    Schedule K-1 (Forms 1065 and 1120S)

    Fiduciary / 1041

    Fiduciary Terms
    Form 1041

    Estates and Trusts

    Bankruptcy Estates
    Complex Trusts
    Decedent’s Estates
    Electing Small Business Trusts (ESBT)
    Estate Tax Filing Requirement
    Estate Terms
    Estate and Gift Tax Reporting of Gifts from Prior Periods
    Grantor Trusts
    GST Exemption
    Guide to Types of Estate and Trust Entities
    How to File a Trust Return
    Qualified Disability Trusts
    Qualified Funeral Trusts
    Simple Trusts
    Split-Interest Charitable Trusts
    Trust 1041-A
    Trust 1041-T
    Trust Depreciation
    Trust Schedule D

    Gift Tax / 709

    Annual Exclusion for Gift Tax
    Estate and Gift Tax Reporting of Gifts from Prior Periods
    Gift Tax Filing Requirement
    GST Exemption
    Unified Credit for Gift and Estate Tax
    Related Internal Revenue Code Sections
    Sec. 2012. Credit for gift tax
    Sec. 2505. Unified credit against gift tax
    Sec. 6019. Gift tax returns
    Sec. 6075. Time for filing estate and gift tax returns

    Exempt Organizations (Non-Profit) / 990s

    Exempt Organization Reference Chart
    Exempt Organization Return Filing
    990-N Filing ePostcard
    Gross Receipts Normally $25,000 or Less Test

    Benefit Plan / 5500