Filing Your Taxes Online is Fast, Easy and Secure.
Start now and receive your tax refund in as little as 7 days.

1. Get Answers

Your online questions are customized to your unique tax situation.

2. Maximize your Refund

Find tax credits for everything from school tuition to buying a hybri

3. E-File for FREE

E-file free with direct deposit to get your refund in as few as 7 days.

Filing your taxes with paper mail can be difficult and it could take weeks for your refund to arrive. IRS e-file is easy, fast and secure. There is no paperwork going to the IRS so tax refunds can be processed in as little as 7 days with direct deposit. As you prepare your taxes online, you can see your tax refund in real time.

FREE audit support and representation from an enrolled agent – NEW and only from H&R Block

1040 Estimated Tax Form

How To Ammend Taxes1040 State Tax FormTax ExtensionState Free Tax ReturnFile 2005 Tax Return FreeFree State Efile2012 Free Taxes1040x Online FormFile Federal And State Income Tax For FreeFree Online Tax Filing State FederalFree Ez FormState Tax Efile2012 1040 Irs Tax FormsEz Form 20141040x 2013 FormIrs 1040ez InstructionsFiling 1040 Online40 Ez Form10 40 Ez Form2011 Tax Amendment FormState Income Tax Rate ComparisonsIrs Forms For 2012ExtensionTaxact 2012 Login Returning UserFile Free Taxes For 2011 No Printing Needed2013 Tax Forms 1040ezHow To Amend 1040Myfreetaxes.orgIrs Free EfileTurbotax Free State FilingHow To Fill Out 1040ez 2012Amend Turbotax ReturnHow To Fill Out Form 1040ezAmend Taxes Online FreeIncome Tax Preparation Seniors1040 Ez Forms For 2012Turbotax Free MilitaryState Income Tax FilingHow Far Back Can You Amend Tax ReturnsIrs Tax Forms 2011 Download

1040 Estimated Tax Form

1040 estimated tax form 31. 1040 estimated tax form   Tax on Unearned Income of Certain Children Table of Contents What's New Introduction Useful Items - You may want to see: Which Parent's Return To UseParents Who Do Not File a Joint Return Parent's Election To Report Child's Interest and DividendsEffect of Making the Election Figuring Child's Income Figuring Additional Tax Tax for Certain Children Who Have Unearned IncomeProviding Parental Information (Form 8615, lines A–C) Step 1. 1040 estimated tax form Figuring the Child's Net Unearned Income (Form 8615, Part I) Step 2. 1040 estimated tax form Figuring Tentative Tax at the Parent's Tax Rate (Form 8615, Part II) Step 3. 1040 estimated tax form Figuring the Child's Tax (Form 8615, Part III) What's New Net Investment Income Tax. 1040 estimated tax form . 1040 estimated tax form  For tax years beginning after December 31, 2012, a child whose tax is figured on Form 8615 may be subject to the Net Investment Income Tax (NIIT). 1040 estimated tax form NIIT is a 3. 1040 estimated tax form 8% tax on the lesser of the net investment income or the excess of the child's modified adjusted gross income (MAGI) over the threshold amount. 1040 estimated tax form Use Form 8960, Net Investment Income Tax, to figure this tax. 1040 estimated tax form For more information on NIIT, go to www. 1040 estimated tax form irs. 1040 estimated tax form gov and enter “Net Investment Income Tax” in the search box. 1040 estimated tax form Introduction This chapter discusses the following two rules that may affect the tax on unearned income of certain children. 1040 estimated tax form If the child's interest and dividend income (including capital gain distributions) total less than $10,000, the child's parent may be able to choose to include that income on the parent's return rather than file a return for the child. 1040 estimated tax form (See Parent's Election To Report Child's Interest and Dividends , later. 1040 estimated tax form ) If the child's interest, dividends, and other unearned income total more than $2,000, part of that income may be taxed at the parent's tax rate instead of the child's tax rate. 1040 estimated tax form (See Tax for Certain Children Who Have Unearned Income , later. 1040 estimated tax form ) For these rules, the term “child” includes a legally adopted child and a stepchild. 1040 estimated tax form These rules apply whether or not the child is a dependent. 1040 estimated tax form Useful Items - You may want to see: Publication 929 Tax Rules for Children and Dependents Form (and Instructions) 8615 Tax for Certain Children Who Have Unearned Income 8814 Parents' Election To Report Child's Interest and Dividends Which Parent's Return To Use If a child's parents are married to each other and file a joint return, use the joint return to figure the tax on the child's unearned income. 1040 estimated tax form The tax rate and other return information from that return are used to figure the child's tax as explained later under Tax for Certain Children Who Have Unearned Income . 1040 estimated tax form Parents Who Do Not File a Joint Return For parents who do not file a joint return, the following discussions explain which parent's tax return must be used to figure the tax. 1040 estimated tax form Only the parent whose tax return is used can make the election described under Parent's Election To Report Child's Interest and Dividends . 1040 estimated tax form Parents are married. 1040 estimated tax form   If the child's parents file separate returns, use the return of the parent with the greater taxable income. 1040 estimated tax form Parents not living together. 1040 estimated tax form   If the child's parents are married to each other but not living together, and the parent with whom the child lives (the custodial parent) is considered unmarried, use the return of the custodial parent. 1040 estimated tax form If the custodial parent is not considered unmarried, use the return of the parent with the greater taxable income. 1040 estimated tax form   For an explanation of when a married person living apart from his or her spouse is considered unmarried, see Head of Household in chapter 2. 1040 estimated tax form Parents are divorced. 1040 estimated tax form   If the child's parents are divorced or legally separated, and the parent who had custody of the child for the greater part of the year (the custodial parent) has not remarried, use the return of the custodial parent. 1040 estimated tax form Custodial parent remarried. 1040 estimated tax form   If the custodial parent has remarried, the stepparent (rather than the noncustodial parent) is treated as the child's other parent. 1040 estimated tax form Therefore, if the custodial parent and the stepparent file a joint return, use that joint return. 1040 estimated tax form Do not use the return of the noncustodial parent. 1040 estimated tax form   If the custodial parent and the stepparent are married, but file separate returns, use the return of the one with the greater taxable income. 1040 estimated tax form If the custodial parent and the stepparent are married but not living together, the earlier discussion under Parents not living together applies. 1040 estimated tax form Parents never married. 1040 estimated tax form   If a child's parents have never been married to each other, but lived together all year, use the return of the parent with the greater taxable income. 1040 estimated tax form If the parents did not live together all year, the rules explained earlier under Parents are divorced apply. 1040 estimated tax form Widowed parent remarried. 1040 estimated tax form   If a widow or widower remarries, the new spouse is treated as the child's other parent. 1040 estimated tax form The rules explained earlier under Custodial parent remarried apply. 1040 estimated tax form Parent's Election To Report Child's Interest and Dividends You may be able to elect to include your child's interest and dividend income (including capital gain distributions) on your tax return. 1040 estimated tax form If you do, your child will not have to file a return. 1040 estimated tax form You can make this election only if all the following conditions are met. 1040 estimated tax form Your child was under age 19 (or under age 24 if a full-time student) at the end of the year. 1040 estimated tax form Your child had income only from interest and dividends (including capital gain distributions and Alaska Permanent Fund dividends). 1040 estimated tax form The child's gross income was less than $10,000. 1040 estimated tax form The child is required to file a return unless you make this election. 1040 estimated tax form The child does not file a joint return for the year. 1040 estimated tax form No estimated tax payment was made for the year, and no overpayment from the previous year (or from any amended return) was applied to this year under your child's name and social security number. 1040 estimated tax form No federal income tax was taken out of your child's income under the backup withholding rules. 1040 estimated tax form You are the parent whose return must be used when applying the special tax rules for children. 1040 estimated tax form (See Which Parent's Return To Use , earlier. 1040 estimated tax form ) These conditions are also shown in Figure 31-A. 1040 estimated tax form Certain January 1 birthdays. 1040 estimated tax form   A child born on January 1, 1995, is considered to be age 19 at the end of 2013. 1040 estimated tax form You cannot make this election for such a child unless the child was a full-time student. 1040 estimated tax form   A child born on January 1, 1990, is considered to be age 24 at the end of 2013. 1040 estimated tax form You cannot make this election for such a child. 1040 estimated tax form Full-time student. 1040 estimated tax form   A full-time student is a child who during some part of each of any 5 calendar months of the year was enrolled as a full-time student at a school, or took a full-time on-farm training course given by a school or a state, county, or local government agency. 1040 estimated tax form A school includes a technical, trade, or mechanical school. 1040 estimated tax form It does not include an on-the-job training course, correspondence school, or school offering courses only through the Internet. 1040 estimated tax form How to make the election. 1040 estimated tax form   Make the election by attaching Form 8814 to your Form 1040. 1040 estimated tax form (If you make this election, you cannot file Form 1040A or Form 1040EZ. 1040 estimated tax form ) Attach a separate Form 8814 for each child for whom you make the election. 1040 estimated tax form You can make the election for one or more children and not for others. 1040 estimated tax form Effect of Making the Election The federal income tax on your child's income may be more if you make the Form 8814 election. 1040 estimated tax form Rate may be higher. 1040 estimated tax form   If your child received qualified dividends or capital gain distributions, you may pay up to $100 more tax if you make this election instead of filing a separate tax return for the child. 1040 estimated tax form This is because the tax rate on the child's income between $1,000 and $2,000 is 10% if you make this election. 1040 estimated tax form However, if you file a separate return for the child, the tax rate may be as low as 0% (zero percent) because of the preferential tax rates for qualified dividends and capital gain distributions. 1040 estimated tax form Deductions you cannot take. 1040 estimated tax form   By making the Form 8814 election, you cannot take any of the following deductions that the child would be entitled to on his or her return. 1040 estimated tax form The additional standard deduction if the child is blind. 1040 estimated tax form The deduction for a penalty on an early withdrawal of your child's savings. 1040 estimated tax form Itemized deductions (such as your child's investment expenses or charitable contributions). 1040 estimated tax form Reduced deductions or credits. 1040 estimated tax form   If you use Form 8814, your increased adjusted gross income may reduce certain deductions or credits on your return including the following. 1040 estimated tax form Deduction for contributions to a traditional individual retirement arrangement (IRA). 1040 estimated tax form Deduction for student loan interest. 1040 estimated tax form Itemized deductions for medical expenses, casualty and theft losses, and certain miscellaneous expenses. 1040 estimated tax form Credit for child and dependent care expenses. 1040 estimated tax form Child tax credit. 1040 estimated tax form Education tax credits. 1040 estimated tax form Earned income credit. 1040 estimated tax form Penalty for underpayment of estimated tax. 1040 estimated tax form   If you make this election for 2013 and did not have enough tax withheld or pay enough estimated tax to cover the tax you owe, you may be subject to a penalty. 1040 estimated tax form If you plan to make this election for 2014, you may need to increase your federal income tax withholding or your estimated tax payments to avoid the penalty. 1040 estimated tax form See chapter 4 for more information. 1040 estimated tax form Figuring Child's Income Use Form 8814, Part I, to figure your child's interest and dividend income to report on your return. 1040 estimated tax form Only the amount over $2,000 is added to your income. 1040 estimated tax form The amount over $2,000 is shown on Form 8814, line 6. 1040 estimated tax form Unless the child's income includes qualified dividends or capital gain distributions (discussed next), the same amount is shown on Form 8814, line 12. 1040 estimated tax form Include the amount from Form 8814, line 12, on Form 1040, line 21. 1040 estimated tax form Enter “Form 8814” on the dotted line next to line 21. 1040 estimated tax form If you file more than one Form 8814, include the total amounts from line 12 of all your Forms 8814 on Form 1040, line 21. 1040 estimated tax form Capital gain distributions and qualified dividends. 1040 estimated tax form   If your child's dividend income included any capital gain distributions, see Capital gain distributions under Figuring Child's Income in Publication 929, Part 2. 1040 estimated tax form If your child's dividend income included any qualified dividends, see Qualified dividends under Figuring Child's Income in Publication 929, Part 2. 1040 estimated tax form Figuring Additional Tax Use Form 8814, Part II, to figure the tax on the $2,000 of your child's interest and dividends that you do not include in your income. 1040 estimated tax form This tax is added to the tax figured on your income. 1040 estimated tax form This additional tax is the smaller of: 10% × (your child's gross income − $1,000), or $100. 1040 estimated tax form Include the amount from line 15 of all your Forms 8814 in the total on Form 1040, line 44. 1040 estimated tax form Check box a on Form 1040, line 44. 1040 estimated tax form Figure 31-A. 1040 estimated tax form Can You Include Your Child's Income On Your Tax Return? Please click here for the text description of the image. 1040 estimated tax form Figure 31–A. 1040 estimated tax form Can You Include Your Child's Income On Your Tax Return? Tax for Certain Children Who Have Unearned Income If a child's interest, dividends, and other unearned income total more than $2,000, part of that income may be taxed at the parent's tax rate instead of the child's tax rate. 1040 estimated tax form If the parent does not or cannot choose to include the child's income on the parent's return, use Form 8615 to figure the child's tax. 1040 estimated tax form Attach the completed form to the child's Form 1040 or Form 1040A. 1040 estimated tax form When Form 8615 must be filed. 1040 estimated tax form   Form 8615 must be filed for a child if all of the following statements are true. 1040 estimated tax form The child's investment income was more than $2,000. 1040 estimated tax form The child is required to file a return for 2013. 1040 estimated tax form The child either: Was under age 18 at the end of the year, Was age 18 at the end of the year and did not have earned income that was more than half of his or her support, or Was over age 18 and under age 24 at the end of the year, was a full-time student, and did not have earned income that was more than half of his or her support. 1040 estimated tax form At least one of the child's parents was alive at the end of 2013. 1040 estimated tax form The child does not file a joint return for 2013. 1040 estimated tax form These conditions are also shown in  Figure 31-B. 1040 estimated tax form Earned income. 1040 estimated tax form   Earned income includes salaries, wages, tips, and other payments received for personal services performed. 1040 estimated tax form It does not include unearned income as defined later in this chapter. 1040 estimated tax form Support. 1040 estimated tax form   Your child's support includes all amounts spent to provide the child with food, lodging, clothing, education, medical and dental care, recreation, transportation, and similar necessities. 1040 estimated tax form To figure your child's support, count support provided by you, your child, and others. 1040 estimated tax form However, a scholarship received by your child is not considered support if your child is a full-time student. 1040 estimated tax form See chapter 3 for details about support. 1040 estimated tax form Certain January 1 birthdays. 1040 estimated tax form   Use the following chart to determine whether certain children with January 1 birthdays meet condition 3 under When Form 8615 must be filed. 1040 estimated tax form Figure 31-B. 1040 estimated tax form Do You Have To Use Form 8615 To Figure Your Child's Tax? Please click here for the text description of the image. 1040 estimated tax form Figure 31-B. 1040 estimated tax form Do You Have To Use Form 8615 To Figure Your Child's Tax?    IF a child was born on. 1040 estimated tax form . 1040 estimated tax form . 1040 estimated tax form THEN, at the end of 2013, the child is considered to be. 1040 estimated tax form . 1040 estimated tax form . 1040 estimated tax form January 1, 1996 18* January 1, 1995 19** January 1, 1990 24*** *This child is not under age 18. 1040 estimated tax form The child meets condition 3 only if the child did not have earned income that was more than half of the child's support. 1040 estimated tax form  **This child meets condition 3 only if the child was a full-time student who did not have earned income that was more than half of the child's support. 1040 estimated tax form  ***Do not use Form 8615 for this child. 1040 estimated tax form Providing Parental Information (Form 8615, lines A–C) On Form 8615, lines A and B, enter the parent's name and social security number. 1040 estimated tax form (If the parents filed a joint return, enter the name and social security number listed first on the joint return. 1040 estimated tax form ) On line C, check the box for the parent's filing status. 1040 estimated tax form See Which Parent's Return To Use at the beginning of this chapter for information on which parent's return information must be used on Form 8615. 1040 estimated tax form Parent with different tax year. 1040 estimated tax form   If the parent and the child do not have the same tax year, complete Form 8615 using the information on the parent's return for the tax year that ends in the child's tax year. 1040 estimated tax form Parent's return information not known timely. 1040 estimated tax form   If the information needed from the parent's return is not known by the time the child's return is due (usually April 15), you can file the return using estimates. 1040 estimated tax form   You can use any reasonable estimate. 1040 estimated tax form This includes using information from last year's return. 1040 estimated tax form If you use an estimated amount on Form 8615, enter “Estimated” on the line next to the amount. 1040 estimated tax form    When you get the correct information, file an amended return on Form 1040X, Amended U. 1040 estimated tax form S. 1040 estimated tax form Individual Income Tax Return. 1040 estimated tax form   Instead of using estimates, you can get an automatic 6-month extension of time to file if, by the date your return is due, you file Form 4868, Application for Automatic Extension of Time To File U. 1040 estimated tax form S. 1040 estimated tax form Individual Income Tax Return. 1040 estimated tax form Extensions are discussed in chapter 1. 1040 estimated tax form Step 1. 1040 estimated tax form Figuring the Child's Net Unearned Income (Form 8615, Part I) The first step in figuring a child's tax using Form 8615 is to figure the child's net unearned income. 1040 estimated tax form To do that, use Form 8615, Part I. 1040 estimated tax form Line 1 (unearned income). 1040 estimated tax form   If the child had no earned income, enter on this line the adjusted gross income shown on the child's return. 1040 estimated tax form Adjusted gross income is shown on Form 1040, line 38, or Form 1040A, line 22. 1040 estimated tax form Form 1040EZ cannot be used if Form 8615 must be filed. 1040 estimated tax form   If the child had earned income, figure the amount to enter on Form 8615, line 1, by using the worksheet in the instructions for the form. 1040 estimated tax form   However, if the child has: excluded any foreign earned income, deducted either a loss from self-employment, or deducted a net operating loss from another year, then use the Alternate Worksheet for Form 8615, Line 1, in Publication 929 to figure the amount to enter on Form 8615, line 1. 1040 estimated tax form Unearned income defined. 1040 estimated tax form   Unearned income is generally all income other than salaries, wages, and other amounts received as pay for work actually done. 1040 estimated tax form It includes taxable interest, dividends (including capital gain distributions), capital gains, unemployment compensation, the taxable part of social security and pension payments, and certain distributions from trusts. 1040 estimated tax form Unearned income includes amounts produced by assets the child obtained with earned income (such as interest on a savings account into which the child deposited wages). 1040 estimated tax form Nontaxable income. 1040 estimated tax form   For this purpose, unearned income includes only amounts the child must include in total income. 1040 estimated tax form Nontaxable unearned income, such as tax-exempt interest and the nontaxable part of social security and pension payments, is not included. 1040 estimated tax form Income from property received as a gift. 1040 estimated tax form   A child's unearned income includes all income produced by property belonging to the child. 1040 estimated tax form This is true even if the property was transferred to the child, regardless of when the property was transferred or purchased or who transferred it. 1040 estimated tax form   A child's unearned income includes income produced by property given as a gift to the child. 1040 estimated tax form This includes gifts to the child from grandparents or any other person and gifts made under the Uniform Gift to Minors Act. 1040 estimated tax form Example. 1040 estimated tax form Amanda Black, age 13, received the following income. 1040 estimated tax form Dividends — $800 Wages — $2,100 Taxable interest — $1,200 Tax-exempt interest — $100 Net capital gains — $100 The dividends were qualified dividends on stock given to her by her grandparents. 1040 estimated tax form Amanda's unearned income is $2,100. 1040 estimated tax form This is the total of the dividends ($800), taxable interest ($1,200), and net capital gains ($100). 1040 estimated tax form Her wages are earned (not unearned) income because they are received for work actually done. 1040 estimated tax form Her tax-exempt interest is not included because it is nontaxable. 1040 estimated tax form Trust income. 1040 estimated tax form   If a child is the beneficiary of a trust, distributions of taxable interest, dividends, capital gains, and other unearned income from the trust are unearned income to the child. 1040 estimated tax form   However, for purposes of completing Form 8615, a taxable distribution from a qualified disability trust is considered earned income, not unearned income. 1040 estimated tax form Line 2 (deductions). 1040 estimated tax form   If the child does not itemize deductions on Schedule A (Form 1040), enter $2,000 on line 2. 1040 estimated tax form   If the child does itemize deductions, enter on line 2 the larger of: $1,000 plus the portion of the child's itemized deductions on Schedule A (Form 1040), line 29, that are directly connected with the production of unearned income entered on line 1, or $2,000. 1040 estimated tax form Directly connected. 1040 estimated tax form   Itemized deductions are directly connected with the production of unearned income if they are for expenses paid to produce or collect taxable income or to manage, conserve, or maintain property held for producing income. 1040 estimated tax form These expenses include custodian fees and service charges, service fees to collect taxable interest and dividends, and certain investment counsel fees. 1040 estimated tax form   These expenses are added to certain other miscellaneous itemized deductions on Schedule A (Form 1040). 1040 estimated tax form Only the amount greater than 2% of the child's adjusted gross income can be deducted. 1040 estimated tax form See chapter 28 for more information. 1040 estimated tax form Example 1. 1040 estimated tax form Roger, age 12, has unearned income of $8,000, no other income, no adjustments to income, and itemized deductions of $300 (net of the 2% limit) that are directly connected with his unearned income. 1040 estimated tax form His adjusted gross income is $8,000, which is entered on Form 1040, line 38, and on Form 8615, line 1. 1040 estimated tax form Roger enters $2,000 on line 2 because that is more than the total of $1,000 plus his directly connected itemized deductions of $300. 1040 estimated tax form Example 2. 1040 estimated tax form Eleanor, age 8, has unearned income of $16,000 and an early withdrawal penalty of $100. 1040 estimated tax form She has no other income. 1040 estimated tax form She has itemized deductions of $1,050 (net of the 2% limit) that are directly connected with the production of her unearned income. 1040 estimated tax form Her adjusted gross income, entered on line 1, is $15,900 ($16,000 − $100). 1040 estimated tax form The amount on line 2 is $2,050. 1040 estimated tax form This is the larger of: $1,000 plus the $1,050 of directly connected itemized deductions, or $2,000. 1040 estimated tax form Line 3. 1040 estimated tax form   Subtract line 2 from line 1 and enter the result on this line. 1040 estimated tax form If zero or less, do not complete the rest of the form. 1040 estimated tax form However, you must still attach Form 8615 to the child's tax return. 1040 estimated tax form Figure the tax on the child's taxable income in the normal manner. 1040 estimated tax form Line 4 (child's taxable income). 1040 estimated tax form   Enter on line 4 the child's taxable income from Form 1040, line 43, or Form 1040A, line 27. 1040 estimated tax form   However, if the child files Form 2555 or 2555-EZ to claim the foreign earned income exclusion, housing exclusion, or housing deduction, see the Form 8615 instructions or Pub. 1040 estimated tax form 929. 1040 estimated tax form Line 5 (net unearned income). 1040 estimated tax form   A child's net unearned income cannot be more than his or her taxable income. 1040 estimated tax form Enter on Form 8615, line 5, the smaller of line 3 or line 4. 1040 estimated tax form This is the child's net unearned income. 1040 estimated tax form   If zero or less, do not complete the rest of the form. 1040 estimated tax form However, you must still attach Form 8615 to the child's tax return. 1040 estimated tax form Figure the tax on the child's taxable income in the normal manner. 1040 estimated tax form Step 2. 1040 estimated tax form Figuring Tentative Tax at the Parent's Tax Rate (Form 8615, Part II) The next step in completing Form 8615 is to figure a tentative tax on the child's net unearned income at the parent's tax rate. 1040 estimated tax form The tentative tax at the parent's tax rate is the difference between the tax on the parent's taxable income figured with the child's net unearned income (plus the net unearned income of any other child whose Form 8615 includes the tax return information of that parent) and the tax figured without it. 1040 estimated tax form When figuring the tentative tax at the parent's tax rate on Form 8615, do not refigure any of the exclusions, deductions, or credits on the parent's return because of the child's net unearned income. 1040 estimated tax form For example, do not refigure the medical expense deduction. 1040 estimated tax form Figure the tentative tax on Form 8615, lines 6 through 13. 1040 estimated tax form Note. 1040 estimated tax form If the child or parent has any capital gains or losses, get Publication 929 for help in completing Form 8615, Part II. 1040 estimated tax form Line 6 (parent's taxable income). 1040 estimated tax form   Enter on line 6 the parent's taxable income from Form 1040, line 43, Form 1040A, line 27, or Form 1040EZ, line 6. 1040 estimated tax form   If the Foreign Earned Income Tax Worksheet (in the Form 1040 instructions) was used to figure the parent's tax, enter the amount from line 3 of that worksheet instead of the parent's taxable income. 1040 estimated tax form Line 7 (net unearned income of other children). 1040 estimated tax form   If the tax return information of the parent is also used on any other child's Form 8615, enter on line 7 the total of the amounts from line 5 of all the other children's Forms 8615. 1040 estimated tax form Do not include the amount from line 5 of the Form 8615 being completed. 1040 estimated tax form Example. 1040 estimated tax form Paul and Jane Persimmon have three children, Sharon, Jerry, and Mike, who must attach Form 8615 to their tax returns. 1040 estimated tax form The children's net unearned income amounts on line 5 of their Forms 8615 are: Sharon — $800 Jerry — $600 Mike — $1,000 Line 7 of Sharon's Form 8615 will show $1,600, the total of the amounts on line 5 of Jerry's and Mike's Forms 8615. 1040 estimated tax form Line 7 of Jerry's Form 8615 will show $1,800 ($800 + $1,000). 1040 estimated tax form Line 7 of Mike's Form 8615 will show $1,400 ($800 + $600). 1040 estimated tax form Other children's information not available. 1040 estimated tax form   If the net unearned income of the other children is not available when the return is due, either file the return using estimates or get an extension of time to file. 1040 estimated tax form See Parent's return information not known timely , earlier. 1040 estimated tax form Line 11 (tentative tax). 1040 estimated tax form   Subtract line 10 from line 9 and enter the result on this line. 1040 estimated tax form This is the tentative tax. 1040 estimated tax form   If line 7 is blank, skip lines 12a and 12b and enter the amount from line 11 on line 13. 1040 estimated tax form Also skip the discussion for lines 12a and 12b that follows. 1040 estimated tax form Lines 12a and 12b (dividing the tentative tax). 1040 estimated tax form   If an amount is entered on line 7, divide the tentative tax shown on line 11 among the children according to each child's share of the total net unearned income. 1040 estimated tax form This is done on lines 12a, 12b, and 13. 1040 estimated tax form Add the amount on line 7 to the amount on line 5 and enter the total on line 12a. 1040 estimated tax form Divide the amount on line 5 by the amount on line 12a and enter the result, as a decimal, on line 12b. 1040 estimated tax form Example. 1040 estimated tax form In the earlier example under Line 7 (net unearned income of other children), Sharon's Form 8615 shows $1,600 on line 7. 1040 estimated tax form The amount entered on line 12a is $2,400, the total of the amounts on lines 5 and 7 ($800 + $1,600). 1040 estimated tax form The decimal on line 12b is  . 1040 estimated tax form 333, figured as follows and rounded to three places. 1040 estimated tax form   $800 = . 1040 estimated tax form 333     $2,400   Step 3. 1040 estimated tax form Figuring the Child's Tax (Form 8615, Part III) The final step in figuring a child's tax using Form 8615 is to determine the larger of: The total of: The child's share of the tentative tax based on the parent's tax rate, plus The tax on the child's taxable income in excess of net unearned income, figured at the child's tax rate, or The tax on the child's taxable income, figured at the child's tax rate. 1040 estimated tax form This is the child's tax. 1040 estimated tax form It is figured on Form 8615, lines 14 through 18. 1040 estimated tax form Alternative minimum tax. 1040 estimated tax form   A child may be subject to alternative minimum tax (AMT) if he or she has certain items given preferential treatment under the tax law. 1040 estimated tax form See Alternative Minimum Tax (AMT) in chapter 30. 1040 estimated tax form    For more information on who is liable for AMT and how to figure it, see Form 6251, Alternative Minimum Tax—Individuals. 1040 estimated tax form For information on special limits that apply to a child who files Form 6251, see Certain Children Under Age 24 in the Instructions for Form 6251. 1040 estimated tax form Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

LT 16 (Letter 2050) Frequently Asked Questions (FAQs)

What is the notice telling me?

Enforcement action may be taken to collect taxes you owe because you have not responded to previous notices sent to you on this matter.

What do I have to do?

Contact us to resolve your account. The letter includes a number of options available to you.

How much time do I have?

Contact us as soon as possible to avoid collection action, no later than 10 days from the date on the letter.

What happens if I don't pay?

Enforcement action including levy on your wages, bank accounts, federal payment, state tax refunds, or other income sources may result if your balance is not resolved. If you are unable to pay in full, a monthly payment plan may be available, or collection may be delayed if you are unable to pay due to financial hardship. Please be ready to discuss you income, expenses and assets owned if you feel that you are unable to pay; proof may be requested.

Who should I contact?

Contact us at the number shown at the top of the letter; the person who answers will be able to assist you.

What if I don't agree or have already taken corrective action?

If you do not agree with this notice, call us immediately at the number printed at the top of the notice. We will do our best to help you. If you called us about this matter before, but we did not correct the problem, you may want to contact the Office of the Taxpayer Advocate.

If you have already paid or arranged for an installment agreement, you should still call us at the number printed at the top of the notice to make sure your account reflects this.

Page Last Reviewed or Updated: 30-Jan-2014

The 1040 Estimated Tax Form

1040 estimated tax form 1. 1040 estimated tax form   Filing Information Table of Contents Topics - This chapter discusses: Useful Items - You may want to see: Filing RequirementsWhen To File and Pay Foreign Currency Does My Return Have To Be On Paper? Where To File Nonresident Alien Spouse Treated as a ResidentSocial Security Number (SSN) How To Make the Choice Suspending the Choice Ending the Choice Estimated Tax Other Forms You May Have To File Topics - This chapter discusses: Whether you have to file a return, When to file your return and pay any tax due, How to treat foreign currency, How to file electronically, Where to file your return, When you can treat your nonresident alien spouse as a resident, and When you may have to make estimated tax payments. 1040 estimated tax form Useful Items - You may want to see: Publication 3 Armed Forces' Tax Guide 501 Exemptions, Standard Deduction, and Filing Information 505 Tax Withholding and Estimated Tax 519 U. 1040 estimated tax form S. 1040 estimated tax form Tax Guide for Aliens 970 Tax Benefits for Education Form (and Instructions) 1040-ES Estimated Tax for Individuals 1040X Amended U. 1040 estimated tax form S. 1040 estimated tax form Individual Income Tax Return 2350 Application for Extension of Time To File U. 1040 estimated tax form S. 1040 estimated tax form Income Tax Return 2555 Foreign Earned Income 2555-EZ Foreign Earned Income Exclusion 4868 Application for Automatic Extension of Time To File U. 1040 estimated tax form S. 1040 estimated tax form Individual Income Tax Return 8822 Change of Address See chapter 7 for information about getting these publications and forms. 1040 estimated tax form Filing Requirements If you are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien, the rules for filing income, estate, and gift tax returns and for paying estimated tax are generally the same whether you are in the United States or abroad. 1040 estimated tax form Your income, filing status, and age generally determine whether you must file an income tax return. 1040 estimated tax form Generally, you must file a return for 2013 if your gross income from worldwide sources is at least the amount shown for your filing status in the following table. 1040 estimated tax form Filing Status*   Amount Single $10,000 65 or older $11,500 Head of household $12,850 65 or older $14,350 Qualifying widow(er) $16,100 65 or older $17,300 Married filing jointly $20,000 Not living with spouse at end of year $3,900 One spouse 65 or older $21,200 Both spouses 65 or older $22,400 Married filing separately $3,900 *If you are the dependent of another taxpayer, see the instructions for Form 1040 for more information on whether you must file a return. 1040 estimated tax form Gross income. 1040 estimated tax form   This includes all income you receive in the form of money, goods, property, and services that is not exempt from tax. 1040 estimated tax form   For purposes of determining whether you must file a return, gross income includes any income that you can exclude as foreign earned income or as a foreign housing amount. 1040 estimated tax form If you are self-employed, your gross income includes the amount on Part I, line 7 of Schedule C (Form 1040), Profit or Loss From Business, or line 1 of Schedule C-EZ (Form 1040), Net Profit From Business. 1040 estimated tax form Self-employed individuals. 1040 estimated tax form   If your net earnings from self-employment are $400 or more, you must file a return even if your gross income is below the amount listed for your filing status in the table shown earlier. 1040 estimated tax form Net earnings from self-employment are defined in Publication 334, Tax Guide for Small Business. 1040 estimated tax form 65 or older. 1040 estimated tax form   You are considered to be age 65 on the day before your 65th birthday. 1040 estimated tax form For example, if your 65th birthday is on January 1, 2014, you are considered 65 for 2013. 1040 estimated tax form Residents of U. 1040 estimated tax form S. 1040 estimated tax form possessions. 1040 estimated tax form   If you are (or were) a bona fide resident of a U. 1040 estimated tax form S. 1040 estimated tax form possession, you may be required to file Form 8898, Statement for Individuals Who Begin or End Bona Fide Residence in a U. 1040 estimated tax form S. 1040 estimated tax form Possession. 1040 estimated tax form See the instructions for the form for more information. 1040 estimated tax form When To File and Pay If you file on a calendar year basis, the due date for filing your return is April 15 of the following year. 1040 estimated tax form If you file on a fiscal year basis (a year ending on the last day of any month except December), the due date is 3 months and 15 days after the close of your fiscal year. 1040 estimated tax form In general, the tax shown on your return should be paid by the due date of the return, without regard to any extension of time for filing the return. 1040 estimated tax form When the due date for doing any act for tax purposes—filing a return, paying taxes, etc. 1040 estimated tax form — falls on a Saturday, Sunday, or legal holiday, the due date is delayed until the next business day. 1040 estimated tax form A tax return delivered by the U. 1040 estimated tax form S. 1040 estimated tax form mail or a designated delivery service that is postmarked or dated by the delivery service on or before the due date is considered to have been filed on or before that date. 1040 estimated tax form See your Form 1040 or Form 1040A instructions for a list of designated delivery services. 1040 estimated tax form Foreign wire transfers. 1040 estimated tax form   If you have a U. 1040 estimated tax form S. 1040 estimated tax form bank account, you can use: EFTPS (Electronic Federal Tax Payment System), or Federal Tax Application (same-day wire transfer). 1040 estimated tax form If you do not have a U. 1040 estimated tax form S. 1040 estimated tax form bank account, ask if your financial institution has a U. 1040 estimated tax form S. 1040 estimated tax form affiliate that can help you make same-day wire transfers. 1040 estimated tax form   For more information, visit www. 1040 estimated tax form eftps. 1040 estimated tax form gov. 1040 estimated tax form Extensions You can get an extension of time to file your return. 1040 estimated tax form In some circumstances, you also can get an extension of time to file and pay any tax due. 1040 estimated tax form However, if you pay the tax due after the regular due date, interest will be charged from the regular due date until the date the tax is paid. 1040 estimated tax form This publication discusses four extensions: an automatic 2-month extension, an automatic 6-month extension, an additional extension for taxpayers out of the country, and an extension of time to meet tests. 1040 estimated tax form If you served in a combat zone or qualified hazardous duty area, see Publication 3 for a discussion of extensions of deadlines. 1040 estimated tax form Automatic 2-month extension. 1040 estimated tax form   You are allowed an automatic 2-month extension to file your return and pay federal income tax if you are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien, and on the regular due date of your return: You are living outside the United States and Puerto Rico and your main place of business or post of duty is outside the United States and Puerto Rico, or You are in military or naval service on duty outside the United States and Puerto Rico. 1040 estimated tax form   If you use a calendar year, the regular due date of your return is April 15. 1040 estimated tax form Even if you are allowed an extension, you will have to pay interest on any tax not paid by the regular due date of your return. 1040 estimated tax form Married taxpayers. 1040 estimated tax form   If you file a joint return, either you or your spouse can qualify for the automatic extension. 1040 estimated tax form If you and your spouse file separate returns, this automatic extension applies only to the spouse who qualifies for it. 1040 estimated tax form How to get the extension. 1040 estimated tax form   To use this automatic 2-month extension, you must attach a statement to your return explaining which of the two situations listed earlier qualified you for the extension. 1040 estimated tax form Automatic 6-month extension. 1040 estimated tax form   If you are not able to file your return by the due date, you generally can get an automatic 6-month extension of time to file (but not of time to pay). 1040 estimated tax form To get this automatic extension, you must file a paper Form 4868 or use IRS e-file (electronic filing). 1040 estimated tax form For more information about filing electronically, see E-file options , later. 1040 estimated tax form   The form must show your properly estimated tax liability based on the information available to you. 1040 estimated tax form    You may not be eligible. 1040 estimated tax form You cannot use the automatic 6-month extension of time to file if: You want the IRS to figure your tax, or You are under a court order to file by the regular due date. 1040 estimated tax form E-file options. 1040 estimated tax form    You can use e-file to get an extension of time to file. 1040 estimated tax form You can either file Form 4868 electronically or you can pay part or all of your estimate of tax due using a credit or debit card. 1040 estimated tax form   First, complete Form 4868 to use as a worksheet. 1040 estimated tax form If you think you may owe tax when you file your return, use Part II of the form to estimate your balance due. 1040 estimated tax form    Then, do one of the following. 1040 estimated tax form E-file Form 4868. 1040 estimated tax form You can use a tax software package with your personal computer or a tax professional to file Form 4868 electronically. 1040 estimated tax form You will need to provide certain information from your tax return for 2012. 1040 estimated tax form If you wish to make a payment by electronic funds withdrawal, see the instructions for Form 4868. 1040 estimated tax form If you e-file Form 4868, do not also send a paper Form 4868. 1040 estimated tax form E-file and pay by credit or debit card. 1040 estimated tax form You can get an extension by paying part or all of your estimate of tax due by using a credit or debit card. 1040 estimated tax form You can do this by phone or over the Internet. 1040 estimated tax form If you do this, you do not file Form 4868. 1040 estimated tax form For more information, see the instructions for your tax return. 1040 estimated tax form When to file. 1040 estimated tax form   Generally, you must request the 6-month extension by the regular due date of your return. 1040 estimated tax form Previous 2-month extension. 1040 estimated tax form   If you cannot file your return within the automatic 2-month extension period, you generally can get an additional 4 months to file your return, for a total of 6 months. 1040 estimated tax form The 2-month period and the 6-month period start at the same time. 1040 estimated tax form You have to request the additional 4 months by the new due date allowed by the 2-month extension. 1040 estimated tax form   The additional 4 months of time to file (unlike the original 2-month extension) is not an extension of time to pay. 1040 estimated tax form You must make an accurate estimate of your tax based on the information available to you. 1040 estimated tax form If you find you cannot pay the full amount due with Form 4868, you can still get the extension. 1040 estimated tax form You will owe interest on the unpaid amount from the original due date of the return. 1040 estimated tax form   You also may be charged a penalty for paying the tax late unless you have reasonable cause for not paying your tax when due. 1040 estimated tax form Penalties for paying the tax late are assessed from the original due date of your return, unless you qualify for the automatic 2-month extension. 1040 estimated tax form In that situation, penalties for paying late are assessed from the extended due date of the payment (June 15 for calendar year taxpayers). 1040 estimated tax form Additional extension of time for taxpayers out of the country. 1040 estimated tax form   In addition to the 6-month extension, taxpayers who are out of the country can request a discretionary 2-month additional extension of time to file their returns (to December 15 for calendar year taxpayers). 1040 estimated tax form   To request this extension, you must send the Internal Revenue Service a letter explaining the reasons why you need the additional 2 months. 1040 estimated tax form Send the letter by the extended due date (October 15 for calendar year taxpayers) to the following address: Department of the Treasury Internal Revenue Service Center Austin, TX 73301-0045   You will not receive any notification from the Internal Revenue Service unless your request is denied. 1040 estimated tax form   The discretionary 2-month additional extension is not available to taxpayers who have an approved extension of time to file on Form 2350, discussed next. 1040 estimated tax form Extension of time to meet tests. 1040 estimated tax form   You generally cannot get an extension of more than 6 months. 1040 estimated tax form However, if you are outside the United States and meet certain requirements, you may be able to get a longer extension. 1040 estimated tax form   You can get an extension of more than 6 months to file your tax return if you need the time to meet either the bona fide residence test or the physical presence test to qualify for either the foreign earned income exclusion or the foreign housing exclusion or deduction. 1040 estimated tax form The tests, the exclusions, and the deduction are explained in chapter 4. 1040 estimated tax form   You should request an extension if all three of the following apply. 1040 estimated tax form You are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien. 1040 estimated tax form You expect to meet either the bona fide residence test or the physical presence test, but not until after your tax return is due. 1040 estimated tax form Your tax home is in a foreign country (or countries) throughout your period of bona fide residence or physical presence, whichever applies. 1040 estimated tax form   If you are granted an extension, it generally will be to 30 days beyond the date on which you can reasonably expect to qualify for an exclusion or deduction under either the bona fide residence test or the physical presence test. 1040 estimated tax form However, if you have moving expenses that are for services performed in 2 years, you may be granted an extension until after the end of the second year. 1040 estimated tax form How to get an extension. 1040 estimated tax form   To obtain an extension, file Form 2350 either by giving it to a local IRS representative or other IRS employee or by mailing it to the: Department of the Treasury Internal Revenue Service Center Austin, TX 73301-0045   You must file Form 2350 by the due date for filing your return. 1040 estimated tax form Generally, if both your tax home and your abode are outside the United States and Puerto Rico on the regular due date of your return and you file on a calendar year basis, the due date for filing your return is June 15. 1040 estimated tax form What if tests are not met. 1040 estimated tax form   If you obtain an extension and unforeseen events make it impossible for you to meet either the bona fide residence test or the physical presence test, you should file your income tax return as soon as possible because you must pay interest on any tax due after the regular due date of the return (even though an extension was granted). 1040 estimated tax form    You should make any request for an extension early, so that if it is denied you still can file your return on time. 1040 estimated tax form Otherwise, if you file late and additional tax is due, you may be subject to a penalty. 1040 estimated tax form Return filed before test is met. 1040 estimated tax form   If you file a return before you meet the bona fide residence test or the physical presence test, you must include all income from both U. 1040 estimated tax form S. 1040 estimated tax form and foreign sources and pay the tax on that income. 1040 estimated tax form If you later meet either of the tests, you can claim the foreign earned income exclusion, the foreign housing exclusion, or the foreign housing deduction on Form 1040X. 1040 estimated tax form Foreign Currency You must express the amounts you report on your U. 1040 estimated tax form S. 1040 estimated tax form tax return in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form If you receive all or part of your income or pay some or all of your expenses in foreign currency, you must translate the foreign currency into U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form How you do this depends on your functional currency. 1040 estimated tax form Your functional currency generally is the U. 1040 estimated tax form S. 1040 estimated tax form dollar unless you are required to use the currency of a foreign country. 1040 estimated tax form You must make all federal income tax determinations in your functional currency. 1040 estimated tax form The U. 1040 estimated tax form S. 1040 estimated tax form dollar is the functional currency for all taxpayers except some qualified business units (QBUs). 1040 estimated tax form A QBU is a separate and clearly identified unit of a trade or business that maintains separate books and records. 1040 estimated tax form Even if you have a QBU, your functional currency is the dollar if any of the following apply. 1040 estimated tax form You conduct the business in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form The principal place of business is located in the United States. 1040 estimated tax form You choose to or are required to use the U. 1040 estimated tax form S. 1040 estimated tax form dollar as your functional currency. 1040 estimated tax form The business books and records are not kept in the currency of the economic environment in which a significant part of the business activities is conducted. 1040 estimated tax form Make all income tax determinations in your functional currency. 1040 estimated tax form If your functional currency is the U. 1040 estimated tax form S. 1040 estimated tax form dollar, you must immediately translate into U. 1040 estimated tax form S. 1040 estimated tax form dollars all items of income, expense, etc. 1040 estimated tax form (including taxes), that you receive, pay, or accrue in a foreign currency and that will affect computation of your income tax. 1040 estimated tax form Use the exchange rate prevailing when you receive, pay, or accrue the item. 1040 estimated tax form If there is more than one exchange rate, use the one that most properly reflects your income. 1040 estimated tax form You can generally get exchange rates from banks and U. 1040 estimated tax form S. 1040 estimated tax form Embassies. 1040 estimated tax form If your functional currency is not the U. 1040 estimated tax form S. 1040 estimated tax form dollar, make all income tax determinations in your functional currency. 1040 estimated tax form At the end of the year, translate the results, such as income or loss, into U. 1040 estimated tax form S. 1040 estimated tax form dollars to report on your income tax return. 1040 estimated tax form Blocked Income You generally must report your foreign income in terms of U. 1040 estimated tax form S. 1040 estimated tax form dollars and, with one exception (see Fulbright Grant, later), you must pay taxes due on it in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form If, because of restrictions in a foreign country, your income is not readily convertible into U. 1040 estimated tax form S. 1040 estimated tax form dollars or into other money or property that is readily convertible into U. 1040 estimated tax form S. 1040 estimated tax form dollars, your income is “blocked” or “deferrable” income. 1040 estimated tax form You can report this income in one of two ways: Report the income and pay your federal income tax with U. 1040 estimated tax form S. 1040 estimated tax form dollars that you have in the United States or in some other country, or Postpone the reporting of the income until it becomes unblocked. 1040 estimated tax form If you choose to postpone the reporting of the income, you must file an information return with your tax return. 1040 estimated tax form For this information return, you should use another Form 1040 labeled “Report of Deferrable Foreign Income, pursuant to Rev. 1040 estimated tax form Rul. 1040 estimated tax form 74-351. 1040 estimated tax form ” You must declare on the information return that you will include the deferrable income in your taxable income for the year that it becomes unblocked. 1040 estimated tax form You also must state that you waive any right to claim that the deferrable income was includible in your income for any earlier year. 1040 estimated tax form You must report your income on your information return using the foreign currency in which you received that income. 1040 estimated tax form If you have blocked income from more than one foreign country, include a separate information return for each country. 1040 estimated tax form Income becomes unblocked and reportable for tax purposes when it becomes convertible, or when it is converted, into U. 1040 estimated tax form S. 1040 estimated tax form dollars or into other money or property that is convertible into U. 1040 estimated tax form S. 1040 estimated tax form currency. 1040 estimated tax form Also, if you use blocked income for your personal expenses or dispose of it by gift, bequest, or devise, you must treat it as unblocked and reportable. 1040 estimated tax form If you have received blocked income on which you have not paid tax, you should check to see whether that income is still blocked. 1040 estimated tax form If it is not, you should take immediate steps to pay tax on it, file a declaration or amended declaration of estimated tax, and include the income on your tax return for the year in which the income became unblocked. 1040 estimated tax form If you choose to postpone reporting blocked income and in a later tax year you wish to begin including it in gross income although it is still blocked, you must obtain the permission of the IRS to do so. 1040 estimated tax form To apply for permission, file Form 3115, Application for Change in Accounting Method. 1040 estimated tax form You also must request permission from the IRS on Form 3115 if you have not chosen to defer the reporting of blocked income in the past, but now wish to begin reporting blocked income under the deferred method. 1040 estimated tax form See the instructions for Form 3115 for information on changing your accounting method. 1040 estimated tax form Fulbright Grant All income must be reported in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form In most cases, the tax also must be paid in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form If, however, at least 70% of your Fulbright grant has been paid in nonconvertible foreign currency (blocked income), you can use the currency of the host country to pay the part of the U. 1040 estimated tax form S. 1040 estimated tax form tax that is based on the blocked income. 1040 estimated tax form Paying U. 1040 estimated tax form S. 1040 estimated tax form tax in foreign currency. 1040 estimated tax form   To qualify for this method of payment, you must prepare a statement that shows the following information. 1040 estimated tax form You were a Fulbright grantee and were paid in nonconvertible foreign currency. 1040 estimated tax form The total grant you received during the year and the amount you received in nonconvertible foreign currency. 1040 estimated tax form At least 70% of the grant was paid in nonconvertible foreign currency. 1040 estimated tax form The statement must be certified by the U. 1040 estimated tax form S. 1040 estimated tax form educational foundation or commission paying the grant or other person having control of grant payments to you. 1040 estimated tax form   You should prepare at least two copies of this statement. 1040 estimated tax form Attach one copy to your Form 1040 and keep the other copy for identification purposes when you make a tax deposit of nonconvertible foreign currency. 1040 estimated tax form Figuring actual tax. 1040 estimated tax form   When you prepare your income tax return, you may owe tax or the entire liability may have been satisfied with your estimated tax payments. 1040 estimated tax form If you owe tax, figure the part due to (and payable in) the nonconvertible foreign currency by using the following formula. 1040 estimated tax form   Adjusted gross income that is blocked income × Total U. 1040 estimated tax form S. 1040 estimated tax form tax = Tax on blocked income     Total adjusted  gross income     You must attach all of the following to the return. 1040 estimated tax form A copy of the certified statement discussed earlier. 1040 estimated tax form A detailed statement showing the allocation of tax attributable to amounts received in foreign currency and the rates of exchange used in determining your tax liability in U. 1040 estimated tax form S. 1040 estimated tax form dollars. 1040 estimated tax form The original deposit receipt for any balance of tax due that you paid in nonconvertible foreign currency. 1040 estimated tax form Figuring estimated tax on nonconvertible foreign currency. 1040 estimated tax form   If you are liable for estimated tax (discussed later), figure the amount you can pay to the IRS in nonconvertible foreign currency using the following formula. 1040 estimated tax form   Adjusted gross income that is blocked income × Total estimated U. 1040 estimated tax form S. 1040 estimated tax form tax = Estimated tax on blocked income     Total adjusted  gross income     If you must pay your host country income tax on your grant, subtract any estimated foreign tax credit that applies to your grant from the estimated tax on the blocked income. 1040 estimated tax form Deposit of foreign currency with disbursing officer. 1040 estimated tax form   Once you have determined the amount of the actual tax or estimated tax that you can pay in nonconvertible foreign currency, deposit that amount with the disbursing officer of the Department of State in the foreign country in which the foundation or commission paying the grant is located. 1040 estimated tax form Estimated tax installments. 1040 estimated tax form   You can either deposit the full estimated tax amount before the first installment due date or make four equal payments before the installment due dates. 1040 estimated tax form See Estimated Tax , later. 1040 estimated tax form Deposit receipt. 1040 estimated tax form   Upon accepting the foreign currency, the disbursing officer will give you a receipt in duplicate. 1040 estimated tax form The original of this receipt (showing the amount of foreign currency deposited and its equivalent in U. 1040 estimated tax form S. 1040 estimated tax form dollars) should be attached to your Form 1040 or payment voucher from Form 1040-ES. 1040 estimated tax form Keep the copy for your records. 1040 estimated tax form Does My Return Have To Be On Paper? IRS e-file (electronic filing) is the fastest, easiest, and most convenient way to file your income tax return electronically. 1040 estimated tax form IRS e-file offers accurate, safe, and fast alternatives to filing on paper. 1040 estimated tax form IRS computers quickly and automatically check for errors or other missing information. 1040 estimated tax form Even returns with a foreign address can be e-filed! How to e-file. 1040 estimated tax form   There are three ways you can e-file. 1040 estimated tax form Use your personal computer. 1040 estimated tax form Use a volunteer. 1040 estimated tax form Many programs offering free tax help can e-file your return. 1040 estimated tax form Use a tax professional. 1040 estimated tax form Most tax professionals can e-file your return. 1040 estimated tax form These methods are explained in detail in the instructions for your tax return. 1040 estimated tax form Where To File If any of the following situations apply to you, do not file your return with the service center listed for your home state. 1040 estimated tax form You claim the foreign earned income exclusion. 1040 estimated tax form You claim the foreign housing exclusion or deduction. 1040 estimated tax form You live in a foreign country. 1040 estimated tax form Instead, use one of the following special addresses. 1040 estimated tax form If you are not enclosing a check or money order, file your return with the: Department of the Treasury Internal Revenue Service Center Austin, TX 73301-0215 USA If you are enclosing a check or money order, file your return with: Internal Revenue Service Center P. 1040 estimated tax form O. 1040 estimated tax form Box 1303 Charlotte, NC 28201-1303 USA If you do not know where your legal residence is and you do not have a principal place of business in the United States, you can file with the appropriate address listed above. 1040 estimated tax form However, you should not file with the addresses listed above if you are a bona fide resident of the U. 1040 estimated tax form S. 1040 estimated tax form Virgin Islands, Guam, or the Commonwealth of the Northern Mariana Islands during your entire tax year. 1040 estimated tax form Resident of U. 1040 estimated tax form S. 1040 estimated tax form Virgin Islands (USVI). 1040 estimated tax form   If you are a bona fide resident of the USVI during your entire tax year, you generally are not required to file a U. 1040 estimated tax form S. 1040 estimated tax form return. 1040 estimated tax form However, you must file a return with the USVI. 1040 estimated tax form    Send your return to the:     Virgin Islands Bureau of Internal Revenue 6115 Estate Smith Bay Suite 225 St. 1040 estimated tax form Thomas, Virgin Islands 00802 Non-USVI resident with USVI income. 1040 estimated tax form   If you are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien and you have income from sources in the USVI or income effectively connected with the conduct of a trade or business in the USVI, and you are not a bona fide resident of the USVI during your entire tax year, you must file identical tax returns with the United States and the USVI. 1040 estimated tax form File the original return with the United States and file a signed copy of the U. 1040 estimated tax form S. 1040 estimated tax form return (including all attachments, forms, and schedules) with the Virgin Islands Bureau of Internal Revenue. 1040 estimated tax form   You must complete Form 8689, Allocation of Individual Income Tax to the U. 1040 estimated tax form S. 1040 estimated tax form Virgin Islands, and attach a copy to both your U. 1040 estimated tax form S. 1040 estimated tax form return and your USVI return. 1040 estimated tax form You should file your U. 1040 estimated tax form S. 1040 estimated tax form return with the address listed under Where To File. 1040 estimated tax form   See Publication 570, Tax Guide for Individuals With Income From U. 1040 estimated tax form S. 1040 estimated tax form Possessions, for information about filing Virgin Islands returns. 1040 estimated tax form Resident of Guam. 1040 estimated tax form   If you are a bona fide resident of Guam during your entire tax year, you should file a return with Guam. 1040 estimated tax form    Send your return to the:     Department of Revenue and Taxation Government of Guam P. 1040 estimated tax form O. 1040 estimated tax form Box 23607 GMF, GU 96921   However, if you have income from sources within Guam and you are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien, but not a bona fide resident of Guam during the entire tax year, you should file a return with the United States. 1040 estimated tax form Send your return to the address listed under Where To File. 1040 estimated tax form   See Publication 570 for information about filing Guam returns. 1040 estimated tax form Resident of the Commonwealth of the Northern Mariana Islands. 1040 estimated tax form   If you are a bona fide resident of the Commonwealth of the Northern Mariana Islands (CNMI) during your entire tax year, you should file a return with the Northern Mariana Islands. 1040 estimated tax form    Send your return to the:      Division of Revenue and Taxation Commonwealth of the Northern Mariana Islands P. 1040 estimated tax form O. 1040 estimated tax form Box 5234, CHRB Saipan, MP 96950   However, if you have income from sources within the CNMI and you are a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien, but not a bona fide resident of the CNMI during the entire tax year, you should file a return with the United States. 1040 estimated tax form Send your return to the address listed under Where To File. 1040 estimated tax form   See Publication 570 for information about filing Northern Mariana Islands returns. 1040 estimated tax form Nonresident Alien Spouse Treated as a Resident If, at the end of your tax year, you are married and one spouse is a U. 1040 estimated tax form S. 1040 estimated tax form citizen or a resident alien and the other is a nonresident alien, you can choose to treat the nonresident as a U. 1040 estimated tax form S. 1040 estimated tax form resident. 1040 estimated tax form This includes situations in which one of you is a nonresident alien at the beginning of the tax year and a resident alien at the end of the year and the other is a nonresident alien at the end of the year. 1040 estimated tax form If you make this choice, the following two rules apply. 1040 estimated tax form You and your spouse are treated, for income tax purposes, as residents for all tax years that the choice is in effect. 1040 estimated tax form You must file a joint income tax return for the year you make the choice. 1040 estimated tax form This means that neither of you can claim under any tax treaty not to be a U. 1040 estimated tax form S. 1040 estimated tax form resident for a tax year for which the choice is in effect. 1040 estimated tax form You can file joint or separate returns in years after the year in which you make the choice. 1040 estimated tax form Example 1. 1040 estimated tax form Pat Smith, a U. 1040 estimated tax form S. 1040 estimated tax form citizen, is married to Norman, a nonresident alien. 1040 estimated tax form Pat and Norman make the choice to treat Norman as a resident alien by attaching a statement to their joint return. 1040 estimated tax form Pat and Norman must report their worldwide income for the year they make the choice and for all later years unless the choice is ended or suspended. 1040 estimated tax form Although Pat and Norman must file a joint return for the year they make the choice, they can file either joint or separate returns for later years. 1040 estimated tax form Example 2. 1040 estimated tax form When Bob and Sharon Williams got married, both were nonresident aliens. 1040 estimated tax form In June of last year, Bob became a resident alien and remained a resident for the rest of the year. 1040 estimated tax form Bob and Sharon both choose to be treated as resident aliens by attaching a statement to their joint return for last year. 1040 estimated tax form Bob and Sharon must report their worldwide income for last year and all later years unless the choice is ended or suspended. 1040 estimated tax form Bob and Sharon must file a joint return for last year, but they can file either joint or separate returns for later years. 1040 estimated tax form If you do not choose to treat your nonresident alien spouse as a U. 1040 estimated tax form S. 1040 estimated tax form resident, you may be able to use head of household filing status. 1040 estimated tax form To use this status, you must pay more than half the cost of maintaining a household for certain dependents or relatives other than your nonresident alien spouse. 1040 estimated tax form For more information, see Publication 501. 1040 estimated tax form Social Security Number (SSN) If you choose to treat your nonresident alien spouse as a U. 1040 estimated tax form S. 1040 estimated tax form resident, your spouse must have either an SSN or an individual taxpayer identification number (ITIN). 1040 estimated tax form To get an SSN for a nonresident alien spouse, apply at an office of the U. 1040 estimated tax form S. 1040 estimated tax form Social Security Administration (SSA) or U. 1040 estimated tax form S. 1040 estimated tax form consulate. 1040 estimated tax form You must complete Form SS-5, Application for a Social Security Card, available at www. 1040 estimated tax form socialsecurity. 1040 estimated tax form gov or by calling 1-800-772-1213. 1040 estimated tax form You must also provide original or certified copies of documents to verify that spouse's age, identity, and citizenship. 1040 estimated tax form If the nonresident alien spouse is not eligible to get an SSN, he or she can file Form W-7, Application for IRS Individual Taxpayer Identification Number, with the IRS to apply for an ITIN. 1040 estimated tax form How To Make the Choice Attach a statement, signed by both spouses, to your joint return for the first tax year for which the choice applies. 1040 estimated tax form It should contain the following: A declaration that one spouse was a nonresident alien and the other spouse a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien on the last day of your tax year and that you choose to be treated as U. 1040 estimated tax form S. 1040 estimated tax form residents for the entire tax year, and The name, address, and social security number (or individual taxpayer identification number) of each spouse. 1040 estimated tax form (If one spouse died, include the name and address of the person making the choice for the deceased spouse. 1040 estimated tax form ) You generally make this choice when you file your joint return. 1040 estimated tax form However, you also can make the choice by filing a joint amended return on Form 1040X. 1040 estimated tax form Attach Form 1040, 1040A, or 1040EZ and print “Amended” across the top of the amended return. 1040 estimated tax form If you make the choice with an amended return, you and your spouse also must amend any returns that you may have filed after the year for which you made the choice. 1040 estimated tax form You generally must file the amended joint return within 3 years from the date you filed your original U. 1040 estimated tax form S. 1040 estimated tax form income tax return or 2 years from the date you paid your income tax for that year, whichever is later. 1040 estimated tax form Table 1–1. 1040 estimated tax form Ending the Choice To Treat Nonresident Alien Spouse as a Resident Revocation   Either spouse can revoke the choice for any tax year. 1040 estimated tax form   • The revocation must be made by the due date for filing the tax return for that tax year. 1040 estimated tax form   • The spouse who revokes the choice must attach a signed statement declaring that the choice is being revoked. 1040 estimated tax form The statement revoking the choice must include the following:     • The name, address, and social security number (or taxpayer identification number) of each spouse. 1040 estimated tax form     • The name and address of any person who is revoking the choice for a deceased spouse. 1040 estimated tax form     • A list of any states, foreign countries, and possessions that have community property laws in which either spouse is domiciled or where real property is located from which either spouse receives income. 1040 estimated tax form   • If the spouse revoking the choice does not have to file a return and does not file a claim for refund, send the statement to the Internal Revenue Service Center where the last joint return was filed. 1040 estimated tax form Death   The death of either spouse ends the choice, beginning with the first tax year following the year in which the spouse died. 1040 estimated tax form   • If the surviving spouse is a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien and is entitled to the joint tax rates as a surviving spouse, the choice will not end until the close of the last year for which these joint rates may be used. 1040 estimated tax form   • If both spouses die in the same tax year, the choice ends on the first day after the close of the tax year in which the spouses died. 1040 estimated tax form Divorce or  Legal separation   A divorce or legal separation ends the choice as of the beginning of the tax year in which the legal separation occurs. 1040 estimated tax form Inadequate records   The Internal Revenue Service can end the choice for any tax year that either spouse has failed to keep adequate books, records, and other information necessary to determine the correct income tax liability, or to provide adequate access to those records. 1040 estimated tax form Suspending the Choice The choice to be treated as a resident alien does not apply to any later tax year if neither of you is a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident alien at any time during the later tax year. 1040 estimated tax form Example. 1040 estimated tax form Dick Brown was a resident alien on December 31, 2010, and married to Judy, a nonresident alien. 1040 estimated tax form They chose to treat Judy as a resident alien and filed a joint 2010 income tax return. 1040 estimated tax form On January 10, 2012, Dick became a nonresident alien. 1040 estimated tax form Judy had remained a nonresident alien. 1040 estimated tax form Because Dick was a resident alien during part of 2012, Dick and Judy can file joint or separate returns for that year. 1040 estimated tax form Neither Dick nor Judy was a resident alien at any time during 2013 and their choice is suspended for that year. 1040 estimated tax form For 2013, both are treated as nonresident aliens. 1040 estimated tax form If Dick becomes a resident alien again in 2014, their choice is no longer suspended and both are treated as resident aliens. 1040 estimated tax form Ending the Choice Once made, the choice to be treated as a resident applies to all later years unless suspended (as explained earlier) or ended in one of the ways shown in Table 1-1. 1040 estimated tax form If the choice is ended for any of the reasons listed in Table 1-1, neither spouse can make a choice in any later tax year. 1040 estimated tax form Estimated Tax The requirements for determining who must pay estimated tax are the same for a U. 1040 estimated tax form S. 1040 estimated tax form citizen or resident abroad as for a taxpayer in the United States. 1040 estimated tax form For current instructions on making estimated tax payments, see Form 1040-ES. 1040 estimated tax form If you had a tax liability for 2013, you may have to pay estimated tax for 2014. 1040 estimated tax form Generally, you must make estimated tax payments for 2014 if you expect to owe at least $1,000 in tax for 2014 after subtracting your withholding and credits and you expect your withholding and credits to be less than the smaller of: 90% of the tax to be shown on your 2014 tax return, or 100% of the tax shown on your 2013 tax return. 1040 estimated tax form (The return must cover all 12 months. 1040 estimated tax form ) If less than two-thirds of your gross income for 2013 and 2014 is from farming or fishing and your adjusted gross income for 2013 is more than $150,000 ($75,000 if you are married and file separately), substitute 110% for 100% in (2). 1040 estimated tax form See Publication 505 for more information. 1040 estimated tax form The first installment of estimated tax is due on April 15, 2014. 1040 estimated tax form Foreign earned income exclusion. 1040 estimated tax form   When figuring your estimated gross income, subtract amounts you expect to exclude under the foreign earned income exclusion and the foreign housing exclusion. 1040 estimated tax form In addition, you can reduce your income by your estimated foreign housing deduction. 1040 estimated tax form However, you must estimate tax on your nonexcluded income using the tax rates that will apply had you not excluded the income. 1040 estimated tax form If the actual amount of the exclusion or deduction is less than you estimate, you may have to pay a penalty for underpayment of estimated tax. 1040 estimated tax form   For more information about figuring your estimated tax, see Publication 505. 1040 estimated tax form Other Forms You May Have To File FinCEN Form 114 (replaces Form TD F 90-22. 1040 estimated tax form 1). 1040 estimated tax form   Beginning October 1, 2013, Form 114, Report of Foreign Bank and Financial Accounts (FBAR), must be filed instead of Form TD F 90-22. 1040 estimated tax form 1. 1040 estimated tax form Form 114 is filed electronically with the Financial Crimes Enforcement Network (FinCEN). 1040 estimated tax form See the filing instructions at www. 1040 estimated tax form bsaefiling. 1040 estimated tax form fincen. 1040 estimated tax form treas. 1040 estimated tax form gov/main. 1040 estimated tax form html. 1040 estimated tax form   You must file Form 114 if you had any financial interest in, or signature or other authority over a bank, securities, or other financial account in a foreign country. 1040 estimated tax form You do not need to file the report if the assets are with a U. 1040 estimated tax form S. 1040 estimated tax form military banking facility operated by a financial institution or if the combined assets in the account(s) are $10,000 or less during the entire year. 1040 estimated tax form   More information about the filing of Form 114 can be found in the instructions for the form. 1040 estimated tax form FinCEN Form 105. 1040 estimated tax form   You must file Form 105, Report of International Transportation of Currency or Monetary Instruments, if you physically transport, mail, ship, or cause to be physically transported, mailed, or shipped into or out of the United States, currency or other monetary instruments totaling more than $10,000 at one time. 1040 estimated tax form Certain recipients of currency or monetary instruments also must file Form 105. 1040 estimated tax form   More information about the filing of Form 105 can be found in the instructions on the back of the form. 1040 estimated tax form Form 8938. 1040 estimated tax form   You must file Form 8938 to report the ownership of specified foreign financial assets if the total value of those assets exceeds an applicable threshold amount (the “reporting threshold ”). 1040 estimated tax form The reporting threshold varies depending on whether you live in the United States, are married, or file a joint income tax return with your spouse. 1040 estimated tax form Specified foreign financial assets include any financial account maintained by a foreign financial institution and, to the extent held for investment, any stock, securities, or any other interest in a foreign entity and any financial instrument or contract with an issuer or counterparty that is not a U. 1040 estimated tax form S. 1040 estimated tax form person. 1040 estimated tax form   You may have to pay penalties if you are required to file Form 8938 and fail to do so, or if you have an understatement of tax due to any transaction involving an undisclosed foreign financial asset. 1040 estimated tax form   More information about the filing of Form 8938 can be found in the separate instructions for Form 8938. 1040 estimated tax form Prev  Up  Next   Home   More Online Publications