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Aarp Tax Aid

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Aarp Tax Aid

Aarp tax aid 3. Aarp tax aid   Claiming the Special Depreciation Allowance Table of Contents Introduction What Is Qualified Property?Qualified Reuse and Recycling Property Qualified Cellulosic Biofuel Plant Property Qualified Disaster Assistance Property Certain Qualified Property Acquired After December 31, 2007 Election to Accelerate Certain Credits in Lieu of the Special Depreciation Allowance How Much Can You Deduct? How Can You Elect Not To Claim an Allowance? When Must You Recapture an Allowance? Introduction You can take a special depreciation allowance to recover part of the cost of qualified property (defined next), placed in service during the tax year. Aarp tax aid The allowance applies only for the first year you place the property in service. Aarp tax aid For qualified property placed in service in 2013, you can take an additional 50% special allowance. Aarp tax aid The allowance is an additional deduction you can take after any section 179 deduction and before you figure regular depreciation under MACRS for the year you place the property in service. Aarp tax aid This chapter explains what is qualified property. Aarp tax aid It also includes rules regarding how to figure an allowance, how to elect not to claim an allowance, and when you must recapture an allowance. Aarp tax aid Corporations can elect to accelerate certain minimum tax credits in lieu of claiming the special depreciation allowance for eligible qualified property. Aarp tax aid See Election to Accelerate Certain Credits in Lieu of the Special Depreciation Allowance , later. Aarp tax aid See chapter 6 for information about getting publications and forms. Aarp tax aid What Is Qualified Property? Your property is qualified property if it is one of the following. Aarp tax aid Qualified reuse and recycling property. Aarp tax aid Qualified cellulosic biofuel plant property. Aarp tax aid Qualified disaster assistance property. Aarp tax aid Certain qualified property acquired after December 31, 2007. Aarp tax aid The following discussions provide information about the types of qualified property listed above for which you can take the special depreciation allowance. Aarp tax aid Qualified Reuse and Recycling Property You can take a 50% special depreciation allowance for qualified reuse and recycling property. Aarp tax aid Qualified reuse and recycling property is any machinery or equipment (not including buildings or real estate), along with any appurtenance, that is used exclusively to collect, distribute, or recycle qualified reuse and recyclable materials (as defined in section 168(m)(3)(B) of the Internal Revenue Code). Aarp tax aid Qualified reuse and recycling property also includes software necessary to operate such equipment. Aarp tax aid The property must meet the following requirements. Aarp tax aid The property must be depreciated under MACRS. Aarp tax aid The property must have a useful life of at least 5 years. Aarp tax aid The original use of the property must begin with you after August 31, 2008. Aarp tax aid You must have acquired the property by purchase (as discussed under Property Acquired by Purchase in chapter 2 ) after August 31, 2008, with no binding written contract for the acquisition in effect before September 1, 2008. Aarp tax aid The property must be placed in service for use in your trade or business after August 31, 2008. Aarp tax aid Excepted Property Qualified reuse and recycling property does not include any of the following. Aarp tax aid Any rolling stock or other equipment used to transport reuse or recyclable materials. Aarp tax aid Property required to be depreciated using the Alternative Depreciation System (ADS). Aarp tax aid For other property required to be depreciated using ADS, see Required use of ADS under Which Depreciation System (GDS or ADS) Applies , in chapter 4 . Aarp tax aid Other bonus depreciation property to which section 168(k) of the Internal Revenue Code applies. Aarp tax aid Property for which you elected not to claim any special depreciation allowance (discussed later). Aarp tax aid Property placed in service and disposed of in the same tax year. Aarp tax aid Property converted from business use to personal use in the same tax year acquired. Aarp tax aid Property converted from personal use to business use in the same or later tax year may be qualified reuse and recycling property. Aarp tax aid Qualified Cellulosic Biofuel Plant Property You can take a 50% special depreciation allowance for qualified cellulosic biofuel plant property. Aarp tax aid Cellulosic biofuel is any liquid fuel which is produced from any lignocellulosic or hemicellulosic matter that is available on a renewable or recurring basis. Aarp tax aid Examples include bagasse (from sugar cane), corn stalks, and switchgrass. Aarp tax aid The property must meet the following requirements. Aarp tax aid The property is used in the United States solely to produce cellulosic biofuel. Aarp tax aid The original use of the property must begin with you after December 20, 2006. Aarp tax aid You must have acquired the property by purchase (as discussed under Property Acquired by Purchase in chapter 2 ) after December 20, 2006, with no binding written contract for acquisition in effect before December 21, 2006. Aarp tax aid The property must be placed in service for use in your trade or business or for the production of income after October 3, 2008, and before January 3, 2013. Aarp tax aid Note. Aarp tax aid For property placed in service after January 2, 2013, and before January 1, 2014, you can take a 50% special depreciation allowance for qualified second generation biofuel plant property that is used solely in the United States to produce second generation biofuel (as defined in section 40(b)(6)(E)). Aarp tax aid The other requirements for qualified second generation biofuel plant property to be eligible for the special depreciation allowance are identical to the requirements discussed for Qualified Cellulosic Biofuel Plant Property above. Aarp tax aid Special Rules Sale-leaseback. Aarp tax aid   If you sold qualified cellulosic biofuel plant property you placed in service after October 3, 2008, and leased it back within 3 months after you originally placed it in service, the property is treated as originally placed in service no earlier than the date it is used by you under the leaseback. Aarp tax aid   The property will not qualify for the special allowance if the lessee or a related person to the lessee or lessor had a written binding contract in effect for the acquisition of the property before December 21, 2006. Aarp tax aid Syndicated leasing transactions. Aarp tax aid   If qualified cellulosic biofuel plant property is originally placed in service by a lessor after October 3, 2008, the property is sold within 3 months of the date it was placed in service, and the user of the property does not change, then the property is treated as originally placed in service by the taxpayer no earlier than the date of the last sale. Aarp tax aid   Multiple units of property subject to the same lease will be treated as originally placed in service no earlier than the date of sale if the property is sold within 3 months after the final unit is placed in service and the period between the times the first and last units are placed in service does not exceed 12 months. Aarp tax aid Excepted Property Qualified cellulosic biofuel plant property does not include any of the following. Aarp tax aid Property placed in service and disposed of in the same tax year. Aarp tax aid Property converted from business use to personal use in the same tax year it is acquired. Aarp tax aid Property converted from personal use to business use in the same or later tax year may be qualified cellulosic biomass ethanol plant property. Aarp tax aid Property required to be depreciated using the Alternative Depreciation System (ADS). Aarp tax aid For other property required to be depreciated using ADS, see Required use of ADS under Which Depreciation System (GDS or ADS) Applies , in chapter 4 . Aarp tax aid Property any portion of which is financed with the proceeds of any obligation the interest on which is exempt from tax under section 103 of the Internal Revenue Code. Aarp tax aid Property for which you elected not to claim any special depreciation allowance (discussed later). Aarp tax aid Property for which a deduction was taken under section 179C for certain qualified refinery property. Aarp tax aid Other bonus depreciation property to which section 168(k) of the Internal Revenue Code applies. Aarp tax aid Qualified Disaster Assistance Property You can take a 50% special depreciation allowance for qualified disaster assistance property placed in service in federally declared disaster areas in which the disaster occurred in 2009. Aarp tax aid A list of the federally declared disaster areas is available at the FEMA website at www. Aarp tax aid fema. Aarp tax aid gov. Aarp tax aid Your property is qualified disaster assistance property if it meets the following requirements. Aarp tax aid The property is nonresidential real property or residential real property placed in service before January 1, 2014, in a federally declared disaster area in which the disaster occurred in 2009. Aarp tax aid You must have acquired the property by purchase (as discussed under Property Acquired by Purchase in chapter 2 ) on or after the applicable disaster date, with no binding written contract for the acquisition in effect before the applicable disaster date. Aarp tax aid The property must rehabilitate property damaged, or replace property destroyed or condemned, as a result of the applicable federally declared disaster. Aarp tax aid The property must be similar in nature to, and located in the same county as, the rehabilitated or replaced property. Aarp tax aid The original use of the property within the applicable disaster area must have begun with you on or after the applicable disaster date. Aarp tax aid The property is placed in service by you on or before the date which is the last day of the fourth calendar year. Aarp tax aid Substantially all (80% or more) of the use of the property must be in the active conduct of your trade or business in a federally declared disaster area, occurring in 2009. Aarp tax aid It is not excepted property (explained later in Excepted Property ). Aarp tax aid Special Rules Sale-leaseback. Aarp tax aid   If you sold qualified disaster assistance property you placed in service after the applicable disaster date and leased it back within 3 months after you originally placed it in service, the property is treated as originally placed in service no earlier than the date it is used by you under the leaseback. Aarp tax aid   The property will not qualify for the special allowance if the lessee or a related person to the lessee or lessor had a written binding contract in effect for the acquisition of the property before the applicable disaster date. Aarp tax aid Syndicated leasing transactions. Aarp tax aid   If qualified disaster assistance property is originally placed in service by a lessor after the applicable disaster date, the property is sold within 3 months of the date it was placed in service, and the user of the property does not change, then the property is treated as originally placed in service by the taxpayer no earlier than the date of the last sale. Aarp tax aid   Multiple units of property subject to the same lease will be treated as originally placed in service no earlier than the date of sale if the property is sold within 3 months after the final unit is placed in service and the period between the times the first and last units are placed in service does not exceed 12 months. Aarp tax aid Excepted Property Qualified disaster assistance property does not include any of the following. Aarp tax aid Property required to be depreciated using the Alternative Depreciation System (ADS). Aarp tax aid For other property required to be depreciated using ADS, see Required use of ADS under Which Depreciation System (GDS or ADS) Applies , in chapter 4 . Aarp tax aid Property any portion of which is financed with the proceeds of a tax-exempt obligation under section 103 of the Internal Revenue Code. Aarp tax aid Any qualified revitalization building (defined later) placed in service before January 1, 2010, for which you have elected to claim a commercial revitalization deduction for qualified revitalization expenditures. Aarp tax aid Any property used in connection with any private or commercial golf course, country club, massage parlor, hot tub facility, suntan facility, or any store, the principal business of which is the sale of alcoholic beverages for consumption off premises. Aarp tax aid Any property for which the special allowance under section 168(k) or section 1400N(d) of the Internal Revenue Code applies. Aarp tax aid Property for which you elected not to claim any special depreciation allowance (discussed later). Aarp tax aid Property placed in service and disposed of in the same tax year. Aarp tax aid Property converted from business use to personal use in the same tax year acquired. Aarp tax aid Property converted from personal use to business use in the same or later tax year may be qualified disaster assistance property. Aarp tax aid Any gambling or animal racing property (defined later). Aarp tax aid Qualified revitalization building. Aarp tax aid   This is a commercial building and its structural components that you placed in service in a renewal community before January 1, 2010. Aarp tax aid If the building is new, the original use of the building must begin with you. Aarp tax aid If the building is not new, you must substantially rehabilitate the building and then place it in service. Aarp tax aid For more information, including definitions of substantially rehabilitated building and qualified revitalization expenditure, see section 1400I(b) of the Internal Revenue Code. Aarp tax aid Gambling or animal racing property. Aarp tax aid   Gambling or animal racing property includes the following personal and real property. Aarp tax aid Any equipment, furniture, software, or other property used directly in connection with gambling, the racing of animals, or the on-site viewing of such racing. Aarp tax aid Any real property determined by square footage (other than any portion that is less than 100 square feet) that is dedicated to gambling, the racing of animals, or the on-site viewing of such racing. Aarp tax aid Certain Qualified Property Acquired After December 31, 2007 You can take a 50% special depreciation deduction allowance for certain qualified property acquired after December 31, 2007. Aarp tax aid Your property is qualified property if it meets the following requirements. Aarp tax aid It is one of the following types of property. Aarp tax aid Tangible property depreciated under MACRS with a recovery period of 20 years or less. Aarp tax aid Water utility property. Aarp tax aid Computer software that is readily available for purchase by the general public, is subject to a nonexclusive license, and has not been substantially modified. Aarp tax aid (The cost of some computer software is treated as part of the cost of hardware and is depreciated under MACRS. Aarp tax aid ) Qualified leasehold improvement property (defined under Qualified leasehold improvement property later). Aarp tax aid You must have acquired the property after December 31, 2007, with no binding written contract for the acquisition in effect before January 1, 2008. Aarp tax aid The property must be placed in service for use in your trade or business or for the production of income before January 1, 2014 (before January 1, 2015, for certain property with a long production period and certain aircraft (defined next)). Aarp tax aid The original use of the property must begin with you after December 31, 2007. Aarp tax aid It is not excepted property (explained later in Excepted property). Aarp tax aid Qualified leasehold improvement property. Aarp tax aid    Generally, this is any improvement to an interior part of a building that is nonresidential real property, if all the following requirements are met. Aarp tax aid The improvement is made under or according to a lease by the lessee (or any sublessee) or the lessor of that part of the building. Aarp tax aid That part of the building is to be occupied exclusively by the lessee (or any sublessee) of that part. Aarp tax aid The improvement is placed in service more than 3 years after the date the building was first placed in service by any person. Aarp tax aid The improvement is section 1250 property. Aarp tax aid See chapter 3 in Publication 544, Sales and Other Dispositions of Assets, for the definition of section 1250 property. Aarp tax aid   However, a qualified leasehold improvement does not include any improvement for which the expenditure is attributable to any of the following. Aarp tax aid The enlargement of the building. Aarp tax aid Any elevator or escalator. Aarp tax aid Any structural component benefiting a common area. Aarp tax aid The internal structural framework of the building. Aarp tax aid   Generally, a binding commitment to enter into a lease is treated as a lease and the parties to the commitment are treated as the lessor and lessee. Aarp tax aid However, a lease between related persons is not treated as a lease. Aarp tax aid Related persons. Aarp tax aid   For this purpose, the following are related persons. Aarp tax aid Members of an affiliated group. Aarp tax aid An individual and a member of his or her family, including only a spouse, child, parent, brother, sister, half-brother, half-sister, ancestor, and lineal descendant. Aarp tax aid A corporation and an individual who directly or indirectly owns 80% or more of the value of the outstanding stock of that corporation. Aarp tax aid Two corporations that are members of the same controlled group. Aarp tax aid A trust fiduciary and a corporation if 80% or more of the value of the outstanding stock is directly or indirectly owned by or for the trust or grantor of the trust. Aarp tax aid The grantor and fiduciary, and the fiduciary and beneficiary, of any trust. Aarp tax aid The fiduciaries of two different trusts, and the fiduciaries and beneficiaries of two different trusts, if the same person is the grantor of both trusts. Aarp tax aid A tax-exempt educational or charitable organization and any person (or, if that person is an individual, a member of that person's family) who directly or indirectly controls the organization. Aarp tax aid Two S corporations, and an S corporation and a regular corporation, if the same persons own 80% or more of the value of the outstanding stock of each corporation. Aarp tax aid A corporation and a partnership if the same persons own both of the following. Aarp tax aid 80% or more of the value of the outstanding stock of the corporation. Aarp tax aid 80% or more of the capital or profits interest in the partnership. Aarp tax aid The executor and beneficiary of any estate. Aarp tax aid Long Production Period Property To be qualified property, long production period property must meet the following requirements. Aarp tax aid It must meet the requirements in (2)-(5), above. Aarp tax aid The property has a recovery period of at least 10 years or is transportation property. Aarp tax aid Transportation property is tangible personal property used in the trade or business of transporting persons or property. Aarp tax aid The property is subject to section 263A of the Internal Revenue Code. Aarp tax aid The property has an estimated production period exceeding 1 year and an estimated production cost exceeding $1,000,000. Aarp tax aid Noncommercial Aircraft To be qualified property, noncommercial aircraft must meet the following requirements. Aarp tax aid It must meet the requirements in (2)-(5), above. Aarp tax aid The aircraft must not be tangible personal property used in the trade or business of transporting persons or property (except for agricultural or firefighting purposes). Aarp tax aid The aircraft must be purchased (as discussed under Property Acquired by Purchase in chapter 2 ) by a purchaser who at the time of the contract for purchase, makes a nonrefundable deposit of the lesser of 10% of the cost or $100,000. Aarp tax aid The aircraft must have an estimated production period exceeding four months and a cost exceeding $200,000. Aarp tax aid Special Rules Sale-leaseback. Aarp tax aid   If you sold qualified property you placed in service after December 31, 2007, and leased it back within 3 months after you originally placed in service, the property is treated as originally placed in service no earlier than the date it is used by you under the leaseback. Aarp tax aid   The property will not qualify for the special depreciation allowance if the lessee or a related person to the lessee or lessor had a written binding contract in effect for the acquisition of the property before January 1, 2008. Aarp tax aid Syndicated leasing transactions. Aarp tax aid   If qualified property is originally placed in service by a lessor after December 31, 2007, the property is sold within 3 months of the date it was placed in service, and the user of the property does not change, then the property is treated as originally placed in service by the taxpayer no earlier than the date of the last sale. Aarp tax aid   Multiple units of property subject to the same lease will be treated as originally placed in service no earlier than the date of the last sale if the property is sold within 3 months after the final unit is placed in service and the period between the time the first and last units are placed in service does not exceed 12 months. Aarp tax aid Excepted Property Qualified property does not include any of the following. Aarp tax aid Property placed in service and disposed of in the same tax year. Aarp tax aid Property converted from business use to personal use in the same tax year acquired. Aarp tax aid Property converted from personal use to business use in the same or later tax year may be qualified property. Aarp tax aid Property required to be depreciated under the Alternative Depreciation System (ADS). Aarp tax aid This includes listed property used 50% or less in a qualified business use. Aarp tax aid For other property required to be depreciated using ADS, see Required use of ADS under Which Depreciation System (GDS or ADS) Applies , in chapter 4 . Aarp tax aid Qualified restaurant property (as defined in section 168(e)(7) of the Internal Revenue Code). Aarp tax aid Qualified retail improvement property (as defined in section 168(e)(8) of the Internal Revenue Code). Aarp tax aid Property for which you elected not to claim any special depreciation allowance (discussed later). Aarp tax aid Property for which you elected to accelerate certain credits in lieu of the special depreciation allowance (discussed next). Aarp tax aid Election to Accelerate Certain Credits in Lieu of the Special Depreciation Allowance An election made by a corporation to claim pre-2006 unused minimum tax credits in lieu of claiming the special depreciation allowance for either its first tax year ending after March 31, 2008, its first tax year ending after December 31, 2008, or its first tax year ending after December 31, 2010, continues to apply to round 2 extension property (as defined in section 168(k)(4)(I)(iv)), unless the corporation made an election not to apply the section 168(k)(4) election to round 2 extension property for its first tax year ending after December 31, 2010. Aarp tax aid For 2013, round 2 extension property generally is long production period and noncommercial aircraft if acquired after March 31, 2008, and placed in service after December 31, 2012, but before January 1, 2014. Aarp tax aid An election made by a corporation to claim pre-2006 unused minimum tax credits in lieu of claiming the special depreciation allowance for either its first tax year ending after March 31, 2008, its first tax year ending after December 31, 2008, or its first tax year ending after December 31, 2010, continues to apply to round 3 extension property (as defined in section 168(k)(4)(J)(iv)), unless the corporation makes an election not to apply the section 168(k)(4) election to round 3 extension property. Aarp tax aid If a corporation did not make a section 168(k)(4) election for either its first tax year ending after March 31, 2008, its first tax year ending after December 31, 2008, or its first tax year ending after December 31, 2010, the corporation may elect for its first tax year ending after December 31, 2012, to claim pre-2006 unused minimum tax credits in lieu of claiming the special depreciation allowance for only round 3 extension property. Aarp tax aid If you make an election to accelerate these credits in lieu of claiming the special depreciation allowance for eligible property, you must not take the 50% special depreciation allowance for the property and must depreciate the basis in the property under MACRS using the straight line method. Aarp tax aid See Which Depreciation Method Applies in chapter 4 . Aarp tax aid Once made, the election cannot be revoked without IRS consent. Aarp tax aid Additional guidance. Aarp tax aid   For additional guidance on the election to accelerate the research or minimum tax credit in lieu of claiming the special depreciation allowance, see Rev. Aarp tax aid Proc. Aarp tax aid 2008-65 on page 1082 of Internal Revenue Bulletin 2008-44, available at www. Aarp tax aid irs. Aarp tax aid gov/pub/irs-irbs/irb08-44. Aarp tax aid pdf, Rev. Aarp tax aid Proc. Aarp tax aid 2009-16 on page 449 of Internal Revenue Bulletin 2009-06, available at www. Aarp tax aid irs. Aarp tax aid gov/pub/irs-irbs/irb09-06. Aarp tax aid pdf, and Rev. Aarp tax aid Proc. Aarp tax aid 2009-33 on page 150 of Internal Revenue Bulletin 2009-29, available at www. Aarp tax aid irs. Aarp tax aid gov/pub/irs-irbs/irb09-29. Aarp tax aid pdf. Aarp tax aid Also, see Form 3800, General Business Credit; Form 8827, Credit for Prior Year Minimum Tax — Corporations; and related instructions. Aarp tax aid   Additional guidance regarding the election to accelerate the minimum tax credit in lieu of claiming the special depreciation allowance for round 2 extension property and round 3 extension property may also be available in later Internal Revenue Bulletins available at www. Aarp tax aid irs. Aarp tax aid gov/irb. Aarp tax aid How Much Can You Deduct? Figure the special depreciation allowance by multiplying the depreciable basis of qualified reuse and recycling property, qualified cellulosic biofuel plant property, qualified disaster assistance property, and certain qualified property acquired after December 31, 2007, by 50%. Aarp tax aid For qualified property other than listed property, enter the special allowance on line 14 in Part II of Form 4562. Aarp tax aid For qualified property that is listed property, enter the special allowance on line 25 in Part V of Form 4562. Aarp tax aid If you place qualified property in service in a short tax year, you can take the full amount of a special depreciation allowance. Aarp tax aid Depreciable basis. Aarp tax aid   This is the property's cost or other basis multiplied by the percentage of business/investment use, reduced by the total amount of any credits and deductions allocable to the property. Aarp tax aid   The following are examples of some credits and deductions that reduce depreciable basis. Aarp tax aid Any section 179 deduction. Aarp tax aid Any deduction for removal of barriers to the disabled and the elderly. Aarp tax aid Any disabled access credit, enhanced oil recovery credit, and credit for employer-provided childcare facilities and services. Aarp tax aid Basis adjustment to investment credit property under section 50(c) of the Internal Revenue Code. Aarp tax aid   For additional credits and deductions that affect basis, see section 1016 of the Internal Revenue Code. Aarp tax aid   For information about how to determine the cost or other basis of property, see What Is the Basis of Your Depreciable Property in chapter 1 . Aarp tax aid For a discussion of business/investment use, see Partial business or investment use under Property Used in Your Business or Income-Producing Activity in chapter 1 . Aarp tax aid Depreciating the remaining cost. Aarp tax aid   After you figure your special depreciation allowance for your qualified property, you can use the remaining cost to figure your regular MACRS depreciation deduction (discussed in chapter 4 . Aarp tax aid Therefore, you must reduce the depreciable basis of the property by the special depreciation allowance before figuring your regular MACRS depreciation deduction. Aarp tax aid Example. Aarp tax aid On November 1, 2013, Tom Brown bought and placed in service in his business qualified property that cost $450,000. Aarp tax aid He did not elect to claim a section 179 deduction. Aarp tax aid He deducts 50% of the cost ($225,000) as a special depreciation allowance for 2013. Aarp tax aid He uses the remaining $225,000 of cost to figure his regular MACRS depreciation deduction for 2013 and later years. Aarp tax aid Like-kind exchanges and involuntary conversions. Aarp tax aid   If you acquire qualified property in a like-kind exchange or involuntary conversion, the carryover basis of the acquired property is eligible for a special depreciation allowance. Aarp tax aid After you figure your special allowance, you can use the remaining carryover basis to figure your regular MACRS depreciation deduction. Aarp tax aid In the year you claim the allowance (the year you place in service the property received in the exchange or dispose of involuntarily converted property), you must reduce the carryover basis of the property by the allowance before figuring your regular MACRS depreciation deduction. Aarp tax aid See Figuring the Deduction for Property Acquired in a Nontaxable Exchange , in chapter 4 under How Is the Depreciation Deduction Figured . Aarp tax aid The excess basis (the part of the acquired property's basis that exceeds its carryover basis) is also eligible for a special depreciation allowance. Aarp tax aid How Can You Elect Not To Claim an Allowance? You can elect, for any class of property, not to deduct any special allowances for all property in such class placed in service during the tax year. Aarp tax aid To make an election, attach a statement to your return indicating what election you are making and the class of property for which you are making the election. Aarp tax aid When to make election. Aarp tax aid   Generally, you must make the election on a timely filed tax return (including extensions) for the year in which you place the property in service. Aarp tax aid   However, if you timely filed your return for the year without making the election, you can still make the election by filing an amended return within 6 months of the due date of the original return (not including extensions). Aarp tax aid Attach the election statement to the amended return. Aarp tax aid On the amended return, write “Filed pursuant to section 301. Aarp tax aid 9100-2. Aarp tax aid ” Revoking an election. Aarp tax aid   Once you elect not to deduct a special depreciation allowance for a class of property, you cannot revoke the election without IRS consent. Aarp tax aid A request to revoke the election is a request for a letter ruling. Aarp tax aid If you elect not to have any special allowance apply, the property may be subject to an alternative minimum tax adjustment for depreciation. Aarp tax aid When Must You Recapture an Allowance? When you dispose of property for which you claimed a special depreciation allowance, any gain on the disposition is generally recaptured (included in income) as ordinary income up to the amount of the special depreciation allowance previously allowed or allowable. Aarp tax aid See When Do You Recapture MACRS Depreciation in chapter 4 or more information. Aarp tax aid Recapture of allowance deducted for qualified GO Zone property. Aarp tax aid   If, in any year after the year you claim the special depreciation allowance for qualified GO Zone property (including specified GO Zone extension property), the property ceases to be used in the GO Zone, you may have to recapture as ordinary income the excess benefit you received from claiming the special depreciation allowance. Aarp tax aid For additional guidance, see Notice 2008-25 on page 484 of Internal Revenue Bulletin 2008-9. Aarp tax aid Qualified cellulosic biomass ethanol plant property and qualified cellulosic biofuel plant property. Aarp tax aid   If, in any year after the year you claim the special depreciation allowance for any qualified cellulosic biomass ethanol plant property or qualified biofuel plant property, the property ceases to be qualified cellulosic biomass ethanol plant property or qualified biofuel plant property, you may have to recapture as ordinary income the excess benefit you received from claiming the special depreciation allowance. Aarp tax aid Recapture of allowance for qualified Recovery Assistance property. Aarp tax aid   If, in any year after the year you claim the special depreciation allowance for qualified Recovery Assistance property, the property ceases to be used in the Kansas disaster area, you may have to recapture as ordinary income the excess benefit you received from claiming the special depreciation allowance. Aarp tax aid For additional guidance, see Notice 2008-67 on page 307 of Internal Revenue Bulletin 2008-32. Aarp tax aid Recapture of allowance for qualified disaster assistance property. Aarp tax aid   If, in any year after the year you claim the special depreciation allowance for qualified disaster assistance property, the property ceases to be used in the applicable disaster area, you may have to recapture as ordinary income the excess benefit you received from claiming the special depreciation allowance. Aarp tax aid   For additional guidance, see Notice 2008-67 on page 307 of Internal Revenue Bulletin 2008-32. Aarp tax aid Prev  Up  Next   Home   More Online Publications
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The Aarp Tax Aid

Aarp tax aid 13. Aarp tax aid   How To Get Tax Help Table of Contents Whether it's help with a tax issue, preparing your tax return or a need for a free publication or form, get the help you need the way you want it: online, use a smart phone, call or walk in to an IRS office or volunteer site near you. Aarp tax aid Free help with your tax return. Aarp tax aid   You can get free help preparing your return nationwide from IRS-certified volunteers. Aarp tax aid The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. Aarp tax aid The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Aarp tax aid Most VITA and TCE sites offer free electronic filing and all volunteers will let you know about credits and deductions you may be entitled to claim. Aarp tax aid In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. Aarp tax aid To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. Aarp tax aid gov, download the IRS2Go app, or call 1-800-906-9887. Aarp tax aid   As part of the TCE program, AARP offers the Tax-Aide counseling program. Aarp tax aid To find the nearest AARP Tax-Aide site, visit AARP's website at www. Aarp tax aid aarp. Aarp tax aid org/money/taxaide or call 1-888-227-7669. Aarp tax aid For more information on these programs, go to IRS. Aarp tax aid gov and enter “VITA” in the search box. Aarp tax aid Internet. Aarp tax aid    IRS. Aarp tax aid gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. Aarp tax aid Download the free IRS2Go app from the iTunes app store or from Google Play. Aarp tax aid Use it to check your refund status, order transcripts of your tax returns or tax account, watch the IRS YouTube channel, get IRS news as soon as it's released to the public, subscribe to filing season updates or daily tax tips, and follow the IRS Twitter news feed, @IRSnews, to get the latest federal tax news, including information about tax law changes and important IRS programs. Aarp tax aid Check the status of your 2013 refund with the Where's My Refund? application on IRS. Aarp tax aid gov or download the IRS2Go app and select the Refund Status option. Aarp tax aid The IRS issues more than 9 out of 10 refunds in less than 21 days. Aarp tax aid Using these applications, you can start checking on the status of your return within 24 hours after we receive your e-filed return or 4 weeks after you mail a paper return. Aarp tax aid You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. Aarp tax aid The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Aarp tax aid Use the Interactive Tax Assistant (ITA) to research your tax questions. Aarp tax aid No need to wait on the phone or stand in line. Aarp tax aid The ITA is available 24 hours a day, 7 days a week, and provides you with a variety of tax information related to general filing topics, deductions, credits, and income. Aarp tax aid When you reach the response screen, you can print the entire interview and the final response for your records. Aarp tax aid New subject areas are added on a regular basis. Aarp tax aid  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. Aarp tax aid gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. Aarp tax aid You can use the IRS Tax Map, to search publications and instructions by topic or keyword. Aarp tax aid The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. Aarp tax aid When the user searches the IRS Tax Map, they will be provided with links to related content in existing IRS publications, forms and instructions, questions and answers, and Tax Topics. Aarp tax aid Coming this filing season, you can immediately view and print for free all 5 types of individual federal tax transcripts (tax returns, tax account, record of account, wage and income statement, and certification of non-filing) using Get Transcript. Aarp tax aid You can also ask the IRS to mail a return or an account transcript to you. Aarp tax aid Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. Aarp tax aid gov or by calling 1-800-908-9946. Aarp tax aid Tax return and tax account transcripts are generally available for the current year and the past three years. Aarp tax aid Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. Aarp tax aid Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. Aarp tax aid If you received the First Time Homebuyer Credit, you can use the First Time Homebuyer Credit Account Look-up tool for information on your repayments and account balance. Aarp tax aid Check the status of your amended return using Where's My Amended Return? Go to IRS. Aarp tax aid gov and enter Where's My Amended Return? in the search box. Aarp tax aid You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Aarp tax aid It can take up to 3 weeks from the date you mailed it to show up in our system. Aarp tax aid Make a payment using one of several safe and convenient electronic payment options available on IRS. Aarp tax aid gov. Aarp tax aid Select the Payment tab on the front page of IRS. Aarp tax aid gov for more information. Aarp tax aid Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. Aarp tax aid Figure your income tax withholding with the IRS Withholding Calculator on IRS. Aarp tax aid gov. Aarp tax aid Use it if you've had too much or too little withheld, your personal situation has changed, you're starting a new job or you just want to see if you're having the right amount withheld. Aarp tax aid Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. Aarp tax aid gov. Aarp tax aid Request an Electronic Filing PIN by going to IRS. Aarp tax aid gov and entering Electronic Filing PIN in the search box. Aarp tax aid Download forms, instructions and publications, including accessible versions for people with disabilities. Aarp tax aid Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. Aarp tax aid gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. Aarp tax aid An employee can answer questions about your tax account or help you set up a payment plan. Aarp tax aid Before you visit, check the Office Locator on IRS. Aarp tax aid gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. Aarp tax aid If you have a special need, such as a disability, you can request an appointment. Aarp tax aid Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. Aarp tax aid Apply for an Employer Identification Number (EIN). Aarp tax aid Go to IRS. Aarp tax aid gov and enter Apply for an EIN in the search box. Aarp tax aid Read the Internal Revenue Code, regulations, or other official guidance. Aarp tax aid Read Internal Revenue Bulletins. Aarp tax aid Sign up to receive local and national tax news and more by email. Aarp tax aid Just click on “subscriptions” above the search box on IRS. Aarp tax aid gov and choose from a variety of options. Aarp tax aid    Phone. Aarp tax aid You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. Aarp tax aid Download the free IRS2Go app from the iTunes app store or from Google Play. Aarp tax aid Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. Aarp tax aid gov, or download the IRS2Go app. Aarp tax aid Low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. Aarp tax aid The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Aarp tax aid Most VITA and TCE sites offer free electronic filing. Aarp tax aid Some VITA and TCE sites provide IRS-certified volunteers who can help prepare your tax return. Aarp tax aid Through the TCE program, AARP offers the Tax-Aide counseling program; call 1-888-227-7669 to find the nearest Tax-Aide location. Aarp tax aid Call the automated Where's My Refund? information hotline to check the status of your 2013 refund 24 hours a day, 7 days a week at 1-800-829-1954. Aarp tax aid If you e-file, you can start checking on the status of your return within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. Aarp tax aid The IRS issues more than 9 out of 10 refunds in less than 21 days. Aarp tax aid Where's My Refund? will give you a personalized refund date as soon as the IRS processes your tax return and approves your refund. Aarp tax aid Before you call this automated hotline, have your 2013 tax return handy so you can enter your social security number, your filing status, and the exact whole dollar amount of your refund. Aarp tax aid The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Aarp tax aid Note, the above information is for our automated hotline. Aarp tax aid Our live phone and walk-in assistors can research the status of your refund only if it's been 21 days or more since you filed electronically or more than 6 weeks since you mailed your paper return. Aarp tax aid Call the Amended Return Hotline, 1-866-464-2050, to check the status of your amended return. Aarp tax aid You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Aarp tax aid It can take up to 3 weeks from the date you mailed it to show up in our system. Aarp tax aid Call 1-800-TAX-FORM (1-800-829-3676) to order current-year forms, instructions, publications, and prior-year forms and instructions (limited to 5 years). Aarp tax aid You should receive your order within 10 business days. Aarp tax aid Call TeleTax, 1-800-829-4477, to listen to pre-recorded messages covering general and business tax information. Aarp tax aid If, between January and April 15, you still have questions about the Form 1040, 1040A, or 1040EZ (like filing requirements, dependents, credits, Schedule D, pensions and IRAs or self-employment taxes), call 1-800-829-1040. Aarp tax aid Call using TTY/TDD equipment, 1-800-829-4059 to ask tax questions or order forms and publications. Aarp tax aid The TTY/TDD telephone number is for people who are deaf, hard of hearing, or have a speech disability. Aarp tax aid These individuals can also contact the IRS through relay services such as the Federal Relay Service. Aarp tax aid    Walk-in. Aarp tax aid You can find a selection of forms, publications and services — in-person. Aarp tax aid Products. Aarp tax aid You can walk in to some post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. Aarp tax aid Some IRS offices, libraries, and city and county government offices have a collection of products available to photocopy from reproducible proofs. Aarp tax aid Services. Aarp tax aid You can walk in to your local TAC for face-to-face tax help. Aarp tax aid An employee can answer questions about your tax account or help you set up a payment plan. Aarp tax aid Before visiting, use the Office Locator tool on IRS. Aarp tax aid gov, or choose the Contact Us option on the IRS2Go app and search Local Offices for days and hours of operation, and services provided. Aarp tax aid    Mail. Aarp tax aid You can send your order for forms, instructions, and publications to the address below. Aarp tax aid You should receive a response within 10 business days after your request is received. Aarp tax aid Internal Revenue Service 1201 N. Aarp tax aid Mitsubishi Motorway Bloomington, IL 61705-6613    The Taxpayer Advocate Service Is Here to Help You. Aarp tax aid The Taxpayer Advocate Service (TAS) is your voice at the IRS. Aarp tax aid Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. Aarp tax aid   What can TAS do for you? We can offer you free help with IRS problems that you can't resolve on your own. Aarp tax aid We know this process can be confusing, but the worst thing you can do is nothing at all! TAS can help if you can't resolve your tax problem and: Your problem is causing financial difficulties for you, your family, or your business. Aarp tax aid You face (or your business is facing) an immediate threat of adverse action. Aarp tax aid You've tried repeatedly to contact the IRS but no one has responded, or the IRS hasn't responded by the date promised. Aarp tax aid   If you qualify for our help, you'll be assigned to one advocate who'll be with you at every turn and will do everything possible to resolve your problem. Aarp tax aid Here's why we can help: TAS is an independent organization within the IRS. Aarp tax aid Our advocates know how to work with the IRS. Aarp tax aid Our services are free and tailored to meet your needs. Aarp tax aid We have offices in every state, the District of Columbia, and Puerto Rico. Aarp tax aid   How can you reach us? If you think TAS can help you, call your local advocate, whose number is in your local directory and at Taxpayer Advocate, or call us toll-free at 1-877-777-4778. Aarp tax aid   How else does TAS help taxpayers?  TAS also works to resolve large-scale, systemic problems that affect many taxpayers. Aarp tax aid If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System. Aarp tax aid Low Income Taxpayer Clinics. Aarp tax aid   Low Income Taxpayer Clinics (LITCs) serve individuals whose income is below a certain level and need to resolve tax problems such as audits, appeals, and tax collection disputes. Aarp tax aid Some clinics can provide information about taxpayer rights and responsibilities in different languages for individuals who speak English as a second language. Aarp tax aid Visit Taxpayer Advocate or see IRS Publication 4134, Low Income Taxpayer Clinic List. Aarp tax aid Prev  Up  Next   Home   More Online Publications