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Can 1040x Filed Electronically

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Can 1040x Filed Electronically

Can 1040x filed electronically Index A Affiliated corporations, Aircraft used by affiliated corporations. Can 1040x filed electronically Agri-biodiesel, defined, Agri-biodiesel. Can 1040x filed electronically Air transportation taxes, Air Transportation Taxes 225-mile-zone rule, Taxable transportation. Can 1040x filed electronically Alaska, Transportation between the continental U. Can 1040x filed electronically S. Can 1040x filed electronically and Alaska or Hawaii. Can 1040x filed electronically , Transportation within Alaska or Hawaii. Can 1040x filed electronically , Alaska and Hawaii. Can 1040x filed electronically Baggage, Excess baggage. Can 1040x filed electronically Bonus tickets, Bonus tickets. Can 1040x filed electronically Credits or refunds, Credits or refunds. Can 1040x filed electronically Exemptions, Exemptions. Can 1040x filed electronically Export, Exportation. Can 1040x filed electronically Fixed-wing aircraft, Fixed-wing aircraft uses. Can 1040x filed electronically Hawaii, Transportation between the continental U. Can 1040x filed electronically S. Can 1040x filed electronically and Alaska or Hawaii. Can 1040x filed electronically , Transportation within Alaska or Hawaii. Can 1040x filed electronically , Alaska and Hawaii. Can 1040x filed electronically Helicopters, Certain helicopter uses. Can 1040x filed electronically , Transportation of Property by Air International air travel facilities, International Air Travel Facilities Military personnel, Military personnel on international trips. Can 1040x filed electronically Package tours, Package tours. Can 1040x filed electronically Persons by air, Transportation of Persons by Air Persons liable, Liability for tax. Can 1040x filed electronically , Liability for tax. Can 1040x filed electronically Property by air, Transportation of Property by Air Tax rates, Transportation of Persons by Air Taxable transportation, Taxable transportation. Can 1040x filed electronically Travel agency, Liability for tax. Can 1040x filed electronically Uninterrupted international, Uninterrupted international air transportation. Can 1040x filed electronically Aircraft, Fixed-wing aircraft uses. Can 1040x filed electronically Affiliated corporations, Aircraft used by affiliated corporations. Can 1040x filed electronically Small planes, Small aircraft. Can 1040x filed electronically Aircraft museum, In an aircraft or vehicle owned by an aircraft museum (No. Can 1040x filed electronically 15). Can 1040x filed electronically Alaska Air transportation taxes, Transportation between the continental U. Can 1040x filed electronically S. Can 1040x filed electronically and Alaska or Hawaii. Can 1040x filed electronically Tax on diesel fuel or kerosene, Removal for sale or use in Alaska. Can 1040x filed electronically Alcohol and tobacco taxes, Excise Taxes Not Covered Alternative fuel credit, Alternative fuel credit. Can 1040x filed electronically Alternative fuel, defined, Other fuels. Can 1040x filed electronically American Red Cross, International organizations and the American Red Cross. Can 1040x filed electronically Answering service, Answering services. Can 1040x filed electronically Appeal procedures, Examination and Appeal Procedures Approved refinery, defined, Approved terminal or refinery. Can 1040x filed electronically Approved terminal, defined, Approved terminal or refinery. Can 1040x filed electronically Arrow shafts, Arrow Shafts Assistance (see Tax help) Aviation gasoline, defined, Aviation gasoline. Can 1040x filed electronically B Back-up tax, Back-up Tax Biodiesel, defined, Biodiesel. Can 1040x filed electronically Blended taxable fuel, defined, Blended taxable fuel. Can 1040x filed electronically Blender, defined, Blender. Can 1040x filed electronically Blocked pump, Blocked pump. Can 1040x filed electronically Blood collector organizations, qualified, Exclusive use by a qualified blood collector organization (No. Can 1040x filed electronically 11). Can 1040x filed electronically , Qualified blood collector organizations. Can 1040x filed electronically Boats, In a boat engaged in commercial fishing (No. Can 1040x filed electronically 4). Can 1040x filed electronically Bonus tickets, Bonus tickets. Can 1040x filed electronically Bows, Quivers, Broadheads, and Points, Bows, Quivers, Broadheads, and Points Bulk transfer, defined, Bulk transfer. Can 1040x filed electronically Bulk transfer/terminal system, defined, Bulk transfer/terminal system. Can 1040x filed electronically Buses, In certain intercity and local buses (No. Can 1040x filed electronically 5). Can 1040x filed electronically , In a qualified local bus (No. Can 1040x filed electronically 6). Can 1040x filed electronically , In a school bus (No. Can 1040x filed electronically 7). Can 1040x filed electronically Tire tax, Qualifying intercity or local bus. Can 1040x filed electronically C Cellulosic biofuel, Cellulosic biofuel. Can 1040x filed electronically Chemicals, ozone-depleting, Environmental Taxes Claims Claiming a credit, Claiming a Credit on Form 4136 Claiming a refund, Claiming A Refund Filing claims, Filing Claims Coal Blending, Blending. Can 1040x filed electronically Exemptions, Exemption from tax. Can 1040x filed electronically Producer, Coal Production, Coal production. Can 1040x filed electronically Selling price, Determining tonnage or selling price. Can 1040x filed electronically Tax rates, Tax rates. Can 1040x filed electronically Coin-operated telephones, Coin-operated telephones. Can 1040x filed electronically Comments, Comments and suggestions. Can 1040x filed electronically Commercial aviation, In commercial aviation (other than foreign trade). Can 1040x filed electronically Commercial fishing, In a boat engaged in commercial fishing (No. Can 1040x filed electronically 4). Can 1040x filed electronically Commercial waterway transportation, Commercial waterway transportation. Can 1040x filed electronically Communications taxes Credits or refunds, Credits or Refunds Exemptions, Exemptions Figuring the tax, Figuring the tax. Can 1040x filed electronically Local telephone service, Local telephone service. Can 1040x filed electronically Local-only service, Local-only service. Can 1040x filed electronically Private communication service, Private communication service. Can 1040x filed electronically Teletypewriter exchange service, Teletypewriter exchange service. Can 1040x filed electronically Credit card purchases Aviation gasoline, Credit card purchases. Can 1040x filed electronically Gasoline, Credit card purchases. Can 1040x filed electronically Kerosene for use in aviation, Credit card purchases. Can 1040x filed electronically Undyed diesel fuel, Credit Card Purchases. Can 1040x filed electronically Undyed kerosene, Credit Card Purchases. Can 1040x filed electronically Credit or refund Gas guzzler tax, Credit or refund. Can 1040x filed electronically Manufacturers taxes, Credits or Refunds Resale of tax-paid semitrailers, Tax on resale of tax-paid trailers and semitrailers. Can 1040x filed electronically Retail tax, Credits or refunds. Can 1040x filed electronically Tire tax, Credit or refund. Can 1040x filed electronically Vaccines, Credit or refund. Can 1040x filed electronically Credits, Claiming a Credit on Form 4136 D Deposits Net tax liability, Amount of Deposits Deposits, How to make, How To Make Deposits Diesel fuel Definitions, Diesel Fuel and Kerosene Exported, Diesel Fuel and Kerosene Diesel-water fuel emulsion, defined, Diesel-water fuel emulsion. Can 1040x filed electronically Dyed diesel fuel, Dyed Diesel Fuel and Dyed Kerosene Dyed kerosene, Dyed Diesel Fuel and Dyed Kerosene E Electric outboard motors, Electric outboard boat motors. Can 1040x filed electronically Enterer, defined, Enterer. Can 1040x filed electronically Entry, defined, Entry. Can 1040x filed electronically Environmental taxes Credit or refund, Credits or refunds. Can 1040x filed electronically Exceptions, Exceptions. Can 1040x filed electronically Ozone-depleting chemicals (ODCs), Environmental Taxes United States (defined), Environmental Taxes Examination procedures, Examination and Appeal Procedures Excluded liquid, Diesel Fuel and Kerosene Exempt articles, retail tax, Articles exempt from tax. Can 1040x filed electronically Exempt communication services American Red Cross, International organizations and the American Red Cross. Can 1040x filed electronically Answering service, Answering services. Can 1040x filed electronically Coin-operated telephones, Coin-operated telephones. Can 1040x filed electronically Installation charges, Installation charges. Can 1040x filed electronically International organizations, International organizations and the American Red Cross. Can 1040x filed electronically Mobile radio telephone service, Mobile radio telephone service. Can 1040x filed electronically News services, News services. Can 1040x filed electronically Nonprofit educational organizations, Nonprofit educational organizations. Can 1040x filed electronically Nonprofit hospitals, Nonprofit hospitals. Can 1040x filed electronically Private communication service, Private communication service. Can 1040x filed electronically Qualified blood collector organizations, Qualified blood collector organizations. Can 1040x filed electronically Radio broadcasts, News services. Can 1040x filed electronically Security systems, Telephone-operated security systems. Can 1040x filed electronically Exempt sales, heavy trucks, Sales exempt from tax. Can 1040x filed electronically Exemptions Air transportation taxes, Exemptions. Can 1040x filed electronically Bonus tickets, Bonus tickets. Can 1040x filed electronically Coal, Exemption from tax. Can 1040x filed electronically Communications taxes, Exemptions Federal government, Federal, state, and local government. Can 1040x filed electronically Fixed-wing aircraft, Fixed-wing aircraft uses. Can 1040x filed electronically For export, Exemptions Further manufacturing, Exemptions Helicopters, Certain helicopter uses. Can 1040x filed electronically Indian handicrafts, Exemptions Indian tribal governments, Federal, state, and local government. Can 1040x filed electronically Military personnel, Military personnel on international trips. Can 1040x filed electronically Nonprofit educational organizations, Federal, state, and local government. Can 1040x filed electronically , Exemptions Qualified blood collector organizations, Exemptions State and local governments, Federal, state, and local government. Can 1040x filed electronically , Exemptions Taxable tires, Tires exempt from tax. Can 1040x filed electronically Vessel supplies, Exemptions Export, Export (No. Can 1040x filed electronically 3). Can 1040x filed electronically Exported taxable fuel, Exported taxable fuel. Can 1040x filed electronically F Farming, On a farm for farming purposes (No. Can 1040x filed electronically 1). Can 1040x filed electronically Federal government, Federal, state, and local government. Can 1040x filed electronically Fishing, In a boat engaged in commercial fishing (No. Can 1040x filed electronically 4). Can 1040x filed electronically Fishing rods and fishing poles. Can 1040x filed electronically , Fishing rods and fishing poles. Can 1040x filed electronically Fishing tackle boxes, Fishing tackle boxes. Can 1040x filed electronically Fixed-wing aircraft, Fixed-wing aircraft uses. Can 1040x filed electronically Floor stocks tax Ozone-depleting chemicals, Floor Stocks Tax Floor stocks, ODCs, Environmental Taxes Foreign trade, In foreign trade (No. Can 1040x filed electronically 9). Can 1040x filed electronically Form 1363, Exportation. Can 1040x filed electronically 4136, Claiming a Credit on Form 4136 6197, Gas Guzzler Tax, Form 6197. Can 1040x filed electronically , Attachments to Form 720. Can 1040x filed electronically 637, Reminders 6627, Environmental Taxes, Attachments to Form 720. Can 1040x filed electronically 720, Claiming A Refund, Form 6197. Can 1040x filed electronically , Filing Form 720 720X, Form 720X. Can 1040x filed electronically 8849, Claiming A Refund 8864, Biodiesel Sold as But Not Used as Fuel Form 720 Attachments, Attachments to Form 720. Can 1040x filed electronically Due dates, Due dates. Can 1040x filed electronically Final return, Final return. Can 1040x filed electronically Schedule A, Filing Form 720 Schedule C, Filing Form 720 Schedule T, Filing Form 720 Free tax services, How To Get Tax Help Fuels Alternative fuel, Other Fuels (Including Alternative Fuels) Diesel, Diesel Fuel and Kerosene Diesel-water fuel emulsion, Diesel-Water Fuel Emulsion For use in aviation, Kerosene for Use in Aviation Gasoline, Gasoline and Aviation Gasoline Kerosene, Diesel Fuel and Kerosene Other Fuels, Other Fuels (Including Alternative Fuels) Used on inland waterways, Fuels Used on Inland Waterways G Gambling, Taxable situations. Can 1040x filed electronically Gas guzzler tax Automobiles, Automobiles. Can 1040x filed electronically Credit or refund, Credit or refund. Can 1040x filed electronically Limousines, Automobiles. Can 1040x filed electronically Vehicles not subject to tax, Vehicles not subject to tax. Can 1040x filed electronically Gasoline blendstocks, Gasoline Blendstocks Gasoline, defined, Gasoline. Can 1040x filed electronically H Hawaii, air transportation taxes, Transportation between the continental U. Can 1040x filed electronically S. Can 1040x filed electronically and Alaska or Hawaii. Can 1040x filed electronically Heavy Motor Vehicle User Fee, Excise Taxes Not Covered Heavy trucks First retail sale, defined, First retail sale defined. Can 1040x filed electronically Further manufacture, Further manufacture. Can 1040x filed electronically Installment sales, Installment sales. Can 1040x filed electronically Parts or accessories, Parts or accessories. Can 1040x filed electronically Presumptive retail sales price, Presumptive retail sales price. Can 1040x filed electronically Related persons, Related person. Can 1040x filed electronically Separate purchases, Separate purchase. Can 1040x filed electronically Tax base, Determination of tax base. Can 1040x filed electronically Tax rate, Retail Tax on Heavy Trucks, Trailers, and Tractors Helicopter, Certain helicopter uses. Can 1040x filed electronically Help (see Tax help) Highway vehicle, Highway vehicle. Can 1040x filed electronically , In a highway vehicle owned by the United States that is not used on a highway (No. Can 1040x filed electronically 12). Can 1040x filed electronically Highway vehicle (Diesel-powered), Diesel-powered highway vehicle. Can 1040x filed electronically I Identifying number, Taxpayer identification number. Can 1040x filed electronically Imported taxable products (ODCs), Imported Taxable Products Income, include in, Including the Credit or Refund in Income Indoor tanning services, Indoor Tanning Services Tax Information returns, liquid products, Information Returns Inland waterways, Fuels Used on Inland Waterways Intercity and local buses, In certain intercity and local buses (No. Can 1040x filed electronically 5). Can 1040x filed electronically Interest and penalties, Penalties and Interest International air travel facilities, International Air Travel Facilities K Kerosene Definitions, Diesel Fuel and Kerosene Exported, Diesel Fuel and Kerosene For use in aviation, Kerosene for Use in Aviation L Liquid products, information returns, Information Returns Local telephone service, Local telephone service. Can 1040x filed electronically Local-only service, Local-only service. Can 1040x filed electronically M Manufacturer, defined, Manufacturer. Can 1040x filed electronically Manufacturers taxes Arrow shafts, Arrow Shafts Bows, Quivers, Broadheads, and Points, Bows, Quivers, Broadheads, and Points Coal, Coal Credits or refunds, Credits or Refunds Exemptions, Exemptions Gas guzzler tax, Gas Guzzler Tax Lease, Lease considered sale. Can 1040x filed electronically Lease payments, Partial payments. Can 1040x filed electronically Partial payments, Partial payments. Can 1040x filed electronically Registration, Registration requirements. Can 1040x filed electronically Related person, Related person. Can 1040x filed electronically Requirements for exempt sales, Requirements for Exempt Sales Sale, Sale. Can 1040x filed electronically Sport fishing equipment, Sport Fishing Equipment Taxable Tires, Taxable Tires Vaccines, Vaccines Medical device tax, Taxable medical devices. Can 1040x filed electronically Military aircraft, In military aircraft (No. Can 1040x filed electronically 16). Can 1040x filed electronically Mobile radio telephone service, Mobile radio telephone service. Can 1040x filed electronically N News services, News services. Can 1040x filed electronically Nonprofit educational organization, Exclusive use by a nonprofit educational organization (No. Can 1040x filed electronically 13). Can 1040x filed electronically Nonprofit educational organization use and state use, Nonprofit educational organization and state use. Can 1040x filed electronically Nonprofit educational organizations, Nonprofit educational organizations. Can 1040x filed electronically , Federal, state, and local government. Can 1040x filed electronically Nontaxable uses, definitions, Definitions of Nontaxable Uses Nontaxable uses, type of use table, Definitions of Nontaxable Uses O Obligations not in registered form, Obligations Not in Registered Form Off-highway use, Off-highway business use (No. Can 1040x filed electronically 2). Can 1040x filed electronically Oil spill liability, Environmental Taxes Other Fuels (Including Alternative Fuels), Other Fuels (Including Alternative Fuels) Other fuels, defined, Other fuels. Can 1040x filed electronically Ozone-depleting chemicals Floor stocks tax, Floor Stocks Tax Imported taxable products, Imported Taxable Products P Patient-centered outcomes research fee, Patient-Centered Outcomes Research Fee Payment of taxes, Payment of Taxes Penalties Dyed diesel fuel, Penalty. Can 1040x filed electronically Dyed kerosene, Penalty. Can 1040x filed electronically Pipeline operator, defined, Pipeline operator. Can 1040x filed electronically Position holder, defined, Position holder. Can 1040x filed electronically Publications (see Tax help) Q Qualified local bus, In a qualified local bus (No. Can 1040x filed electronically 6). Can 1040x filed electronically R Rack, defined, Rack. Can 1040x filed electronically Radio broadcasts, News services. Can 1040x filed electronically Records, Refiner, defined, Refiner. Can 1040x filed electronically Refinery, defined, Refinery. Can 1040x filed electronically Refunds, Claiming A Refund Refunds of second tax, Refunds of Second Tax Registered ultimate vendor, Sales by Registered Ultimate Vendors, Registered ultimate vendor. Can 1040x filed electronically Registrant, Taxable fuel registrant. Can 1040x filed electronically Registrant, defined, Registrant. Can 1040x filed electronically Registration, Registration Requirements Form 637, Reminders Registration-required obligations, Obligations Not in Registered Form Related persons Heavy trucks, Related person. Can 1040x filed electronically Sport fishing equipment, Related person. Can 1040x filed electronically Removal, defined, Removal. Can 1040x filed electronically Retail tax Credits or refunds, Credits or refunds. Can 1040x filed electronically Heavy trucks, Retail Tax on Heavy Trucks, Trailers, and Tractors Rulings Program, Rulings Program Rural airports, Rural airports. Can 1040x filed electronically S Sale, defined, Sale. Can 1040x filed electronically Sales by registered ultimate vendors, gasoline, Sales by registered ultimate vendors. Can 1040x filed electronically Sales by registered ultimate vendors, kerosene for use in aviation, Sales by Registered Ultimate Vendors Sales price Bonus goods, Bonus goods. Can 1040x filed electronically Cost of transportation, Manufacturers taxes based on sale price. Can 1040x filed electronically Delivery costs, Manufacturers taxes based on sale price. Can 1040x filed electronically Discounts, Manufacturers taxes based on sale price. Can 1040x filed electronically Installation costs, Manufacturers taxes based on sale price. Can 1040x filed electronically Insurance costs, Manufacturers taxes based on sale price. Can 1040x filed electronically Local advertising charges, Manufacturers taxes based on sale price. Can 1040x filed electronically Manufacturers excise tax, Manufacturers taxes based on sale price. Can 1040x filed electronically Rebates, Manufacturers taxes based on sale price. Can 1040x filed electronically Retail dealer preparation costs, Manufacturers taxes based on sale price. Can 1040x filed electronically Warranty charges, Manufacturers taxes based on sale price. Can 1040x filed electronically School bus, In a school bus (No. Can 1040x filed electronically 7). Can 1040x filed electronically Second generation biofuel, Second generation biofuel. Can 1040x filed electronically Security systems, Telephone-operated security systems. Can 1040x filed electronically Ship passenger tax, Ship Passenger Tax Special September rule, When to deposit, Special rule for deposits of taxes in September. Can 1040x filed electronically Sport fishing equipment List of equipment, Sport Fishing Equipment Resales, Certain equipment resale. Can 1040x filed electronically State and local governments, Federal, state, and local government. Can 1040x filed electronically State or local governments, Exclusive use by a state, political subdivision of a state, or the District of Columbia (No. Can 1040x filed electronically 14). Can 1040x filed electronically State or nonprofit educational organization use, Sales by registered ultimate vendors. Can 1040x filed electronically State use, Registered ultimate vendor (state use). Can 1040x filed electronically , State use. Can 1040x filed electronically State, defined, State. Can 1040x filed electronically Suggestions, Comments and suggestions. Can 1040x filed electronically T Tanning tax, Indoor Tanning Services Tax Tax help, How To Get Tax Help Tax rate, Electric outboard boat motors. Can 1040x filed electronically Air transportation of persons, Transportation of Persons by Air Air transportation of property, Transportation of Property by Air Arrow shafts, Arrow Shafts Bows, Quivers, Broadheads, and Points, Bows, Quivers, Broadheads, and Points Coal, Tax rates. Can 1040x filed electronically Electric outboard motor, Electric outboard boat motors. Can 1040x filed electronically International air travel facilities, International Air Travel Facilities Obligations not in registered form, Obligations Not in Registered Form Policies issued by foreign persons, Foreign Insurance Taxes Ship passenger tax, Ship Passenger Tax Sport fishing equipment, Sport Fishing Equipment Trucks, Retail Tax on Heavy Trucks, Trailers, and Tractors Taxable fuel registrant, Taxable fuel registrant. Can 1040x filed electronically Taxable Tires Manufacturers taxes, Taxable Tires Taxable tires Exemptions, Tires exempt from tax. Can 1040x filed electronically Taxes, Payment of, Payment of Taxes Taxpayer identification number, Taxpayer identification number. Can 1040x filed electronically Teletypewriter exchange service, Teletypewriter exchange service. Can 1040x filed electronically Terminal operator, defined, Terminal operator. Can 1040x filed electronically Terminal, defined, Terminal. Can 1040x filed electronically Throughputter, defined, Throughputter. Can 1040x filed electronically Tires Credit against heavy truck tax, Tire credit. Can 1040x filed electronically Credit or refund of tax, Credit or refund. Can 1040x filed electronically Train, Use in a train. Can 1040x filed electronically Train (Diesel-powered), Diesel-powered train. Can 1040x filed electronically Transmix, Diesel Fuel and Kerosene Travel agency, Liability for tax. Can 1040x filed electronically TTY/TDD information, How To Get Tax Help Two-party exchanges, Two-party exchanges. Can 1040x filed electronically , Two-party exchanges. Can 1040x filed electronically U Ultimate purchaser, Ultimate purchaser. Can 1040x filed electronically Uninterrupted international air transportation, Uninterrupted international air transportation. Can 1040x filed electronically , Military personnel on international trips. Can 1040x filed electronically Used other than as a fuel Diesel fuel and kerosene, For diesel fuel and kerosene (other than kerosene used in aviation) used other than as a fuel (No. Can 1040x filed electronically 8). Can 1040x filed electronically Uses, nontaxable Alternative fuels, Other Fuels (Including Alternative Fuels) Aviation gasoline, Gasoline and Aviation Gasoline Diesel fuel, Undyed Diesel Fuel and Undyed Kerosene (Other Than Kerosene Used in Aviation) Diesel-water fuel emulsion, Diesel-Water Fuel Emulsion Gasoline, Gasoline and Aviation Gasoline Kerosene, Undyed Diesel Fuel and Undyed Kerosene (Other Than Kerosene Used in Aviation) Kerosene for use in aviation, Ultimate purchasers. Can 1040x filed electronically Liquefied petroleum gas (LPG), Other Fuels (Including Alternative Fuels) Other Fuels, Other Fuels (Including Alternative Fuels) V Vaccines Credit or refund, Credit or refund. Can 1040x filed electronically Manufacturers tax, What's New, Vaccines Vehicles Gas guzzler, Gas Guzzler Tax Imported, Imported automobiles. Can 1040x filed electronically Law enforcement, Vehicles not subject to tax. Can 1040x filed electronically Vendors, registered ultimate, Sales by Registered Ultimate Vendors, Registered ultimate vendor. Can 1040x filed electronically Vessel operator, defined, Vessel operator. Can 1040x filed electronically W Wagering and occupational wagering fee, Excise Taxes Not Covered When to deposit, When To Make Deposits Prev  Up     Home   More Online Publications
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The Can 1040x Filed Electronically

Can 1040x filed electronically 8. Can 1040x filed electronically   Business Expenses Table of Contents Introduction Useful Items - You may want to see: Bad DebtsAccrual method. Can 1040x filed electronically Cash method. Can 1040x filed electronically Car and Truck ExpensesOffice in the home. Can 1040x filed electronically Methods for Deducting Car and Truck Expenses Reimbursing Your Employees for Expenses Depreciation Employees' PayFringe benefits. Can 1040x filed electronically InsuranceHow to figure the deduction. Can 1040x filed electronically Interest Legal and Professional FeesTax preparation fees. Can 1040x filed electronically Pension Plans Rent Expense Taxes Travel, Meals, and EntertainmentTransportation. Can 1040x filed electronically Taxi, commuter bus, and limousine. Can 1040x filed electronically Baggage and shipping. Can 1040x filed electronically Car or truck. Can 1040x filed electronically Meals and lodging. Can 1040x filed electronically Cleaning. Can 1040x filed electronically Telephone. Can 1040x filed electronically Tips. Can 1040x filed electronically More information. Can 1040x filed electronically Business Use of Your HomeExceptions to exclusive use. Can 1040x filed electronically Other Expenses You Can Deduct Expenses You Cannot Deduct Introduction You can deduct the costs of operating your business. Can 1040x filed electronically These costs are known as business expenses. Can 1040x filed electronically These are costs you do not have to capitalize or include in the cost of goods sold but can deduct in the current year. Can 1040x filed electronically To be deductible, a business expense must be both ordinary and necessary. Can 1040x filed electronically An ordinary expense is one that is common and accepted in your field of business. Can 1040x filed electronically A necessary expense is one that is helpful and appropriate for your business. Can 1040x filed electronically An expense does not have to be indispensable to be considered necessary. Can 1040x filed electronically For more information about the general rules for deducting business expenses, see chapter 1 in Publication 535, Business Expenses. Can 1040x filed electronically If you have an expense that is partly for business and partly personal, separate the personal part from the business part. Can 1040x filed electronically The personal part is not deductible. Can 1040x filed electronically Useful Items - You may want to see: Publication 463 Travel, Entertainment, Gift, and Car Expenses 535 Business Expenses 946 How To Depreciate Property See chapter 12 for information about getting publications and forms. Can 1040x filed electronically Bad Debts If someone owes you money you cannot collect, you have a bad debt. Can 1040x filed electronically There are two kinds of bad debts, business bad debts and nonbusiness bad debts. Can 1040x filed electronically A business bad debt is generally one that comes from operating your trade or business. Can 1040x filed electronically You may be able to deduct business bad debts as an expense on your business tax return. Can 1040x filed electronically Business bad debt. Can 1040x filed electronically   A business bad debt is a loss from the worthlessness of a debt that was either of the following. Can 1040x filed electronically Created or acquired in your business. Can 1040x filed electronically Closely related to your business when it became partly or totally worthless. Can 1040x filed electronically A debt is closely related to your business if your primary motive for incurring the debt is a business reason. Can 1040x filed electronically   Business bad debts are mainly the result of credit sales to customers. Can 1040x filed electronically They can also be the result of loans to suppliers, clients, employees, or distributors. Can 1040x filed electronically Goods and services customers have not paid for are shown in your books as either accounts receivable or notes receivable. Can 1040x filed electronically If you are unable to collect any part of these accounts or notes receivable, the uncollectible part is a business bad debt. Can 1040x filed electronically    You can take a bad debt deduction for these accounts and notes receivable only if the amount you were owed was included in your gross income either for the year the deduction is claimed or for a prior year. Can 1040x filed electronically Accrual method. Can 1040x filed electronically   If you use an accrual method of accounting, you normally report income as you earn it. Can 1040x filed electronically You can take a bad debt deduction for an uncollectible receivable if you have included the uncollectible amount in income. Can 1040x filed electronically Cash method. Can 1040x filed electronically   If you use the cash method of accounting, you normally report income when you receive payment. Can 1040x filed electronically You cannot take a bad debt deduction for amounts owed to you that you have not received and cannot collect if you never included those amounts in income. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about business bad debts, see chapter 10 in Publication 535. Can 1040x filed electronically Nonbusiness bad debts. Can 1040x filed electronically   All other bad debts are nonbusiness bad debts and are deductible as short-term capital losses on Form 8949 and Schedule D (Form 1040). Can 1040x filed electronically For more information on nonbusiness bad debts, see Publication 550, Investment Income and Expenses. Can 1040x filed electronically Car and Truck Expenses If you use your car or truck in your business, you may be able to deduct the costs of operating and maintaining your vehicle. Can 1040x filed electronically You also may be able to deduct other costs of local transportation and traveling away from home overnight on business. Can 1040x filed electronically You may qualify for a tax credit for qualified plug-in electric vehicles, qualified plug-in electric drive motor vehicles, and alternative motor vehicles you place in service during the year. Can 1040x filed electronically See Form 8936 and Form 8910 for more information. Can 1040x filed electronically Local transportation expenses. Can 1040x filed electronically   Local transportation expenses include the ordinary and necessary costs of all the following. Can 1040x filed electronically Getting from one workplace to another in the course of your business or profession when you are traveling within the city or general area that is your tax home. Can 1040x filed electronically Tax home is defined later. Can 1040x filed electronically Visiting clients or customers. Can 1040x filed electronically Going to a business meeting away from your regular workplace. Can 1040x filed electronically Getting from your home to a temporary workplace when you have one or more regular places of work. Can 1040x filed electronically These temporary workplaces can be either within the area of your tax home or outside that area. Can 1040x filed electronically Local business transportation does not include expenses you have while traveling away from home overnight. Can 1040x filed electronically Those expenses are deductible as travel expenses and are discussed later under Travel, Meals, and Entertainment. Can 1040x filed electronically However, if you use your car while traveling away from home overnight, use the rules in this section to figure your car expense deduction. Can 1040x filed electronically   Generally, your tax home is your regular place of business, regardless of where you maintain your family home. Can 1040x filed electronically It includes the entire city or general area in which your business or work is located. Can 1040x filed electronically Example. Can 1040x filed electronically You operate a printing business out of rented office space. Can 1040x filed electronically You use your van to deliver completed jobs to your customers. Can 1040x filed electronically You can deduct the cost of round-trip transportation between your customers and your print shop. Can 1040x filed electronically    You cannot deduct the costs of driving your car or truck between your home and your main or regular workplace. Can 1040x filed electronically These costs are personal commuting expenses. Can 1040x filed electronically Office in the home. Can 1040x filed electronically   Your workplace can be your home if you have an office in your home that qualifies as your principal place of business. Can 1040x filed electronically For more information, see Business Use of Your Home, later. Can 1040x filed electronically Example. Can 1040x filed electronically You are a graphics designer. Can 1040x filed electronically You operate your business out of your home. Can 1040x filed electronically Your home qualifies as your principal place of business. Can 1040x filed electronically You occasionally have to drive to your clients to deliver your completed work. Can 1040x filed electronically You can deduct the cost of the round-trip transportation between your home and your clients. Can 1040x filed electronically Methods for Deducting Car and Truck Expenses For local transportation or overnight travel by car or truck, you generally can use one of the following methods to figure your expenses. Can 1040x filed electronically Standard mileage rate. Can 1040x filed electronically Actual expenses. Can 1040x filed electronically Standard mileage rate. Can 1040x filed electronically   You may be able to use the standard mileage rate to figure the deductible costs of operating your car, van, pickup, or panel truck for business purposes. Can 1040x filed electronically For 2013, the standard mileage rate is 56. Can 1040x filed electronically 5 cents per mile. Can 1040x filed electronically    If you choose to use the standard mileage rate for a year, you cannot deduct your actual expenses for that year except for business-related parking fees and tolls. Can 1040x filed electronically Choosing the standard mileage rate. Can 1040x filed electronically   If you want to use the standard mileage rate for a car or truck you own, you must choose to use it in the first year the car is available for use in your business. Can 1040x filed electronically In later years, you can choose to use either the standard mileage rate or actual expenses. Can 1040x filed electronically   If you use the standard mileage rate for a car you lease, you must choose to use it for the entire lease period (including renewals). Can 1040x filed electronically Standard mileage rate not allowed. Can 1040x filed electronically   You cannot use the standard mileage rate if you: Operate five or more cars at the same time, Claimed a depreciation deduction using any method other than straight line, for example, ACRS or MACRS, Claimed a section 179 deduction on the car, Claimed the special depreciation allowance on the car, Claimed actual car expenses for a car you leased, or Are a rural mail carrier who received a qualified reimbursement. Can 1040x filed electronically Parking fees and tolls. Can 1040x filed electronically   In addition to using the standard mileage rate, you can deduct any business-related parking fees and tolls. Can 1040x filed electronically (Parking fees you pay to park your car at your place of work are nondeductible commuting expenses. Can 1040x filed electronically ) Actual expenses. Can 1040x filed electronically   If you do not choose to use the standard mileage rate, you may be able to deduct your actual car or truck expenses. Can 1040x filed electronically    If you qualify to use both methods, figure your deduction both ways to see which gives you a larger deduction. Can 1040x filed electronically   Actual car expenses include the costs of the following items. Can 1040x filed electronically Depreciation Lease payments Registration Garage rent Licenses Repairs Gas Oil Tires Insurance Parking fees Tolls   If you use your vehicle for both business and personal purposes, you must divide your expenses between business and personal use. Can 1040x filed electronically You can divide your expenses based on the miles driven for each purpose. Can 1040x filed electronically Example. Can 1040x filed electronically You are the sole proprietor of a flower shop. Can 1040x filed electronically You drove your van 20,000 miles during the year. Can 1040x filed electronically 16,000 miles were for delivering flowers to customers and 4,000 miles were for personal use (including commuting miles). Can 1040x filed electronically You can claim only 80% (16,000 ÷ 20,000) of the cost of operating your van as a business expense. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about the rules for claiming car and truck expenses, see Publication 463. Can 1040x filed electronically Reimbursing Your Employees for Expenses You generally can deduct the amount you reimburse your employees for car and truck expenses. Can 1040x filed electronically The reimbursement you deduct and the manner in which you deduct it depend in part on whether you reimburse the expenses under an accountable plan or a nonaccountable plan. Can 1040x filed electronically For details, see chapter 11 in Publication 535. Can 1040x filed electronically That chapter explains accountable and nonaccountable plans and tells you whether to report the reimbursement on your employee's Form W-2, Wage and Tax Statement. Can 1040x filed electronically Depreciation If property you acquire to use in your business is expected to last more than 1 year, you generally cannot deduct the entire cost as a business expense in the year you acquire it. Can 1040x filed electronically You must spread the cost over more than 1 tax year and deduct part of it each year on Schedule C. Can 1040x filed electronically This method of deducting the cost of business property is called depreciation. Can 1040x filed electronically The discussion here is brief. Can 1040x filed electronically You will find more information about depreciation in Publication 946. Can 1040x filed electronically What property can be depreciated?   You can depreciate property if it meets all the following requirements. Can 1040x filed electronically It must be property you own. Can 1040x filed electronically It must be used in business or held to produce income. Can 1040x filed electronically You never can depreciate inventory (explained in chapter 2) because it is not held for use in your business. Can 1040x filed electronically It must have a useful life that extends substantially beyond the year it is placed in service. Can 1040x filed electronically It must have a determinable useful life, which means that it must be something that wears out, decays, gets used up, becomes obsolete, or loses its value from natural causes. Can 1040x filed electronically You never can depreciate the cost of land because land does not wear out, become obsolete, or get used up. Can 1040x filed electronically It must not be excepted property. Can 1040x filed electronically This includes property placed in service and disposed of in the same year. Can 1040x filed electronically Repairs. Can 1040x filed electronically    You cannot depreciate repairs and replacements that do not increase the value of your property, make it more useful, or lengthen its useful life. Can 1040x filed electronically You can deduct these amounts on line 21 of Schedule C or line 2 of Schedule C-EZ. Can 1040x filed electronically Depreciation method. Can 1040x filed electronically   The method for depreciating most business and investment property placed in service after 1986 is called the Modified Accelerated Cost Recovery System (MACRS). Can 1040x filed electronically MACRS is discussed in detail in Publication 946. Can 1040x filed electronically Section 179 deduction. Can 1040x filed electronically   You can elect to deduct a limited amount of the cost of certain depreciable property in the year you place the property in service. Can 1040x filed electronically This deduction is known as the “section 179 deduction. Can 1040x filed electronically ” The maximum amount you can elect to deduct during 2013 is generally $500,000 (higher limits apply to certain property). Can 1040x filed electronically See IRC 179(e). Can 1040x filed electronically   This limit is generally reduced by the amount by which the cost of the property placed in service during the tax year exceeds $2 million. Can 1040x filed electronically The total amount of depreciation (including the section 179 deduction) you can take for a passenger automobile you use in your business and first place in service in 2013 is $3,160 ($11,160 if you take the special depreciation allowance for qualified passenger automobiles placed in service in 2013). Can 1040x filed electronically Special rules apply to trucks and vans. Can 1040x filed electronically For more information, see Publication 946. Can 1040x filed electronically It explains what property qualifies for the deduction, what limits apply to the deduction, and when and how to recapture the deduction. Can 1040x filed electronically    Your section 179 election for the cost of any sport utility vehicle (SUV) and certain other vehicles is limited to $25,000. Can 1040x filed electronically For more information, see the Instructions for Form 4562 or Publication 946. Can 1040x filed electronically Listed property. Can 1040x filed electronically   You must follow special rules and recordkeeping requirements when depreciating listed property. Can 1040x filed electronically Listed property is any of the following. Can 1040x filed electronically Most passenger automobiles. Can 1040x filed electronically Most other property used for transportation. Can 1040x filed electronically Any property of a type generally used for entertainment, recreation, or amusement. Can 1040x filed electronically Certain computers and related peripheral equipment. Can 1040x filed electronically   For more information about listed property, see Publication 946. Can 1040x filed electronically Form 4562. Can 1040x filed electronically   Use Form 4562, Depreciation and Amortization, if you are claiming any of the following. Can 1040x filed electronically Depreciation on property placed in service during the current tax year. Can 1040x filed electronically A section 179 deduction. Can 1040x filed electronically Depreciation on any listed property (regardless of when it was placed in service). Can 1040x filed electronically    If you have to use Form 4562, you must file Schedule C. Can 1040x filed electronically You cannot use Schedule C-EZ. Can 1040x filed electronically   Employees' Pay You can generally deduct on Schedule C the pay you give your employees for the services they perform for your business. Can 1040x filed electronically The pay may be in cash, property, or services. Can 1040x filed electronically To be deductible, your employees' pay must be an ordinary and necessary expense and you must pay or incur it in the tax year. Can 1040x filed electronically In addition, the pay must meet both the following tests. Can 1040x filed electronically The pay must be reasonable. Can 1040x filed electronically The pay must be for services performed. Can 1040x filed electronically Chapter 2 in Publication 535 explains and defines these requirements. Can 1040x filed electronically You cannot deduct your own salary or any personal withdrawals you make from your business. Can 1040x filed electronically As a sole proprietor, you are not an employee of the business. Can 1040x filed electronically If you had employees during the year, you must use Schedule C. Can 1040x filed electronically You cannot use Schedule C-EZ. Can 1040x filed electronically Kinds of pay. Can 1040x filed electronically   Some of the ways you may provide pay to your employees are listed below. Can 1040x filed electronically For an explanation of each of these items, see chapter 2 in Publication 535. Can 1040x filed electronically Awards. Can 1040x filed electronically Bonuses. Can 1040x filed electronically Education expenses. Can 1040x filed electronically Fringe benefits (discussed later). Can 1040x filed electronically Loans or advances you do not expect the employee to repay if they are for personal services actually performed. Can 1040x filed electronically Property you transfer to an employee as payment for services. Can 1040x filed electronically Reimbursements for employee business expenses. Can 1040x filed electronically Sick pay. Can 1040x filed electronically Vacation pay. Can 1040x filed electronically Fringe benefits. Can 1040x filed electronically   A fringe benefit is a form of pay for the performance of services. Can 1040x filed electronically The following are examples of fringe benefits. Can 1040x filed electronically Benefits under qualified employee benefit programs. Can 1040x filed electronically Meals and lodging. Can 1040x filed electronically The use of a car. Can 1040x filed electronically Flights on airplanes. Can 1040x filed electronically Discounts on property or services. Can 1040x filed electronically Memberships in country clubs or other social clubs. Can 1040x filed electronically Tickets to entertainment or sporting events. Can 1040x filed electronically   Employee benefit programs include the following. Can 1040x filed electronically Accident and health plans. Can 1040x filed electronically Adoption assistance. Can 1040x filed electronically Cafeteria plans. Can 1040x filed electronically Dependent care assistance. Can 1040x filed electronically Educational assistance. Can 1040x filed electronically Group-term life insurance coverage. Can 1040x filed electronically Welfare benefit funds. Can 1040x filed electronically   You can generally deduct the cost of fringe benefits you provide on your Schedule C in whatever category the cost falls. Can 1040x filed electronically For example, if you allow an employee to use a car or other property you lease, deduct the cost of the lease as a rent or lease expense. Can 1040x filed electronically If you own the property, include your deduction for its cost or other basis as a section 179 deduction or a depreciation deduction. Can 1040x filed electronically    You may be able to exclude all or part of the fringe benefits you provide from your employees' wages. Can 1040x filed electronically For more information about fringe benefits and the exclusion of benefits, see Publication 15-B, Employer's Tax Guide to Fringe Benefits. Can 1040x filed electronically Insurance You can generally deduct premiums you pay for the following kinds of insurance related to your business. Can 1040x filed electronically Fire, theft, flood, or similar insurance. Can 1040x filed electronically Credit insurance that covers losses from business bad debts. Can 1040x filed electronically Group hospitalization and medical insurance for employees, including long-term care insurance. Can 1040x filed electronically Liability insurance. Can 1040x filed electronically Malpractice insurance that covers your personal liability for professional negligence resulting in injury or damage to patients or clients. Can 1040x filed electronically Workers' compensation insurance set by state law that covers any claims for bodily injuries or job-related diseases suffered by employees in your business, regardless of fault. Can 1040x filed electronically Contributions to a state unemployment insurance fund are deductible as taxes if they are considered taxes under state law. Can 1040x filed electronically Overhead insurance that pays for business overhead expenses you have during long periods of disability caused by your injury or sickness. Can 1040x filed electronically Car and other vehicle insurance that covers vehicles used in your business for liability, damages, and other losses. Can 1040x filed electronically If you operate a vehicle partly for personal use, deduct only the part of the insurance premium that applies to the business use of the vehicle. Can 1040x filed electronically If you use the standard mileage rate to figure your car expenses, you cannot deduct any car insurance premiums. Can 1040x filed electronically Life insurance covering your employees if you are not directly or indirectly the beneficiary under the contract. Can 1040x filed electronically Business interruption insurance that pays for lost profits if your business is shut down due to a fire or other cause. Can 1040x filed electronically Nondeductible premiums. Can 1040x filed electronically   You cannot deduct premiums on the following kinds of insurance. Can 1040x filed electronically Self-insurance reserve funds. Can 1040x filed electronically You cannot deduct amounts credited to a reserve set up for self-insurance. Can 1040x filed electronically This applies even if you cannot get business insurance coverage for certain business risks. Can 1040x filed electronically However, your actual losses may be deductible. Can 1040x filed electronically For more information, see Publication 547, Casualties, Disasters, and Thefts. Can 1040x filed electronically Loss of earnings. Can 1040x filed electronically You cannot deduct premiums for a policy that pays for your lost earnings due to sickness or disability. Can 1040x filed electronically However, see item (8) in the previous list. Can 1040x filed electronically Certain life insurance and annuities. Can 1040x filed electronically For contracts issued before June 9, 1997, you cannot deduct the premiums on a life insurance policy covering you, an employee, or any person with a financial interest in your business if you are directly or indirectly a beneficiary of the policy. Can 1040x filed electronically You are included among possible beneficiaries of the policy if the policy owner is obligated to repay a loan from you using the proceeds of the policy. Can 1040x filed electronically A person has a financial interest in your business if the person is an owner or part owner of the business or has lent money to the business. Can 1040x filed electronically For contracts issued after June 8, 1997, you generally cannot deduct the premiums on any life insurance policy, endowment contract, or annuity contract if you are directly or indirectly a beneficiary. Can 1040x filed electronically The disallowance applies without regard to whom the policy covers. Can 1040x filed electronically Insurance to secure a loan. Can 1040x filed electronically If you take out a policy on your life or on the life of another person with a financial interest in your business to get or protect a business loan, you cannot deduct the premiums as a business expense. Can 1040x filed electronically Nor can you deduct the premiums as interest on business loans or as an expense of financing loans. Can 1040x filed electronically In the event of death, the proceeds of the policy are not taxed as income even if they are used to liquidate the debt. Can 1040x filed electronically Self-employed health insurance deduction. Can 1040x filed electronically   You may be able to deduct the amount you paid for medical and dental insurance and qualified long-term care insurance for you and your family. Can 1040x filed electronically How to figure the deduction. Can 1040x filed electronically   Generally, you can use the worksheet in the Form 1040 instructions to figure your deduction. Can 1040x filed electronically However, if any of the following apply, you must use the worksheet in chapter 6 of Publication 535. Can 1040x filed electronically You have more than one source of income subject to self-employment tax. Can 1040x filed electronically You file Form 2555 or Form 2555-EZ (relating to foreign earned income). Can 1040x filed electronically You are using amounts paid for qualified long-term care insurance to figure the deduction. Can 1040x filed electronically Prepayment. Can 1040x filed electronically   You cannot deduct expenses in advance, even if you pay them in advance. Can 1040x filed electronically This rule applies to any expense paid far enough in advance to, in effect, create an asset with a useful life extending substantially beyond the end of the current tax year. Can 1040x filed electronically Example. Can 1040x filed electronically In 2013, you signed a 3-year insurance contract. Can 1040x filed electronically Even though you paid the premiums for 2013, 2014, and 2015 when you signed the contract, you can only deduct the premium for 2013 on your 2013 tax return. Can 1040x filed electronically You can deduct in 2014 and 2015 the premium allocable to those years. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about deducting insurance, see chapter 6 in Publication 535. Can 1040x filed electronically Interest You can generally deduct as a business expense all interest you pay or accrue during the tax year on debts related to your business. Can 1040x filed electronically Interest relates to your business if you use the proceeds of the loan for a business expense. Can 1040x filed electronically It does not matter what type of property secures the loan. Can 1040x filed electronically You can deduct interest on a debt only if you meet all of the following requirements. Can 1040x filed electronically You are legally liable for that debt. Can 1040x filed electronically Both you and the lender intend that the debt be repaid. Can 1040x filed electronically You and the lender have a true debtor-creditor relationship. Can 1040x filed electronically You cannot deduct on Schedule C or C-EZ the interest you paid on personal loans. Can 1040x filed electronically If a loan is part business and part personal, you must divide the interest between the personal part and the business part. Can 1040x filed electronically Example. Can 1040x filed electronically In 2013, you paid $600 interest on a car loan. Can 1040x filed electronically During 2013, you used the car 60% for business and 40% for personal purposes. Can 1040x filed electronically You are claiming actual expenses on the car. Can 1040x filed electronically You can only deduct $360 (60% × $600) for 2013 on Schedule C or C-EZ. Can 1040x filed electronically The remaining interest of $240 is a nondeductible personal expense. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about deducting interest, see chapter 4 in Publication 535. Can 1040x filed electronically That chapter explains the following items. Can 1040x filed electronically Interest you can deduct. Can 1040x filed electronically Interest you cannot deduct. Can 1040x filed electronically How to allocate interest between personal and business use. Can 1040x filed electronically When to deduct interest. Can 1040x filed electronically The rules for a below-market interest rate loan. Can 1040x filed electronically (This is generally a loan on which no interest is charged or on which interest is charged at a rate below the applicable federal rate. Can 1040x filed electronically ) Legal and Professional Fees Legal and professional fees, such as fees charged by accountants, that are ordinary and necessary expenses directly related to operating your business are deductible on Schedule C or C-EZ. Can 1040x filed electronically However, you usually cannot deduct legal fees you pay to acquire business assets. Can 1040x filed electronically Add them to the basis of the property. Can 1040x filed electronically If the fees include payments for work of a personal nature (such as making a will), you can take a business deduction only for the part of the fee related to your business. Can 1040x filed electronically The personal part of legal fees for producing or collecting taxable income, doing or keeping your job, or for tax advice may be deductible on Schedule A (Form 1040) if you itemize deductions. Can 1040x filed electronically For more information, see Publication 529, Miscellaneous Deductions. Can 1040x filed electronically Tax preparation fees. Can 1040x filed electronically   You can deduct on Schedule C or C-EZ the cost of preparing that part of your tax return relating to your business as a sole proprietor or statutory employee. Can 1040x filed electronically You can deduct the remaining cost on Schedule A (Form 1040) if you itemize your deductions. Can 1040x filed electronically   You can also deduct on Schedule C or C-EZ the amount you pay or incur in resolving asserted tax deficiencies for your business as a sole proprietor or statutory employee. Can 1040x filed electronically Pension Plans You can set up and maintain the following small business retirement plans for yourself and your employees. Can 1040x filed electronically SEP (Simplified Employee Pension) plans. Can 1040x filed electronically SIMPLE (Savings Incentive Match Plan for Employees) plans. Can 1040x filed electronically Qualified plans (including Keogh or H. Can 1040x filed electronically R. Can 1040x filed electronically 10 plans). Can 1040x filed electronically SEP, SIMPLE, and qualified plans offer you and your employees a tax favored way to save for retirement. Can 1040x filed electronically You can deduct contributions you make to the plan for your employees on line 19 of Schedule C. Can 1040x filed electronically If you are a sole proprietor, you can deduct contributions you make to the plan for yourself on line 28 of Form 1040. Can 1040x filed electronically You can also deduct trustees' fees if contributions to the plan do not cover them. Can 1040x filed electronically Earnings on the contributions are generally tax free until you or your employees receive distributions from the plan. Can 1040x filed electronically You may also be able to claim a tax credit of 50% of the first $1,000 of qualified startup costs if you begin a new qualified defined benefit or defined contribution plan (including a 401(k) plan), SIMPLE plan, or simplified employee pension. Can 1040x filed electronically Under certain plans, employees can have you contribute limited amounts of their before-tax pay to a plan. Can 1040x filed electronically These amounts (and earnings on them) are generally tax free until your employees receive distributions from the plan. Can 1040x filed electronically For more information on retirement plans for small business, see Publication 560, Retirement Plans for Small Business (SEP, SIMPLE, and Qualified Plans). Can 1040x filed electronically Publication 590, Individual Retirement Arrangements (IRAs), discusses other tax favored ways to save for retirement. Can 1040x filed electronically Rent Expense Rent is any amount you pay for the use of property you do not own. Can 1040x filed electronically In general, you can deduct rent as a business expense only if the rent is for property you use in your business. Can 1040x filed electronically If you have or will receive equity in or title to the property, you cannot deduct the rent. Can 1040x filed electronically Unreasonable rent. Can 1040x filed electronically   You cannot take a rental deduction for unreasonable rents. Can 1040x filed electronically Ordinarily, the issue of reasonableness arises only if you and the lessor are related. Can 1040x filed electronically Rent paid to a related person is reasonable if it is the same amount you would pay to a stranger for use of the same property. Can 1040x filed electronically Rent is not unreasonable just because it is figured as a percentage of gross receipts. Can 1040x filed electronically   Related persons include members of your immediate family, including only brothers and sisters (either whole or half), your spouse, ancestors, and lineal descendants. Can 1040x filed electronically For a list of the other related persons, see section 267 of the Internal Revenue Code. Can 1040x filed electronically Rent on your home. Can 1040x filed electronically   If you rent your home and use part of it as your place of business, you may be able to deduct the rent you pay for that part. Can 1040x filed electronically You must meet the requirements for business use of your home. Can 1040x filed electronically For more information, see Business Use of Your Home , later. Can 1040x filed electronically Rent paid in advance. Can 1040x filed electronically   Generally, rent paid in your business is deductible in the year paid or accrued. Can 1040x filed electronically If you pay rent in advance, you can deduct only the amount that applies to your use of the rented property during the tax year. Can 1040x filed electronically You can deduct the rest of your payment only over the period to which it applies. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about rent, see chapter 3 in Publication 535. Can 1040x filed electronically Taxes You can deduct on Schedule C or C-EZ various federal, state, local, and foreign taxes directly attributable to your business. Can 1040x filed electronically Income taxes. Can 1040x filed electronically   You can deduct on Schedule C or C-EZ a state tax on gross income (as distinguished from net income) directly attributable to your business. Can 1040x filed electronically You can deduct other state and local income taxes on Schedule A (Form 1040) if you itemize your deductions. Can 1040x filed electronically Do not deduct federal income tax. Can 1040x filed electronically Employment taxes. Can 1040x filed electronically   You can deduct the social security, Medicare, and federal unemployment (FUTA) taxes you paid out of your own funds as an employer. Can 1040x filed electronically Employment taxes are discussed briefly in chapter 1. Can 1040x filed electronically You can also deduct payments you made as an employer to a state unemployment compensation fund or to a state disability benefit fund. Can 1040x filed electronically Deduct these payments as taxes. Can 1040x filed electronically Self-employment tax. Can 1040x filed electronically   You can deduct one-half of your self-employment tax on line 27 of Form 1040. Can 1040x filed electronically Self-employment tax is discussed in chapters 1 and 10. Can 1040x filed electronically Personal property tax. Can 1040x filed electronically   You can deduct on Schedule C or C-EZ any tax imposed by a state or local government on personal property used in your business. Can 1040x filed electronically   You can also deduct registration fees for the right to use property within a state or local area. Can 1040x filed electronically Example. Can 1040x filed electronically May and Julius Winter drove their car 7,000 business miles out of a total of 10,000 miles. Can 1040x filed electronically They had to pay $25 for their annual state license tags and $20 for their city registration sticker. Can 1040x filed electronically They also paid $235 in city personal property tax on the car, for a total of $280. Can 1040x filed electronically They are claiming their actual car expenses. Can 1040x filed electronically Because they used the car 70% for business, they can deduct 70% of the $280, or $196, as a business expense. Can 1040x filed electronically Real estate taxes. Can 1040x filed electronically   You can deduct on Schedule C or C-EZ the real estate taxes you pay on your business property. Can 1040x filed electronically Deductible real estate taxes are any state, local, or foreign taxes on real estate levied for the general public welfare. Can 1040x filed electronically The taxing authority must base the taxes on the assessed value of the real estate and charge them uniformly against all property under its jurisdiction. Can 1040x filed electronically   For more information about real estate taxes, see chapter 5 in Publication 535. Can 1040x filed electronically That chapter explains special rules for deducting the following items. Can 1040x filed electronically Taxes for local benefits, such as those for sidewalks, streets, water mains, and sewer lines. Can 1040x filed electronically Real estate taxes when you buy or sell property during the year. Can 1040x filed electronically Real estate taxes if you use an accrual method of accounting and choose to accrue real estate tax related to a definite period ratably over that period. Can 1040x filed electronically Sales tax. Can 1040x filed electronically   Treat any sales tax you pay on a service or on the purchase or use of property as part of the cost of the service or property. Can 1040x filed electronically If the service or the cost or use of the property is a deductible business expense, you can deduct the tax as part of that service or cost. Can 1040x filed electronically If the property is merchandise bought for resale, the sales tax is part of the cost of the merchandise. Can 1040x filed electronically If the property is depreciable, add the sales tax to the basis for depreciation. Can 1040x filed electronically For information on the basis of property, see Publication 551, Basis of Assets. Can 1040x filed electronically    Do not deduct state and local sales taxes imposed on the buyer that you must collect and pay over to the state or local government. Can 1040x filed electronically Do not include these taxes in gross receipts or sales. Can 1040x filed electronically Excise taxes. Can 1040x filed electronically   You can deduct on Schedule C or C-EZ all excise taxes that are ordinary and necessary expenses of carrying on your business. Can 1040x filed electronically Excise taxes are discussed briefly in chapter 1. Can 1040x filed electronically Fuel taxes. Can 1040x filed electronically   Taxes on gasoline, diesel fuel, and other motor fuels you use in your business are usually included as part of the cost of the fuel. Can 1040x filed electronically Do not deduct these taxes as a separate item. Can 1040x filed electronically   You may be entitled to a credit or refund for federal excise tax you paid on fuels used for certain purposes. Can 1040x filed electronically For more information, see Publication 510, Excise Taxes. Can 1040x filed electronically Travel, Meals, and Entertainment This section briefly explains the kinds of travel and entertainment expenses you can deduct on Schedule C or C-EZ. Can 1040x filed electronically Table 8-1. Can 1040x filed electronically When Are Entertainment Expenses Deductible? (Note. Can 1040x filed electronically The following is a summary of the rules for deducting entertainment expenses. Can 1040x filed electronically For more details about these rules, see Publication 463. Can 1040x filed electronically ) General rule You can deduct ordinary and necessary expenses to entertain a client, customer, or employee if the expenses meet the directly-related test or the associated test. Can 1040x filed electronically Definitions Entertainment includes any activity generally considered to provide entertainment, amusement, or recreation, and includes meals provided to a customer or client. Can 1040x filed electronically An ordinary expense is one that is common and accepted in your field of business, trade, or profession. Can 1040x filed electronically A necessary expense is one that is helpful and appropriate, although not necessarily required, for your business. Can 1040x filed electronically Tests to be met Directly-related test Entertainment took place in a clear business setting, or Main purpose of entertainment was the active conduct of business, and You did engage in business with the person during the entertainment period, and You had more than a general expectation of getting income or some other specific business benefit. Can 1040x filed electronically   Associated test Entertainment is associated with your trade or business, and Entertainment directly precedes or follows a substantial business discussion. Can 1040x filed electronically Other rules You cannot deduct the cost of your meal as an entertainment expense if you are claiming the meal as a travel expense. Can 1040x filed electronically You cannot deduct expenses that are lavish or extravagant under the circumstances. Can 1040x filed electronically You generally can deduct only 50% of your unreimbursed entertainment expenses. Can 1040x filed electronically Travel expenses. Can 1040x filed electronically   These are the ordinary and necessary expenses of traveling away from home for your business. Can 1040x filed electronically You are traveling away from home if both the following conditions are met. Can 1040x filed electronically Your duties require you to be away from the general area of your tax home (defined later) substantially longer than an ordinary day's work. Can 1040x filed electronically You need to get sleep or rest to meet the demands of your work while away from home. Can 1040x filed electronically Generally, your tax home is your regular place of business, regardless of where you maintain your family home. Can 1040x filed electronically It includes the entire city or general area in which your business is located. Can 1040x filed electronically See Publication 463 for more information. Can 1040x filed electronically   The following is a brief discussion of the expenses you can deduct. Can 1040x filed electronically Transportation. Can 1040x filed electronically   You can deduct the cost of travel by airplane, train, bus, or car between your home and your business destination. Can 1040x filed electronically Taxi, commuter bus, and limousine. Can 1040x filed electronically   You can deduct fares for these and other types of transportation between the airport or station and your hotel, or between the hotel and your work location away from home. Can 1040x filed electronically Baggage and shipping. Can 1040x filed electronically   You can deduct the cost of sending baggage and sample or display material between your regular and temporary work locations. Can 1040x filed electronically Car or truck. Can 1040x filed electronically   You can deduct the costs of operating and maintaining your vehicle when traveling away from home on business. Can 1040x filed electronically You can deduct actual expenses or the standard mileage rate (discussed earlier under Car and Truck Expenses), as well as business-related tolls and parking. Can 1040x filed electronically If you rent a car while away from home on business, you can deduct only the business-use portion of the expenses. Can 1040x filed electronically Meals and lodging. Can 1040x filed electronically   You can deduct the cost of meals and lodging if your business trip is overnight or long enough that you need to stop for sleep or rest to properly perform your duties. Can 1040x filed electronically In most cases, you can deduct only 50% of your meal expenses. Can 1040x filed electronically Cleaning. Can 1040x filed electronically   You can deduct the costs of dry cleaning and laundry while on your business trip. Can 1040x filed electronically Telephone. Can 1040x filed electronically   You can deduct the cost of business calls while on your business trip, including business communication by fax machine or other communication devices. Can 1040x filed electronically Tips. Can 1040x filed electronically   You can deduct the tips you pay for any expense in this list. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information about travel expenses, see Publication 463. Can 1040x filed electronically Entertainment expenses. Can 1040x filed electronically   You may be able to deduct business-related entertainment expenses for entertaining a client, customer, or employee. Can 1040x filed electronically In most cases, you can deduct only 50% of these expenses. Can 1040x filed electronically   The following are examples of entertainment expenses. Can 1040x filed electronically Entertaining guests at nightclubs, athletic clubs, theaters, or sporting events. Can 1040x filed electronically Providing meals, a hotel suite, or a car to business customers or their families. Can 1040x filed electronically To be deductible, the expenses must meet the rules listed in Table 8-1. Can 1040x filed electronically For details about these rules, see Publication 463. Can 1040x filed electronically Reimbursing your employees for expenses. Can 1040x filed electronically   You generally can deduct the amount you reimburse your employees for travel and entertainment expenses. Can 1040x filed electronically The reimbursement you deduct and the manner in which you deduct it depend in part on whether you reimburse the expenses under an accountable plan or a nonaccountable plan. Can 1040x filed electronically For details, see chapter 11 in Publication 535. Can 1040x filed electronically That chapter explains accountable and nonaccountable plans and tells you whether to report the reimbursement on your employee's Form W-2, Wage and Tax Statement. Can 1040x filed electronically Business Use of Your Home To deduct expenses related to the part of your home used for business, you must meet specific requirements. Can 1040x filed electronically Even then, your deduction may be limited. Can 1040x filed electronically To qualify to claim expenses for business use of your home, you must meet the following tests. Can 1040x filed electronically Your use of the business part of your home must be: Exclusive (however, see Exceptions to exclusive use , later), Regular, For your business, and The business part of your home must be one of the following: Your principal place of business (defined later), A place where you meet or deal with patients, clients, or customers in the normal course of your business, or A separate structure (not attached to your home) you use in connection with your business. Can 1040x filed electronically Exclusive use. Can 1040x filed electronically   To qualify under the exclusive use test, you must use a specific area of your home only for your trade or business. Can 1040x filed electronically The area used for business can be a room or other separately identifiable space. Can 1040x filed electronically The space does not need to be marked off by a permanent partition. Can 1040x filed electronically   You do not meet the requirements of the exclusive use test if you use the area in question both for business and for personal purposes. Can 1040x filed electronically Example. Can 1040x filed electronically You are an attorney and use a den in your home to write legal briefs and prepare clients' tax returns. Can 1040x filed electronically Your family also uses the den for recreation. Can 1040x filed electronically The den is not used exclusively in your profession, so you cannot claim a business deduction for its use. Can 1040x filed electronically Exceptions to exclusive use. Can 1040x filed electronically   You do not have to meet the exclusive use test if you use part of your home in either of the following ways. Can 1040x filed electronically For the storage of inventory or product samples. Can 1040x filed electronically As a daycare facility. Can 1040x filed electronically For an explanation of these exceptions, see Publication 587, Business Use of Your Home (Including Use by Daycare Providers). Can 1040x filed electronically Regular use. Can 1040x filed electronically   To qualify under the regular use test, you must use a specific area of your home for business on a continuing basis. Can 1040x filed electronically You do not meet the test if your business use of the area is only occasional or incidental, even if you do not use that area for any other purpose. Can 1040x filed electronically Principal place of business. Can 1040x filed electronically   You can have more than one business location, including your home, for a single trade or business. Can 1040x filed electronically To qualify to deduct the expenses for the business use of your home under the principal place of business test, your home must be your principal place of business for that business. Can 1040x filed electronically To determine your principal place of business, you must consider all the facts and circumstances. Can 1040x filed electronically   Your home office will qualify as your principal place of business for deducting expenses for its use if you meet the following requirements. Can 1040x filed electronically You use it exclusively and regularly for administrative or management activities of your business. Can 1040x filed electronically You have no other fixed location where you conduct substantial administrative or management activities of your business. Can 1040x filed electronically   Alternatively, if you use your home exclusively and regularly for your business, but your home office does not qualify as your principal place of business based on the previous rules, you determine your principal place of business based on the following factors. Can 1040x filed electronically The relative importance of the activities performed at each location. Can 1040x filed electronically If the relative importance factor does not determine your principal place of business, you can also consider the time spent at each location. Can 1040x filed electronically   If, after considering your business locations, your home cannot be identified as your principal place of business, you cannot deduct home office expenses. Can 1040x filed electronically However, for other ways to qualify to deduct home office expenses, see Publication 587. Can 1040x filed electronically Deduction limit. Can 1040x filed electronically   If your gross income from the business use of your home equals or exceeds your total business expenses (including depreciation), you can deduct all your business expenses related to the use of your home. Can 1040x filed electronically If your gross income from the business use is less than your total business expenses, your deduction for certain expenses for the business use of your home is limited. Can 1040x filed electronically   Your deduction of otherwise nondeductible expenses, such as insurance, utilities, and depreciation (with depreciation taken last), allocable to the business is limited to the gross income from the business use of your home minus the sum of the following. Can 1040x filed electronically The business part of expenses you could deduct even if you did not use your home for business (such as mortgage interest, real estate taxes, and casualty and theft losses that are allowable as itemized deductions on Schedule A (Form 1040)). Can 1040x filed electronically The business expenses that relate to the business activity in the home (for example, business phone, supplies, and depreciation on equipment), but not to the use of the home itself. Can 1040x filed electronically Do not include in (2) above your deduction for one-half of your self-employment tax. Can 1040x filed electronically   Use Form 8829, Expenses for Business Use of Your Home, to figure your deduction. Can 1040x filed electronically New simplified method. Can 1040x filed electronically    The IRS now provides a simplified method to determine your expenses for business use of your home. Can 1040x filed electronically The simplified method is an alternative to calculating and substantiating actual expenses. Can 1040x filed electronically In most cases, you will figure your deduction by multiplying $5 by the area of your home used for a qualified business use. Can 1040x filed electronically The area you use to figure your deduction is limited to 300 square feet. Can 1040x filed electronically For more information, see the Instructions for Schedule C. Can 1040x filed electronically More information. Can 1040x filed electronically   For more information on deducting expenses for the business use of your home, see Publication 587. Can 1040x filed electronically Other Expenses You Can Deduct You may also be able to deduct the following expenses. Can 1040x filed electronically See Publication 535 to find out whether you can deduct them. Can 1040x filed electronically Advertising. Can 1040x filed electronically Bank fees. Can 1040x filed electronically Donations to business organizations. Can 1040x filed electronically Education expenses. Can 1040x filed electronically Energy efficient commercial buildings deduction expenses. Can 1040x filed electronically Impairment-related expenses. Can 1040x filed electronically Interview expense allowances. Can 1040x filed electronically Licenses and regulatory fees. Can 1040x filed electronically Moving machinery. Can 1040x filed electronically Outplacement services. Can 1040x filed electronically Penalties and fines you pay for late performance or nonperformance of a contract. Can 1040x filed electronically Repairs that keep your property in a normal efficient operating condition. Can 1040x filed electronically Repayments of income. Can 1040x filed electronically Subscriptions to trade or professional publications. Can 1040x filed electronically Supplies and materials. Can 1040x filed electronically Utilities. Can 1040x filed electronically Expenses You Cannot Deduct You usually cannot deduct the following as business expenses. Can 1040x filed electronically For more information, see Publication 535. Can 1040x filed electronically Bribes and kickbacks. Can 1040x filed electronically Charitable contributions. Can 1040x filed electronically Demolition expenses or losses. Can 1040x filed electronically Dues to business, social, athletic, luncheon, sporting, airline, and hotel clubs. Can 1040x filed electronically Lobbying expenses. Can 1040x filed electronically Penalties and fines you pay to a governmental agency or instrumentality because you broke the law. Can 1040x filed electronically Personal, living, and family expenses. Can 1040x filed electronically Political contributions. Can 1040x filed electronically Repairs that add to the value of your property or significantly increase its life. Can 1040x filed electronically Prev  Up  Next   Home   More Online Publications