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File state tax return only 14. File state tax return only   Sale of Property Table of Contents Reminder Introduction Useful Items - You may want to see: Sales and TradesWhat Is a Sale or Trade? How To Figure Gain or Loss Nontaxable Trades Transfers Between Spouses Related Party Transactions Capital Gains and LossesCapital or Ordinary Gain or Loss Capital Assets and Noncapital Assets Holding Period Nonbusiness Bad Debts Wash Sales Rollover of Gain From Publicly Traded Securities Reminder Foreign income. File state tax return only  If you are a U. File state tax return only S. File state tax return only citizen who sells property located outside the United States, you must report all gains and losses from the sale of that property on your tax return unless it is exempt by U. File state tax return only S. File state tax return only law. File state tax return only This is true whether you reside inside or outside the United States and whether or not you receive a Form 1099 from the payer. File state tax return only Introduction This chapter discusses the tax consequences of selling or trading investment property. File state tax return only It explains the following. File state tax return only What a sale or trade is. File state tax return only Figuring gain or loss. File state tax return only Nontaxable trades. File state tax return only Related party transactions. File state tax return only Capital gains or losses. File state tax return only Capital assets and noncapital assets. File state tax return only Holding period. File state tax return only Rollover of gain from publicly traded securities. File state tax return only Other property transactions. File state tax return only   Certain transfers of property are not discussed here. File state tax return only They are discussed in other IRS publications. File state tax return only These include the following. File state tax return only Sales of a main home, covered in chapter 15. File state tax return only Installment sales, covered in Publication 537, Installment Sales. File state tax return only Transactions involving business property, covered in Publication 544, Sales and Other Dispositions of Assets. File state tax return only Dispositions of an interest in a passive activity, covered in Publication 925, Passive Activity and At-Risk Rules. File state tax return only    Publication 550, Investment Income and Expenses (Including Capital Gains and Losses), provides a more detailed discussion about sales and trades of investment property. File state tax return only Publication 550 includes information about the rules covering nonbusiness bad debts, straddles, section 1256 contracts, puts and calls, commodity futures, short sales, and wash sales. File state tax return only It also discusses investment-related expenses. File state tax return only Useful Items - You may want to see: Publication 550 Investment Income and Expenses Form (and Instructions) Schedule D (Form 1040) Capital Gains and Losses 8949 Sales and Other Dispositions of Capital Assets 8824 Like-Kind Exchanges Sales and Trades If you sold property such as stocks, bonds, or certain commodities through a broker during the year, you should receive, for each sale, a Form 1099-B, Proceeds From Broker and Barter Exchange Transactions, or substitute statement, from the broker. File state tax return only Generally, you should receive the statement by February 15 of the next year. File state tax return only It will show the gross proceeds from the sale. File state tax return only If you sold a covered security in 2013, your 1099-B (or substitute statement) will show your basis. File state tax return only Generally, a covered security is a security you acquired after 2010, with certain exceptions. File state tax return only See the Instructions for Form 8949. File state tax return only The IRS will also get a copy of Form 1099-B from the broker. File state tax return only Use Form 1099-B (or substitute statement received from your broker) to complete Form 8949. File state tax return only What Is a Sale or Trade? This section explains what is a sale or trade. File state tax return only It also explains certain transactions and events that are treated as sales or trades. File state tax return only A sale is generally a transfer of property for money or a mortgage, note, or other promise to pay money. File state tax return only A trade is a transfer of property for other property or services and may be taxed in the same way as a sale. File state tax return only Sale and purchase. File state tax return only   Ordinarily, a transaction is not a trade when you voluntarily sell property for cash and immediately buy similar property to replace it. File state tax return only The sale and purchase are two separate transactions. File state tax return only But see Like-kind exchanges under Nontaxable Trades, later. File state tax return only Redemption of stock. File state tax return only   A redemption of stock is treated as a sale or trade and is subject to the capital gain or loss provisions unless the redemption is a dividend or other distribution on stock. File state tax return only Dividend versus sale or trade. File state tax return only   Whether a redemption is treated as a sale, trade, dividend, or other distribution depends on the circumstances in each case. File state tax return only Both direct and indirect ownership of stock will be considered. File state tax return only The redemption is treated as a sale or trade of stock if: The redemption is not essentially equivalent to a dividend (see chapter 8), There is a substantially disproportionate redemption of stock, There is a complete redemption of all the stock of the corporation owned by the shareholder, or The redemption is a distribution in partial liquidation of a corporation. File state tax return only Redemption or retirement of bonds. File state tax return only   A redemption or retirement of bonds or notes at their maturity is generally treated as a sale or trade. File state tax return only   In addition, a significant modification of a bond is treated as a trade of the original bond for a new bond. File state tax return only For details, see Regulations section 1. File state tax return only 1001-3. File state tax return only Surrender of stock. File state tax return only   A surrender of stock by a dominant shareholder who retains ownership of more than half of the corporation's voting shares is treated as a contribution to capital rather than as an immediate loss deductible from taxable income. File state tax return only The surrendering shareholder must reallocate his or her basis in the surrendered shares to the shares he or she retains. File state tax return only Worthless securities. File state tax return only    Stocks, stock rights, and bonds (other than those held for sale by a securities dealer) that became completely worthless during the tax year are treated as though they were sold on the last day of the tax year. File state tax return only This affects whether your capital loss is long term or short term. File state tax return only See Holding Period , later. File state tax return only   Worthless securities also include securities that you abandon after March 12, 2008. File state tax return only To abandon a security, you must permanently surrender and relinquish all rights in the security and receive no consideration in exchange for it. File state tax return only All the facts and circumstances determine whether the transaction is properly characterized as an abandonment or other type of transaction, such as an actual sale or exchange, contribution to capital, dividend, or gift. File state tax return only    If you are a cash basis taxpayer and make payments on a negotiable promissory note that you issued for stock that became worthless, you can deduct these payments as losses in the years you actually make the payments. File state tax return only Do not deduct them in the year the stock became worthless. File state tax return only How to report loss. File state tax return only    Report worthless securities in Part I or Part II, whichever applies, of Form 8949. File state tax return only In column (a), enter “Worthless. File state tax return only ”    Report your worthless securities transactions on Form 8949 with the correct box checked for these transactions. File state tax return only See Form 8949 and the Instructions for Form 8949. File state tax return only For more information on Form 8949 and Schedule D (Form 1040), see Reporting Capital Gains and Losses in chapter 16. File state tax return only See also Schedule D (Form 1040), Form 8949, and their separate instructions. File state tax return only Filing a claim for refund. File state tax return only   If you do not claim a loss for a worthless security on your original return for the year it becomes worthless, you can file a claim for a credit or refund due to the loss. File state tax return only You must use Form 1040X, Amended U. File state tax return only S. File state tax return only Individual Income Tax Return, to amend your return for the year the security became worthless. File state tax return only You must file it within 7 years from the date your original return for that year had to be filed, or 2 years from the date you paid the tax, whichever is later. File state tax return only For more information about filing a claim, see Amended Returns and Claims for Refund in chapter 1. File state tax return only How To Figure Gain or Loss You figure gain or loss on a sale or trade of property by comparing the amount you realize with the adjusted basis of the property. File state tax return only Gain. File state tax return only   If the amount you realize from a sale or trade is more than the adjusted basis of the property you transfer, the difference is a gain. File state tax return only Loss. File state tax return only   If the adjusted basis of the property you transfer is more than the amount you realize, the difference is a loss. File state tax return only Adjusted basis. File state tax return only   The adjusted basis of property is your original cost or other original basis properly adjusted (increased or decreased) for certain items. File state tax return only See chapter 13 for more information about determining the adjusted basis of property. File state tax return only Amount realized. File state tax return only   The amount you realize from a sale or trade of property is everything you receive for the property minus your expenses of sale (such as redemption fees, sales commissions, sales charges, or exit fees). File state tax return only Amount realized includes the money you receive plus the fair market value of any property or services you receive. File state tax return only If you received a note or other debt instrument for the property, see How To Figure Gain or Loss in chapter 4 of Publication 550 to figure the amount realized. File state tax return only If you finance the buyer's purchase of your property and the debt instrument does not provide for adequate stated interest, the unstated interest that you must report as ordinary income will reduce the amount realized from the sale. File state tax return only For more information, see Publication 537. File state tax return only Fair market value. File state tax return only   Fair market value is the price at which the property would change hands between a buyer and a seller, neither being forced to buy or sell and both having reasonable knowledge of all the relevant facts. File state tax return only Example. File state tax return only You trade A Company stock with an adjusted basis of $7,000 for B Company stock with a fair market value of $10,000, which is your amount realized. File state tax return only Your gain is $3,000 ($10,000 − $7,000). File state tax return only Debt paid off. File state tax return only    A debt against the property, or against you, that is paid off as a part of the transaction, or that is assumed by the buyer, must be included in the amount realized. File state tax return only This is true even if neither you nor the buyer is personally liable for the debt. File state tax return only For example, if you sell or trade property that is subject to a nonrecourse loan, the amount you realize generally includes the full amount of the note assumed by the buyer even if the amount of the note is more than the fair market value of the property. File state tax return only Example. File state tax return only You sell stock that you had pledged as security for a bank loan of $8,000. File state tax return only Your basis in the stock is $6,000. File state tax return only The buyer pays off your bank loan and pays you $20,000 in cash. File state tax return only The amount realized is $28,000 ($20,000 + $8,000). File state tax return only Your gain is $22,000 ($28,000 − $6,000). File state tax return only Payment of cash. File state tax return only   If you trade property and cash for other property, the amount you realize is the fair market value of the property you receive. File state tax return only Determine your gain or loss by subtracting the cash you pay plus the adjusted basis of the property you trade in from the amount you realize. File state tax return only If the result is a positive number, it is a gain. File state tax return only If the result is a negative number, it is a loss. File state tax return only No gain or loss. File state tax return only   You may have to use a basis for figuring gain that is different from the basis used for figuring loss. File state tax return only In this case, you may have neither a gain nor a loss. File state tax return only See Basis Other Than Cost in chapter 13. File state tax return only Nontaxable Trades This section discusses trades that generally do not result in a taxable gain or deductible loss. File state tax return only For more information on nontaxable trades, see chapter 1 of Publication 544. File state tax return only Like-kind exchanges. File state tax return only   If you trade business or investment property for other business or investment property of a like kind, you do not pay tax on any gain or deduct any loss until you sell or dispose of the property you receive. File state tax return only To be nontaxable, a trade must meet all six of the following conditions. File state tax return only The property must be business or investment property. File state tax return only You must hold both the property you trade and the property you receive for productive use in your trade or business or for investment. File state tax return only Neither property may be property used for personal purposes, such as your home or family car. File state tax return only The property must not be held primarily for sale. File state tax return only The property you trade and the property you receive must not be property you sell to customers, such as merchandise. File state tax return only The property must not be stocks, bonds, notes, choses in action, certificates of trust or beneficial interest, or other securities or evidences of indebtedness or interest, including partnership interests. File state tax return only However, see Special rules for mutual ditch, reservoir, or irrigation company stock, in chapter 4 of Publication 550 for an exception. File state tax return only Also, you can have a nontaxable trade of corporate stocks under a different rule, as discussed later. File state tax return only There must be a trade of like property. File state tax return only The trade of real estate for real estate, or personal property for similar personal property, is a trade of like property. File state tax return only The trade of an apartment house for a store building, or a panel truck for a pickup truck, is a trade of like property. File state tax return only The trade of a piece of machinery for a store building is not a trade of like property. File state tax return only Real property located in the United States and real property located outside the United States are not like property. File state tax return only Also, personal property used predominantly within the United States and personal property used predominantly outside the United States are not like property. File state tax return only The property to be received must be identified in writing within 45 days after the date you transfer the property given up in the trade. File state tax return only The property to be received must be received by the earlier of: The 180th day after the date on which you transfer the property given up in the trade, or The due date, including extensions, for your tax return for the year in which the transfer of the property given up occurs. File state tax return only    If you trade property with a related party in a like-kind exchange, a special rule may apply. File state tax return only See Related Party Transactions , later in this chapter. File state tax return only Also, see chapter 1 of Publication 544 for more information on exchanges of business property and special rules for exchanges using qualified intermediaries or involving multiple properties. File state tax return only Partly nontaxable exchange. File state tax return only   If you receive money or unlike property in addition to like property, and the above six conditions are met, you have a partly nontaxable trade. File state tax return only You are taxed on any gain you realize, but only up to the amount of the money and the fair market value of the unlike property you receive. File state tax return only You cannot deduct a loss. File state tax return only Like property and unlike property transferred. File state tax return only   If you give up unlike property in addition to the like property, you must recognize gain or loss on the unlike property you give up. File state tax return only The gain or loss is the difference between the adjusted basis of the unlike property and its fair market value. File state tax return only Like property and money transferred. File state tax return only   If all of the above conditions (1) – (6) are met, you have a nontaxable trade even if you pay money in addition to the like property. File state tax return only Basis of property received. File state tax return only   To figure the basis of the property received, see Nontaxable Exchanges in chapter 13. File state tax return only How to report. File state tax return only   You must report the trade of like property on Form 8824. File state tax return only If you figure a recognized gain or loss on Form 8824, report it on Schedule D (Form 1040), or on Form 4797, Sales of Business Property, whichever applies. File state tax return only See the instructions for Line 22 in the Instructions for Form 8824. File state tax return only   For information on using Form 4797, see chapter 4 of Publication 544. File state tax return only Corporate stocks. File state tax return only   The following trades of corporate stocks generally do not result in a taxable gain or a deductible loss. File state tax return only Corporate reorganizations. File state tax return only   In some instances, a company will give you common stock for preferred stock, preferred stock for common stock, or stock in one corporation for stock in another corporation. File state tax return only If this is a result of a merger, recapitalization, transfer to a controlled corporation, bankruptcy, corporate division, corporate acquisition, or other corporate reorganization, you do not recognize gain or loss. File state tax return only Stock for stock of the same corporation. File state tax return only   You can exchange common stock for common stock or preferred stock for preferred stock in the same corporation without having a recognized gain or loss. File state tax return only This is true for a trade between two stockholders as well as a trade between a stockholder and the corporation. File state tax return only Convertible stocks and bonds. File state tax return only   You generally will not have a recognized gain or loss if you convert bonds into stock or preferred stock into common stock of the same corporation according to a conversion privilege in the terms of the bond or the preferred stock certificate. File state tax return only Property for stock of a controlled corporation. File state tax return only   If you transfer property to a corporation solely in exchange for stock in that corporation, and immediately after the trade you are in control of the corporation, you ordinarily will not recognize a gain or loss. File state tax return only This rule applies both to individuals and to groups who transfer property to a corporation. File state tax return only It does not apply if the corporation is an investment company. File state tax return only   For this purpose, to be in control of a corporation, you or your group of transferors must own, immediately after the exchange, at least 80% of the total combined voting power of all classes of stock entitled to vote and at least 80% of the outstanding shares of each class of nonvoting stock of the corporation. File state tax return only   If this provision applies to you, you may have to attach to your return a complete statement of all facts pertinent to the exchange. File state tax return only For details, see Regulations section 1. File state tax return only 351-3. File state tax return only Additional information. File state tax return only   For more information on trades of stock, see Nontaxable Trades in chapter 4 of Publication 550. File state tax return only Insurance policies and annuities. File state tax return only   You will not have a recognized gain or loss if the insured or annuitant is the same under both contracts and you trade: A life insurance contract for another life insurance contract or for an endowment or annuity contract or for a qualified long-term care insurance contract, An endowment contract for another endowment contract that provides for regular payments beginning at a date no later than the beginning date under the old contract or for an annuity contract or for a qualified long-term insurance contract, An annuity contract for annuity contract or for a qualified long-term care insurance contract, or A qualified long-term care insurance contract for a qualified long-term care insurance contract. File state tax return only   You also may not have to recognize gain or loss on an exchange of a portion of an annuity contract for another annuity contract. File state tax return only For transfers completed before October 24, 2011, see Revenue Ruling 2003-76 in Internal Revenue Bulletin 2003-33 and Revenue Procedure 2008-24 in Internal Revenue Bulletin 2008-13. File state tax return only Revenue Ruling 2003-76 is available at www. File state tax return only irs. File state tax return only gov/irb/2003-33_IRB/ar11. File state tax return only html. File state tax return only Revenue Procedure 2008-24 is available at www. File state tax return only irs. File state tax return only gov/irb/2008-13_IRB/ar13. File state tax return only html. File state tax return only For transfers completed on or after October 24, 2011, see Revenue Ruling 2003-76, above, and Revenue Procedure 2011-38, in Internal Revenue Bulletin 2011-30. File state tax return only Revenue Procedure 2011-38 is available at www. File state tax return only irs. File state tax return only gov/irb/2011-30_IRB/ar09. File state tax return only html. File state tax return only   For tax years beginning after December 31, 2010, amounts received as an annuity for a period of 10 years or more, or for the lives of one or more individuals, under any portion of an annuity, endowment, or life insurance contract, are treated as a separate contract and are considered partial annuities. File state tax return only A portion of an annuity, endowment, or life insurance contract may be annuitized, provided that the annuitization period is for 10 years or more or for the lives of one or more individuals. File state tax return only The investment in the contract is allocated between the part of the contract from which amounts are received as an annuity and the part of the contract from which amounts are not received as an annuity. File state tax return only   Exchanges of contracts not included in this list, such as an annuity contract for an endowment contract, or an annuity or endowment contract for a life insurance contract, are taxable. File state tax return only Demutualization of life insurance companies. File state tax return only   If you received stock in exchange for your equity interest as a policyholder or an annuitant, you generally will not have a recognized gain or loss. File state tax return only See Demutualization of Life Insurance Companies in Publication 550. File state tax return only U. File state tax return only S. File state tax return only Treasury notes or bonds. File state tax return only   You can trade certain issues of U. File state tax return only S. File state tax return only Treasury obligations for other issues designated by the Secretary of the Treasury, with no gain or loss recognized on the trade. File state tax return only See Savings bonds traded in chapter 1 of Publication 550 for more information. File state tax return only Transfers Between Spouses Generally, no gain or loss is recognized on a transfer of property from an individual to (or in trust for the benefit of) a spouse, or if incident to a divorce, a former spouse. File state tax return only This nonrecognition rule does not apply in the following situations. File state tax return only The recipient spouse or former spouse is a nonresident alien. File state tax return only Property is transferred in trust and liability exceeds basis. File state tax return only Gain must be recognized to the extent the amount of the liabilities assumed by the trust, plus any liabilities on the property, exceed the adjusted basis of the property. File state tax return only For other situations, see Transfers Between Spouses in chapter 4 of Publication 550. File state tax return only Any transfer of property to a spouse or former spouse on which gain or loss is not recognized is treated by the recipient as a gift and is not considered a sale or exchange. File state tax return only The recipient's basis in the property will be the same as the adjusted basis of the giver immediately before the transfer. File state tax return only This carryover basis rule applies whether the adjusted basis of the transferred property is less than, equal to, or greater than either its fair market value at the time of transfer or any consideration paid by the recipient. File state tax return only This rule applies for purposes of determining loss as well as gain. File state tax return only Any gain recognized on a transfer in trust increases the basis. File state tax return only A transfer of property is incident to a divorce if the transfer occurs within 1 year after the date on which the marriage ends, or if the transfer is related to the ending of the marriage. File state tax return only Related Party Transactions Special rules apply to the sale or trade of property between related parties. File state tax return only Gain on sale or trade of depreciable property. File state tax return only   Your gain from the sale or trade of property to a related party may be ordinary income, rather than capital gain, if the property can be depreciated by the party receiving it. File state tax return only See chapter 3 of Publication 544 for more information. File state tax return only Like-kind exchanges. File state tax return only   Generally, if you trade business or investment property for other business or investment property of a like kind, no gain or loss is recognized. File state tax return only See Like-kind exchanges , earlier, under Nontaxable Trades. File state tax return only   This rule also applies to trades of property between related parties, defined next under Losses on sales or trades of property. File state tax return only However, if either you or the related party disposes of the like property within 2 years after the trade, you both must report any gain or loss not recognized on the original trade on your return filed for the year in which the later disposition occurs. File state tax return only See Related Party Transactions in chapter 4 of Publication 550 for exceptions. File state tax return only Losses on sales or trades of property. File state tax return only   You cannot deduct a loss on the sale or trade of property, other than a distribution in complete liquidation of a corporation, if the transaction is directly or indirectly between you and the following related parties. File state tax return only Members of your family. File state tax return only This includes only your brothers and sisters, half-brothers and half-sisters, spouse, ancestors (parents, grandparents, etc. File state tax return only ), and lineal descendants (children, grandchildren, etc. File state tax return only ). File state tax return only A partnership in which you directly or indirectly own more than 50% of the capital interest or the profits interest. File state tax return only A corporation in which you directly or indirectly own more than 50% in value of the outstanding stock. File state tax return only (See Constructive ownership of stock , later. File state tax return only ) A tax-exempt charitable or educational organization directly or indirectly controlled, in any manner or by any method, by you or by a member of your family, whether or not this control is legally enforceable. File state tax return only   In addition, a loss on the sale or trade of property is not deductible if the transaction is directly or indirectly between the following related parties. File state tax return only A grantor and fiduciary, or the fiduciary and beneficiary, of any trust. File state tax return only Fiduciaries of two different trusts, or the fiduciary and beneficiary of two different trusts, if the same person is the grantor of both trusts. File state tax return only A trust fiduciary and a corporation of which more than 50% in value of the outstanding stock is directly or indirectly owned by or for the trust, or by or for the grantor of the trust. File state tax return only A corporation and a partnership if the same persons own more than 50% in value of the outstanding stock of the corporation and more than 50% of the capital interest, or the profits interest, in the partnership. File state tax return only Two S corporations if the same persons own more than 50% in value of the outstanding stock of each corporation. File state tax return only Two corporations, one of which is an S corporation, if the same persons own more than 50% in value of the outstanding stock of each corporation. File state tax return only An executor and a beneficiary of an estate (except in the case of a sale or trade to satisfy a pecuniary bequest). File state tax return only Two corporations that are members of the same controlled group. File state tax return only (Under certain conditions, however, these losses are not disallowed but must be deferred. File state tax return only ) Two partnerships if the same persons own, directly or indirectly, more than 50% of the capital interests or the profit interests in both partnerships. File state tax return only Multiple property sales or trades. File state tax return only   If you sell or trade to a related party a number of blocks of stock or pieces of property in a lump sum, you must figure the gain or loss separately for each block of stock or piece of property. File state tax return only The gain on each item may be taxable. File state tax return only However, you cannot deduct the loss on any item. File state tax return only Also, you cannot reduce gains from the sales of any of these items by losses on the sales of any of the other items. File state tax return only Indirect transactions. File state tax return only   You cannot deduct your loss on the sale of stock through your broker if, under a prearranged plan, a related party buys the same stock you had owned. File state tax return only This does not apply to a trade between related parties through an exchange that is purely coincidental and is not prearranged. File state tax return only Constructive ownership of stock. File state tax return only   In determining whether a person directly or indirectly owns any of the outstanding stock of a corporation, the following rules apply. File state tax return only Rule 1. File state tax return only   Stock directly or indirectly owned by or for a corporation, partnership, estate, or trust is considered owned proportionately by or for its shareholders, partners, or beneficiaries. File state tax return only Rule 2. File state tax return only   An individual is considered to own the stock directly or indirectly owned by or for his or her family. File state tax return only Family includes only brothers and sisters, half-brothers and half-sisters, spouse, ancestors, and lineal descendants. File state tax return only Rule 3. File state tax return only   An individual owning, other than by applying rule 2, any stock in a corporation is considered to own the stock directly or indirectly owned by or for his or her partner. File state tax return only Rule 4. File state tax return only   When applying rule 1, 2, or 3, stock constructively owned by a person under rule 1 is treated as actually owned by that person. File state tax return only But stock constructively owned by an individual under rule 2 or rule 3 is not treated as owned by that individual for again applying either rule 2 or rule 3 to make another person the constructive owner of the stock. File state tax return only Property received from a related party. File state tax return only    If you sell or trade at a gain property you acquired from a related party, you recognize the gain only to the extent it is more than the loss previously disallowed to the related party. File state tax return only This rule applies only if you are the original transferee and you acquired the property by purchase or exchange. File state tax return only This rule does not apply if the related party's loss was disallowed because of the wash sale rules described in chapter 4 of Publication 550 under Wash Sales. File state tax return only   If you sell or trade at a loss property you acquired from a related party, you cannot recognize the loss that was not allowed to the related party. File state tax return only Example 1. File state tax return only Your brother sells you stock for $7,600. File state tax return only His cost basis is $10,000. File state tax return only Your brother cannot deduct the loss of $2,400. File state tax return only Later, you sell the same stock to an unrelated party for $10,500, realizing a gain of $2,900. File state tax return only Your reportable gain is $500 (the $2,900 gain minus the $2,400 loss not allowed to your brother). File state tax return only Example 2. File state tax return only If, in Example 1, you sold the stock for $6,900 instead of $10,500, your recognized loss is only $700 (your $7,600 basis minus $6,900). File state tax return only You cannot deduct the loss that was not allowed to your brother. File state tax return only Capital Gains and Losses This section discusses the tax treatment of gains and losses from different types of investment transactions. File state tax return only Character of gain or loss. File state tax return only   You need to classify your gains and losses as either ordinary or capital gains or losses. File state tax return only You then need to classify your capital gains and losses as either short term or long term. File state tax return only If you have long-term gains and losses, you must identify your 28% rate gains and losses. File state tax return only If you have a net capital gain, you must also identify any unrecaptured section 1250 gain. File state tax return only   The correct classification and identification helps you figure the limit on capital losses and the correct tax on capital gains. File state tax return only Reporting capital gains and losses is explained in chapter 16. File state tax return only Capital or Ordinary Gain or Loss If you have a taxable gain or a deductible loss from a transaction, it may be either a capital gain or loss or an ordinary gain or loss, depending on the circumstances. File state tax return only Generally, a sale or trade of a capital asset (defined next) results in a capital gain or loss. File state tax return only A sale or trade of a noncapital asset generally results in ordinary gain or loss. File state tax return only Depending on the circumstances, a gain or loss on a sale or trade of property used in a trade or business may be treated as either capital or ordinary, as explained in Publication 544. File state tax return only In some situations, part of your gain or loss may be a capital gain or loss and part may be an ordinary gain or loss. File state tax return only Capital Assets and Noncapital Assets For the most part, everything you own and use for personal purposes, pleasure, or investment is a capital asset. File state tax return only Some examples are: Stocks or bonds held in your personal account, A house owned and used by you and your family, Household furnishings, A car used for pleasure or commuting, Coin or stamp collections, Gems and jewelry, and Gold, silver, or any other metal. File state tax return only Any property you own is a capital asset, except the following noncapital assets. File state tax return only Property held mainly for sale to customers or property that will physically become a part of the merchandise for sale to customers. File state tax return only For an exception, see Capital Asset Treatment for Self-Created Musical Works , later. File state tax return only Depreciable property used in your trade or business, even if fully depreciated. File state tax return only Real property used in your trade or business. File state tax return only A copyright, a literary, musical, or artistic composition, a letter or memorandum, or similar property that is: Created by your personal efforts, Prepared or produced for you (in the case of a letter, memorandum, or similar property), or Acquired under circumstances (for example, by gift) entitling you to the basis of the person who created the property or for whom it was prepared or produced. File state tax return only For an exception to this rule, see Capital Asset Treatment for Self-Created Musical Works , later. File state tax return only Accounts or notes receivable acquired in the ordinary course of a trade or business for services rendered or from the sale of property described in (1). File state tax return only U. File state tax return only S. File state tax return only Government publications that you received from the government free or for less than the normal sales price, or that you acquired under circumstances entitling you to the basis of someone who received the publications free or for less than the normal sales price. File state tax return only Certain commodities derivative financial instruments held by commodities derivatives dealers. File state tax return only Hedging transactions, but only if the transaction is clearly identified as a hedging transaction before the close of the day on which it was acquired, originated, or entered into. File state tax return only Supplies of a type you regularly use or consume in the ordinary course of your trade or business. File state tax return only Investment Property Investment property is a capital asset. File state tax return only Any gain or loss from its sale or trade is generally a capital gain or loss. File state tax return only Gold, silver, stamps, coins, gems, etc. File state tax return only   These are capital assets except when they are held for sale by a dealer. File state tax return only Any gain or loss you have from their sale or trade generally is a capital gain or loss. File state tax return only Stocks, stock rights, and bonds. File state tax return only   All of these (including stock received as a dividend) are capital assets except when held for sale by a securities dealer. File state tax return only However, if you own small business stock, see Losses on Section 1244 (Small Business) Stock , later, and Losses on Small Business Investment Company Stock, in chapter 4 of Publication 550. File state tax return only Personal Use Property Property held for personal use only, rather than for investment, is a capital asset, and you must report a gain from its sale as a capital gain. File state tax return only However, you cannot deduct a loss from selling personal use property. File state tax return only Capital Asset Treatment for Self-Created Musical Works You can elect to treat musical compositions and copyrights in musical works as capital assets when you sell or exchange them if: Your personal efforts created the property, or You acquired the property under circumstances (for example, by gift) entitling you to the basis of the person who created the property or for whom it was prepared or produced. File state tax return only You must make a separate election for each musical composition (or copyright in a musical work) sold or exchanged during the tax year. File state tax return only You must make the election on or before the due date (including extensions) of the income tax return for the tax year of the sale or exchange. File state tax return only You must make the election on Form 8949 by treating the sale or exchange as the sale or exchange of a capital asset, according to Form 8949, Schedule D (Form 1040), and their separate instructions. File state tax return only For more information on Form 8949 and Schedule D (Form 1040), see Reporting Capital Gains and Losses in chapter 16. File state tax return only See also Schedule D (Form 1040), Form 8949, and their separate instructions. File state tax return only You can revoke the election if you have IRS approval. File state tax return only To get IRS approval, you must submit a request for a letter ruling under the appropriate IRS revenue procedure. File state tax return only See, for example, Rev. File state tax return only Proc. File state tax return only 2013-1, corrected by Announcement 2013–9, and amplified and modified by Rev. File state tax return only Proc. File state tax return only 2013–32, available at www. File state tax return only irs. File state tax return only gov/irb/2013-01_IRB/ar06. File state tax return only html. File state tax return only Alternatively, you are granted an automatic 6-month extension from the due date of your income tax return (excluding extensions) to revoke the election, provided you timely file your income tax return, and within this 6-month extension period, you file Form 1040X that treats the sale or exchange as the sale or exchange of property that is not a capital asset. File state tax return only Discounted Debt Instruments Treat your gain or loss on the sale, redemption, or retirement of a bond or other debt instrument originally issued at a discount or bought at a discount as capital gain or loss, except as explained in the following discussions. File state tax return only Short-term government obligations. File state tax return only   Treat gains on short-term federal, state, or local government obligations (other than tax-exempt obligations) as ordinary income up to your ratable share of the acquisition discount. File state tax return only This treatment applies to obligations with a fixed maturity date not more than 1 year from the date of issue. File state tax return only Acquisition discount is the stated redemption price at maturity minus your basis in the obligation. File state tax return only   However, do not treat these gains as income to the extent you previously included the discount in income. File state tax return only See Discount on Short-Term Obligations in chapter 1 of Publication 550. File state tax return only Short-term nongovernment obligations. File state tax return only   Treat gains on short-term nongovernment obligations as ordinary income up to your ratable share of original issue discount (OID). File state tax return only This treatment applies to obligations with a fixed maturity date of not more than 1 year from the date of issue. File state tax return only   However, to the extent you previously included the discount in income, you do not have to include it in income again. File state tax return only See Discount on Short-Term Obligations in chapter 1 of Publication 550. File state tax return only Tax-exempt state and local government bonds. File state tax return only   If these bonds were originally issued at a discount before September 4, 1982, or you acquired them before March 2, 1984, treat your part of OID as tax-exempt interest. File state tax return only To figure your gain or loss on the sale or trade of these bonds, reduce the amount realized by your part of OID. File state tax return only   If the bonds were issued after September 3, 1982, and acquired after March 1, 1984, increase the adjusted basis by your part of OID to figure gain or loss. File state tax return only For more information on the basis of these bonds, see Discounted Debt Instruments in chapter 4 of Publication 550. File state tax return only   Any gain from market discount is usually taxable on disposition or redemption of tax-exempt bonds. File state tax return only If you bought the bonds before May 1, 1993, the gain from market discount is capital gain. File state tax return only If you bought the bonds after April 30, 1993, the gain is ordinary income. File state tax return only   You figure the market discount by subtracting the price you paid for the bond from the sum of the original issue price of the bond and the amount of accumulated OID from the date of issue that represented interest to any earlier holders. File state tax return only For more information, see Market Discount Bonds in chapter 1 of Publication 550. File state tax return only    A loss on the sale or other disposition of a tax-exempt state or local government bond is deductible as a capital loss. File state tax return only Redeemed before maturity. File state tax return only   If a state or local bond issued before June 9, 1980, is redeemed before it matures, the OID is not taxable to you. File state tax return only   If a state or local bond issued after June 8, 1980, is redeemed before it matures, the part of OID earned while you hold the bond is not taxable to you. File state tax return only However, you must report the unearned part of OID as a capital gain. File state tax return only Example. File state tax return only On July 2, 2002, the date of issue, you bought a 20-year, 6% municipal bond for $800. File state tax return only The face amount of the bond was $1,000. File state tax return only The $200 discount was OID. File state tax return only At the time the bond was issued, the issuer had no intention of redeeming it before it matured. File state tax return only The bond was callable at its face amount beginning 10 years after the issue date. File state tax return only The issuer redeemed the bond at the end of 11 years (July 2, 2013) for its face amount of $1,000 plus accrued annual interest of $60. File state tax return only The OID earned during the time you held the bond, $73, is not taxable. File state tax return only The $60 accrued annual interest also is not taxable. File state tax return only However, you must report the unearned part of OID ($127) as a capital gain. File state tax return only Long-term debt instruments issued after 1954 and before May 28, 1969 (or before July 2, 1982, if a government instrument). File state tax return only   If you sell, trade, or redeem for a gain one of these debt instruments, the part of your gain that is not more than your ratable share of the OID at the time of the sale or redemption is ordinary income. File state tax return only The rest of the gain is capital gain. File state tax return only If, however, there was an intention to call the debt instrument before maturity, all of your gain that is not more than the entire OID is treated as ordinary income at the time of the sale. File state tax return only This treatment of taxable gain also applies to corporate instruments issued after May 27, 1969, under a written commitment that was binding on May 27, 1969, and at all times thereafter. File state tax return only Long-term debt instruments issued after May 27, 1969 (or after July 1, 1982, if a government instrument). File state tax return only   If you hold one of these debt instruments, you must include a part of OID in your gross income each year you own the instrument. File state tax return only Your basis in that debt instrument is increased by the amount of OID that you have included in your gross income. File state tax return only See Original Issue Discount (OID) in chapter 7 for information about OID that you must report on your tax return. File state tax return only   If you sell or trade the debt instrument before maturity, your gain is a capital gain. File state tax return only However, if at the time the instrument was originally issued there was an intention to call it before its maturity, your gain generally is ordinary income to the extent of the entire OID reduced by any amounts of OID previously includible in your income. File state tax return only In this case, the rest of the gain is capital gain. File state tax return only Market discount bonds. File state tax return only   If the debt instrument has market discount and you chose to include the discount in income as it accrued, increase your basis in the debt instrument by the accrued discount to figure capital gain or loss on its disposition. File state tax return only If you did not choose to include the discount in income as it accrued, you must report gain as ordinary interest income up to the instrument's accrued market discount. File state tax return only The rest of the gain is capital gain. File state tax return only See Market Discount Bonds in chapter 1 of Publication 550. File state tax return only   A different rule applies to market discount bonds issued before July 19, 1984, and purchased by you before May 1, 1993. File state tax return only See Market discount bonds under Discounted Debt Instruments in chapter 4 of Publication 550. File state tax return only Retirement of debt instrument. File state tax return only   Any amount you receive on the retirement of a debt instrument is treated in the same way as if you had sold or traded that instrument. File state tax return only Notes of individuals. File state tax return only   If you hold an obligation of an individual issued with OID after March 1, 1984, you generally must include the OID in your income currently, and your gain or loss on its sale or retirement is generally capital gain or loss. File state tax return only An exception to this treatment applies if the obligation is a loan between individuals and all the following requirements are met. File state tax return only The lender is not in the business of lending money. File state tax return only The amount of the loan, plus the amount of any outstanding prior loans, is $10,000 or less. File state tax return only Avoiding federal tax is not one of the principal purposes of the loan. File state tax return only   If the exception applies, or the obligation was issued before March 2, 1984, you do not include the OID in your income currently. File state tax return only When you sell or redeem the obligation, the part of your gain that is not more than your accrued share of OID at that time is ordinary income. File state tax return only The rest of the gain, if any, is capital gain. File state tax return only Any loss on the sale or redemption is capital loss. File state tax return only Deposit in Insolvent or Bankrupt Financial Institution If you lose money you have on deposit in a bank, credit union, or other financial institution that becomes insolvent or bankrupt, you may be able to deduct your loss in one of three ways. File state tax return only Ordinary loss. File state tax return only Casualty loss. File state tax return only Nonbusiness bad debt (short-term capital loss). File state tax return only  For more information, see Deposit in Insolvent or Bankrupt Financial Institution, in chapter 4 of Publication 550. File state tax return only Sale of Annuity The part of any gain on the sale of an annuity contract before its maturity date that is based on interest accumulated on the contract is ordinary income. File state tax return only Losses on Section 1244 (Small Business) Stock You can deduct as an ordinary loss, rather than as a capital loss, your loss on the sale, trade, or worthlessness of section 1244 stock. File state tax return only Report the loss on Form 4797, line 10. File state tax return only Any gain on section 1244 stock is a capital gain if the stock is a capital asset in your hands. File state tax return only Report the gain on Form 8949. File state tax return only See Losses on Section 1244 (Small Business) Stock in chapter 4 of Publication 550. File state tax return only For more information on Form 8949 and Schedule D (Form 1040), see Reporting Capital Gains and Losses in chapter 16. File state tax return only See also Schedule D (Form 1040), Form 8949, and their separate instructions. File state tax return only Holding Period If you sold or traded investment property, you must determine your holding period for the property. File state tax return only Your holding period determines whether any capital gain or loss was a short-term or long-term capital gain or loss. File state tax return only Long-term or short-term. File state tax return only   If you hold investment property more than 1 year, any capital gain or loss is a long-term capital gain or loss. File state tax return only If you hold the property 1 year or less, any capital gain or loss is a short-term capital gain or loss. File state tax return only   To determine how long you held the investment property, begin counting on the date after the day you acquired the property. File state tax return only The day you disposed of the property is part of your holding period. File state tax return only Example. File state tax return only If you bought investment property on February 6, 2012, and sold it on February 6, 2013, your holding period is not more than 1 year and you have a short-term capital gain or loss. File state tax return only If you sold it on February 7, 2013, your holding period is more than 1 year and you will have a long-term capital gain or loss. File state tax return only Securities traded on established market. File state tax return only   For securities traded on an established securities market, your holding period begins the day after the trade date you bought the securities, and ends on the trade date you sold them. File state tax return only    Do not confuse the trade date with the settlement date, which is the date by which the stock must be delivered and payment must be made. File state tax return only Example. File state tax return only You are a cash method, calendar year taxpayer. File state tax return only You sold stock at a gain on December 30, 2013. File state tax return only According to the rules of the stock exchange, the sale was closed by delivery of the stock 4 trading days after the sale, on January 6, 2014. File state tax return only You received payment of the sales price on that same day. File state tax return only Report your gain on your 2013 return, even though you received the payment in 2014. File state tax return only The gain is long term or short term depending on whether you held the stock more than 1 year. File state tax return only Your holding period ended on December 30. File state tax return only If you had sold the stock at a loss, you would also report it on your 2013 return. File state tax return only U. File state tax return only S. File state tax return only Treasury notes and bonds. File state tax return only   The holding period of U. File state tax return only S. File state tax return only Treasury notes and bonds sold at auction on the basis of yield starts the day after the Secretary of the Treasury, through news releases, gives notification of acceptance to successful bidders. File state tax return only The holding period of U. File state tax return only S. File state tax return only Treasury notes and bonds sold through an offering on a subscription basis at a specified yield starts the day after the subscription is submitted. File state tax return only Automatic investment service. File state tax return only   In determining your holding period for shares bought by the bank or other agent, full shares are considered bought first and any fractional shares are considered bought last. File state tax return only Your holding period starts on the day after the bank's purchase date. File state tax return only If a share was bought over more than one purchase date, your holding period for that share is a split holding period. File state tax return only A part of the share is considered to have been bought on each date that stock was bought by the bank with the proceeds of available funds. File state tax return only Nontaxable trades. File state tax return only   If you acquire investment property in a trade for other investment property and your basis for the new property is determined, in whole or in part, by your basis in the old property, your holding period for the new property begins on the day following the date you acquired the old property. File state tax return only Property received as a gift. File state tax return only   If you receive a gift of property and your basis is determined by the donor's adjusted basis, your holding period is considered to have started on the same day the donor's holding period started. File state tax return only   If your basis is determined by the fair market value of the property, your holding period starts on the day after the date of the gift. File state tax return only Inherited property. File state tax return only   Generally, if you inherited investment property, your capital gain or loss on any later disposition of that property is long-term capital gain or loss. File state tax return only This is true regardless of how long you actually held the property. File state tax return only However, if you inherited property from someone who died in 2010, see the information below. File state tax return only Inherited property from someone who died in 2010. File state tax return only   If you inherit investment property from a decedent who died in 2010, and the executor of the decedent's estate made the election to file Form 8939, refer to the information provided by the executor or see Publication 4895, Tax Treatment of Property Acquired From a Decedent Dying in 2010, to determine your holding period. File state tax return only Real property bought. File state tax return only   To figure how long you have held real property bought under an unconditional contract, begin counting on the day after you received title to it or on the day after you took possession of it and assumed the burdens and privileges of ownership, whichever happened first. File state tax return only However, taking delivery or possession of real property under an option agreement is not enough to start the holding period. File state tax return only The holding period cannot start until there is an actual contract of sale. File state tax return only The holding period of the seller cannot end before that time. File state tax return only Real property repossessed. File state tax return only   If you sell real property but keep a security interest in it, and then later repossess the property under the terms of the sales contract, your holding period for a later sale includes the period you held the property before the original sale and the period after the repossession. File state tax return only Your holding period does not include the time between the original sale and the repossession. File state tax return only That is, it does not include the period during which the first buyer held the property. File state tax return only Stock dividends. File state tax return only   The holding period for stock you received as a taxable stock dividend begins on the date of distribution. File state tax return only   The holding period for new stock you received as a nontaxable stock dividend begins on the same day as the holding period of the old stock. File state tax return only This rule also applies to stock acquired in a “spin-off,” which is a distribution of stock or securities in a controlled corporation. File state tax return only Nontaxable stock rights. File state tax return only   Your holding period for nontaxable stock rights begins on the same day as the holding period of the underlying stock. File state tax return only The holding period for stock acquired through the exercise of stock rights begins on the date the right was exercised. File state tax return only Nonbusiness Bad Debts If someone owes you money that you cannot collect, you have a bad debt. File state tax return only You may be able to deduct the amount owed to you when you figure your tax for the year the debt becomes worthless. File state tax return only Generally, nonbusiness bad debts are bad debts that did not come from operating your trade or business, and are deductible as short-term capital losses. File state tax return only To be deductible, nonbusiness bad debts must be totally worthless. File state tax return only You cannot deduct a partly worthless nonbusiness debt. File state tax return only Genuine debt required. File state tax return only   A debt must be genuine for you to deduct a loss. File state tax return only A debt is genuine if it arises from a debtor-creditor relationship based on a valid and enforceable obligation to repay a fixed or determinable sum of money. File state tax return only Basis in bad debt required. File state tax return only    To deduct a bad debt, you must have a basis in it—that is, you must have already included the amount in your income or loaned out your cash. File state tax return only For example, you cannot claim a bad debt deduction for court-ordered child support not paid to you by your former spouse. File state tax return only If you are a cash method taxpayer (as most individuals are), you generally cannot take a bad debt deduction for unpaid salaries, wages, rents, fees, interest, dividends, and similar items. File state tax return only When deductible. File state tax return only   You can take a bad debt deduction only in the year the debt becomes worthless. File state tax return only You do not have to wait until a debt is due to determine whether it is worthless. File state tax return only A debt becomes worthless when there is no longer any chance that the amount owed will be paid. File state tax return only   It is not necessary to go to court if you can show that a judgment from the court would be uncollectible. File state tax return only You must only show that you have taken reasonable steps to collect the debt. File state tax return only Bankruptcy of your debtor is generally good evidence of the worthlessness of at least a part of an unsecured and unpreferred debt. File state tax return only How to report bad debts. File state tax return only    Deduct nonbusiness bad debts as short-term capital losses on Form 8949. File state tax return only    Make sure you report your bad debt(s) (and any other short-term transactions for which you did not receive a Form 1099-B) on Form 8949, Part I, with box C checked. File state tax return only    For more information on Form 8949 and Schedule D (Form 1040), see Reporting Capital Gains and Losses in chapter 16. File state tax return only See also Schedule D (Form 1040), Form 8949, and their separate instructions. File state tax return only   For each bad debt, attach a statement to your return that contains: A description of the debt, including the amount, and the date it became due, The name of the debtor, and any business or family relationship between you and the debtor, The efforts you made to collect the debt, and Why you decided the debt was worthless. File state tax return only For example, you could show that the borrower has declared bankruptcy, or that legal action to collect would probably not result in payment of any part of the debt. File state tax return only Filing a claim for refund. File state tax return only    If you do not deduct a bad debt on your original return for the year it becomes worthless, you can file a claim for a credit or refund due to the bad debt. File state tax return only To do this, use Form 1040X to amend your return for the year the debt became worthless. File state tax return only You must file it within 7 years from the date your original return for that year had to be filed, or 2 years from the date you paid the tax, whichever is later. File state tax return only For more information about filing a claim, see Amended Returns and Claims for Refund in chapter 1. File state tax return only Additional information. File state tax return only   For more information, see Nonbusiness Bad Debts in Publication 550. File state tax return only For information on business bad debts, see chapter 10 of Publication 535, Business Expenses. File state tax return only Wash Sales You cannot deduct losses from sales or trades of stock or securities in a wash sale. File state tax return only A wash sale occurs when you sell or trade stock or securities at a loss and within 30 days before or after the sale you: Buy substantially identical stock or securities, Acquire substantially identical stock or securities in a fully taxable trade, Acquire a contract or option to buy substantially identical stock or securities, or Acquire substantially identical stock for your individual retirement account (IRA) or Roth IRA. File state tax return only If your loss was disallowed because of the wash sale rules, add the disallowed loss to the cost of the new stock or securities (except in (4) above). File state tax return only The result is your basis in the new stock or securities. File state tax return only This adjustment postpones the loss deduction until the disposition of the new stock or securities. File state tax return only Your holding period for the new stock or securities includes the holding period of the stock or securities sold. File state tax return only For more information, see Wash Sales, in chapter 4 of Publication 550. File state tax return only Rollover of Gain From Publicly Traded Securities You may qualify for a tax-free rollover of certain gains from the sale of publicly traded securities. File state tax return only This means that if you buy certain replacement property and make the choice described in this section, you postpone part or all of your gain. File state tax return only You postpone the gain by adjusting the basis of the replacement property as described in Basis of replacement property , later. File state tax return only This postpones your gain until the year you dispose of the replacement property. File state tax return only You qualify to make this choice if you meet all the following tests. File state tax return only You sell publicly traded securities at a gain. File state tax return only Publicly traded securities are securities traded on an established securities market. File state tax return only Your gain from the sale is a capital gain. File state tax return only During the 60-day period beginning on the date of the sale, you buy replacement property. File state tax return only This replacement property must be either common stock of, or a partnership interest in a specialized small business investment company (SSBIC). File state tax return only This is any partnership or corporation licensed by the Small Business Administration under section 301(d) of the Small Business Investment Act of 1958, as in effect on May 13, 1993. File state tax return only Amount of gain recognized. File state tax return only   If you make the choice described in this section, you must recognize gain only up to the following amount. File state tax return only The amount realized on the sale, minus The cost of any common stock or partnership interest in an SSBIC that you bought during the 60-day period beginning on the date of sale (and did not previously take into account on an earlier sale of publicly traded securities). File state tax return only  If this amount is less than the amount of your gain, you can postpone the rest of your gain, subject to the limit described next. File state tax return only If this amount is equal to or more than the amount of your gain, you must recognize the full amount of your gain. File state tax return only Limit on gain postponed. File state tax return only   The amount of gain you can postpone each year is limited to the smaller of: $50,000 ($25,000 if you are married and file a separate return), or $500,000 ($250,000 if you are married and file a separate return), minus the amount of gain you postponed for all earlier years. File state tax return only Basis of replacement property. File state tax return only   You must subtract the amount of postponed gain from the basis of your replacement property. File state tax return only How to report and postpone gain. File state tax return only    See How to report and postpone gain under Rollover of Gain From Publicly Traded Securities in chapter 4 of Publication 550 for details. File state tax return only Prev  Up  Next   Home   More Online Publications
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Animal and Plant Health Inspection Service

The Animal and Plant Health Inspection Service protects and promotes U.S. agricultural health, regulates genetically engineered organisms, administers the Animal Welfare Act, and manages wildlife damage.

Contact the Agency or Department

Website: Animal and Plant Health Inspection Service

Contact In-Person: Regional Offices

Address: Animal and Plant Health Inspection Service
Department of Agriculture

Washington, DC 20250

Phone Number: (202) 720-2511

Forms: Animal and Plant Health Inspection Service Forms

The File State Tax Return Only

File state tax return only Index A Acquisition indebtedness, Average acquisition indebtedness. File state tax return only Annuity obligations, Annuity obligation. File state tax return only By gift or bequest of mortgaged property, Exception for property acquired by gift, bequest, or devise. File state tax return only Change in property use, Change in use of property. File state tax return only Continued debt, Continued debt. File state tax return only Debt modifying existing, Modifying existing debt. File state tax return only Federal financing, Certain federal financing. File state tax return only For performing exempt purpose, Debt incurred in performing exempt purpose. File state tax return only Obligation to return collateral, Securities loans. File state tax return only Property subject to mortgage or lien, Property acquired subject to mortgage or lien. File state tax return only Real property, Real property debts of qualified organizations. File state tax return only Advertising income, Exploitation of Exempt Activity—Advertising Sales Agricultural organization dues, Dues of Agricultural Organizations and Business Leagues Assistance (see Tax help) B Business league dues, Dues of Agricultural Organizations and Business Leagues C Churches, Churches. File state tax return only Contributions deduction, Charitable contributions deduction. File state tax return only Convention or trade show activity, Convention or trade show activity. File state tax return only D Debt-financed property, Income From Debt-Financed Property Acquired in liquidation, Basis for debt-financed property acquired in corporate liquidation. File state tax return only Dues, agricultural organizations and business leagues, Dues of Agricultural Organizations and Business Leagues E Exchange or rental of member lists, Exchange or rental of member lists. File state tax return only Excluded trade or business activities, Excluded Trade or Business Activities Exclusions, Volunteer workforce. File state tax return only Sponsorship, Qualified sponsorship activities. File state tax return only Exempt function income, Exempt function income. File state tax return only Exploitation of exempt activity Advertising income, Exploitation of Exempt Activity—Advertising Sales Exploitation of exempt functions, Exploitation of exempt functions. File state tax return only F Form 990-T, Returns and Filing Requirements Free tax services, How to Get Tax Help H Help (see Tax help) I Income from research, Income from research. File state tax return only L Limits, Limits. File state tax return only M More information (see Tax help) N Net operating loss deduction, Modifications Nonrecognition of gain, Nonrecognition of gain. File state tax return only P Publications (see Tax help) R Rents, Rents. File state tax return only Return, Returns and Filing Requirements Royalties, Royalties. File state tax return only S Specific deduction, Specific deduction. File state tax return only T Tax, Organizations Subject to the Tax Alternative minimum, Alternative minimum tax. File state tax return only Colleges and universities, Colleges and universities. File state tax return only Deposits, Federal Tax Deposits Must be Made by Electronic Funds Transfer Estimated, Payment of Tax Organizations affected, Organizations Subject to the Tax Payment, Public Inspection Requirements of Section 501(c)(3) Organizations. File state tax return only Rates, The Tax and Filing Requirements Return, Returns and Filing Requirements Title-holding corporations, Title-holding corporations. File state tax return only U. File state tax return only S. File state tax return only instrumentalities, U. File state tax return only S. File state tax return only instrumentalities. File state tax return only Tax help, How to Get Tax Help Taxpayer Advocate, Contacting your Taxpayer Advocate. File state tax return only Title-holding corporations, Title-holding corporations. File state tax return only TTY/TDD information, How to Get Tax Help U Unrelated business Hospital laboratory, Nonpatient laboratory testing. File state tax return only Unrelated business income, Unrelated Business Taxable Income, Income Advertising income, Exploitation of Exempt Activity—Advertising Sales Certain trusts, Special Rules for Social Clubs, VEBAs, SUBs, and GLSOs Controlled organizations, Income From Controlled Organizations Debt-financed property, Income From Debt-Financed Property Deductions, Deductions Employees beneficiary associations, Special Rules for Social Clubs, VEBAs, SUBs, and GLSOs Exclusions, Exclusions Foreign organizations, Special Rules for Foreign Organizations Income from gambling activities, Legal definition. File state tax return only Income from lending securities, Income from lending securities. File state tax return only Modifications, Modifications Partnership income or loss, Partnership Income or Loss Products of exempt functions, Selling of products of exempt functions. File state tax return only S corporation income, S Corporation Income or Loss S corporation income or loss, S Corporation Income or Loss Social clubs, Special Rules for Social Clubs, VEBAs, SUBs, and GLSOs Veterans organizations, Special Rules for Veterans' Organizations Unrelated debt-financed income, Certain federal financing. File state tax return only Average acquisition indebtedness, Average acquisition indebtedness. File state tax return only Average adjusted basis, Average adjusted basis. File state tax return only Computation, Computation of Debt-Financed Income Debt/basis percentage, Computation of debt/basis percentage. File state tax return only Deductions, Deductions for Debt-Financed Property Gains from dispositions, Gain or loss from sale or other disposition of property. File state tax return only Indeterminate property price, Indeterminate price. File state tax return only Unrelated trade or business, Unrelated Trade or Business Artists facilities, Artists' facilities. File state tax return only Book publishing, Book publishing. File state tax return only Broadcasting rights, Broadcasting rights. File state tax return only Business league's parking and bus services, Business league's parking and bus services. File state tax return only Convenience of members, Convenience of members. File state tax return only Convention or trade show, Convention or trade show activity. File state tax return only Directory of members, Directory of members. File state tax return only Distribution of low cost articles, Distribution of low cost articles. File state tax return only Dual use facilities, etc. File state tax return only , Dual use of assets or facilities. File state tax return only Employees association sales, Employee association sales. File state tax return only Exclusions, Excluded Trade or Business Activities Exploitation of exempt functions, Exploitation of exempt functions. File state tax return only Gambling activities other than bingo, Gambling activities other than bingo. File state tax return only Halfway house, Halfway house workshop. File state tax return only Health club program, Health club program. File state tax return only Hearing aid sales, Sales of hearing aids. File state tax return only Hospital facilities, Hospital facilities. File state tax return only Hospital services, Hospital services. File state tax return only Insurance programs, Insurance programs. File state tax return only Magazine publishing, Magazine publishing. File state tax return only Member lists rentals, etc. File state tax return only , Exchange or rental of member lists. File state tax return only Membership list sales, Membership list sales. File state tax return only Miniature golf course, Miniature golf course. File state tax return only Museum eating facilities, Museum eating facilities. File state tax return only Museum greeting card sales, Museum greeting card sales. File state tax return only Pet boarding and grooming services, Pet boarding and grooming services. File state tax return only Pole rentals, Pole rentals. File state tax return only Public entertainment activity, Public entertainment activity. File state tax return only Publishing legal notices, Publishing legal notices. File state tax return only Regularly conducted, Regularly conducted. File state tax return only Sales commissions, Sales commissions. File state tax return only Sales of advertising space, Sales of advertising space. File state tax return only School facilities, School facilities. File state tax return only School handicraft shop, School handicraft shop. File state tax return only Selling donated merchandise, Selling donated merchandise. File state tax return only Selling endorsements, Selling endorsements. File state tax return only Sponsoring entertainment events, Sponsoring entertainment events. File state tax return only Substantially related, Not substantially related. File state tax return only Trade or business defined, Trade or business. File state tax return only Travel tour programs, Travel tour programs. File state tax return only Volunteer workforce, Volunteer workforce. File state tax return only Yearbook advertising, Yearbook advertising. File state tax return only Youth residence, Youth residence. File state tax return only Unstated trade or business Bingo games, Bingo games. File state tax return only V Volunteer fire company, Excluded Trade or Business Activities W When to file, When to file. File state tax return only Prev  Up     Home   More Online Publications