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Tax filing sites federal california state tax returns 2. Tax filing sites federal california state tax returns   Source of Income Table of Contents Introduction Topics - This chapter discusses: Resident Aliens Nonresident AliensInterest Income Dividends Guarantee of Indebtedness Personal Services Transportation Income Scholarships, Grants, Prizes, and Awards Pensions and Annuities Rents or Royalties Real Property Personal Property Community Income Introduction After you have determined your alien status, you must determine the source of your income. Tax filing sites federal california state tax returns This chapter will help you determine the source of different types of income you may receive during the tax year. Tax filing sites federal california state tax returns This chapter also discusses special rules for married individuals who are domiciled in a country with community property laws. Tax filing sites federal california state tax returns Topics - This chapter discusses: Income source rules, and Community income. Tax filing sites federal california state tax returns Resident Aliens A resident alien's income is generally subject to tax in the same manner as a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns citizen. Tax filing sites federal california state tax returns If you are a resident alien, you must report all interest, dividends, wages, or other compensation for services, income from rental property or royalties, and other types of income on your U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns tax return. Tax filing sites federal california state tax returns You must report these amounts from sources within and outside the United States. Tax filing sites federal california state tax returns Nonresident Aliens A nonresident alien usually is subject to U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns income tax only on U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns Under limited circumstances, certain foreign source income is subject to U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns tax. Tax filing sites federal california state tax returns See Foreign Income in chapter 4. Tax filing sites federal california state tax returns The general rules for determining U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income that apply to most nonresident aliens are shown in Table 2-1. Tax filing sites federal california state tax returns The following discussions cover the general rules as well as the exceptions to these rules. Tax filing sites federal california state tax returns Not all items of U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income are taxable. Tax filing sites federal california state tax returns See chapter 3. Tax filing sites federal california state tax returns Interest Income Generally, U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source interest income includes the following items. Tax filing sites federal california state tax returns Interest on bonds, notes, or other interest-bearing obligations of U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns residents or domestic corporations. Tax filing sites federal california state tax returns Interest paid by a domestic or foreign partnership or foreign corporation engaged in a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns trade or business at any time during the tax year. Tax filing sites federal california state tax returns Original issue discount. Tax filing sites federal california state tax returns Interest from a state, the District of Columbia, or the U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Government. Tax filing sites federal california state tax returns The place or manner of payment is immaterial in determining the source of the income. Tax filing sites federal california state tax returns A substitute interest payment made to the transferor of a security in a securities lending transaction or a sale-repurchase transaction is sourced in the same manner as the interest on the transferred security. Tax filing sites federal california state tax returns Exceptions. Tax filing sites federal california state tax returns   U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source interest income does not include the following items. Tax filing sites federal california state tax returns Interest paid by a resident alien or a domestic corporation on obligations issued before August 10, 2010, if for the 3-year period ending with the close of the payer's tax year preceding the interest payment, at least 80% of the payer's total gross income: Is from sources outside the United States, and Is attributable to the active conduct of a trade or business by the individual or corporation in a foreign country or a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns possession. Tax filing sites federal california state tax returns However, the interest will be considered U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source interest income if either of the following apply. Tax filing sites federal california state tax returns The recipient of the interest is related to the resident alien or domestic corporation. Tax filing sites federal california state tax returns See section 954(d)(3) for the definition of related person. Tax filing sites federal california state tax returns The terms of the obligation are significantly modified after August 9, 2010. Tax filing sites federal california state tax returns Any extension of the term of the obligation is considered a significant modification. Tax filing sites federal california state tax returns Interest paid by a foreign branch of a domestic corporation or a domestic partnership on deposits or withdrawable accounts with mutual savings banks, cooperative banks, credit unions, domestic building and loan associations, and other savings institutions chartered and supervised as savings and loan or similar associations under federal or state law if the interest paid or credited can be deducted by the association. Tax filing sites federal california state tax returns Interest on deposits with a foreign branch of a domestic corporation or domestic partnership, but only if the branch is in the commercial banking business. Tax filing sites federal california state tax returns Dividends In most cases, dividend income received from domestic corporations is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns Dividend income from foreign corporations is usually foreign source income. Tax filing sites federal california state tax returns Exceptions to both of these rules are discussed below. Tax filing sites federal california state tax returns A substitute dividend payment made to the transferor of a security in a securities lending transaction or a sale-repurchase transaction is sourced in the same manner as a distribution on the transferred security. Tax filing sites federal california state tax returns Dividend equivalent payments. Tax filing sites federal california state tax returns   U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source dividends also include all dividend equivalent payments. Tax filing sites federal california state tax returns Dividend equivalent payments include substitute dividends, payments made pursuant to a specified notional principal contract, and all similar payments that, directly or indirectly, are contingent on or determined by reference to, the payment of a dividend from U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns sources. Tax filing sites federal california state tax returns    The Internal Revenue Service has issued final regulations that would affect the treatment of dividend equivalent payments and specified notional principal contracts. Tax filing sites federal california state tax returns You can view this regulation at www. Tax filing sites federal california state tax returns irs. Tax filing sites federal california state tax returns gov/irb/2013-52_IRB/ar08. Tax filing sites federal california state tax returns html. Tax filing sites federal california state tax returns First exception. Tax filing sites federal california state tax returns   Dividends received from a domestic corporation are not U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income if the corporation elects to take the American Samoa economic development credit. Tax filing sites federal california state tax returns Second exception. Tax filing sites federal california state tax returns   Part of the dividends received from a foreign corporation is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income if 25% or more of its total gross income for the 3-year period ending with the close of its tax year preceding the declaration of dividends was effectively connected with a trade or business in the United States. Tax filing sites federal california state tax returns If the corporation was formed less than 3 years before the declaration, use its total gross income from the time it was formed. Tax filing sites federal california state tax returns Determine the part that is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income by multiplying the dividend by the following fraction. Tax filing sites federal california state tax returns   Foreign corporation's gross income connected with a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns trade or business for the 3-year period     Foreign corporation's gross income from all sources for that period   Guarantee of Indebtedness Certain amounts received directly or indirectly, for the provision of a guarantee of indebtedness issued after September 27, 2010, are U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns They must be paid by a noncorporate resident or U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns corporation or by any foreign person if the amounts are effectively connected with the conduct of a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns trade or business. Tax filing sites federal california state tax returns For more information, see Internal Revenue Code sections 861(a)(9) and 862(a)(9). Tax filing sites federal california state tax returns Personal Services All wages and any other compensation for services performed in the United States are considered to be from sources in the United States. Tax filing sites federal california state tax returns The only exceptions to this rule are discussed in chapter 3 under Employees of foreign persons, organizations, or offices, and under Crew members. Tax filing sites federal california state tax returns If you are an employee and receive compensation for labor or personal services performed both inside and outside the United States, special rules apply in determining the source of the compensation. Tax filing sites federal california state tax returns Compensation (other than certain fringe benefits) is sourced on a time basis. Tax filing sites federal california state tax returns Certain fringe benefits (such as housing and education) are sourced on a geographical basis. Tax filing sites federal california state tax returns Or, you may be permitted to use an alternative basis to determine the source of compensation. Tax filing sites federal california state tax returns See Alternative Basis , later. Tax filing sites federal california state tax returns Multi-level marketing. Tax filing sites federal california state tax returns   Certain companies sell products through a multi-level marketing arrangement, such that an upper-tier distributor, who has sponsored a lower-tier distributor, is entitled to a payment from the company based on certain activities of that lower-tier distributor. Tax filing sites federal california state tax returns Generally, depending on the facts, payments from such multi-level marketing companies to independent (non-employee) distributors (upper-tier distributors) that are based on the sales or purchases of persons whom they have sponsored (lower-tier distributors) constitute income for the performance of personal services in recruiting, training, and supporting the lower-tier distributors. Tax filing sites federal california state tax returns The source of such income is generally based on where the services of the upper-tier distributor are performed, and may, depending on the facts, be considered multi-year compensation, with the source of income determined over the period to which such compensation is attributable. Tax filing sites federal california state tax returns Self-employed individuals. Tax filing sites federal california state tax returns   If you are self-employed, you determine the source of compensation for labor or personal services from self-employment on the basis that most correctly reflects the proper source of that income under the facts and circumstances of your particular case. Tax filing sites federal california state tax returns In many cases, the facts and circumstances will call for an apportionment on a time basis as explained next. Tax filing sites federal california state tax returns Time Basis Use a time basis to figure your U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source compensation (other than the fringe benefits discussed later). Tax filing sites federal california state tax returns Do this by multiplying your total compensation (other than the fringe benefits discussed later) by the following fraction:   Number of days you performed services in the United States during the year     Total number of days you performed services during the year   You can use a unit of time less than a day in the above fraction, if appropriate. Tax filing sites federal california state tax returns The time period for which the compensation is made does not have to be a year. Tax filing sites federal california state tax returns Instead, you can use another distinct, separate, and continuous time period if you can establish to the satisfaction of the IRS that this other period is more appropriate. Tax filing sites federal california state tax returns Example 1. Tax filing sites federal california state tax returns Christina Brooks, a resident of the Netherlands, worked 240 days for a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns company during the tax year. Tax filing sites federal california state tax returns She received $80,000 in compensation. Tax filing sites federal california state tax returns None of it was for fringe benefits. Tax filing sites federal california state tax returns Christina performed services in the United States for 60 days and performed services in the Netherlands for 180 days. Tax filing sites federal california state tax returns Using the time basis for determining the source of compensation, $20,000 ($80,000 × 60/240) is her U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns Example 2. Tax filing sites federal california state tax returns Rob Waters, a resident of South Africa, is employed by a corporation. Tax filing sites federal california state tax returns His annual salary is $100,000. Tax filing sites federal california state tax returns None of it is for fringe benefits. Tax filing sites federal california state tax returns During the first quarter of the year he worked entirely within the United States. Tax filing sites federal california state tax returns On April 1, Rob was transferred to Singapore for the remainder of the year. Tax filing sites federal california state tax returns Rob is able to establish that the first quarter of the year and the last 3 quarters of the year are two separate, distinct, and continuous periods of time. Tax filing sites federal california state tax returns Accordingly, $25,000 of Rob's annual salary is attributable to the first quarter of the year (. Tax filing sites federal california state tax returns 25 × $100,000). Tax filing sites federal california state tax returns All of it is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income because he worked entirely within the United States during that quarter. Tax filing sites federal california state tax returns The remaining $75,000 is attributable to the last three quarters of the year. Tax filing sites federal california state tax returns During those quarters, he worked 150 days in Singapore and 30 days in the United States. Tax filing sites federal california state tax returns His periodic performance of services in the United States did not result in distinct, separate, and continuous periods of time. Tax filing sites federal california state tax returns Of this $75,000, $12,500 ($75,000 × 30/180) is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns Multi-year compensation. Tax filing sites federal california state tax returns   The source of multi-year compensation is generally determined on a time basis over the period to which the compensation is attributable. Tax filing sites federal california state tax returns Multi-year compensation is compensation that is included in your income in one tax year but that is attributable to a period that includes two or more tax years. Tax filing sites federal california state tax returns   You determine the period to which the compensation is attributable based on the facts and circumstances of your case. Tax filing sites federal california state tax returns For example, an amount of compensation that specifically relates to a period of time that includes several calendar years is attributable to the entire multi-year period. Tax filing sites federal california state tax returns   The amount of compensation treated as from U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns sources is figured by multiplying the total multi-year compensation by a fraction. Tax filing sites federal california state tax returns The numerator of the fraction is the number of days (or unit of time less than a day, if appropriate) that you performed labor or personal services in the United States in connection with the project. Tax filing sites federal california state tax returns The denominator of the fraction is the total number of days (or unit of time less than a day, if appropriate) that you performed labor or personal services in connection with the project. Tax filing sites federal california state tax returns Geographical Basis Compensation you receive as an employee in the form of the following fringe benefits is sourced on a geographical basis. Tax filing sites federal california state tax returns Housing. Tax filing sites federal california state tax returns Education. Tax filing sites federal california state tax returns Local transportation. Tax filing sites federal california state tax returns Tax reimbursement. Tax filing sites federal california state tax returns Hazardous or hardship duty pay as defined in Regulations section 1. Tax filing sites federal california state tax returns 861-4(b)(2)(ii)(D)(5). Tax filing sites federal california state tax returns Moving expense reimbursement. Tax filing sites federal california state tax returns The amount of fringe benefits must be reasonable and you must substantiate them by adequate records or by sufficient evidence. Tax filing sites federal california state tax returns Principal place of work. Tax filing sites federal california state tax returns   The above fringe benefits, except for tax reimbursement and hazardous or hardship duty pay, are sourced based on your principal place of work. Tax filing sites federal california state tax returns Your principal place of work is usually the place where you spend most of your working time. Tax filing sites federal california state tax returns This could be your office, plant, store, shop, or other location. Tax filing sites federal california state tax returns If there is no one place where you spend most of your working time, your main job location is the place where your work is centered, such as where you report for work or are otherwise required to “base” your work. Tax filing sites federal california state tax returns   If you have more than one job at any time, your main job location depends on the facts in each case. Tax filing sites federal california state tax returns The more important factors to be considered are: The total time you spend at each place, The amount of work you do at each place, and How much money you earn at each place. Tax filing sites federal california state tax returns Housing. Tax filing sites federal california state tax returns   The source of a housing fringe benefit is determined based on the location of your principal place of work. Tax filing sites federal california state tax returns A housing fringe benefit includes payments to you or on your behalf (and your family's if your family resides with you) only for the following. Tax filing sites federal california state tax returns Rent. Tax filing sites federal california state tax returns Utilities (except telephone charges). Tax filing sites federal california state tax returns Real and personal property insurance. Tax filing sites federal california state tax returns Occupancy taxes not deductible under section 164 or 216(a). Tax filing sites federal california state tax returns Nonrefundable fees for securing a leasehold. Tax filing sites federal california state tax returns Rental of furniture and accessories. Tax filing sites federal california state tax returns Household repairs. Tax filing sites federal california state tax returns Residential parking. Tax filing sites federal california state tax returns Fair rental value of housing provided in kind by your employer. Tax filing sites federal california state tax returns   A housing fringe benefit does not include: Deductible interest and taxes (including deductible interest and taxes of a tenant-stockholder in a cooperative housing corporation), The cost of buying property, including principal payments on a mortgage, The cost of domestic labor (maids, gardeners, etc. Tax filing sites federal california state tax returns ), Pay television subscriptions, Improvements and other expenses that increase the value or appreciably prolong the life of property, Purchased furniture or accessories, Depreciation or amortization of property or improvements, The value of meals or lodging that you exclude from gross income, or The value of meals or lodging that you deduct as moving expenses. Tax filing sites federal california state tax returns Education. Tax filing sites federal california state tax returns   The source of an education fringe benefit for the education expenses of your dependents is determined based on the location of your principal place of work. Tax filing sites federal california state tax returns An education fringe benefit includes payments only for the following expenses for education at an elementary or secondary school. Tax filing sites federal california state tax returns Tuition, fees, academic tutoring, special needs services for a special needs student, books, supplies, and other equipment. Tax filing sites federal california state tax returns Room and board and uniforms that are required or provided by the school in connection with enrollment or attendance. Tax filing sites federal california state tax returns Local transportation. Tax filing sites federal california state tax returns   The source of a local transportation fringe benefit is determined based on the location of your principal place of work. Tax filing sites federal california state tax returns Your local transportation fringe benefit is the amount that you receive as compensation for local transportation for you or your spouse or dependents at the location of your principal place of work. Tax filing sites federal california state tax returns The amount treated as a local transportation fringe benefit is limited to actual expenses incurred for local transportation and the fair rental value of any employer-provided vehicle used predominantly by you, your spouse, or your dependents for local transportation. Tax filing sites federal california state tax returns Actual expenses do not include the cost (including interest) of any vehicle purchased by you or on your behalf. Tax filing sites federal california state tax returns Tax reimbursement. Tax filing sites federal california state tax returns   The source of a tax reimbursement fringe benefit is determined based on the location of the jurisdiction that imposed the tax for which you are reimbursed. Tax filing sites federal california state tax returns Moving expense reimbursement. Tax filing sites federal california state tax returns   The source of a moving expense reimbursement is generally based on the location of your new principal place of work. Tax filing sites federal california state tax returns However, the source is determined based on the location of your former principal place of work if you provide sufficient evidence that such determination of source is more appropriate under the facts and circumstances of your case. Tax filing sites federal california state tax returns Sufficient evidence generally requires an agreement between you and your employer, or a written statement of company policy, which is reduced to writing before the move and which is entered into or established to induce you or other employees to move to another country. Tax filing sites federal california state tax returns The written statement or agreement must state that your employer will reimburse you for moving expenses that you incur to return to your former principal place of work regardless of whether you continue to work for your employer after returning to that location. Tax filing sites federal california state tax returns It may contain certain conditions upon which the right to reimbursement is determined as long as those conditions set forth standards that are definitely ascertainable and can only be fulfilled prior to, or through completion of, your return move to your former principal place of work. Tax filing sites federal california state tax returns Alternative Basis If you are an employee, you can determine the source of your compensation under an alternative basis if you establish to the satisfaction of the IRS that, under the facts and circumstances of your case, the alternative basis more properly determines the source of your compensation than the time or geographical basis. Tax filing sites federal california state tax returns If you use an alternative basis, you must keep (and have available for inspection) records to document why the alternative basis more properly determines the source of your compensation. Tax filing sites federal california state tax returns Also, if your total compensation from all sources is $250,000 or more, check “Yes” to both questions on line K on page 5 of Form 1040NR, and attach a written statement to your tax return that sets forth all of the following. Tax filing sites federal california state tax returns Your name and social security number (written across the top of the statement). Tax filing sites federal california state tax returns The specific compensation income, or the specific fringe benefit, for which you are using the alternative basis. Tax filing sites federal california state tax returns For each item in (2), the alternative basis of allocation of source used. Tax filing sites federal california state tax returns For each item in (2), a computation showing how the alternative allocation was computed. Tax filing sites federal california state tax returns A comparison of the dollar amount of the U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns compensation and foreign compensation sourced under both the alternative basis and the time or geographical basis discussed earlier. Tax filing sites federal california state tax returns Transportation Income Transportation income is income from the use of a vessel or aircraft or for the performance of services directly related to the use of any vessel or aircraft. Tax filing sites federal california state tax returns This is true whether the vessel or aircraft is owned, hired, or leased. Tax filing sites federal california state tax returns The term “vessel or aircraft” includes any container used in connection with a vessel or aircraft. Tax filing sites federal california state tax returns All income from transportation that begins and ends in the United States is treated as derived from sources in the United States. Tax filing sites federal california state tax returns If the transportation begins or ends in the United States, 50% of the transportation income is treated as derived from sources in the United States. Tax filing sites federal california state tax returns For transportation income from personal services, 50% of the income is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income if the transportation is between the United States and a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns possession. Tax filing sites federal california state tax returns For nonresident aliens, this only applies to income derived from, or in connection with, an aircraft. Tax filing sites federal california state tax returns For information on how U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source transportation income is taxed, see chapter 4. Tax filing sites federal california state tax returns Scholarships, Grants, Prizes, and Awards Generally, the source of scholarships, fellowship grants, grants, prizes, and awards is the residence of the payer regardless of who actually disburses the funds. Tax filing sites federal california state tax returns However, see Activities to be performed outside the United States , later. Tax filing sites federal california state tax returns For example, payments for research or study in the United States made by the United States, a noncorporate U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns resident, or a domestic corporation, are from U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns sources. Tax filing sites federal california state tax returns Similar payments from a foreign government or foreign corporation are foreign source payments even though the funds may be disbursed through a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns agent. Tax filing sites federal california state tax returns Payments made by an entity designated as a public international organization under the International Organizations Immunities Act are from foreign sources. Tax filing sites federal california state tax returns Activities to be performed outside the United States. Tax filing sites federal california state tax returns   Scholarships, fellowship grants, targeted grants, and achievement awards received by nonresident aliens for activities performed, or to be performed, outside the United States are not U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns    These rules do not apply to amounts paid as salary or other compensation for services. Tax filing sites federal california state tax returns See Personal Services, earlier, for the source rules that apply. Tax filing sites federal california state tax returns Pensions and Annuities If you receive a pension from a domestic trust for services performed both in and outside the United States, part of the pension payment is from U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns sources. Tax filing sites federal california state tax returns That part is the amount attributable to earnings of the pension plan and the employer contributions made for services performed in the United States. Tax filing sites federal california state tax returns This applies whether the distribution is made under a qualified or nonqualified stock bonus, pension, profit-sharing, or annuity plan (whether or not funded). Tax filing sites federal california state tax returns If you performed services as an employee of the United States, you may receive a distribution from the U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Government under a plan, such as the Civil Service Retirement System, that is treated as a qualified pension plan. Tax filing sites federal california state tax returns Your U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income is the otherwise taxable amount of the distribution that is attributable to your total U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Government basic pay other than tax-exempt pay for services performed outside the United States. Tax filing sites federal california state tax returns Rents or Royalties Your U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income includes rent and royalty income received during the tax year from property located in the United States or from any interest in that property. Tax filing sites federal california state tax returns U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income also includes rents or royalties for the use of, or for the privilege of using, in the United States, intangible property such as patents, copyrights, secret processes and formulas, goodwill, trademarks, franchises, and similar property. Tax filing sites federal california state tax returns Real Property Real property is land and buildings and generally anything built on, growing on, or attached to land. Tax filing sites federal california state tax returns Gross income from sources in the United States includes gains, profits, and income from the sale or other disposition of real property located in the United States. Tax filing sites federal california state tax returns Natural resources. Tax filing sites federal california state tax returns   The income from the sale of products of any farm, mine, oil or gas well, other natural deposit, or timber located in the United States and sold in a foreign country, or located in a foreign country and sold in the United States, is partly from sources in the United States. Tax filing sites federal california state tax returns For information on determining that part, see section 1. Tax filing sites federal california state tax returns 863-1(b) of the regulations. Tax filing sites federal california state tax returns Table 2-1. Tax filing sites federal california state tax returns Summary of Source Rules for Income of Nonresident Aliens Item of income Factor determining source Salaries, wages, other compensation Where services performed Business income:   Personal services Where services performed Sale of inventory—purchased Where sold Sale of inventory—produced Allocation Interest Residence of payer Dividends Whether a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns or foreign corporation* Rents Location of property Royalties:   Natural resources Location of property Patents, copyrights, etc. Tax filing sites federal california state tax returns Where property is used Sale of real property Location of property Sale of personal property Seller's tax home (but see Personal Property , later, for exceptions) Pension distributions attributable to contributions Where services were performed that earned the pension Investment earnings on pension contributions Location of pension trust Sale of natural resources Allocation based on fair market value of product at export terminal. Tax filing sites federal california state tax returns For more information, see section 1. Tax filing sites federal california state tax returns 863-1(b) of the regulations. Tax filing sites federal california state tax returns *Exceptions include: a) Dividends paid by a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns corporation are foreign source if the corporation elects the  American Samoa economic development credit. Tax filing sites federal california state tax returns  b) Part of a dividend paid by a foreign corporation is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source if at least 25% of the  corporation's gross income is effectively connected with a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns trade or business for the  3 tax years before the year in which the dividends are declared. Tax filing sites federal california state tax returns Personal Property Personal property is property, such as machinery, equipment, or furniture, that is not real property. Tax filing sites federal california state tax returns Gain or loss from the sale or exchange of personal property generally has its source in the United States if you have a tax home in the United States. Tax filing sites federal california state tax returns If you do not have a tax home in the United States, the gain or loss generally is considered to be from sources outside the United States. Tax filing sites federal california state tax returns Tax home. Tax filing sites federal california state tax returns   Your tax home is the general area of your main place of business, employment, or post of duty, regardless of where you maintain your family home. Tax filing sites federal california state tax returns Your tax home is the place where you permanently or indefinitely work as an employee or a self-employed individual. Tax filing sites federal california state tax returns If you do not have a regular or main place of business because of the nature of your work, then your tax home is the place where you regularly live. Tax filing sites federal california state tax returns If you do not fit either of these categories, you are considered an itinerant and your tax home is wherever you work. Tax filing sites federal california state tax returns Inventory property. Tax filing sites federal california state tax returns   Inventory property is personal property that is stock in trade or that is held primarily for sale to customers in the ordinary course of your trade or business. Tax filing sites federal california state tax returns Income from the sale of inventory that you purchased is sourced where the property is sold. Tax filing sites federal california state tax returns Generally, this is where title to the property passes to the buyer. Tax filing sites federal california state tax returns For example, income from the sale of inventory in the United States is U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income, whether you purchased it in the United States or in a foreign country. Tax filing sites federal california state tax returns   Income from the sale of inventory property that you produced in the United States and sold outside the United States (or vice versa) is partly from sources in the United States and partly from sources outside the United States. Tax filing sites federal california state tax returns For information on making this allocation, see section 1. Tax filing sites federal california state tax returns 863-3 of the regulations. Tax filing sites federal california state tax returns   These rules apply even if your tax home is not in the United States. Tax filing sites federal california state tax returns Depreciable property. Tax filing sites federal california state tax returns   To determine the source of any gain from the sale of depreciable personal property, you must first figure the part of the gain that is not more than the total depreciation adjustments on the property. Tax filing sites federal california state tax returns You allocate this part of the gain to sources in the United States based on the ratio of U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns depreciation adjustments to total depreciation adjustments. Tax filing sites federal california state tax returns The rest of this part of the gain is considered to be from sources outside the United States. Tax filing sites federal california state tax returns   For this purpose, “U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns depreciation adjustments” are the depreciation adjustments to the basis of the property that are allowable in figuring taxable income from U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns sources. Tax filing sites federal california state tax returns However, if the property is used predominantly in the United States during a tax year, all depreciation deductions allowable for that year are treated as U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns depreciation adjustments. Tax filing sites federal california state tax returns But there are some exceptions for certain transportation, communications, and other property used internationally. Tax filing sites federal california state tax returns   Gain from the sale of depreciable property that is more than the total depreciation adjustments on the property is sourced as if the property were inventory property, as discussed above. Tax filing sites federal california state tax returns   A loss is sourced in the same way as the depreciation deductions were sourced. Tax filing sites federal california state tax returns However, if the property was used predominantly in the United States, the entire loss reduces U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns   The basis of property usually means the cost (money plus the fair market value of other property or services) of property you acquire. Tax filing sites federal california state tax returns Depreciation is an amount deducted to recover the cost or other basis of a trade or business asset. Tax filing sites federal california state tax returns The amount you can deduct depends on the property's cost, when you began using the property, how long it will take to recover your cost, and which depreciation method you use. Tax filing sites federal california state tax returns A depreciation deduction is any deduction for depreciation or amortization or any other allowable deduction that treats a capital expenditure as a deductible expense. Tax filing sites federal california state tax returns Intangible property. Tax filing sites federal california state tax returns   Intangible property includes patents, copyrights, secret processes or formulas, goodwill, trademarks, trade names, or other like property. Tax filing sites federal california state tax returns The gain from the sale of amortizable or depreciable intangible property, up to the previously allowable amortization or depreciation deductions, is sourced in the same way as the original deductions were sourced. Tax filing sites federal california state tax returns This is the same as the source rule for gain from the sale of depreciable property. Tax filing sites federal california state tax returns See Depreciable property , earlier, for details on how to apply this rule. Tax filing sites federal california state tax returns   Gain in excess of the amortization or depreciation deductions is sourced in the country where the property is used if the income from the sale is contingent on the productivity, use, or disposition of that property. Tax filing sites federal california state tax returns If the income is not contingent on the productivity, use, or disposition of the property, the income is sourced according to your tax home as discussed earlier. Tax filing sites federal california state tax returns If payments for goodwill do not depend on its productivity, use, or disposition, their source is the country in which the goodwill was generated. Tax filing sites federal california state tax returns Sales through offices or fixed places of business. Tax filing sites federal california state tax returns   Despite any of the earlier rules, if you do not have a tax home in the United States, but you maintain an office or other fixed place of business in the United States, treat the income from any sale of personal property (including inventory property) that is attributable to that office or place of business as U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns However, this rule does not apply to sales of inventory property for use, disposition, or consumption outside the United States if your office or other fixed place of business outside the United States materially participated in the sale. Tax filing sites federal california state tax returns   If you have a tax home in the United States but maintain an office or other fixed place of business outside the United States, income from sales of personal property, other than inventory, depreciable property, or intangibles, that is attributable to that foreign office or place of business may be treated as U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income. Tax filing sites federal california state tax returns The income is treated as U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns source income if an income tax of less than 10% of the income from the sale is paid to a foreign country. Tax filing sites federal california state tax returns This rule also applies to losses if the foreign country would have imposed an income tax of less than 10% had the sale resulted in a gain. Tax filing sites federal california state tax returns Community Income If you are married and you or your spouse is subject to the community property laws of a foreign country, a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns state, or a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns possession, you generally must follow those laws to determine the income of yourself and your spouse for U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns tax purposes. Tax filing sites federal california state tax returns But you must disregard certain community property laws if: Both you and your spouse are nonresident aliens, or One of you is a nonresident alien and the other is a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns citizen or resident and you do not both choose to be treated as U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns residents as explained in chapter 1. Tax filing sites federal california state tax returns In these cases, you and your spouse must report community income as explained later. Tax filing sites federal california state tax returns Earned income. Tax filing sites federal california state tax returns   Earned income of a spouse, other than trade or business income and a partner's distributive share of partnership income, is treated as the income of the spouse whose services produced the income. Tax filing sites federal california state tax returns That spouse must report all of it on his or her separate return. Tax filing sites federal california state tax returns Trade or business income. Tax filing sites federal california state tax returns   Trade or business income, other than a partner's distributive share of partnership income, is treated as the income of the spouse carrying on the trade or business. Tax filing sites federal california state tax returns That spouse must report all of it on his or her separate return. Tax filing sites federal california state tax returns Partnership income (or loss). Tax filing sites federal california state tax returns   A partner's distributive share of partnership income (or loss) is treated as the income (or loss) of the partner. Tax filing sites federal california state tax returns The partner must report all of it on his or her separate return. Tax filing sites federal california state tax returns Separate property income. Tax filing sites federal california state tax returns   Income derived from the separate property of one spouse (and which is not earned income, trade or business income, or partnership distributive share income) is treated as the income of that spouse. Tax filing sites federal california state tax returns That spouse must report all of it on his or her separate return. Tax filing sites federal california state tax returns Use the appropriate community property law to determine what is separate property. Tax filing sites federal california state tax returns Other community income. Tax filing sites federal california state tax returns   All other community income is treated as provided by the applicable community property laws. Tax filing sites federal california state tax returns Prev  Up  Next   Home   More Online Publications
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Understanding your CP51B Notice

We computed the tax on your Form 1040, 1040A or 1040EZ. You owe taxes.


What you need to do

  • Read your notice carefully. It will explain how we calculated refund.
  • You don't need to do anything if you agree with our calculations.
  • Contact us if you disagree with the amount of tax we computed.

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Answers to Common Questions

What should I do if I disagree with the notice?
Call us at the toll free number on the top right corner of your notice. Please have your paperwork (such as cancelled checks, amended return, etc.) ready when you call.

When will I receive my refund?
If you have not already received your refund and if you owe no other taxes or other debts we are required to collect, you should receive it within 2-3 weeks.


Tips for next year

Consider filing your taxes electronically. Filing online can help you avoid mistakes and find credits and deductions that you may qualify for. In many cases you can file for free. Learn more about e-file.

Page Last Reviewed or Updated: 04-Mar-2014

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How to get help

  • Call the 1-800 number listed on the top right corner of your notice.
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  • See if you qualify for help from a Low Income Taxpayer Clinic.
     

The Tax Filing Sites Federal California State Tax Returns

Tax filing sites federal california state tax returns 4. Tax filing sites federal california state tax returns   Tax Withholding and Estimated Tax Table of Contents What's New for 2014 Reminders Introduction Useful Items - You may want to see: Tax Withholding for 2014Salaries and Wages Tips Taxable Fringe Benefits Sick Pay Pensions and Annuities Gambling Winnings Unemployment Compensation Federal Payments Backup Withholding Estimated Tax for 2014Who Does Not Have To Pay Estimated Tax Who Must Pay Estimated Tax How To Figure Estimated Tax When To Pay Estimated Tax How To Figure Each Payment How To Pay Estimated Tax Credit for Withholding and Estimated Tax for 2013Withholding Estimated Tax Underpayment Penalty for 2013 What's New for 2014 Tax law changes for 2014. Tax filing sites federal california state tax returns  When you figure how much income tax you want withheld from your pay and when you figure your estimated tax, consider tax law changes effective in 2014. Tax filing sites federal california state tax returns For more information, see Publication 505. Tax filing sites federal california state tax returns Reminders Estimated tax safe harbor for higher income taxpayers. Tax filing sites federal california state tax returns  If your 2013 adjusted gross income was more than $150,000 ($75,000 if you are married filing a separate return), you must pay the smaller of 90% of your expected tax for 2014 or 110% of the tax shown on your 2013 return to avoid an estimated tax penalty. Tax filing sites federal california state tax returns Introduction This chapter discusses how to pay your tax as you earn or receive income during the year. Tax filing sites federal california state tax returns In general, the federal income tax is a pay-as-you-go tax. Tax filing sites federal california state tax returns There are two ways to pay as you go. Tax filing sites federal california state tax returns Withholding. Tax filing sites federal california state tax returns If you are an employee, your employer probably withholds income tax from your pay. Tax filing sites federal california state tax returns Tax also may be withheld from certain other income, such as pensions, bonuses, commissions, and gambling winnings. Tax filing sites federal california state tax returns The amount withheld is paid to the IRS in your name. Tax filing sites federal california state tax returns Estimated tax. Tax filing sites federal california state tax returns If you do not pay your tax through withholding, or do not pay enough tax that way, you may have to pay estimated tax. Tax filing sites federal california state tax returns People who are in business for themselves generally will have to pay their tax this way. Tax filing sites federal california state tax returns Also, you may have to pay estimated tax if you receive income such as dividends, interest, capital gains, rent, and royalties. Tax filing sites federal california state tax returns Estimated tax is used to pay not only income tax, but self-employment tax and alternative minimum tax as well. Tax filing sites federal california state tax returns This chapter explains these methods. Tax filing sites federal california state tax returns In addition, it also explains the following. Tax filing sites federal california state tax returns Credit for withholding and estimated tax. Tax filing sites federal california state tax returns When you file your 2013 income tax return, take credit for all the income tax withheld from your salary, wages, pensions, etc. Tax filing sites federal california state tax returns , and for the estimated tax you paid for 2013. Tax filing sites federal california state tax returns Also take credit for any excess social security or railroad retirement tax withheld (discussed in chapter 37). Tax filing sites federal california state tax returns Underpayment penalty. Tax filing sites federal california state tax returns If you did not pay enough tax during the year, either through withholding or by making estimated tax payments, you may have to pay a penalty. Tax filing sites federal california state tax returns In most cases, the IRS can figure this penalty for you. Tax filing sites federal california state tax returns See Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns Useful Items - You may want to see: Publication 505 Tax Withholding and Estimated Tax Form (and Instructions) W-4 Employee's Withholding Allowance Certificate W-4P Withholding Certificate for Pension or Annuity Payments W-4S Request for Federal Income Tax Withholding From Sick Pay W-4V Voluntary Withholding Request 1040-ES Estimated Tax for Individuals 2210 Underpayment of Estimated Tax by Individuals, Estates, and Trusts 2210-F Underpayment of Estimated Tax by Farmers and Fishermen Tax Withholding for 2014 This section discusses income tax withholding on: Salaries and wages, Tips, Taxable fringe benefits, Sick pay, Pensions and annuities, Gambling winnings, Unemployment compensation, and Certain federal payments. Tax filing sites federal california state tax returns This section explains the rules for withholding tax from each of these types of income. Tax filing sites federal california state tax returns This section also covers backup withholding on interest, dividends, and other payments. Tax filing sites federal california state tax returns Salaries and Wages Income tax is withheld from the pay of most employees. Tax filing sites federal california state tax returns Your pay includes your regular pay, bonuses, commissions, and vacation allowances. Tax filing sites federal california state tax returns It also includes reimbursements and other expense allowances paid under a nonaccountable plan. Tax filing sites federal california state tax returns See Supplemental Wages , later, for more information about reimbursements and allowances paid under a nonaccountable plan. Tax filing sites federal california state tax returns If your income is low enough that you will not have to pay income tax for the year, you may be exempt from withholding. Tax filing sites federal california state tax returns This is explained under Exemption From Withholding , later. Tax filing sites federal california state tax returns You can ask your employer to withhold income tax from noncash wages and other wages not subject to withholding. Tax filing sites federal california state tax returns If your employer does not agree to withhold tax, or if not enough is withheld, you may have to pay estimated tax, as discussed later under Estimated Tax for 2014 . Tax filing sites federal california state tax returns Military retirees. Tax filing sites federal california state tax returns   Military retirement pay is treated in the same manner as regular pay for income tax withholding purposes, even though it is treated as a pension or annuity for other tax purposes. Tax filing sites federal california state tax returns Household workers. Tax filing sites federal california state tax returns   If you are a household worker, you can ask your employer to withhold income tax from your pay. Tax filing sites federal california state tax returns A household worker is an employee who performs household work in a private home, local college club, or local fraternity or sorority chapter. Tax filing sites federal california state tax returns   Tax is withheld only if you want it withheld and your employer agrees to withhold it. Tax filing sites federal california state tax returns If you do not have enough income tax withheld, you may have to pay estimated tax, as discussed later under Estimated Tax for 2014 . Tax filing sites federal california state tax returns Farmworkers. Tax filing sites federal california state tax returns   Generally, income tax is withheld from your cash wages for work on a farm unless your employer does both of these: Pays you cash wages of less than $150 during the year, and Has expenditures for agricultural labor totaling less than $2,500 during the year. Tax filing sites federal california state tax returns Differential wage payments. Tax filing sites federal california state tax returns    When employees are on leave from employment for military duty, some employers make up the difference between the military pay and civilian pay. Tax filing sites federal california state tax returns Payments to an employee who is on active duty for a period of more than 30 days will be subject to income tax withholding, but not subject to social security or Medicare taxes. Tax filing sites federal california state tax returns The wages and withholding will be reported on Form W-2, Wage and Tax Statement. Tax filing sites federal california state tax returns   The credit employers can claim for differential wages paid to activated military reservists is scheduled to expire for wages paid after December 31, 2013. Tax filing sites federal california state tax returns Determining Amount of Tax Withheld Using Form W-4 The amount of income tax your employer withholds from your regular pay depends on two things. Tax filing sites federal california state tax returns The amount you earn in each payroll period. Tax filing sites federal california state tax returns The information you give your employer on Form W-4. Tax filing sites federal california state tax returns Form W-4 includes four types of information that your employer will use to figure your withholding. Tax filing sites federal california state tax returns Whether to withhold at the single rate or at the lower married rate. Tax filing sites federal california state tax returns How many withholding allowances you claim (each allowance reduces the amount withheld). Tax filing sites federal california state tax returns Whether you want an additional amount withheld. Tax filing sites federal california state tax returns Whether you are claiming an exemption from withholding in 2014. Tax filing sites federal california state tax returns See Exemption From Withholding , later. Tax filing sites federal california state tax returns Note. Tax filing sites federal california state tax returns You must specify a filing status and a number of withholding allowances on Form W-4. Tax filing sites federal california state tax returns You cannot specify only a dollar amount of withholding. Tax filing sites federal california state tax returns New Job When you start a new job, you must fill out Form W-4 and give it to your employer. Tax filing sites federal california state tax returns Your employer should have copies of the form. Tax filing sites federal california state tax returns If you need to change the information later, you must fill out a new form. Tax filing sites federal california state tax returns If you work only part of the year (for example, you start working after the beginning of the year), too much tax may be withheld. Tax filing sites federal california state tax returns You may be able to avoid overwithholding if your employer agrees to use the part-year method. Tax filing sites federal california state tax returns See Part-Year Method in chapter 1 of Publication 505 for more information. Tax filing sites federal california state tax returns Employee also receiving pension income. Tax filing sites federal california state tax returns   If you receive pension or annuity income and begin a new job, you will need to file Form W-4 with your new employer. Tax filing sites federal california state tax returns However, you can choose to split your withholding allowances between your pension and job in any manner. Tax filing sites federal california state tax returns Changing Your Withholding During the year changes may occur to your marital status, exemptions, adjustments, deductions, or credits you expect to claim on your tax return. Tax filing sites federal california state tax returns When this happens, you may need to give your employer a new Form W-4 to change your withholding status or your number of allowances. Tax filing sites federal california state tax returns If the changes reduce the number of allowances you are claiming or changes your marital status from married to single, you must give your employer a new Form W-4 within 10 days. Tax filing sites federal california state tax returns Generally, you can submit a new Form W-4 whenever you wish to change the number of your withholding allowances for any other reason. Tax filing sites federal california state tax returns Changing your withholding for 2015. Tax filing sites federal california state tax returns   If events in 2014 will decrease the number of your withholding allowances for 2015, you must give your employer a new Form W-4 by December 1, 2014. Tax filing sites federal california state tax returns If the event occurs in December 2014, submit a new Form W-4 within 10 days. Tax filing sites federal california state tax returns Checking Your Withholding After you have given your employer a Form W-4, you can check to see whether the amount of tax withheld from your pay is too little or too much. Tax filing sites federal california state tax returns If too much or too little tax is being withheld, you should give your employer a new Form W-4 to change your withholding. Tax filing sites federal california state tax returns You should try to have your withholding match your actual tax liability. Tax filing sites federal california state tax returns If not enough tax is withheld, you will owe tax at the end of the year and may have to pay interest and a penalty. Tax filing sites federal california state tax returns If too much tax is withheld, you will lose the use of that money until you get your refund. Tax filing sites federal california state tax returns Always check your withholding if there are personal or financial changes in your life or changes in the law that might change your tax liability. Tax filing sites federal california state tax returns Note. Tax filing sites federal california state tax returns You cannot give your employer a payment to cover withholding on salaries and wages for past pay periods or a payment for estimated tax. Tax filing sites federal california state tax returns Completing Form W-4 and Worksheets Form W-4 has worksheets to help you figure how many withholding allowances you can claim. Tax filing sites federal california state tax returns The worksheets are for your own records. Tax filing sites federal california state tax returns Do not give them to your employer. Tax filing sites federal california state tax returns Multiple jobs. Tax filing sites federal california state tax returns   If you have income from more than one job at the same time, complete only one set of Form W-4 worksheets. Tax filing sites federal california state tax returns Then split your allowances between the Forms W-4 for each job. Tax filing sites federal california state tax returns You cannot claim the same allowances with more than one employer at the same time. Tax filing sites federal california state tax returns You can claim all your allowances with one employer and none with the other(s), or divide them any other way. Tax filing sites federal california state tax returns Married individuals. Tax filing sites federal california state tax returns   If both you and your spouse are employed and expect to file a joint return, figure your withholding allowances using your combined income, adjustments, deductions, exemptions, and credits. Tax filing sites federal california state tax returns Use only one set of worksheets. Tax filing sites federal california state tax returns You can divide your total allowances any way, but you cannot claim an allowance that your spouse also claims. Tax filing sites federal california state tax returns   If you and your spouse expect to file separate returns, figure your allowances using separate worksheets based on your own individual income, adjustments, deductions, exemptions, and credits. Tax filing sites federal california state tax returns Alternative method of figuring withholding allowances. Tax filing sites federal california state tax returns   You do not have to use the Form W-4 worksheets if you use a more accurate method of figuring the number of withholding allowances. Tax filing sites federal california state tax returns For more information, see Alternative method of figuring withholding allowances under Completing Form W-4 and Worksheets in Publication 505, chapter 1. Tax filing sites federal california state tax returns Personal Allowances Worksheet. Tax filing sites federal california state tax returns   Use the Personal Allowances Worksheet on Form W-4 to figure your withholding allowances based on exemptions and any special allowances that apply. Tax filing sites federal california state tax returns Deduction and Adjustments Worksheet. Tax filing sites federal california state tax returns   Use the Deduction and Adjustments Worksheet on Form W-4 if you plan to itemize your deductions, claim certain credits, or claim adjustments to the income on your 2014 tax return and you want to reduce your withholding. Tax filing sites federal california state tax returns Also, complete this worksheet when you have changes to these items to see if you need to change your withholding. Tax filing sites federal california state tax returns Two-Earners/Multiple Jobs Worksheet. Tax filing sites federal california state tax returns   You may need to complete the Two-Earners/Multiple Jobs Worksheet on Form W-4 if you have more than one job, a working spouse, or are also receiving a pension. Tax filing sites federal california state tax returns Also, on this worksheet you can add any additional withholding necessary to cover any amount you expect to owe other than income tax, such as self-employment tax. Tax filing sites federal california state tax returns Getting the Right Amount of Tax Withheld In most situations, the tax withheld from your pay will be close to the tax you figure on your return if you follow these two rules. Tax filing sites federal california state tax returns You accurately complete all the Form W-4 worksheets that apply to you. Tax filing sites federal california state tax returns You give your employer a new Form W-4 when changes occur. Tax filing sites federal california state tax returns But because the worksheets and withholding methods do not account for all possible situations, you may not be getting the right amount withheld. Tax filing sites federal california state tax returns This is most likely to happen in the following situations. Tax filing sites federal california state tax returns You are married and both you and your spouse work. Tax filing sites federal california state tax returns You have more than one job at a time. Tax filing sites federal california state tax returns You have nonwage income, such as interest, dividends, alimony, unemployment compensation, or self-employment income. Tax filing sites federal california state tax returns You will owe additional amounts with your return, such as self-employment tax. Tax filing sites federal california state tax returns Your withholding is based on obsolete Form W-4 information for a substantial part of the year. Tax filing sites federal california state tax returns Your earnings are more than the amount shown under Check your withholding in the instructions at the top of page 1 of Form W-4. Tax filing sites federal california state tax returns You work only part of the year. Tax filing sites federal california state tax returns You change the number of your withholding allowances during the year. Tax filing sites federal california state tax returns Cumulative wage method. Tax filing sites federal california state tax returns   If you change the number of your withholding allowances during the year, too much or too little tax may have been withheld for the period before you made the change. Tax filing sites federal california state tax returns You may be able to compensate for this if your employer agrees to use the cumulative wage withholding method for the rest of the year. Tax filing sites federal california state tax returns You must ask your employer in writing to use this method. Tax filing sites federal california state tax returns   To be eligible, you must have been paid for the same kind of payroll period (weekly, biweekly, etc. Tax filing sites federal california state tax returns ) since the beginning of the year. Tax filing sites federal california state tax returns Publication 505 To make sure you are getting the right amount of tax withheld, get Publication 505. Tax filing sites federal california state tax returns It will help you compare the total tax to be withheld during the year with the tax you can expect to figure on your return. Tax filing sites federal california state tax returns It also will help you determine how much, if any, additional withholding is needed each payday to avoid owing tax when you file your return. Tax filing sites federal california state tax returns If you do not have enough tax withheld, you may have to pay estimated tax, as explained under Estimated Tax for 2014 , later. Tax filing sites federal california state tax returns You can use the IRS Withholding Calculator at www. Tax filing sites federal california state tax returns irs. Tax filing sites federal california state tax returns gov/Individuals, instead of Publication 505 or the worksheets included with Form W-4, to determine whether you need to have your withholding increased or decreased. Tax filing sites federal california state tax returns Rules Your Employer Must Follow It may be helpful for you to know some of the withholding rules your employer must follow. Tax filing sites federal california state tax returns These rules can affect how to fill out your Form W-4 and how to handle problems that may arise. Tax filing sites federal california state tax returns New Form W-4. Tax filing sites federal california state tax returns   When you start a new job, your employer should have you complete a Form W-4. Tax filing sites federal california state tax returns Beginning with your first payday, your employer will use the information you give on the form to figure your withholding. Tax filing sites federal california state tax returns   If you later fill out a new Form W-4, your employer can put it into effect as soon as possible. Tax filing sites federal california state tax returns The deadline for putting it into effect is the start of the first payroll period ending 30 or more days after you turn it in. Tax filing sites federal california state tax returns No Form W-4. Tax filing sites federal california state tax returns   If you do not give your employer a completed Form W-4, your employer must withhold at the highest rate, as if you were single and claimed no withholding allowances. Tax filing sites federal california state tax returns Repaying withheld tax. Tax filing sites federal california state tax returns   If you find you are having too much tax withheld because you did not claim all the withholding allowances you are entitled to, you should give your employer a new Form W-4. Tax filing sites federal california state tax returns Your employer cannot repay any of the tax previously withheld. Tax filing sites federal california state tax returns Instead, claim the full amount withheld when you file your tax return. Tax filing sites federal california state tax returns   However, if your employer has withheld more than the correct amount of tax for the Form W-4 you have in effect, you do not have to fill out a new Form W-4 to have your withholding lowered to the correct amount. Tax filing sites federal california state tax returns Your employer can repay the amount that was withheld incorrectly. Tax filing sites federal california state tax returns If you are not repaid, your Form W-2 will reflect the full amount actually withheld, which you would claim when you file your tax return. Tax filing sites federal california state tax returns Exemption From Withholding If you claim exemption from withholding, your employer will not withhold federal income tax from your wages. Tax filing sites federal california state tax returns The exemption applies only to income tax, not to social security or Medicare tax. Tax filing sites federal california state tax returns You can claim exemption from withholding for 2014 only if both of the following situations apply. Tax filing sites federal california state tax returns For 2013 you had a right to a refund of all federal income tax withheld because you had no tax liability. Tax filing sites federal california state tax returns For 2014 you expect a refund of all federal income tax withheld because you expect to have no tax liability. Tax filing sites federal california state tax returns Students. Tax filing sites federal california state tax returns   If you are a student, you are not automatically exempt. Tax filing sites federal california state tax returns See chapter 1 to find out if you must file a return. Tax filing sites federal california state tax returns If you work only part time or only during the summer, you may qualify for exemption from withholding. Tax filing sites federal california state tax returns Age 65 or older or blind. Tax filing sites federal california state tax returns   If you are 65 or older or blind, use Worksheet 1-3 or 1-4 in chapter 1 of Publication 505, to help you decide if you qualify for exemption from withholding. Tax filing sites federal california state tax returns Do not use either worksheet if you will itemize deductions, claim exemptions for dependents, or claim tax credits on your 2014 return. Tax filing sites federal california state tax returns Instead, see Itemizing deductions or claiming exemptions or credits in chapter 1 of Publication 505. Tax filing sites federal california state tax returns Claiming exemption from withholding. Tax filing sites federal california state tax returns   To claim exemption, you must give your employer a Form W-4. Tax filing sites federal california state tax returns Do not complete lines 5 and 6. Tax filing sites federal california state tax returns Enter “Exempt” on line 7. Tax filing sites federal california state tax returns   If you claim exemption, but later your situation changes so that you will have to pay income tax after all, you must file a new Form W-4 within 10 days after the change. Tax filing sites federal california state tax returns If you claim exemption in 2014, but you expect to owe income tax for 2015, you must file a new Form W-4 by December 1, 2014. Tax filing sites federal california state tax returns   Your claim of exempt status may be reviewed by the IRS. Tax filing sites federal california state tax returns An exemption is good for only 1 year. Tax filing sites federal california state tax returns   You must give your employer a new Form W-4 by February 15 each year to continue your exemption. Tax filing sites federal california state tax returns Supplemental Wages Supplemental wages include bonuses, commissions, overtime pay, vacation allowances, certain sick pay, and expense allowances under certain plans. Tax filing sites federal california state tax returns The payer can figure withholding on supplemental wages using the same method used for your regular wages. Tax filing sites federal california state tax returns However, if these payments are identified separately from your regular wages, your employer or other payer of supplemental wages can withhold income tax from these wages at a flat rate. Tax filing sites federal california state tax returns Expense allowances. Tax filing sites federal california state tax returns   Reimbursements or other expense allowances paid by your employer under a nonaccountable plan are treated as supplemental wages. Tax filing sites federal california state tax returns   Reimbursements or other expense allowances paid under an accountable plan that are more than your proven expenses are treated as paid under a nonaccountable plan if you do not return the excess payments within a reasonable period of time. Tax filing sites federal california state tax returns   For more information about accountable and nonaccountable expense allowance plans, see Reimbursements in chapter 26. Tax filing sites federal california state tax returns Penalties You may have to pay a penalty of $500 if both of the following apply. Tax filing sites federal california state tax returns You make statements or claim withholding allowances on your Form W-4 that reduce the amount of tax withheld. Tax filing sites federal california state tax returns You have no reasonable basis for those statements or allowances at the time you prepare your Form W-4. Tax filing sites federal california state tax returns There is also a criminal penalty for willfully supplying false or fraudulent information on your Form W-4 or for willfully failing to supply information that would increase the amount withheld. Tax filing sites federal california state tax returns The penalty upon conviction can be either a fine of up to $1,000 or imprisonment for up to 1 year, or both. Tax filing sites federal california state tax returns These penalties will apply if you deliberately and knowingly falsify your Form W-4 in an attempt to reduce or eliminate the proper withholding of taxes. Tax filing sites federal california state tax returns A simple error or an honest mistake will not result in one of these penalties. Tax filing sites federal california state tax returns For example, a person who has tried to figure the number of withholding allowances correctly, but claims seven when the proper number is six, will not be charged a W-4 penalty. Tax filing sites federal california state tax returns Tips The tips you receive while working on your job are considered part of your pay. Tax filing sites federal california state tax returns You must include your tips on your tax return on the same line as your regular pay. Tax filing sites federal california state tax returns However, tax is not withheld directly from tip income, as it is from your regular pay. Tax filing sites federal california state tax returns Nevertheless, your employer will take into account the tips you report when figuring how much to withhold from your regular pay. Tax filing sites federal california state tax returns See chapter 6 for information on reporting your tips to your employer. Tax filing sites federal california state tax returns For more information on the withholding rules for tip income, see Publication 531, Reporting Tip Income. Tax filing sites federal california state tax returns How employer figures amount to withhold. Tax filing sites federal california state tax returns   The tips you report to your employer are counted as part of your income for the month you report them. Tax filing sites federal california state tax returns Your employer can figure your withholding in either of two ways. Tax filing sites federal california state tax returns By withholding at the regular rate on the sum of your pay plus your reported tips. Tax filing sites federal california state tax returns By withholding at the regular rate on your pay plus a percentage of your reported tips. Tax filing sites federal california state tax returns Not enough pay to cover taxes. Tax filing sites federal california state tax returns   If your regular pay is not enough for your employer to withhold all the tax (including income tax and social security and Medicare taxes (or the equivalent railroad retirement tax)) due on your pay plus your tips, you can give your employer money to cover the shortage. Tax filing sites federal california state tax returns See Giving your employer money for taxes in chapter 6. Tax filing sites federal california state tax returns Allocated tips. Tax filing sites federal california state tax returns   Your employer should not withhold income tax, Medicare tax, social security tax, or railroad retirement tax on any allocated tips. Tax filing sites federal california state tax returns Withholding is based only on your pay plus your reported tips. Tax filing sites federal california state tax returns Your employer should refund to you any incorrectly withheld tax. Tax filing sites federal california state tax returns See Allocated Tips in chapter 6 for more information. Tax filing sites federal california state tax returns Taxable Fringe Benefits The value of certain noncash fringe benefits you receive from your employer is considered part of your pay. Tax filing sites federal california state tax returns Your employer generally must withhold income tax on these benefits from your regular pay. Tax filing sites federal california state tax returns For information on fringe benefits, see Fringe Benefits under Employee Compensation in chapter 5. Tax filing sites federal california state tax returns Although the value of your personal use of an employer-provided car, truck, or other highway motor vehicle is taxable, your employer can choose not to withhold income tax on that amount. Tax filing sites federal california state tax returns Your employer must notify you if this choice is made. Tax filing sites federal california state tax returns For more information on withholding on taxable fringe benefits, see chapter 1 of Publication 505. Tax filing sites federal california state tax returns Sick Pay Sick pay is a payment to you to replace your regular wages while you are temporarily absent from work due to sickness or personal injury. Tax filing sites federal california state tax returns To qualify as sick pay, it must be paid under a plan to which your employer is a party. Tax filing sites federal california state tax returns If you receive sick pay from your employer or an agent of your employer, income tax must be withheld. Tax filing sites federal california state tax returns An agent who does not pay regular wages to you may choose to withhold income tax at a flat rate. Tax filing sites federal california state tax returns However, if you receive sick pay from a third party who is not acting as an agent of your employer, income tax will be withheld only if you choose to have it withheld. Tax filing sites federal california state tax returns See Form W-4S , later. Tax filing sites federal california state tax returns If you receive payments under a plan in which your employer does not participate (such as an accident or health plan where you paid all the premiums), the payments are not sick pay and usually are not taxable. Tax filing sites federal california state tax returns Union agreements. Tax filing sites federal california state tax returns   If you receive sick pay under a collective bargaining agreement between your union and your employer, the agreement may determine the amount of income tax withholding. Tax filing sites federal california state tax returns See your union representative or your employer for more information. Tax filing sites federal california state tax returns Form W-4S. Tax filing sites federal california state tax returns   If you choose to have income tax withheld from sick pay paid by a third party, such as an insurance company, you must fill out Form W-4S. Tax filing sites federal california state tax returns Its instructions contain a worksheet you can use to figure the amount you want withheld. Tax filing sites federal california state tax returns They also explain restrictions that may apply. Tax filing sites federal california state tax returns   Give the completed form to the payer of your sick pay. Tax filing sites federal california state tax returns The payer must withhold according to your directions on the form. Tax filing sites federal california state tax returns Estimated tax. Tax filing sites federal california state tax returns   If you do not request withholding on Form W-4S, or if you do not have enough tax withheld, you may have to make estimated tax payments. Tax filing sites federal california state tax returns If you do not pay enough tax, either through estimated tax or withholding, or a combination of both, you may have to pay a penalty. Tax filing sites federal california state tax returns See Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns Pensions and Annuities Income tax usually will be withheld from your pension or annuity distributions unless you choose not to have it withheld. Tax filing sites federal california state tax returns This rule applies to distributions from: A traditional individual retirement arrangement (IRA); A life insurance company under an endowment, annuity, or life insurance contract; A pension, annuity, or profit-sharing plan; A stock bonus plan; and Any other plan that defers the time you receive compensation. Tax filing sites federal california state tax returns The amount withheld depends on whether you receive payments spread out over more than 1 year (periodic payments), within 1 year (nonperiodic payments), or as an eligible rollover distribution (ERD). Tax filing sites federal california state tax returns Income tax withholding from an ERD is mandatory. Tax filing sites federal california state tax returns More information. Tax filing sites federal california state tax returns   For more information on taxation of annuities and distributions (including ERDs) from qualified retirement plans, see chapter 10. Tax filing sites federal california state tax returns For information on IRAs, see chapter 17. Tax filing sites federal california state tax returns For more information on withholding on pensions and annuities, including a discussion of Form W-4P, see Pensions and Annuities in chapter 1 of Publication 505. Tax filing sites federal california state tax returns Gambling Winnings Income tax is withheld at a flat 25% rate from certain kinds of gambling winnings. Tax filing sites federal california state tax returns Gambling winnings of more than $5,000 from the following sources are subject to income tax withholding. Tax filing sites federal california state tax returns Any sweepstakes; wagering pool, including payments made to winners of poker tournaments; or lottery. Tax filing sites federal california state tax returns Any other wager, if the proceeds are at least 300 times the amount of the bet. Tax filing sites federal california state tax returns It does not matter whether your winnings are paid in cash, in property, or as an annuity. Tax filing sites federal california state tax returns Winnings not paid in cash are taken into account at their fair market value. Tax filing sites federal california state tax returns Exception. Tax filing sites federal california state tax returns   Gambling winnings from bingo, keno, and slot machines generally are not subject to income tax withholding. Tax filing sites federal california state tax returns However, you may need to provide the payer with a social security number to avoid withholding. Tax filing sites federal california state tax returns See Backup withholding on gambling winnings in chapter 1 of Publication 505. Tax filing sites federal california state tax returns If you receive gambling winnings not subject to withholding, you may need to pay estimated tax. Tax filing sites federal california state tax returns See Estimated Tax for 2014 , later. Tax filing sites federal california state tax returns If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty. Tax filing sites federal california state tax returns See Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns Form W-2G. Tax filing sites federal california state tax returns   If a payer withholds income tax from your gambling winnings, you should receive a Form W-2G, Certain Gambling Winnings, showing the amount you won and the amount withheld. Tax filing sites federal california state tax returns Report the tax withheld on line 62 of Form 1040. Tax filing sites federal california state tax returns Unemployment Compensation You can choose to have income tax withheld from unemployment compensation. Tax filing sites federal california state tax returns To make this choice, fill out Form W-4V (or a similar form provided by the payer) and give it to the payer. Tax filing sites federal california state tax returns All unemployment compensation is taxable. Tax filing sites federal california state tax returns So, if you do not have income tax withheld, you may have to pay estimated tax. Tax filing sites federal california state tax returns See Estimated Tax for 2014 , later. Tax filing sites federal california state tax returns If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty. Tax filing sites federal california state tax returns For information, see Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns Federal Payments You can choose to have income tax withheld from certain federal payments you receive. Tax filing sites federal california state tax returns These payments are: Social security benefits, Tier 1 railroad retirement benefits, Commodity credit corporation loans you choose to include in your gross income, Payments under the Agricultural Act of 1949 (7 U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns C. Tax filing sites federal california state tax returns 1421 et. Tax filing sites federal california state tax returns seq. Tax filing sites federal california state tax returns ), as amended, or title II of the Disaster Assistance Act of 1988, that are treated as insurance proceeds and that you receive because: Your crops were destroyed or damaged by drought, flood, or any other natural disaster, or You were unable to plant crops because of a natural disaster described in (a), and Any other payment under Federal law as determined by the Secretary. Tax filing sites federal california state tax returns To make this choice, fill out Form W-4V (or a similar form provided by the payer) and give it to the payer. Tax filing sites federal california state tax returns If you do not choose to have income tax withheld, you may have to pay estimated tax. Tax filing sites federal california state tax returns See Estimated Tax for 2014 , later. Tax filing sites federal california state tax returns If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty. Tax filing sites federal california state tax returns For information, see Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns More information. Tax filing sites federal california state tax returns   For more information about the tax treatment of social security and railroad retirement benefits, see chapter 11. Tax filing sites federal california state tax returns Get Publication 225, Farmer's Tax Guide, for information about the tax treatment of commodity credit corporation loans or crop disaster payments. Tax filing sites federal california state tax returns Backup Withholding Banks or other businesses that pay you certain kinds of income must file an information return (Form 1099) with the IRS. Tax filing sites federal california state tax returns The information return shows how much you were paid during the year. Tax filing sites federal california state tax returns It also includes your name and taxpayer identification number (TIN). Tax filing sites federal california state tax returns TINs are explained in chapter 1 under Social Security Number (SSN) . Tax filing sites federal california state tax returns These payments generally are not subject to withholding. Tax filing sites federal california state tax returns However, “backup” withholding is required in certain situations. Tax filing sites federal california state tax returns Backup withholding can apply to most kinds of payments that are reported on Form 1099. Tax filing sites federal california state tax returns The payer must withhold at a flat 28% rate in the following situations. Tax filing sites federal california state tax returns You do not give the payer your TIN in the required manner. Tax filing sites federal california state tax returns The IRS notifies the payer that the TIN you gave is incorrect. Tax filing sites federal california state tax returns You are required, but fail, to certify that you are not subject to backup withholding. Tax filing sites federal california state tax returns The IRS notifies the payer to start withholding on interest or dividends because you have underreported interest or dividends on your income tax return. Tax filing sites federal california state tax returns The IRS will do this only after it has mailed you four notices over at least a 210-day period. Tax filing sites federal california state tax returns See Backup Withholding in chapter 1 of Publication 505 for more information. Tax filing sites federal california state tax returns Penalties. Tax filing sites federal california state tax returns   There are civil and criminal penalties for giving false information to avoid backup withholding. Tax filing sites federal california state tax returns The civil penalty is $500. Tax filing sites federal california state tax returns The criminal penalty, upon conviction, is a fine of up to $1,000 or imprisonment of up to 1 year, or both. Tax filing sites federal california state tax returns Estimated Tax for 2014 Estimated tax is the method used to pay tax on income that is not subject to withholding. Tax filing sites federal california state tax returns This includes income from self-employment, interest, dividends, alimony, rent, gains from the sale of assets, prizes, and awards. Tax filing sites federal california state tax returns You also may have to pay estimated tax if the amount of income tax being withheld from your salary, pension, or other income is not enough. Tax filing sites federal california state tax returns Estimated tax is used to pay both income tax and self-employment tax, as well as other taxes and amounts reported on your tax return. Tax filing sites federal california state tax returns If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty. Tax filing sites federal california state tax returns If you do not pay enough by the due date of each payment period (see When To Pay Estimated Tax , later), you may be charged a penalty even if you are due a refund when you file your tax return. Tax filing sites federal california state tax returns For information on when the penalty applies, see Underpayment Penalty for 2013 at the end of this chapter. Tax filing sites federal california state tax returns Who Does Not Have To Pay Estimated Tax If you receive salaries or wages, you can avoid having to pay estimated tax by asking your employer to take more tax out of your earnings. Tax filing sites federal california state tax returns To do this, give a new Form W-4 to your employer. Tax filing sites federal california state tax returns See chapter 1 of Publication 505. Tax filing sites federal california state tax returns Estimated tax not required. Tax filing sites federal california state tax returns   You do not have to pay estimated tax for 2014 if you meet all three of the following conditions. Tax filing sites federal california state tax returns You had no tax liability for 2013. Tax filing sites federal california state tax returns You were a U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns citizen or resident alien for the whole year. Tax filing sites federal california state tax returns Your 2013 tax year covered a 12-month period. Tax filing sites federal california state tax returns   You had no tax liability for 2013 if your total tax was zero or you did not have to file an income tax return. Tax filing sites federal california state tax returns For the definition of “total tax” for 2013, see Publication 505, chapter 2. Tax filing sites federal california state tax returns Who Must Pay Estimated Tax If you owe additional tax for 2013, you may have to pay estimated tax for 2014. Tax filing sites federal california state tax returns You can use the following general rule as a guide during the year to see if you will have enough withholding, or if you should increase your withholding or make estimated tax payments. Tax filing sites federal california state tax returns General rule. Tax filing sites federal california state tax returns   In most cases, you must pay estimated tax for 2014 if both of the following apply. Tax filing sites federal california state tax returns You expect to owe at least $1,000 in tax for 2014, after subtracting your withholding and refundable credits. Tax filing sites federal california state tax returns You expect your withholding plus your refundable credits to be less than the smaller of: 90% of the tax to be shown on your 2014 tax return, or 100% of the tax shown on your 2013 tax return (but see Special rules for farmers, fishermen, and higher income taxpayers, later). Tax filing sites federal california state tax returns Your 2013 tax return must cover all 12 months. Tax filing sites federal california state tax returns    If the result from using the general rule above suggests that you will not have enough withholding, complete the 2014 Estimated Tax Worksheet in Publication 505 for a more accurate calculation. Tax filing sites federal california state tax returns Special rules for farmers, fishermen, and higher income taxpayers. Tax filing sites federal california state tax returns   If at least two-thirds of your gross income for tax year 2013 or 2014 is from farming or fishing, substitute 662/3% for 90% in (2a) under the General rule, earlier. Tax filing sites federal california state tax returns If your AGI for 2013 was more than $150,000 ($75,000 if your filing status for 2014 is married filing a separate return), substitute 110% for 100% in (2b) under General rule , earlier. Tax filing sites federal california state tax returns See Figure 4-A and Publication 505, chapter 2 for more information. Tax filing sites federal california state tax returns Figure 4-A. Tax filing sites federal california state tax returns Do You Have To Pay Estimated Tax? Please click here for the text description of the image. Tax filing sites federal california state tax returns Figure 4-A Do You Have To Pay Estimated Tax? Aliens. Tax filing sites federal california state tax returns   Resident and nonresident aliens also may have to pay estimated tax. Tax filing sites federal california state tax returns Resident aliens should follow the rules in this chapter unless noted otherwise. Tax filing sites federal california state tax returns Nonresident aliens should get Form 1040-ES (NR), U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Estimated Tax for Nonresident Alien Individuals. Tax filing sites federal california state tax returns   You are an alien if you are not a citizen or national of the United States. Tax filing sites federal california state tax returns You are a resident alien if you either have a green card or meet the substantial presence test. Tax filing sites federal california state tax returns For more information about the substantial presence test, see Publication 519, U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Tax Guide for Aliens. Tax filing sites federal california state tax returns Married taxpayers. Tax filing sites federal california state tax returns   If you qualify to make joint estimated tax payments, apply the rules discussed here to your joint estimated income. Tax filing sites federal california state tax returns   You and your spouse can make joint estimated tax payments even if you are not living together. Tax filing sites federal california state tax returns   However, you and your spouse cannot make joint estimated tax payments if:  You are legally separated under a decree of divorce or separate maintenance, You and your spouse have different tax years, or Either spouse is a nonresident alien (unless that spouse elected to be treated as a resident alien for tax purposes (see chapter 1 of Publication 519)). Tax filing sites federal california state tax returns   If you do not qualify to make joint estimated tax payments, apply these rules to your separate estimated income. Tax filing sites federal california state tax returns Making joint or separate estimated tax payments will not affect your choice of filing a joint tax return or separate returns for 2014. Tax filing sites federal california state tax returns 2013 separate returns and 2014 joint return. Tax filing sites federal california state tax returns   If you plan to file a joint return with your spouse for 2014, but you filed separate returns for 2013, your 2013 tax is the total of the tax shown on your separate returns. Tax filing sites federal california state tax returns You filed a separate return if you filed as single, head of household, or married filing separately. Tax filing sites federal california state tax returns 2013 joint return and 2014 separate returns. Tax filing sites federal california state tax returns   If you plan to file a separate return for 2014 but you filed a joint return for 2013, your 2013 tax is your share of the tax on the joint return. Tax filing sites federal california state tax returns You file a separate return if you file as single, head of household, or married filing separately. Tax filing sites federal california state tax returns   To figure your share of the tax on the joint return, first figure the tax both you and your spouse would have paid had you filed separate returns for 2013 using the same filing status as for 2014. Tax filing sites federal california state tax returns Then multiply the tax on the joint return by the following fraction. Tax filing sites federal california state tax returns     The tax you would have paid had you filed a separate return   The total tax you and your spouse would have paid had you filed separate returns Example. Tax filing sites federal california state tax returns Joe and Heather filed a joint return for 2013 showing taxable income of $48,500 and a tax of $6,386. Tax filing sites federal california state tax returns Of the $48,500 taxable income, $40,100 was Joe's and the rest was Heather's. Tax filing sites federal california state tax returns For 2014, they plan to file married filing separately. Tax filing sites federal california state tax returns Joe figures his share of the tax on the 2013 joint return as follows. Tax filing sites federal california state tax returns   Tax on $40,100 based on a separate return $5,960     Tax on $8,400 based on a separate return 843     Total $6,803     Joe's percentage of total ($5,960 ÷ $6,803) 87. Tax filing sites federal california state tax returns 6%     Joe's share of tax on joint return  ($6,386 × 87. Tax filing sites federal california state tax returns 6%) $5,594   How To Figure Estimated Tax To figure your estimated tax, you must figure your expected adjusted gross income (AGI), taxable income, taxes, deductions, and credits for the year. Tax filing sites federal california state tax returns When figuring your 2014 estimated tax, it may be helpful to use your income, deductions, and credits for 2013 as a starting point. Tax filing sites federal california state tax returns Use your 2013 federal tax return as a guide. Tax filing sites federal california state tax returns You can use Form 1040-ES and Publication 505 to figure your estimated tax. Tax filing sites federal california state tax returns Nonresident aliens use Form 1040-ES (NR) and Publication 505 to figure estimated tax (see chapter 8 of Publication 519 for more information). Tax filing sites federal california state tax returns You must make adjustments both for changes in your own situation and for recent changes in the tax law. Tax filing sites federal california state tax returns For a discussion of these changes, visit IRS. Tax filing sites federal california state tax returns gov. Tax filing sites federal california state tax returns For more complete information on how to figure your estimated tax for 2014, see chapter 2 of Publication 505. Tax filing sites federal california state tax returns When To Pay Estimated Tax For estimated tax purposes, the tax year is divided into four payment periods. Tax filing sites federal california state tax returns Each period has a specific payment due date. Tax filing sites federal california state tax returns If you do not pay enough tax by the due date of each payment period, you may be charged a penalty even if you are due a refund when you file your income tax return. Tax filing sites federal california state tax returns The payment periods and due dates for estimated tax payments are shown next. Tax filing sites federal california state tax returns   For the period: Due date:*     Jan. Tax filing sites federal california state tax returns 1 – March 31 April 15     April 1 – May 31 June 16     June 1 – August 31 Sept. Tax filing sites federal california state tax returns 15     Sept. Tax filing sites federal california state tax returns 1– Dec. Tax filing sites federal california state tax returns 31 Jan. Tax filing sites federal california state tax returns 15, next year     *See Saturday, Sunday, holiday rule and January payment . Tax filing sites federal california state tax returns Saturday, Sunday, holiday rule. Tax filing sites federal california state tax returns   If the due date for an estimated tax payment falls on a Saturday, Sunday, or legal holiday, the payment will be on time if you make it on the next day that is not a Saturday, Sunday, or legal holiday. Tax filing sites federal california state tax returns January payment. Tax filing sites federal california state tax returns   If you file your 2014 Form 1040 or Form 1040A by January 31, 2015, and pay the rest of the tax you owe, you do not need to make the payment due on January 15, 2015. Tax filing sites federal california state tax returns Fiscal year taxpayers. Tax filing sites federal california state tax returns   If your tax year does not start on January 1, see the Form 1040-ES instructions for your payment due dates. Tax filing sites federal california state tax returns When To Start You do not have to make estimated tax payments until you have income on which you will owe income tax. Tax filing sites federal california state tax returns If you have income subject to estimated tax during the first payment period, you must make your first payment by the due date for the first payment period. Tax filing sites federal california state tax returns You can pay all your estimated tax at that time, or you can pay it in installments. Tax filing sites federal california state tax returns If you choose to pay in installments, make your first payment by the due date for the first payment period. Tax filing sites federal california state tax returns Make your remaining installment payments by the due dates for the later periods. Tax filing sites federal california state tax returns No income subject to estimated tax during first period. Tax filing sites federal california state tax returns    If you do not have income subject to estimated tax until a later payment period, you must make your first payment by the due date for that period. Tax filing sites federal california state tax returns You can pay your entire estimated tax by the due date for that period or you can pay it in installments by the due date for that period and the due dates for the remaining periods. Tax filing sites federal california state tax returns The following chart shows when to make installment payments. Tax filing sites federal california state tax returns If you first have income on which you must pay estimated tax: Make a payment  by:* Make later installments by:* Before April 1 April 15 June 16 Sept. Tax filing sites federal california state tax returns 15 Jan. Tax filing sites federal california state tax returns 15 next year April 1–May 31 June 16 Sept. Tax filing sites federal california state tax returns 15 Jan. Tax filing sites federal california state tax returns 15 next year June 1–Aug. Tax filing sites federal california state tax returns 31 Sept. Tax filing sites federal california state tax returns 15 Jan. Tax filing sites federal california state tax returns 15 next year After Aug. Tax filing sites federal california state tax returns 31 Jan. Tax filing sites federal california state tax returns 15 next year (None) *See Saturday, Sunday, holiday rule and January payment . Tax filing sites federal california state tax returns How much to pay to avoid a penalty. Tax filing sites federal california state tax returns   To determine how much you should pay by each payment due date, see How To Figure Each Payment, next. Tax filing sites federal california state tax returns How To Figure Each Payment You should pay enough estimated tax by the due date of each payment period to avoid a penalty for that period. Tax filing sites federal california state tax returns You can figure your required payment for each period by using either the regular installment method or the annualized income installment method. Tax filing sites federal california state tax returns These methods are described in chapter 2 of Publication 505. Tax filing sites federal california state tax returns If you do not pay enough during each payment period, you may be charged a penalty even if you are due a refund when you file your tax return. Tax filing sites federal california state tax returns If the earlier discussion of No income subject to estimated tax during first period or the later discussion of Change in estimated tax applies to you, you may benefit from reading Annualized Income Installment Method in chapter 2 of Publication 505 for information on how to avoid a penalty. Tax filing sites federal california state tax returns Underpayment penalty. Tax filing sites federal california state tax returns   Under the regular installment method, if your estimated tax payment for any period is less than one-fourth of your estimated tax, you may be charged a penalty for underpayment of estimated tax for that period when you file your tax return. Tax filing sites federal california state tax returns Under the annualized income installment method, your estimated tax payments vary with your income, but the amount required must be paid each period. Tax filing sites federal california state tax returns See chapter 4 of Publication 505 for more information. Tax filing sites federal california state tax returns Change in estimated tax. Tax filing sites federal california state tax returns   After you make an estimated tax payment, changes in your income, adjustments, deductions, credits, or exemptions may make it necessary for you to refigure your estimated tax. Tax filing sites federal california state tax returns Pay the unpaid balance of your amended estimated tax by the next payment due date after the change or in installments by that date and the due dates for the remaining payment periods. Tax filing sites federal california state tax returns Estimated Tax Payments Not Required You do not have to pay estimated tax if your withholding in each payment period is at least as much as: One-fourth of your required annual payment, or Your required annualized income installment for that period. Tax filing sites federal california state tax returns You also do not have to pay estimated tax if you will pay enough through withholding to keep the amount you owe with your return under $1,000. Tax filing sites federal california state tax returns How To Pay Estimated Tax There are several ways to pay estimated tax. Tax filing sites federal california state tax returns Credit an overpayment on your 2013 return to your 2014 estimated tax. Tax filing sites federal california state tax returns Pay by direct transfer from your bank account, or pay by credit or debit card using a pay-by-phone system or the Internet. Tax filing sites federal california state tax returns Send in your payment (check or money order) with a payment voucher from Form 1040-ES. Tax filing sites federal california state tax returns Credit an Overpayment If you show an overpayment of tax after completing your Form 1040 or Form 1040A for 2013, you can apply part or all of it to your estimated tax for 2014. Tax filing sites federal california state tax returns On line 75 of Form 1040, or line 44 of Form 1040A, enter the amount you want credited to your estimated tax rather than refunded. Tax filing sites federal california state tax returns Take the amount you have credited into account when figuring your estimated tax payments. Tax filing sites federal california state tax returns You cannot have any of the amount you credited to your estimated tax refunded to you until you file your tax return for the following year. Tax filing sites federal california state tax returns You also cannot use that overpayment in any other way. Tax filing sites federal california state tax returns Pay Online Paying online is convenient and secure and helps make sure we get your payments on time. Tax filing sites federal california state tax returns You can pay using either of the following electronic payment methods. Tax filing sites federal california state tax returns Direct transfer from your bank account. Tax filing sites federal california state tax returns Credit or debit card. Tax filing sites federal california state tax returns To pay your taxes online or for more information, go to www. Tax filing sites federal california state tax returns irs. Tax filing sites federal california state tax returns gov/e-pay. Tax filing sites federal california state tax returns Pay by Phone Paying by phone is another safe and secure method of paying electronically. Tax filing sites federal california state tax returns Use one of the following methods. Tax filing sites federal california state tax returns Direct transfer from your bank account. Tax filing sites federal california state tax returns Credit or debit card. Tax filing sites federal california state tax returns To pay by direct transfer from your bank account, call 1-800-555-4477 (English), 1-800-244-4829 (Espanol). Tax filing sites federal california state tax returns People who are deaf, hard of hearing, or have a speech disability and who have access to TTY/TDD can call 1-800-733-4829. Tax filing sites federal california state tax returns To pay using a credit or debit card, you can call one of the following service providers. Tax filing sites federal california state tax returns There is a convenience fee charged by these providers that varies by provider, card type, and payment amount. Tax filing sites federal california state tax returns WorldPay 1-888-9-PAY-TAXTM(1-888-972-9829) www. Tax filing sites federal california state tax returns payUSAtax. Tax filing sites federal california state tax returns com Official Payments Corporation 1-888-UPAY-TAXTM (1-888-872-9829) www. Tax filing sites federal california state tax returns officialpayments. Tax filing sites federal california state tax returns com Link2Gov Corporation 1-888-PAY-1040TM (1-888-729-1040) www. Tax filing sites federal california state tax returns PAY1040. Tax filing sites federal california state tax returns com For the latest details on how to pay by phone, go to www. Tax filing sites federal california state tax returns irs. Tax filing sites federal california state tax returns gov/e-pay. Tax filing sites federal california state tax returns Pay by Check or Money Order Using the Estimated Tax Payment Voucher Each payment of estimated tax by check or money order must be accompanied by a payment voucher from Form 1040-ES. Tax filing sites federal california state tax returns During 2013, if you: made at least one estimated tax payment but not by electronic means, did not use software or a paid preparer to prepare or file your return,  then you should receive a copy of the 2014 Form 1040-ES/V. Tax filing sites federal california state tax returns The enclosed payment vouchers will be preprinted with your name, address, and social security number. Tax filing sites federal california state tax returns Using the preprinted vouchers will speed processing, reduce the chance of error, and help save processing costs. Tax filing sites federal california state tax returns Use the window envelopes that came with your Form 1040-ES package. Tax filing sites federal california state tax returns If you use your own envelopes, make sure you mail your payment vouchers to the address shown in the Form 1040-ES instructions for the place where you live. Tax filing sites federal california state tax returns Note. Tax filing sites federal california state tax returns These criteria can change without notice. Tax filing sites federal california state tax returns If you do not receive a Form 1040-ES/V package and you are required to make an estimated tax payment, you should go to www. Tax filing sites federal california state tax returns irs. Tax filing sites federal california state tax returns gov and print a copy of Form 1040-ES which includes four blank payment vouchers. Tax filing sites federal california state tax returns Complete one of these and make your payment timely to avoid penalties for paying late. Tax filing sites federal california state tax returns Do not use the address shown in the Form 1040 or Form 1040A instructions for your estimated tax payments. Tax filing sites federal california state tax returns If you did not pay estimated tax last year, you can order Form 1040-ES from the IRS (see inside back cover of this publication) or download it from IRS. Tax filing sites federal california state tax returns gov. Tax filing sites federal california state tax returns Follow the instructions to make sure you use the vouchers correctly. Tax filing sites federal california state tax returns Joint estimated tax payments. Tax filing sites federal california state tax returns   If you file a joint return and are making joint estimated tax payments, enter the names and social security numbers on the payment voucher in the same order as they will appear on the joint return. Tax filing sites federal california state tax returns Change of address. Tax filing sites federal california state tax returns   You must notify the IRS if you are making estimated tax payments and you changed your address during the year. Tax filing sites federal california state tax returns Complete Form 8822, Change of Address, and mail it to the address shown in the instructions for that form. Tax filing sites federal california state tax returns Credit for Withholding and Estimated Tax for 2013 When you file your 2013 income tax return, take credit for all the income tax and excess social security or railroad retirement tax withheld from your salary, wages, pensions, etc. Tax filing sites federal california state tax returns Also take credit for the estimated tax you paid for 2013. Tax filing sites federal california state tax returns These credits are subtracted from your total tax. Tax filing sites federal california state tax returns Because these credits are refundable, you should file a return and claim these credits, even if you do not owe tax. Tax filing sites federal california state tax returns Two or more employers. Tax filing sites federal california state tax returns   If you had two or more employers in 2013 and were paid wages of more than $113,700, too much social security or tier 1 railroad retirement tax may have been withheld from your pay. Tax filing sites federal california state tax returns You may be able to claim the excess as a credit against your income tax when you file your return. Tax filing sites federal california state tax returns See Credit for Excess Social Security Tax or Railroad Retirement Tax Withheld in chapter 37. Tax filing sites federal california state tax returns Withholding If you had income tax withheld during 2013, you should be sent a statement by January 31, 2014, showing your income and the tax withheld. Tax filing sites federal california state tax returns Depending on the source of your income, you should receive: Form W-2, Wage and Tax Statement, Form W-2G, Certain Gambling Winnings, or A form in the 1099 series. Tax filing sites federal california state tax returns Forms W-2 and W-2G. Tax filing sites federal california state tax returns   If you file a paper return, always file Form W-2 with your income tax return. Tax filing sites federal california state tax returns File Form W-2G with your return only if it shows any federal income tax withheld from your winnings. Tax filing sites federal california state tax returns   You should get at least two copies of each form. Tax filing sites federal california state tax returns If you file a paper return, attach one copy to the front of your federal income tax return. Tax filing sites federal california state tax returns Keep one copy for your records. Tax filing sites federal california state tax returns You also should receive copies to file with your state and local returns. Tax filing sites federal california state tax returns Form W-2 Your employer is required to provide or send Form W-2 to you no later than January 31, 2014. Tax filing sites federal california state tax returns You should receive a separate Form W-2 from each employer you worked for. Tax filing sites federal california state tax returns If you stopped working before the end of 2013, your employer could have given you your Form W-2 at any time after you stopped working. Tax filing sites federal california state tax returns However, your employer must provide or send it to you by January 31, 2014. Tax filing sites federal california state tax returns If you ask for the form, your employer must send it to you within 30 days after receiving your written request or within 30 days after your final wage payment, whichever is later. Tax filing sites federal california state tax returns If you have not received your Form W-2 by January 31, you should ask your employer for it. Tax filing sites federal california state tax returns If you do not receive it by February 15, call the IRS. Tax filing sites federal california state tax returns Form W-2 shows your total pay and other compensation and the income tax, social security tax, and Medicare tax that was withheld during the year. Tax filing sites federal california state tax returns Include the federal income tax withheld (as shown in box 2 of Form W-2) on: Line 62 if you file Form 1040, Line 36 if you file Form 1040A, or Line 7 if you file Form 1040EZ. Tax filing sites federal california state tax returns In addition, Form W-2 is used to report any taxable sick pay you received and any income tax withheld from your sick pay. Tax filing sites federal california state tax returns Form W-2G If you had gambling winnings in 2013, the payer may have withheld income tax. Tax filing sites federal california state tax returns If tax was withheld, the payer will give you a Form W-2G showing the amount you won and the amount of tax withheld. Tax filing sites federal california state tax returns Report the amounts you won on line 21 of Form 1040. Tax filing sites federal california state tax returns Take credit for the tax withheld on line 62 of Form 1040. Tax filing sites federal california state tax returns If you had gambling winnings, you must use Form 1040; you cannot use Form 1040A or Form 1040EZ. Tax filing sites federal california state tax returns The 1099 Series Most forms in the 1099 series are not filed with your return. Tax filing sites federal california state tax returns These forms should be furnished to you by January 31, 2014 (or, for Forms 1099-B, 1099-S, and certain Forms 1099-MISC, by February 15, 2014). Tax filing sites federal california state tax returns Unless instructed to file any of these forms with your return, keep them for your records. Tax filing sites federal california state tax returns There are several different forms in this series, including: Form 1099-B, Proceeds From Broker and Barter Exchange Transactions; Form 1099-DIV, Dividends and Distributions; Form 1099-G, Certain Government Payments; Form 1099-INT, Interest Income; Form 1099-K, Payment Card and Third Party Network Transactions; Form 1099-MISC, Miscellaneous Income; Form 1099-OID, Original Issue Discount; Form 1099-PATR, Taxable Distributions Received from Cooperatives; Form 1099-Q, Payments From Qualified Education Programs; Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. Tax filing sites federal california state tax returns ; Form 1099-S, Proceeds From Real Estate Transactions; Form RRB-1099, Payments by the Railroad Retirement Board. Tax filing sites federal california state tax returns If you received the types of income reported on some forms in the 1099 series, you may not be able to use Form 1040A or Form 1040EZ. Tax filing sites federal california state tax returns See the instructions to these forms for details. Tax filing sites federal california state tax returns Form 1099-R. Tax filing sites federal california state tax returns   Attach Form 1099-R to your paper return if box 4 shows federal income tax withheld. Tax filing sites federal california state tax returns Include the amount withheld in the total on line 62 of Form 1040 or line 36 of Form 1040A. Tax filing sites federal california state tax returns You cannot use Form 1040EZ if you received payments reported on Form 1099-R. Tax filing sites federal california state tax returns Backup withholding. Tax filing sites federal california state tax returns   If you were subject to backup withholding on income you received during 2013, include the amount withheld, as shown on your Form 1099, in the total on line 62 of Form 1040, line 36 of Form 1040A, or line 7 of Form 1040EZ. Tax filing sites federal california state tax returns Form Not Correct If you receive a form with incorrect information on it, you should ask the payer for a corrected form. Tax filing sites federal california state tax returns Call the telephone number or write to the address given for the payer on the form. Tax filing sites federal california state tax returns The corrected Form W-2G or Form 1099 you receive will have an “X” in the “CORRECTED” box at the top of the form. Tax filing sites federal california state tax returns A special form, Form W-2c, Corrected Wage and Tax Statement, is used to correct a Form W-2. Tax filing sites federal california state tax returns In certain situations, you will receive two forms in place of the original incorrect form. Tax filing sites federal california state tax returns This will happen when your taxpayer identification number is wrong or missing, your name and address are wrong, or you received the wrong type of form (for example, a Form 1099-DIV instead of a Form 1099-INT). Tax filing sites federal california state tax returns One new form you receive will be the same incorrect form or have the same incorrect information, but all money amounts will be zero. Tax filing sites federal california state tax returns This form will have an “X” in the “CORRECTED” box at the top of the form. Tax filing sites federal california state tax returns The second new form should have all the correct information, prepared as though it is the original (the “CORRECTED” box will not be checked). Tax filing sites federal california state tax returns Form Received After Filing If you file your return and you later receive a form for income that you did not include on your return, you should report the income and take credit for any income tax withheld by filing Form 1040X, Amended U. Tax filing sites federal california state tax returns S. Tax filing sites federal california state tax returns Individual Income Tax Return. Tax filing sites federal california state tax returns Separate Returns If you are married but file a separate return, you can take credit only for the tax withheld from your own income. Tax filing sites federal california state tax returns Do not include any amount withheld from your spouse's income. Tax filing sites federal california state tax returns However, different rules may apply if you live in a community property state. Tax filing sites federal california state tax returns Community property states are listed in chapter 2. Tax filing sites federal california state tax returns For more information on these rules, and some exceptions, see Publication 555, Community Property. Tax filing sites federal california state tax returns Fiscal Years If you file your tax return on the basis of a fiscal year (a 12-month period ending on the last day of any month except December), you must follow special rules to determine your credit for federal income tax withholding. Tax filing sites federal california state tax returns For a discussion of how to take credit for withholding on a fiscal year return, see Fiscal Years (FY) in chapter 3 of Publication 505. Tax filing sites federal california state tax returns Estimated Tax Take credit for all your estimated tax payments for 2013 on line 63 of Form 1040 or line 37 of Form 1040A. Tax filing sites federal california state tax returns Include any overpayment from 2012 that you had credited to your 2013 estimated tax. Tax filing sites federal california state tax returns You must use Form 1040 or Form 1040A if you paid estimated tax. Tax filing sites federal california state tax returns You cannot use Form 1040EZ. Tax filing sites federal california state tax returns Name changed. Tax filing sites federal california state tax returns   If you changed your name, and you made estimated tax payments using your old name, attach a brief statement to the front of your paper tax return indicating: When you made the payments, The amount of each payment, Your name when you made the payments, and Your social security number. Tax filing sites federal california state tax returns The statement should cover payments you made jointly with your spouse as well as any you made separately. Tax filing sites federal california state tax returns   Be sure to report the change to the Social Security Administration. Tax filing sites federal california state tax returns This prevents delays in processing your return and issuing any refunds. Tax filing sites federal california state tax returns Separate Returns If you and your spouse made separate estimated tax payments for 2013 and you file separate returns, you can take credit only for your own payments. Tax filing sites federal california state tax returns If you made joint estimated tax payments, you must decide how to divide the payments between your returns. Tax filing sites federal california state tax returns One of you can claim all of the estimated tax paid and the other none, or you can divide it in any other way you agree on. Tax filing sites federal california state tax returns If you cannot agree, you must divide the payments in proportion to each spouse's individual tax as shown on your separate returns for 2013. Tax filing sites federal california state tax returns Divorced Taxpayers If you made joint estimated tax payments for 2013, and you were divorced during the year, either you or your former spouse can claim all of the joint payments, or you each can claim part of them. Tax filing sites federal california state tax returns If you cannot agree on how to divide the payments, you must divide them in proportion to each spouse's individual tax as shown on your separate returns for 2013. Tax filing sites federal california state tax returns If you claim any of the joint payments on your tax return, enter your former spouse's social security number (SSN) in the space provided on the front of Form 1040 or Form 1040A. Tax filing sites federal california state tax returns If you divorced and remarried in 2013, enter your present spouse's SSN in that space and write your former spouse's SSN, followed by “DIV,” to the left of Form 1040, line 63, or Form 1040A, line 37. Tax filing sites federal california state tax returns Underpayment Penalty for 2013 If you did not pay enough tax, either through withholding or by making timely estimated tax payments, you will have an underpayment of estimated tax and you may have to pay a penalty. Tax filing sites federal california state tax returns Generally, you will not have to pay a penalty for 2013 if any of the following apply. Tax filing sites federal california state tax returns The total of your withholding and estimated tax payments was at least as much as your 2012 tax (or 110% of your 2012 tax if your AGI was more than $150,000, $75,000 if your 2013 filing status is married filing separately) and you paid all required estimated tax payments on time. Tax filing sites federal california state tax returns The tax balance due on your 2013 return is no more than 10% of your total 2013 tax, and you paid all required estimated tax payments on time. Tax filing sites federal california state tax returns Your total 2013 tax minus your withholding and refundable credits is less than $1,000. Tax filing sites federal california state tax returns You did not have a tax liability for 2012 and your 2012 tax year was 12 months, or You did not have any withholding taxes and your current year tax less any household employment taxes is less than $1,000. Tax filing sites federal california state tax returns See Publication 505, chapter 4, for a definition of “total tax” for 2012 and 2013. Tax filing sites federal california state tax returns Farmers and fishermen. Tax filing sites federal california state tax returns   Special rules apply if you are a farmer or fisherman. Tax filing sites federal california state tax returns See Farmers and Fishermen in chapter 4 of Publication 505 for more information. Tax filing sites federal california state tax returns IRS can figure the penalty for you. Tax filing sites federal california state tax returns   If you think you owe the penalty but you do not want to figure it yourself when you file your tax return, you may not have to. Tax filing sites federal california state tax returns Generally, the IRS will figure the penalty for you and send you a bill. Tax filing sites federal california state tax returns However, if you think you are able to lower or eliminate your penalty, you must complete Form 2210 or Form 2210-F and attach it to your paper return. Tax filing sites federal california state tax returns See chapter 4 of Publication 505. Tax filing sites federal california state tax returns Prev  Up  Next   Home   More Online Publications