Publication 17
taxmap/pub17/p17-006.htm#en_us_publink1000170541This section explains how to get ready to fill in your tax return
and when to report your income and expenses. It also explains how to complete
certain sections of the form. You may find Table 1-6 helpful when you prepare
your return.
taxmap/pub17/p17-006.htm#en_us_publink1000170544Table 1-6. Six Steps for Preparing Your Return
| 1 | — | Get your records together for income and expenses. |
| 2 | — | Get the forms, schedules, and publications you need. |
| 3 | — | Fill in your return. |
| 4 | — | Check your return to make sure it is correct. |
| 5 | — | Sign and date your return. |
| 6 | — | Attach all required forms and schedules. |
taxmap/pub17/p17-006.htm#en_us_publink1000170546You cannot use your own version of a tax form unless it meets
the requirements explained in Publication 1167, General Rules and Specifications
for Substitute Forms and Schedules.
taxmap/pub17/p17-006.htm#en_us_publink1000170547If you are an employee, you should receive Form W-2 from your
employer. You will need the information from this form to prepare your return.
See
Form W-2 under
Credit for Withholding and Estimated Tax in chapter 4.
Your employer is required to provide or send Form W-2 to you
no later than January 31, 2011. If it is mailed, you should allow adequate time
to receive it before contacting your employer. If you still do not get the form
by February 15, the IRS can help you by requesting the form from your employer.
When you request IRS help, be prepared to provide the following information.
- Your name, address (including ZIP code), and phone number.
- Your SSN.
- Your dates of employment.
- Your employer's name, address (including ZIP code), and phone
number.
If you received certain types of income, you may receive a Form
1099. For example, if you received taxable interest of $10 or more, the payer is
required to provide or send Form 1099 to you no later than January 31, 2011 (or
by February 15, 2011, if furnished by a broker). If it is mailed, you should
allow adequate time to receive it before contacting the payer. If you still do
not get the form by February 15 (or by March 3, 2011, if furnished by a broker),
call the IRS for help.
taxmap/pub17/p17-006.htm#en_us_publink1000170550You must figure your taxable income on the basis of a tax year.
A "tax year" is an annual accounting period used for keeping records and
reporting income and expenses. You must account for your income and expenses in
a way that clearly shows your taxable income. The way you do this is called an
accounting method. This section explains which accounting periods and methods
you can use.
taxmap/pub17/p17-006.htm#en_us_publink1000170551Most individual tax returns cover a calendar year—the 12
months from January 1 through December 31. If you do not use a calendar year,
your accounting period is a fiscal year. A regular fiscal year is a 12-month
period that ends on the last day of any month except December. A 52-53-week
fiscal year varies from 52 to 53 weeks and always ends on the same day of the
week.
You choose your accounting period (tax year) when you file your
first income tax return. It cannot be longer than 12 months.
taxmap/pub17/p17-006.htm#en_us_publink1000170552For more information on accounting periods, including how to
change your accounting period, see Publication 538, Accounting Periods and
Methods.
taxmap/pub17/p17-006.htm#en_us_publink1000170553Your accounting method is the way you account for your income
and expenses. Most taxpayers use either the cash method or an accrual method.
You choose a method when you file your first income tax return. If you want to
change your accounting method after that, you generally must get IRS approval.
taxmap/pub17/p17-006.htm#en_us_publink1000170554If you use this method, report all items of income in the year
in which you actually or constructively receive them. Generally, you deduct all
expenses in the year you actually pay them. This is the method most individual
taxpayers use.
taxmap/pub17/p17-006.htm#en_us_publink1000170555Generally, you constructively receive income when it is credited
to your account or set apart in any way that makes it available to you. You do
not need to have physical possession of it. For example, interest credited to
your bank account on December 31, 2010, is taxable income to you in 2010 if you
could have withdrawn it in 2010 (even if the amount is not entered in your
passbook or withdrawn until 2011).
taxmap/pub17/p17-006.htm#en_us_publink1000170556If your employer uses your wages to pay your debts, or if your
wages are attached or garnisheed, the full amount is constructively received by
you. You must include these wages in income for the year you would have received
them.
taxmap/pub17/p17-006.htm#en_us_publink1000170557If another person cancels or pays your debts (but not as a gift
or loan), you have constructively received the amount and generally must include
it in your gross income for the year. See
Canceled Debts in chapter 12 for more information.
If a third party is paid income from property you own, you have
constructively received the income. It is the same as if you had actually
received the income and paid it to the third party.
taxmap/pub17/p17-006.htm#en_us_publink1000170560Income an agent receives for you is income you constructively
received in the year the agent receives it. If you indicate in a contract that
your income is to be paid to another person, you must include the amount in your
gross income when the other person receives it.
taxmap/pub17/p17-006.htm#en_us_publink1000170561A valid check that was made available to you before the end of
the tax year is constructively received by you in that year. A check that was
"made available to you" includes a check you have already received, but not
cashed or deposited. It also includes, for example, your last paycheck of the
year that your employer made available for you to pick up at the office before
the end of the year. It is constructively received by you in that year whether
or not you pick it up before the end of the year or wait to receive it by mail
after the end of the year.
taxmap/pub17/p17-006.htm#en_us_publink1000170562There may be facts to show that you did not constructively receive
income.
taxmap/pub17/p17-006.htm#en_us_publink1000170563Alice Johnson, a teacher, agreed to her school board's condition
that, in her absence, she would receive only the difference between her regular
salary and the salary of a substitute teacher hired by the school board.
Therefore, Alice did not constructively receive the amount by which her salary
was reduced to pay the substitute teacher.
taxmap/pub17/p17-006.htm#en_us_publink1000170564If you use an accrual method, you generally report income when
you earn it, rather than when you receive it. You generally deduct your expenses
when you incur them, rather than when you pay them.
taxmap/pub17/p17-006.htm#en_us_publink1000170565An advance payment of income is generally included in gross income
in the year you receive it. Your method of accounting does not matter as long as
the income is available to you. An advance payment may include rent or interest
you receive in advance and pay for services you will perform later.
A limited deferral until the next tax year may be allowed for
certain advance payments. See Publication 538 for specific information.
taxmap/pub17/p17-006.htm#en_us_publink1000170566For more information on accounting methods, including how to
change your accounting method, see Publication 538.
taxmap/pub17/p17-006.htm#en_us_publink1000170567You must enter your social security number (SSN) in the space
provided on your return. Be sure the SSN on your return is the same as the SSN
on your social security card. If you are married, enter the SSNs for both you
and your spouse, whether you file jointly or separately.
If you are filing a joint return, write the SSNs in the same
order as the names. Use this same order in submitting other forms and documents
to the IRS.
taxmap/pub17/p17-006.htm#en_us_publink1000170568If you changed your name because of marriage, divorce, etc.,
be sure to report the change to your local Social Security Administration (SSA)
office before filing your return. This prevents delays in processing your return
and issuing refunds. It also safeguards your future social security benefits.
taxmap/pub17/p17-006.htm#en_us_publink1000170569You must provide the SSN of each dependent you claim, regardless
of the dependent's age. This requirement applies to all dependents (not just
your children) claimed on your tax return.
taxmap/pub17/p17-006.htm#en_us_publink1000170570
If your child was born and died in 2010 and you do not have an SSN for the
child, enter "DIED" in column (2) of line 6c (Form 1040 or 1040A) and attach a
copy of the child's birth certificate, death certificate, or hospital records.
taxmap/pub17/p17-006.htm#en_us_publink1000170571File Form SS-5, Application for a Social Security Card, with
your local SSA office to get an SSN for yourself or your dependent. It usually
takes about 2 weeks to get an SSN. If you or your dependent is not eligible for
an SSN, see
Individual taxpayer identification number (ITIN), later.
If you are a U.S. citizen or resident alien, you must show proof
of age, identity, and citizenship or alien status with your Form SS-5. If you
are 12 or older and have never been assigned an SSN, you must appear in person
with this proof at an SSA office.
Form SS-5 is available at any SSA office, on the Internet at
www.socialsecurity.gov, or by calling 1-800-772-1213. If you have any questions about
which documents you can use as proof of age, identity, or citizenship, contact
your SSA office.
If your dependent does not have an SSN by the time your return
is due, you may want to ask for an extension of time to file, as explained
earlier under
When Do I Have To File.
If you do not provide a required SSN or if you provide an incorrect
SSN, your tax may be increased and any refund may be reduced.
taxmap/pub17/p17-006.htm#en_us_publink1000170574If you are in the process of adopting a child who is a U.S. citizen
or resident and cannot get an SSN for the child until the adoption is final, you
can apply for an ATIN to use instead of an SSN.
File Form W-7A, Application for Taxpayer Identification Number for Pending U.S.
Adoptions, with the IRS to get an ATIN if all of the following are true.
- You have a child living with you who was placed in your home
for legal adoption.
- You cannot get the child's existing SSN even though you have
made a reasonable attempt to get it from the birth parents, the placement
agency, and other persons.
- You cannot get an SSN for the child from the SSA because,
for example, the adoption is not final.
- You are eligible to claim the child as a dependent on your
tax return.
After the adoption is final, you must apply for an SSN for the
child. You cannot continue using the ATIN.
See Form W-7A for more information.
taxmap/pub17/p17-006.htm#en_us_publink1000170575If your spouse is a nonresident alien, your spouse must have
either an SSN or an ITIN if:
- You file a joint return,
- You file a separate return and claim an exemption for your
spouse, or
- Your spouse is filing a separate return.
If your spouse is not eligible for an SSN, see
the next discussion.
The IRS will issue you an ITIN if you are a nonresident or resident
alien and you do not have and are not eligible to get an SSN. This also applies
to an alien spouse or dependent. To apply for an ITIN, file Form W-7 with the
IRS. It usually takes about 6 weeks to get an ITIN. Enter the ITIN on your tax
return wherever an SSN is requested.
 | If you are applying for an ITIN for yourself, your spouse,
or a dependent in order to file your tax return, attach your completed tax
return to your Form W-7. See the Form W-7 instructions for how and where to
file. |
 | An ITIN is for tax use only. It does not entitle you or your
dependent to social security benefits or change the employment or immigration
status of either of you under U.S. law.
|
taxmap/pub17/p17-006.htm#en_us_publink1000170580If you do not include your SSN or the SSN of your spouse or dependent
as required, you may have to pay a penalty. See the discussion on
Penalties, later, for more information.
If you write to the IRS about your tax account, be sure to include
your SSN (and the name and SSN of your spouse, if you filed a joint return) in
your correspondence. Because your SSN is used to identify your account, this
helps the IRS respond to your correspondence promptly.
taxmap/pub17/p17-006.htm#en_us_publink1000170583This fund helps pay for Presidential election campaigns. The
fund reduces candidates' dependence on large contributions from individuals and
groups and places candidates on an equal financial footing in the general
election. If you want $3 to go to this fund, check the box. If you are filing a
joint return, your spouse can also have $3 go to the fund. If you check a box,
your tax or refund will not change.
taxmap/pub17/p17-006.htm#en_us_publink1000170584The following information on entering numbers on your tax return
may be useful in making the return easier to complete.
taxmap/pub17/p17-006.htm#en_us_publink1000170585You may round off cents to whole dollars on your return and schedules.
If you do round to whole dollars, you must round all amounts. To round, drop
amounts under 50 cents and increase amounts from 50 to 99 cents to the next
dollar. For example, $1.39 becomes $1 and $2.50 becomes $3.
If you have to add two or more amounts to figure the amount to
enter on a line, include cents when adding the amounts and round off only the
total.
taxmap/pub17/p17-006.htm#en_us_publink1000170586You receive two Forms W-2: one showing wages of $5,000.55 and
one showing wages of $18,500.73. On Form 1040, line 7, you would enter $23,501
($5,000.55 + $18,500.73 = $23,501.28), not $23,502 ($5,001 + $18,501).
taxmap/pub17/p17-006.htm#en_us_publink1000170587If you are asked to enter the smaller or larger of two equal
amounts, enter that amount.
taxmap/pub17/p17-006.htm#en_us_publink1000170588Line 1 is $500. Line 3 is $500. Line 5 asks you to enter the
smaller of line 1 or 3. Enter $500 on line 5.
taxmap/pub17/p17-006.htm#en_us_publink1000170589If you need to enter a negative amount, put the amount in parentheses
rather than using a minus sign. To combine positive and negative amounts, add
all the positive amounts together and then subtract the negative amounts.
taxmap/pub17/p17-006.htm#en_us_publink1000170590Depending on the form you file and the items reported on your
return, you may have to complete additional schedules and forms and attach them
to your return.
| You may be able to file a paperless return using IRS e-file.
There's nothing to sign, attach, or mail, not even your Forms W-2. |
taxmap/pub17/p17-006.htm#en_us_publink1000170592Form W-2 is a statement from your employer of wages and other
compensation paid to you and taxes withheld from your pay. You should have a
Form W-2 from each employer. Be sure to attach a copy of Form W-2 in the place
indicated on the front page of your return. Attach it only to the front page of
your return, not to any attachments. For more information, see
Form W-2 in chapter 4.
If you received a Form 1099-R, Distributions From Pensions, Annuities,
Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc., showing
federal income tax withheld, attach a copy of that form in the place indicated
on the front page of your return.
taxmap/pub17/p17-006.htm#en_us_publink1000170594There are no additional schedules to file with Form 1040EZ.
taxmap/pub17/p17-006.htm#en_us_publink1000170595Attach any forms and schedules behind Form 1040A in order of
the "Attachment Sequence Number" shown in the upper right corner of the form or
schedule. Then arrange all other statements or attachments in the same order as
the forms and schedules they relate to and attach them last. Do not attach items
unless required to do so.
taxmap/pub17/p17-006.htm#en_us_publink1000170596Attach any forms and schedules behind Form 1040 in order of the
"Attachment Sequence Number" shown in the upper right corner of the form or
schedule. Then arrange all other statements or attachments in the same order as
the forms and schedules they relate to and attach them last. Do not attach items
unless required to do so.
taxmap/pub17/p17-006.htm#en_us_publink1000170597You can authorize the IRS to discuss your return with your preparer,
a friend, family member, or any other person you choose. If you check the "Yes"
box in the
Third party designee
area of your 2010 tax return and provide the information required, you are
authorizing:
- The IRS to call the designee to answer any questions that
arise during the processing of your return, and
- The designee to
- Give information that is missing from your return to the
IRS,
- Call the IRS for information about the processing of your
return or the status of your refund or payments,
- Receive copies of notices or transcripts related to your
return, upon request, and
- Respond to certain IRS notices about math errors, offsets
(see
Refunds, later), and return preparation.
The authorization will automatically end no later than the due
date (without any extensions) for filing your 2011 tax return. This is April 17,
2012, for most people.
See your form instructions for more information.
taxmap/pub17/p17-006.htm#en_us_publink1000170600You must sign and date your return. If you file a joint return,
both you and your spouse must sign the return, even if only one of you had
income.
| If you file a joint return, both spouses are generally liable
for the tax, and the entire tax liability may be assessed against either spouse.
See
chapter 2.
|
If you are due a refund, it cannot be issued unless you have
signed your return.
Enter your occupation in the space provided in the signature
section. If you file a joint return, enter both your occupation and your
spouse's occupation. Entering your daytime phone number may help speed the
processing of your return.
taxmap/pub17/p17-006.htm#en_us_publink1000170605You can appoint an agent to sign your return if you are:
- Unable to sign the return because of disease or injury,
- Absent from the United States for a continuous period of at
least 60 days before the due date for filing your return, or
- Given permission to do so by the IRS office in your area.
A return signed by an agent in any of these cases must have a
power of attorney (POA) attached that authorizes the agent to sign for you. You
can use a POA that states that the agent is granted authority to sign the
return, or you can use Form 2848, Power of Attorney and Declaration of
Representative. Part I of Form 2848 must state that the agent is granted
authority to sign the return.
taxmap/pub17/p17-006.htm#en_us_publink1000170607If the taxpayer is mentally incompetent and cannot sign the return,
it must be signed by a court-appointed representative who can act for the
taxpayer.
If the taxpayer is mentally competent but physically unable to
sign the return or POA, a valid "signature" is defined under state law. It can
be anything that clearly indicates the taxpayer's intent to sign. For example,
the taxpayer's "X" with the signatures of two witnesses might be considered a
valid signature under a state's law.
taxmap/pub17/p17-006.htm#en_us_publink1000170608taxmap/pub17/p17-006.htm#en_us_publink1000170610If a child has to file a tax return but cannot sign the return,
the child's parent, guardian, or another legally responsible person must sign
the child's name, followed by the words "By (your signature), parent for minor
child."
taxmap/pub17/p17-006.htm#en_us_publink1000170611Generally, anyone you pay to prepare, assist in preparing, or
review your tax return must sign it and fill in the other blanks, including
their Preparer Tax Identification Number (PTIN), in the paid preparer's area of
your return.
A paid preparer can sign the return manually or use a rubber
stamp, mechanical device, or computer software program. The preparer is
personally responsible for affixing his or her signature to the return.
If the preparer is self-employed (that is, not employed by any
person or business to prepare the return), he or she should check the
self-employed box in the
Paid Preparer Use Only space on the return.
The preparer must give you a copy of your return in addition
to the copy filed with the IRS.
If you prepare your own return, leave this area blank. If another
person prepares your return and does not charge you, that person should not sign
your return.
If you have questions about whether a preparer must sign your
return, contact any IRS office.
taxmap/pub17/p17-006.htm#en_us_publink1000170612When you complete your return, you will determine if you paid
more income tax than you owed. If so, you can get a refund of the amount you
overpaid or, if you file Form 1040 or Form 1040A, you can choose to apply all or
part of the overpayment to your next year's (2011) estimated tax. You cannot
have your overpayment applied to your 2011 estimated tax if you file Form
1040EZ.
| If you choose to have a 2010 overpayment applied to your
2011 estimated tax, you cannot change your mind and have any of it refunded to
you after the due date (without extensions) of your 2010 return. |
Follow the form instructions to complete the entries to claim
your refund and/or to apply your overpayment to your 2011 estimated tax.
| If your refund for 2010 is large, you may want to decrease
the amount of income tax withheld from your pay in 2011. See
chapter 4 for more information.
|
 | Instead of getting a paper check, you may be able to have
your refund deposited directly into your checking or savings account, including
an individual retirement arrangement. Follow the form instructions to request
direct deposit.
|
If the direct deposit cannot be done, the IRS will send a check
instead.
taxmap/pub17/p17-006.htm#en_us_publink1000250805You can request a deposit of your refund to a TreasuryDirect®
online account to buy U.S. Treasury marketable securities and savings bonds. For
more information, go to
www.treasurydirect.gov.
If you choose direct deposit, you may be able to split the refund
and have it deposited among two or three accounts or you can use it to buy up to
$5,000 in paper series I savings bonds. Complete Form 8888, Allocation of Refund
(Including Savings Bond Purchases), and attach it to your return.
taxmap/pub17/p17-006.htm#en_us_publink1000170618If your overpayment is less than one dollar, you will not get
a refund unless you ask for it in writing.
taxmap/pub17/p17-006.htm#en_us_publink1000170619Cash your tax refund check soon after you receive it. Checks
not cashed within 12 months of the date they are issued will be canceled and the
proceeds returned to the IRS.
If your check has been canceled, you can apply to the IRS to
have it reissued.
taxmap/pub17/p17-006.htm#en_us_publink1000170620If you receive a check for a refund you are not entitled to,
or for an overpayment that should have been credited to estimated tax, do not
cash the check. Call the IRS.
If you receive a check for more than the refund you claimed,
do not cash the check until you receive a notice explaining the difference.
If your refund check is for less than you claimed, it should
be accompanied by a notice explaining the difference. Cashing the check does not
stop you from claiming an additional amount of refund.
If you did not receive a notice and you have any questions about
the amount of your refund, you should wait 2 weeks. If you still have not
received a notice, call the IRS.
taxmap/pub17/p17-006.htm#en_us_publink1000170621If you are due a refund but have not paid certain amounts you
owe, all or part of your refund may be used to pay all or part of the past-due
amount. This includes past-due federal income tax, other federal debts (such as
student loans), state income tax, and child and spousal support payments. You
will be notified if the refund you claimed has been offset against your debts.
taxmap/pub17/p17-006.htm#en_us_publink1000170622When a joint return is filed and only one spouse owes a past-due
amount, the other spouse can be considered an injured spouse. An injured spouse
should file Form 8379, Injured Spouse Allocation, if both of the following apply
and the spouse wants a refund of his or her share of the overpayment shown on
the joint return.
- You are not legally obligated to pay the past-due amount.
- You made and reported tax payments (such as federal income
tax withheld from your wages or estimated tax payments), or claimed a refundable
tax credit (see the credits listed under
Who Should File, earlier).
Note.If the injured spouse's residence was in a community property
state at any time during the tax year, then the injured spouse must only meet
(1) above.
If you have not filed your joint return and you know that your
joint refund will be offset, file Form 8379 with your return. You should receive
your refund within 14 weeks from the date the paper return is filed or within 11
weeks from the date the return is filed electronically.
If you filed your joint return and your joint refund was offset,
file Form 8379 by itself. When filed after offset, it can take up to 8 weeks to
receive your refund. Do not attach the previously filed tax return, but do
include copies of all Forms W-2 and W-2G for both spouses and any Forms 1099
that show income tax withheld. The processing of Form 8379 may be delayed if
these forms are not attached, or if the form is incomplete when filed.
A separate Form 8379 must be filed for each tax year to be considered.
| An injured spouse claim is different from an innocent spouse
relief request. An injured spouse uses Form 8379 to request the division of the
tax overpayment attributed to each spouse. An innocent spouse uses Form 8857,
Request for Innocent Spouse Relief, to request relief from joint liability for
tax, interest, and penalties on a joint return for items of the other spouse (or
former spouse) that were incorrectly reported on the joint return. For
information on innocent spouses, see
Relief from joint responsibility under Filing a Joint Return in chapter 2.
|
taxmap/pub17/p17-006.htm#en_us_publink1000170626When you complete your return, you will determine if you have
paid the full amount of tax that you owe. If you owe additional tax, you should
pay it with your return.
If the IRS figures your tax for you, you will receive a bill
for any tax that is due. You should pay this bill within 30 days (or by the due
date of your return, if later). See
Tax Figured by IRS in chapter 30.
| If you do not pay your tax when due, you may have to pay
a failure-to-pay penalty. See
Penalties, later. For more information about your balance due, see
Publication 594, The IRS Collection Process.
|
| If the amount you owe for 2010 is large, you may want to
increase the amount of income tax withheld from your pay or make estimated tax
payments for 2011. See
chapter 4 for more information. |
taxmap/pub17/p17-006.htm#en_us_publink1000170632If you have an amount due on your tax return, you can pay by
check, money order, credit or debit card. If you filed electronically, you also
may be able to make your payment electronically.
| You do not have to pay if the amount you owe is less than
$1. |
taxmap/pub17/p17-006.htm#en_us_publink1000170634If you pay by check or money order, make it out to the "United
States Treasury." Show your correct name, address, SSN, daytime phone number,
and the tax year and form number on the front of your check or money order. If
you are filing a joint return, enter the SSN shown first on your tax return.
For example, if you file Form 1040 for 2010 and you owe additional
tax, show your name, address, SSN, daytime phone number, and "2010 Form 1040" on
the front of your check or money order. If you file an amended return (Form
1040X) for 2009 and you owe tax, show your name, address, SSN, daytime phone
number, and "2009 Form 1040X" on the front of your check or money order.
Enclose your payment with your return, but do not attach it to
the form. If you filed Form 1040 or Form 1040A, complete Form 1040-V, Payment
Voucher, and enclose it with your payment and return. Although you do not have
to use Form 1040-V, doing so allows us to process your payment more accurately
and efficiently. Follow the instructions that come with the form.
Do not mail cash with your return. If you pay cash at an IRS
office, keep the receipt as part of your records.
taxmap/pub17/p17-006.htm#en_us_publink1000170635If your check, money order, or any other commercial instrument
for payment is not honored by your bank (or other financial institution) and the
IRS does not receive the funds, you still owe the tax. In addition, you may be
subject to a dishonored payment penalty.
taxmap/pub17/p17-006.htm#en_us_publink1000170636Electronic payment options are convenient, safe, and secure methods
for paying individual income taxes. There's no check to write, money order to
buy, or voucher to mail. Payments can be made 24 hours a day, 7 days a week.
taxmap/pub17/p17-006.htm#en_us_publink1000170637For information on paying your taxes with a credit or debit card,
go to
www.irs.gov/e-pay.
You can
e-file
and pay in a single step by authorizing an electronic funds withdrawal from your
checking or savings account. If you select this payment option, you will need to
have your account number, your financial institution's routing transit number,
and account type (checking or savings). You can schedule the payment for any
future date up to and including the return due date.
| Be sure to check with your financial institution to make
sure that an electronic funds withdrawal is allowed and to get the correct
routing and account numbers. |
taxmap/pub17/p17-006.htm#en_us_publink1000170644EFTPS is a free tax payment system that all individual and business
taxpayers can use. You can make payments online or by phone.
Here are just a few of the benefits of this easy-to-use system.
- Convenient and flexible. You can use it to schedule payments
in advance. For example, you can schedule estimated tax payments (Form 1040-ES)
or installment agreement payments weekly, monthly, or quarterly.
- Fast and accurate. You can make a tax payment in minutes.
Because there are verification steps along the way, you can check and review
your information before sending it.
- Safe and secure. It offers the highest available levels of
security. Every transaction receives an immediate confirmation.
For more information or details on enrolling, visit
www.irs.gov/e-pay or
www.eftps.gov
or call EFTPS Customer Service at 1-800-316-6541 (individual) or 1-800-555-4477
(business). TTY/TDD help is available by calling 1-800-733-4829.
Do not include any 2011 estimated tax payment in the payment
for your 2010 income tax return. See
chapter 4 for information on how to pay estimated tax.
Interest is charged on tax you do not pay by the due date of
your return. Interest is charged even if you get an extension of time for
filing.
| If the IRS figures your tax for you, interest cannot start
earlier than the 31st day after the IRS sends you a bill. For information, see
Tax Figured by IRS in chapter 30.
|
taxmap/pub17/p17-006.htm#en_us_publink1000170650Interest is charged on the failure-to-file penalty, the accuracy-related
penalty, and the fraud penalty from the due date of the return (including
extensions) to the date of payment. Interest on other penalties starts on the
date of notice and demand, but is not charged on penalties paid within 21
calendar days from the date of the notice (or within 10 business days if the
notice is for $100,000 or more).
taxmap/pub17/p17-006.htm#en_us_publink1000170651All or part of any interest you were charged can be forgiven
if the interest is due to an unreasonable error or delay by an officer or
employee of the IRS in performing a ministerial or managerial act.
A ministerial act is a procedural or mechanical act that occurs
during the processing of your case. A managerial act includes personnel
transfers and extended personnel training. A decision concerning the proper
application of federal tax law is not a ministerial or managerial act.
The interest can be forgiven only if you are not responsible
in any important way for the error or delay and the IRS has notified you in
writing of the deficiency or payment. For more information, see Publication 556,
Examination of Returns, Appeal Rights, and Claims for Refund.
Interest and certain penalties may also be suspended for a limited
period if you filed your return by the due date (including extensions) and the
IRS does not provide you with a notice specifically stating your liability and
the basis for it before the close of the 36-month period beginning on the later
of:
- The date the return is filed, or
- The due date of the return without regard to extensions.
For more information, see Publication 556.
If you cannot pay the full amount due with your return, you can
ask to make monthly installment payments for the full or a partial amount.
However, you will be charged interest and may be charged a late payment penalty
on the tax not paid by the date your return is due, even if your request to pay
in installments is granted. If your request is granted, you must also pay a fee.
To limit the interest and penalty charges, pay as much of the tax as possible
with your return. But before requesting an installment agreement, you should
consider other less costly alternatives, such as a bank loan.
To ask for an installment agreement, use Form 9465, Installment
Agreement Request. You should receive a response to your request within 30 days.
But if you file your return after March 31, it may take longer for a reply.
In addition to paying by check or money order, you can use a
credit or debit card or EFTPS to make installment agreement payments. See
How To Pay, earlier.
The IRS must agree to accept the full payment of your tax liability
in installments if, as of the date you offer to enter into the agreement:
- Your total taxes (not counting interest, penalties, additions
to the tax, or additional amounts) do not exceed $10,000,
- In the last 5 years, you (and your spouse if the liability
relates to a joint return) have not:
- Failed to file any required income tax return,
- Failed to pay any tax shown on any such return, or
- Entered into an installment agreement for the payment of
any income tax,
- You show you cannot pay your income tax in full when due,
- The tax will be paid in full in 3 years or less, and
- You agree to comply with the tax laws while your agreement
is in effect.
You may be able to apply online for a payment agreement if you
owe federal tax, interest, and penalties. If you have received a balance due
notice from the IRS and you cannot pay in full, you may request a payment
agreement. The OPA application allows you, or your authorized representative, to
self-qualify for and apply for a payment agreement, receive notification of
approval, and arrange a payment schedule.
To use the OPA application, you must have filed all required
tax returns. You should also have the following information available:
- Balance due notice from the IRS.
- Social security number or individual taxpayer identification
number.
- Personal identification number, which can be established online
using the caller identification number from the balance due notice.
For more information, go to IRS.gov, use the pull-down menu under "I need to..."
and select "Set Up a Payment Plan." If you just want to go to the OPA
application, click on it under the section on
Online Services.
taxmap/pub17/p17-006.htm#en_us_publink1000170657 | You can make a contribution (gift) to reduce debt held by
the public. If you wish to do so, make a separate check payable to "Bureau of
the Public Debt." Send your check to:
Bureau of the Public Debt
ATTN: Department G
P.O. Box 2188
Parkersburg, WV 26106-2188.
Or, enclose your separate check in the envelope with your
income tax return. Do not add this gift to any tax you owe.
|
You can deduct this gift as a charitable contribution on next
year's tax return if you itemize your deductions on Schedule A (Form 1040).
taxmap/pub17/p17-006.htm#en_us_publink1000170659After you have completed your return, fill-in your name and address
in the appropriate area of the Form 1040, Form 1040A, or Form 1040EZ.
| You must write your SSN in the spaces provided on your tax
return. |
taxmap/pub17/p17-006.htm#en_us_publink1000170664If your post office does not deliver mail to your street address
and you have a P.O. box, print your P.O. box number on the line for your present
home address instead of your street address.
taxmap/pub17/p17-006.htm#en_us_publink1000170665If your address is outside the United States or its possessions
or territories, enter the information on the line for "City, town or post
office, state, and ZIP code" in the following order:
- City,
- Province or state, and
- Name of foreign country. (Do not abbreviate the name of the
country.)
Follow the country's practice for entering the postal code.
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