The 2009 Media & Publications Survey begins on April 17, 2009. The survey will be administered between April 17 - June 5, 2009. Surveys will be distributed via the web, regular mail, and conducted over the phone. IRS is working with a contractor, ICF Macro, to administer the survey. If you are contacted, please participate, your input is very valuable and will be used to improve our products and services!

Caution - Change to the 2008 Schedule K-1 (Form 1041), Beneficiary's Share of Income, Deductions, Credits, etc.

If you downloaded the 2008 Schedule K-1 (Form 1041) before April 24, 2009, please note the following correction.

On page 4, under the instructions for Box 13, Code E. Basis of other investment credit property, the first sentence has been changed to read:

"This code is used to report the basis of property for figuring the energy credit, the qualifying advanced coal project credit, and the qualifying gasification project credit."

The corrected version of the 2008 Schedule K-1 (Form 1041), Beneficiary's Share of Income, Deductions, Credits, etc., is now available for download.

--27-APR-2009

Changes to 2009 Publication 51 (Circular A), Agricultural Employer's Tax Guide

If you downloaded 2009 Publication 51 (Circular A), Agricultural Employer's Tax Guide, before April 3, 2009, please note the following major changes.

• New tables for withholding and advance earned income credit (EIC) payments have been developed due to changes made to the tax law by the American Recovery and Reinvestment Act of 2009 (ARRA). The new tables can be found in Publication 15-T, New Wage Withholding and Advance Earned Income Credit Payment Tables (For Wages Paid Through December 2009).
• On page 14 in the Caution under the section titled How to figure the advance EIC payment, amounts previously reported as “$40,295” and “$43,415” now read “$35,463” and “$40,463,” respectively.
• On page 17 under How to deposit with a FTD coupon, three new paragraphs were added at the end of this section (page 18) to advise the Financial Agent cannot process foreign checks. If a check written on a foreign bank to pay a federal tax deposit is sent to the Financial Agent, generally you will be charged a deposit penalty and will receive a bill in the mail.

The updated version of Publication 51 (Circular A), Agricultural Employer's Tax Guide, is now available for download.

--23-APR-2009

--21-APR-2009

--21-APR-2009

--21-APR-2009

Table 4 of Publication 1542 (Rev. April 2009) incorporates updates to the federal per diem rates announced by the General Services Administration.  Beginning on April 1, 2009, maximum per diem rates have increased for certain locations in Idaho and Maryland, and the defined locality area for Columbia, SC, has expanded to include the county of Lexington.
 
Table 4 has also been revised to correct the maximum lodging rate per diem for Midland, MI (Midland County).  The correct rate is $93 for October 1, 2008 -- September 30, 2009.

--21-APR-2009

If you downloaded 2009 Publication 15 (Circular E), Employer's Tax Guide, before March 31, 2009, please note the following major changes.

• New tables for withholding and advance earned income credit (EIC) payments have been developed due to changes made to the tax law by the American Recovery and Reinvestment Act of 2009 (ARRA). The new tables can be found in Publication 15-T, New Wage Withholding and Advance Earned Income Credit Payment Tables (For Wages Paid Through December 2009).
• On page 11, the first sentence under Employee business expense reimbursements has been changed and now reads “A reimbursement or allowance arrangement is a system by which you pay the advances, reimbursements, and charges for your employees' business expenses.”
• On page 11 under Accountable plan:

a. The last sentence in item (1) has been changed and now reads “The reimbursement or advance must be paid for the expense and must not be an amount that would have been paid by the employee.”

b. Item (2) has been changed and now reads “They must substantiate these expenses to you within a reasonable period of time.”

c. Item (3) has been changed and now reads “They must return any amounts in excess of substantiated expenses within a reasonable period of time.”

• On page 20 in the Caution under the section titled How to figure the advance EIC payment, amounts previously reported as “$35,464” and “$38,584” now read “$35,463” and “$40,463,” respectively.
• On page 24 under How to deposit with a FTD coupon, three new paragraphs were added at the end of this section to advise the Financial Agent cannot process foreign checks. If a check written on a foreign bank to pay a federal tax deposit is sent to the Financial Agent, generally you will be charged a deposit penalty and will receive a bill in the mail.

The updated version of Publication 15 is now available for download.

--13-APR-2009

Effective April 1, 2009, employers are required to use the new tables for wage withholding and advance earned income credit (EIC) payments found in Publication 15-T.

Publication 15-T contains the following tables.

The Tables for Withholding on Distributions of Indian Gaming Profits to Tribal Members are unchanged and can still be found in Publication 15-A, Employer's Supplemental Tax Guide.

Publication 15-T is available for download.

--13-APR-2009

--13-APR-2009

--13-APR-2009

If you downloaded the 2008 Instructions for Form 4626 before April 8, 2009, please note the following changes.

Under the American Recovery and Investment Act of 2009, the term "private activity bond" does not include bonds issued after December 31, 2008, and before January 1, 2011. Therefore, for purposes of the alternative minimum tax, interest on such bonds is not a tax preference item. In addition, no adjusted current earnings (ACE) adjustment is needed for such interest. These changes affect corporations with fiscal tax years ending in 2009.

To reflect these changes, we have revised the instructions for line 2m of Form 4626 and the instructions for line 3 of the ACE Worksheet, which is included in the Instructions for Form 4626.

The revised version of the 2008 Instructions for Form 4626 is now available for download.

--11-APR-2009

When filing the 2008 Form 4136, Credit for Federal Tax Paid on Fuels, please note the following change:

The aviation fuel rates that were scheduled to change after March 30, 2009, have been extended. The aviation fuel rates are now scheduled to change after September 30, 2009. The second rates shown in the Rate column for lines 2a--2c, 5b, 5d, 8a, 8c, 8e, and 13c do not apply until October 1, 2009.

Figure your credit on Form 4136 using the first rate shown in the Rate column for fuels purchased or sold before October 1, 2009.

We expect Congress to take additional legislative action before October 1, 2009. To find out if additional legislation is enacted, monitor the news media or check back here for updates.

--11-APR-2009

--08-APR-2009

On page 20, under the heading Exclusion from wages, the first bullet point is updated based on a tax law change made with the enactment of the American Recovery and Reinvestment Act of 2009.

The first bullet point should be replaced with the following.

• For combined commuter highway vehicle transportation and transit passes:

  a. $120 per month for the months of January and February 2009 and

   b. $230 per month for the months of March through December 2009.

Publication 15-B, Employer's Tax Guide to Fringe Benefits, will not be revised at this time; however, the update will be reflected in a future revision.

--06-APR-2009

If you downloaded the 2008 Publication 527 before March 27, 2009, please note the following correction.

On page 23, the final sentence at the bottom of the right column under the heading, "Lines 25 and 26," should read as follows: "They also enter the loss on line 17 of their Form 1040."

The corrected 2008 version of Publication 527 is available for download.

--2-APR-2009

•  Differential wage payments.
•  Certain unemployment compensation.
•  Economic recovery payment to recipients of social security, supplemental social security, railroad retirement benefits, and veterans disability compensation or pension benefits.
•  Qualified small business stock.
•  Alternative minimum tax (AMT) exemption amount.
•  Tax on child's investment income.
•  Making work pay credit.
•  Hope education credit.
•  Qualified education expenses under a qualified tuition program (QTP).
•  Credit to certain government retirees.
•  Alternative fuel vehicle refueling property credit.
•  Credit for qualified plug-in electric vehicles.
•  Plug-in conversion credit.
•  Build America tax credit bonds.
•  First-time homebuyer credit.
•  Health coverage tax credit.
•  Retirement savings contributions credit (saver's credit).
•  Deduction for taxes paid on the purchase of new vehicles.
•  Earned income credit for three or more qualifying children.
•  Additional child tax credit. 
•  Required estimated tax payments for certain small businesses.
   
   For 2009, nonrefundable personal credits are still allowed against the AMT.

--31-MAR-2009

• On page 9, in the first paragraph under Does My Return Have To Be on Paper?, the second sentence has been changed to read “If your 2008 adjusted gross income (AGI) is $56,000 or less, you are eligible for Free File.”
• On page 14, under Signatures, item number 2 in the list has been changed to read “Absent from the United States for a continuous period of at least 60 days before the due date for filing your return, or.”
• On page 17, under What Records Should I Keep?, in the discussion of Copies of returns, the Tip has been changed to read ”If your main home, principal place of business, or tax records are located in a federally declared disaster area, the charge will be waived.”
• Also on page 17, under Change of Address, the last sentence of the second paragraph has been changed to read “If you are affected by a federally declared disaster, you may be able to change your address with the IRS orally.”
• On page 53 in the left column, Example 1 has been changed to read “You must report your tips received in September 2009 by October 13, 2009.  October 10th is a Saturday, and the 13th is the next day that is not a Saturday, Sunday, or legal holiday."

The corrected version of the 2008 Publication 17 is now available for download.

--24-MAR-2009

If you downloaded the 2009 Instructions for Form 1099-MISC before February 5, 2009, please note the following corrections.

Under What's New on page 1, Death benefits has been corrected and now reads:
 
Death benefits from nonqualified deferred compensation plans paid to the estate or beneficiary of a deceased employee are now reported on Form 1099-MISC instead of Form 1099-R.  Continue reporting death benefit payments from qualified plans on Form 1099-R.  See Deceased employee's wages on page 2.
 
The last paragraph under Deceased employee's wages on pages 2 and 3 has been corrected.  It now reads:
 
      Death benefits from nonqualified deferred compensation plans paid to the estate or beneficiary of a deceased employee are now reportable on Form 1099-MISC.  Do not report these death benefits on Form 1099-R.  However, if the benefits are from a qualified plan, continue reporting them on Form 1099-R.  See the Instructions for Forms 1099-R and 5498.
 
The corrected 2009 Instructions for  Form 1099-MISC (Rev. February 2009) are now available for download.

                                                                                                     --24-MAR-2009

If you downloaded Publication 957, Reporting Back Pay and Special Wage Payments to the Social Security Administration, before March 6, 2009, please note the following correction.

On page 10, under the column titled Description, the ninth row now reads:

The corrected version of Publication 957, Reporting Back Pay and Special Wage Payments to the Social Security Administration (Rev. January 2009), is now available for download.

--16-MAR-2009

The American Recovery and Reinvestment Act of 2009 (P.L. 111-5) increased the earned income credit for joint filers and for taxpayers with 3 or more qualifying children. This affects the 2009 Form W-5 and 2009 Formulario W-5(SP) because it increases the amount of adjusted gross income you can have and still receive the advance earned income credit if you are married filing jointly.

The paper and online versions of the forms will not be revised, but the Act affects the instructions as follows.

On page 1, in item 3 under Who is Eligible To Get Advance EIC Payments, the AGI amount of $38,583 for married filing jointly should be replaced with $40,463.

On page 2 of Form W-5 and page 3 of Formulario W-5(SP), question 3 should read:

3. Do you expect that your 2009 earned income and AGI will each be less than: $35,463 ($40,463 if married filing jointly) if you expect to have 1 qualifying child; $40,295 ($45,295 if married filing jointly) if you expect to have 2 qualifying children; or $43,279 ($48,279 if married filing jointly) if you expect to have 3 or more qualifying children?

On page 2 of Form W-5 and page 3 of Formulario W-5(SP), under the “Yes” answer to question 3, the AGI amount of $38,583 for married filing jointly should be replaced with $40,463.

--6-MAR-2009

If you downloaded Form 5405, First-Time Homebuyer Credit, before February 21, 2009, please note the following change.

The American Recovery and Reinvestment Act of 2009 (Public Law 111-5) changed the first-time homebuyer credit for homes purchased in 2009. The changes are included in a new revision of the 2008 Form 5405 (Rev. February 2009), which is now available for download.

--26-FEB-2009

Caution - Corrections to the 2008 Publication 554, Tax Guide for Seniors

If you downloaded the 2008 Publication 554 before February 12, 2009, please note the following corrections.

Reverse Mortgages has been moved from page 17 to page 18, and the last two sentences have been changed to read:

"Any interest (including original interest discount) accrued on a reverse mortgage is not deductible until you actually pay it, which is usually when you pay off the loan in full. Your deduction may be limited because a reverse mortgage loan generally is subject to the limit on home equity debt discussed in Publication 936, Home Mortgage Interest Deduction.”

The explanation of the standard deduction on pages 20 through 22 has been revised to reflect the higher standard deduction for real estate taxes and net disaster losses.

On page 24, the limits on the deduction for qualified long-term care premiums have been changed to read:

"a. Age 40 or under - $ 310.

b. Age 41 to 50 - $ 580.

c. Age 51 to 60 - $ 1,150.

d. Age 61 to 70 - $ 3,080.

e. Age 71 or over - $ 3,850.”

Additional changes were made to the following items.

• What's New on pages 1 and 2.
• The first paragraph under Filing Requirements on page 4.
• Information about the temporary waiver of the required minimum distribution rules for 2009 was added to pages 6 and 11.
• The first Caution on page 10 (previously on page 8).
• The discussion under Sale of home by surviving spouse (moved from page 16 to page 17).
• A discussion of certain tax benefits for the Kansas and Midwestern disaster areas was added on pages 6 and 30.

The corrected version of the 2008 Publication 554, Tax Guide for Seniors, is now available for download.

--26-FEB-2009

If you downloaded the 2008 Form 8801 before February 14, 2009, please note the following changes.

On page 2, Part II, line 22 has been corrected. It now states:

"Combine lines 18 through 21. If zero or less, enter -0- “

On page 2, Part II, line 24 has been corrected. It now states:

"Add lines 22 and 23. If zero, stop here and see instructions“

If you downloaded the 2008 Instructions for Form 8801 before February 21, 2009, please note the following change.

On page 4, the instruction for Line 24 has been revised to read:

"If line 24 is zero, you do not have a nonrefundable or refundable credit or a credit carryforward. Do not complete the rest of this form and do not file it."

The corrected versions of the 2008 Form 8801 and the 2008 Instructions for Form 8801 are now available for download.

--23-FEB-2009

Please note the following.

Qualified cash contributions paid after May 1, 2008, and before January 1, 2009, for relief efforts in one or more Midwestern disaster areas, are eligible for the temporary suspension of the charitable contribution limitations. A contemporaneous written acknowledgement must be obtained from the qualified charitable organization that the contribution was used (or will be used) for relief efforts in one or more Midwestern disaster areas.

This clarification affects page 11 of the Instructions for Form 1120, page 26 of the Instructions for Form 1120S, and page 29 of the Instructions for Form 1065.

The corrected versions of the following items are now available for download.

• 2008 Instructions for Form 1120.
• 2008 Instructions for Form 1120S.
• 2008 Instructions for Form 1065.

--03-FEB-2009

updated 17-FEB-2009

Caution - Correction to Instructions for Form 8918 Material Advisor Disclosure Statement (Rev. Oct. 2007)

On page 1, under the heading Who is a Material Advisor, second paragraph, the second and fourth bullet points contain an error. The word “expects” should be “expect” in each bullet point.

The second bullet point should be replaced with the following.

• A taxpayer who you know is or reasonably expect to be required to disclose the transaction under Regulations section 1.6011-4 because the transaction is or is reasonably expected to become a reportable transaction other than a listed transaction or transaction of interest.

The fourth bullet point should be replaced with the following.

• A material advisor who you know is or reasonably expect to be required to disclose the transaction under section 6111 because the transaction is or is reasonably expected to become a reportable transaction other than a listed transaction or transaction of interest.

The Instructions for Form 8918 will not be updated at this time; however, the correction will be reflected in a future revision.

--17-FEB-2009

Caution--Correction to the 2009 Form W-5, Earned Income Credit Advance Payment Certificate, and the 2009 Formulario W-5(SP), Certificado del Pago por Adelantado del Crédito por Ingreso del Trabajo

If you downloaded Form W-5 or Formulario W-5(SP) before January 30, 2009, please note the following changes.

On page 1, we added the following section:

What's New

Definition of qualifying child revised. The following changes have been made to the definition of a qualifying child.

• Your qualifying child must be younger than you.
• A child cannot be your qualifying child if he or she files a joint return, unless the return was filed only as a claim for refund.
• If the parents of a child can claim the child as a qualifying child but no parent so claims the child, no one else can claim the child as a qualifying child unless that person's AGI is higher than the highest AGI of any parent of the child.

On page 3 of Form W-5 and page 2 of Formulario W-5(SP), item 2 under Who Is a Qualifying Child? has been revised to read:

"The child is younger than you, and at the end of 2009, the child is under age 19, or a full-time student under age 24, or any age and permanently and totally disabled.”

The corrected versions of the 2009 Form W-5 (Rev. January 2009) and the 2009 Formulario W-5(SP) (Rev. January 2009) are available for download.

--02-FEB-2009

New Form 941-X and instructions are now available.

The IRS has created new forms and procedures for correcting employment tax errors, effective for errors discovered after December 31, 2008. The new forms will reduce the employer's burden in making and tracking adjustments and increase the IRS's ability to ensure employment tax compliance, while at the same time improving service to employers in the form of fewer notices and other contacts. Also, the IRS is simultaneously revising the process for claiming refunds. Form 941c is obsolete with respect to errors discovered after December 31, 2008. Instead, a new series of “X” forms will be used, similar to the way Form 1040X is used to correct Form 1040. These "X" forms will also be used by employers instead of Form 843, Claim for Refund or Request for Abatement, to request a refund or abatement of overreported employment taxes.

The first of the new forms, Form 941-X, Adjusted Employer’s QUARTERLY Federal Tax Return or Claim for Refund and its instructions are now available. Additional information about correcting employment taxes is also available.

Each new “X” form will correspond to, and relate line-by-line with, the employment tax return it is correcting. For example, an employer who discovers an underpayment or overpayment error on a previously filed Form 941 will file Form 941-X to make a correction.   We expect to make the remaining “X” forms available online in February 2009. These new “X” forms will correspond with:

• Form 943, Employer’s Annual Federal Tax Return for Agricultural Employees;
• Form 944, Employer’s ANNUAL Federal Tax Return;
• Form 945, Annual Return of Withheld Federal Income Tax
• Form CT-1, Employer's Annual Railroad Retirement Tax Return, and
• The Spanish versions of these forms—Forms 941-PR, 943-PR, 944-PR, and 944(SP).

Employers must file Form 941-X or the applicable “X” form when they discover (after December 31, 2008):

• Underreported employment taxes, and are making a payment.
• Overreported employment taxes, and want to apply the credit to the tax period in which the “X” form is filed or are requesting a refund or abatement of the overreported amount.

Note that the employer must file the “X” form by itself, not with its related employment tax return, and that a separate “X” form is required for each period being corrected.

--02-FEB-2009

Caution- Correction to the 2009 Form 1120-W, Estimated Tax for Corporations

If you downloaded the 2009 Form 1120-W, Estimated Tax for Corporations before January 30,2009, please note the following change.

On page 2, Part II, line 32 has been corrected. It now states:

"Subtract line 29 from Part I, line 1"

The corrected version of the 2009 Form 1120-W, Estimated Tax for Corporations is now available for download.

--30-JAN-2009

Caution — Correction to 2008 Instructions for Form 1040

On page 11, under Form 1099-INT, the correct place to report specified private activity bond interest reported in box 9 is Form 6251, line 12.

--13-JAN-2009

Caution — Change for Instructions for Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code (Rev. June 2006)

On page 4, under Where to File, the first address for regular mail delivery should be replaced with the following.

Internal Revenue Service

P.O. Box 12192

Covington, KY 41012-0192

The Instructions for Form 1023 will not be updated at this time; however, the correct address will be reflected in a future revision.

--08-JAN-2009

Caution - Changes for Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code (Rev. June 2006)

Changes for Form 1023 are necessary to comply with new regulations that eliminated the advance ruling process. Until Form 1023 is revised to reflect this change, please follow the directions on this change sheet when completing Part IX and Part X of Form 1023. For more information about the elimination of the advance ruling process, go to the Charities & Non-Profits tab.

Part IX - Financial Data

The instructions at the top of Part IX on page 9 of Form 1023 are now as follows:

For purposes of this schedule, years in existence refer to completed tax years.

• If in existence less than 5 years, complete the statement for each year in existence and provide projections of your likely revenues and expenses based on a reasonable and good faith estimate of your future finances for a total of:
  • 3 years of financial information if you have not completed one tax year, or
  • 4 years of financial information if you have completed one tax year.
• If in existence 5 or more years, complete the schedule for the most recent 5 tax years. You will need to provide a separate statement that includes information about the most recent 5 tax years because the data table in Part IX has not been updated to provide for a 5th year.

Part X - Public Charity Status

Do not complete line 6a on page 11 of Form 1023, and do not sign the form under heading “Consent Fixing Period of Limitations Upon Assessment of Tax Under Section 4940 of the Internal Revenue Code.” Only complete line 6b and line 7 on page 11 of Form 1023, if in existence 5 or more tax years.

Form 1023 Checklist

On page 28 under the last checkbox, the first address for regular mail delivery should be replaced with the following.

Internal Revenue Service

P.O. Box 12192

Covington, KY 41012-0192

Form 1023 will not be updated at this time; however, the correct address will be reflected in a future revision.

--08-JAN-2009

Annual Section 409A Deferrals Not Reportable on Form W-2 or Form 1099-MISC

Notice 2008-115 (in Internal Revenue Bulletin 2008-52, December 29, 2008) has modified the reporting requirements with regard to nonqualified deferred compensation (NQDC) plans under section 409A of the Internal Revenue Code.

Until the Treasury Department and the IRS issue further guidance, an employer is not required to report amounts deferred during the year under an NQDC plan subject to section 409A in box 12 of Form W-2 using code Y.

In addition, until the Treasury Department and the IRS issue further guidance, a payer is not required to report amounts deferred during the year under an NQDC plan subject to section 409A in box 15a of Form 1099-MISC.

Reporting requirements for income amounts under section 409A, in box 12 of Form W-2 using code Z and in box 15b of Form 1099-MISC, remain unchanged by this notice.

--08-JAN-2009

Clarifications to 2008 Instructions for Forms 1040, 1040A, and 1040EZ

The following clarifications apply to the 2008 Instructions for Forms 1040, 1040A, and 1040EZ. The paper and online versions of the instructions will not be revised.

On page 6 of the Form 1040 instructions, the tax relief described in "Tax relief for Midwestern disaster areas" applies to areas declared to be disaster areas by the President after May 19, 2008, and before August 1, 2008, as a result of severe storms, tornadoes, or flooding. For details, see Publication 4492-B (available early in 2009). This clarification also applies to the identical item on page 6 of the Form 1040A instructions and page 4 of the Form 1040EZ instructions.

On page 7 of the Form 1040 instructions, under "Allowance of certain personal credits against the AMT," the fifth bulleted item should read "Nonbusiness energy property credit."

On page 46 of the Form 1040 instructions, a taxpayer who is a member of a qualified joint venture that is a passive activity with rental real estate income not subject to self-employment tax should answer "Yes" to Question 4 of Step 2 and see Publication 596. In addition, this income should not be included on Worksheet B, Part 2, line 2b, on page 51 of the instructions. This also applies to the 2007 Instructions for Form 1040.

--08-JAN-2009

Notice — Final Release of Original Issue Discount (OID) Tables

The Internal Revenue Service has released the final original issue discount (OID) tables to include information received during November and December of 2008. The following changes have been made:

The 2008 tables are available in two formats text and PDF.

The 2008 OID tables in Microsoft Excel and HTML are available upon request at the following email address: Pub1212@irs.gov.

Prior year versions of the tables are also available.

2007	text	PDF
2006	text	PDF
2005	text	PDF
2004	text	PDF
2003	text	PDF

You can also download the compressed (zipped) versions of the tables for the following prior years: 2002, 2001, 2000, 1999, 1998, 1997, 1996, 1995, and 1994.

--07-JAN-2009

Caution — Correction to the 2008 Instructions for Schedule D (Form 1120S)

If you downloaded the Instructions for Schedule D (Form 1120S) before December 24, 2008, please note the following changes.

On page 1, we added the following "What's New" item:

"For tax years ending after March 31, 2008, an S corporation can elect to claim additional research and minimum tax credits against the built-in gains tax in lieu of claiming any additional first-year special depreciation allowance for eligible property. See the instructions for line 20 on page 4."

On page 4, we added instructions for line 20.

The corrected version of the Instructions for Schedule D (Form 1120S) is now available for download.

--24-DEC-2008

Caution — Correction to the 2009 Publication 15-B, Employer's Tax Guide to Fringe Benefits

If you downloaded the 2009 Publication 15-B, Employer's Tax Guide to Fringe Benefits, before December 18, 2008, please note the following change.
 
On page 19 under "Qualified Transportation Benefits," the first two sentences in the third paragraph have been changed to read as follows.

“Generally, you can exclude qualified transportation fringe benefits from an employee's wages even if you provide them in place of pay. However, qualified bicycle commuting reimbursements do not qualify for this exclusion.”

The corrected version of the 2009 Publication 15-B, Employer's Tax Guide to Fringe Benefits, is now available for download.

--23-DEC-2008

Caution — Correction to the 2008 Instructions for Form 940.

If you downloaded the 2008 Instructions for Form 940 before December 19, 2008, please note the following change.

On page 10 under Part 7: Sign Here, the paragraph that begins "Paid preparers" now includes the sentence "Paid preparers must sign paper returns with a manual signature."

The corrected version of the 2008 Instructions for Form 940 is now available for download.

--19-DEC-2008

Caution — Change to the 2009 Form 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments

If you downloaded the 2009 Form 1099-H before December 19, 2008, please note the following correction.
 
On page 5, under Need help?, the text "deleted hours of operation" was removed from the last sentence.
 
The corrected version of the 2009 Form 1099-H is now available for download.

--19-DEC-2008

Notice 1036 is Now Available

Notice 1036 includes the early release copies of the percentage method tables that will appear in Publication 15 (Circular E), Employer's Tax Guide (For use in 2009). The following tables will be effective for wages paid in 2009.

• Income tax withholding tables; percentage method.
• Advance earned income credit payment tables; percentage method.

Beginning with this revision of Notice 1036, only the percentage method tables are included in Notice 1036. Pub. 15 (Circular E) including the wage bracket tables will be available on the IRS website in December.

--17-DEC-2008

Caution — Correction to the 2008 Form 4797, Sales of Business Property

If you downloaded the 2008 Form 4797, Sales of Business Property before December 10, 2008, please note the following change.

On page 1, Part II, line 14, the reference to Form 4684 has been corrected. The correct line reference is: Net gain or loss from Form 4684, lines 37 and 44.

The corrected version of the 2008 Form 4797 Sales of Business Property , is now available for download.

--15-DEC-2008

Caution — Correction to Publication 509, Tax Calendars (For use in 2009)

If you downloaded Publication 509 (For use in 2009) before November 26, 2008, please note the following changes.

On page 3 under "Federal holidays," the date for Independence Day is changed to July 3. On page 11, Table 2 is changed to show July 6 as the due date for payroll dates June 27-30.

The corrected version of Publication 509, Tax Calendars (For use in 2009), is now available for download.

--01-DEC-2008

Caution — Change to Publication 541, Partnerships (Rev. April 2008)

If you downloaded Publication 541, Partnerships (Rev. April 2008) before November 20, 2008, please note the following correction.

On Page 3, in the last paragraph of the first column, under "Husband-wife partnership," the requirement listed in the second-bullet item regarding the filing status of the husband and wife should be "married filing jointly" (not "married filing separately").

The corrected version of Publication 541 is now available for download.

--01-DEC-2008

Election to Accelerate Minimum Tax and Research Credits in Lieu of Special Depreciation Allowance for 2007 Fiscal Years Ending After March 31, 2008

Section 3081 of the Housing and Economic Recovery Act of 2008 provides that a corporation can elect to accelerate its use of unused carryforwards of the minimum tax credit and the research credit from tax years beginning before 2006 and obtain a refundable credit in lieu of the special depreciation allowance on eligible qualified property. If the election is made, the corporation must do the following:

• Forego the special depreciation allowance for eligible qualified property acquired (including manufactured, constructed, or produced) after March 31, 2008, and placed in service generally before January 1, 2009, and
• Use the straight-line method of depreciation on such property.

Fiscal year 2007 corporations should not make the election and claim the refundable credit on their original return but rather on an amended return filed later. Corporations who intend to make the election and claim the refundable credit on an amended 2007 return can claim the special depreciation allowance deduction on their original 2007 return for eligible qualified property so long as such property is within a class of property for which the corporation did not make the election out of special depreciation allowance under section 168(k)(2)(D)(iii).

In general, eligible qualified property is qualified property under section 168(k)(2) that is acquired after March 31, 2008, and placed in service before January 1, 2009. For more information on eligible qualified property, see Revenue Procedure 2008-65.

Use the Worksheet for Calculating the Refundable Minimum Tax Credit and Research Credit Amounts to calculate the refundable minimum tax credit and research credit amounts.

--28-NOV-2008

Caution -- Change to the 2008 Publication 225, Farmer's Tax Guide

If you downloaded the 2008 Publication 225 before November 26, 2008, please note the following changes.

On pages 2 and 66 under "Federally declared disasters," item 2 of the numbered list has been changed to read as follows to reflect the correct line number for the worksheet:

"You can deduct a net disaster loss even if you do not itemize your deductions on Schedule A (Form 1040). You do this by completing Form 4684 and entering your net disaster loss on line 6 of the Standard Deduction Worksheet-Line 40 in the Form 1040 instructions."

The corrected version of the 2008 Publication 225, Farmer's Tax Guide, is now available for download.

--26-NOV-2008

Caution -- Change to the 2008 Instructions for Schedule SE (Form 1040), Self-Employment Tax

If you downloaded the 2008 Instructions for Schedule SE (Form 1040), Self-Employment Tax before November 20, 2008, please note the following change.

On page SE-2, under the paragraph heading "Rental real estate," the last three sentences have been deleted and the heading was modified to "Rental real estate business."

The corrected version of the 2008 Instructions for Schedule SE (Form 1040), is now available for download.

--22-NOV-2008

Caution -- Change to the 2008 Instructions for Schedule F (Form 1040), Profit or Loss From Farming

If you downloaded the 2008 Instructions for Schedule F (Form 1040), Profit or Loss From Farming, before November 21, 2008, please note the following changes.

On page F-1, under "What's New," the paragraph titled "Differential wage payment credit" has been deleted.

On page F-2, under "Other Schedules and Forms You May Have To File," the bullet item referencing Form 8932 has been deleted.

On page F-6, under "Line 24," the line numbers for the various salary and wage credits have been revised as follows.

• Form 5884, Work Opportunity Credit, line 2;
• Form 5884-A, Credits for Affected Midwestern Disaster Area Employers, lines 2 and 6;
• Form 8844, Empowerment Zone and Renewal Community Employment Credit, line 2;
• Form 8845, Indian Employment Credit, line 4; and
• Form 8861, Welfare-to-Work Credit, line 2.
• Form 8932 has been deleted from the list.

The corrected version of the 2008 Instructions for Schedule F (Form 1040), is now available for download.

--22-NOV-2008

Caution -- Change to the 2008 Schedule C (Form 1040), Profit or Loss From Business

If you downloaded the 2008 Schedule C (Form 1040), Profit or Loss From Business before November 21, 2008, please note the following changes.

On line 31 and line 32, the phrase "as a statutory employee" has been deleted from the first bullet.

The corrected version of the 2008 Schedule C (Form 1040), Profit or Loss From Business, is now available for download.

--22-NOV-2008

Caution -- Change to the 2008 Instructions for Schedule C (Form 1040), Profit or Loss From Business

If you downloaded the 2008 Instructions for Schedule C (Form 1040), Profit or Loss From Business before November 21, 2008, please note the following changes.

On Page C-1, under What's New, the paragraph titled "Differential wage payment credit" has been deleted.

On Page C-2, Form 8932 has been deleted from the list of Other Schedules and Forms You May Have To File.

On Page C-2, under Rental real estate business, the paragraph titled "Reporting exemption from self-employment tax" has been deleted.

On Page C-4, under Line 1, The paragraph titled "Qualified joint ventures reporting only rental real estate income" was added.

On Page C-7, under Line 26, the line numbers for the various salary and wage credits have been revised as follows.

• Form 5884, Work Opportunity Credit, line 2;
• Form 5884-A, Credits for Affected Midwestern Disaster Area Employers, lines 2 and 6;
• Form 8844, Empowerment Zone and Renewal Community Employment Credit, line 2;
• Form 8845, Indian Employment Credit, line 4; and
• Form 8861, Welfare-to-Work Credit, line 2.
• Form 8932 has been deleted from the list.

On Page C-7, under Line 31, the discussion on Rental real estate activity has moved to the next page.

On page C-7 under Line 31, the heading Statutory employees is changed to Statutory employees and qualified joint ventures

reporting only rental real estate income not subject to self-employment tax.

The corrected version of the 2008 Instructions for Schedule C (Form 1040), Profit or Loss From Business, is now available for download.

--22-NOV-2008

New Due Date for Furnishing Certain Information Returns to Recipients

Public Law 110-343, Division B, section 403, changed the due date for furnishing Copy B of certain information returns to recipients for returns required to be filed after 2008. The new due date is February 15 of the year following the calendar year for which the return is required to be filed. This change applies to Form 1099-B, Proceeds From Broker and Barter Exchange Transactions, and Form 1099-S, Proceeds From Real Estate Transactions. This change also applies to Form 1099-MISC, Miscellaneous Income, but only if substitute payments in lieu of dividends and tax-exempt interest or payments to attorneys are reported.

An incorrect due date is printed in the 2008 General Instructions for Forms 1099, 1098, 5498, and W-2G, and in the instructions on the reverse side of Copy C of the 2008 Forms 1099-B, 1099-MISC, and 1099-S. The correct due date for furnishing the 2008 Copy B to recipients is as follows.

• February 17, 2009, for Forms 1099-B and 1099-S.
• February 17, 2009, for Form 1099-MISC if substitute payments are reported in box 8 or gross proceeds paid to an attorney are reported in box 14. If no such payments are reported, February 2, 2009, remains the due date for furnishing Copy B of Forms 1099-MISC to recipients.

--05-NOV-2008

Life Insurance Companies

Rev. Rul. 2008-37 (Internal Revenue Bulletin 2008-28, July 14, 2008) requires life insurance companies to determine statutory reserves based on the annual statement that (1) is filed with the state of domicile, or (2) reflects the highest aggregate reserves for all states in which the life insurance company does business.

A life insurance company filing a 2007 Form 1120-L, U.S. Life Insurance Company Income Tax Return, on or after September 25,2008, is required to provide the following information as an attachment to the tax return.

• If the Form 1120-L is not electronically filed, a copy of the NAIC annual statement filed with the state of domicile and used as the basis for computing taxable income. If a different annual statement was used as the basis for computing taxable income, attach that annual statement to Form 1120-L.

• Corporations that do not file Schedule M-3 (Form 1120-L) with the Form 1120-L must attach a schedule that reconciles Form 1120-L with the annual statement used as the basis for computing taxable income reported on Form 1120-L.

• A statement that reconciles lines 1 through 6 of Schedule F to the annual statement used to prepare the tax return. If the annual statement used to prepare the tax return is different than the NAIC annual statement filed with the state of domicile, include a separate reconciliation of lines 1 through 6 of Schedule F to the annual statement filed with the state of domicile.

If a life insurance company has already filed its 2007 Form 1120-L, it is not required to file an amended tax return. However, it must provide the above information to the Internal Revenue Service upon request.

--25-SEP-2008

Caution — Change to Form 706, U.S. Estate Tax Return (Rev. August 2008)

If you downloaded the Form 706 (Rev. August 2008) before September 11, 2008, please note the following corrections.

On page 20, under Calculation of effective discount, in the second row, we corrected the calculation by inserting the mathematical symbol for division. It should read:

“($100.00 - $76.50) ÷ $100.00 = 23.50%”

On page 32, under Schedule Q, Part 2. Computation of Credit, item 1, we corrected the calculation by inserting the mathematical symbol for division.  It should read:

“1 Transferee's tax as apportioned (from worksheet, (line 7 ÷ line 8) x line 35 for each column).  .  .”

The corrected version of Form 706, U.S. Estate Tax Return (Rev. August 2008), is now available for download.

--18-SEP-2008

New Form 8931, Agricultural Chemical Security Credit, Released

Public Law 110-246, allows eligible agricultural businesses to claim a new general business credit, the agricultural chemical security credit, under new section 45O of the Internal Revenue Code. Eligible agricultural businesses are businesses that:

     (1) sell retail agricultural products (including specified agricultural chemicals) predominantly to farmers and ranchers; or

     (2) manufacture, formulate, distribute, or aerially apply specified agricultural chemicals.

Eligible agricultural businesses will claim the credit for qualified chemical security expenses on new Form 8931, Agricultural Chemical Security Credit. A qualified chemical security expense is any amount paid or incurred after May 22, 2008, by an eligible agricultural business for the purpose of protecting specified agricultural chemicals.

Fiscal year entities with a tax year beginning in 2007 and ending after May 22, 2008, with qualified agricultural chemical security expenditures paid or incurred during such tax year, can report the credit on their 2007 Form 3800, General Business Credit, by including it in the total reported on line 2. Write "ACSC" and the amount of the credit next to line 2. Fiscal year pass-through entities with such expenditures should also include a statement with Schedule K-1 indicating the applicable amount of the credit.

Form 8931 now available and may be filed with 2007 fiscal year returns and/or 2008 returns.

--12-SEP-2008

updated 10-NOV-2008

Caution — Change to the 2008 Form 1099-R, Distributions from Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc.

If you downloaded the 2008 Form 1099-R before August 26, 2008, please note the following correction.

In the instructions for Box 2b on page 5 of the form, Instructions for Recipient (Continued), the second- to-last sentence has been corrected to read as follows:

If you are an eligible retired public safety officer who elected to exclude from income distributions from your eligible plan used to purchase certain insurance premiums, the amount shown in box 2a has not been reduced by the exclusion amount.

The corrected version of the 2008 Form 1099-R is now available for download.

--03-SEP-2008

Caution — Error in Publication 179 (Circular PR), Guía Contributiva Federal Para Patronos Puertorriqueños

If you downloaded the 2008 Publication 179 before March 18, 2008, please note the following correction:

On page 17, the telephone number given in the fourth paragraph should read: "1-800-772-6270."

The corrected version of the 2008 Publication 179, Guía Contributiva Federal Para Patronos Puertorriqueños, is now available for download

--07-MAY-2008

Notice — Publication 553 is now available

Publication 553 has been posted and is now available online. A printed version will not be issued. Additonally, the information in the Publication 553 is available under Highlights of Recent Tax Changes on the Forms and Publications page and will be continuously updated throughout the year.

--07-APR-2008

Caution — Change to the 2007 Publication 590, Individual Retirement Arrangements (IRAs)

If you downloaded the 2007 Publication 590 before March 20, 2008, please note the following correction.

On page 63, in the last sentence of the "Example," there is a typographical error. The correct reduced Roth IRA contribution is $3,740.
 
The corrected version of the 2007 Publication 590, Individual Retirement Arrangements (IRAs), is now available for download.

--28-MAR-2008

Caution — Changes to the 2008 Form W-2, Form W-3 and the Instructions for Forms W-2 and W-3

If you downloaded the 2008 Form W-2, Form W-3 or the Instructions for Forms W-2 and W-3 before March 11, 2008, please note the following corrections to the due dates.

On Form W-2, page 10, under Due dates, the first two sentences should read, "Furnish Copies B, C, and 2 to the employee generally by February 2, 2009. File Copy A with the SSA by March 2, 2009."

On Form W-3, under When to File, the first sentence should read, "Mail any paper Forms W-2 under cover of this Form W-3 Transmittal by March 2, 2009."

In the Instructions for Forms W-2 and W-3 --

On page 3, under Furnishing Copies B, C, and 2 to employees, the first sentence should read, "Furnish Copies B, C, and 2 of Form W-2 to your employees, generally, by February 2, 2009."

On page 8, under Failure to file correct information returns by the due date, the third, fourth, and fifth sentences should read,

• "$15 per Form W-2 if you correctly file within 30 days (by March 31 if the due date is March 2); maximum penalty $75,000 per year ($25,000 for small businesses, defined later)".
• "$30 per Form W-2 if you correctly file more than 30 days after the due date but by August 3; maximum penalty $150,000 per year ($50,000 for small businesses).
• "$50 per Form W-2 if you file after August 3 or you do not file required Forms W-2; maximum penalty $250,000 per year ($100,000 for small businesses).

On page 8, under Exceptions to the penalty, the last bullet should read, "Filed corrections of these forms by August 3."

On page 8, under Failure to furnish correct payee statements, the second sentence should read, "The penalty applies if you fail to provide the statement by February 2, if you fail to include all information required to be shown on the statement, or if you include incorrect information on the statement." The last sentence of the second paragraph should read, "The penalty is not reduced for furnishing a correct statement by August 3.

The corrected version of the 2008 Form W-2, the 2008 Form W-3 and the 2008 Instructions for Forms W-2 and W-3 are now available for download.

--11-MAR-2008

Caution - Change to the 2007 Instructions for Form 8889, Health Savings Accounts (HSAs)

If you downloaded the 2007 Instructions for Form 8889 before March 3, 2008, please note the following changes.

The instructions for line 3, item 6, on page 4, were changed to clarify that married individuals age 55 or older with self-only HDHP coverage for the entire year are to enter their additional contribution amount on line 3.

The note following those instructions was also changed to clarify that married individuals with family HDHP coverage at anytime during the year are to enter their additional contribution amount on line 7.

The corrected version of the 2007 Instructions for Form 8889, Health Savings Accounts (HSAs), is now available for download.

--04-MAR-2008

Caution — Change to the 2008 Instructions for Forms W-2 and W-3

If you downloaded the 2008 Instructions for Forms W-2 and W-3 before February 16, 2008, please note the following correction.

On page 12, in the right column, the second sentence of the first paragraph should read: "Even though the 2008 limit for elective deferrals and designated Roth contributions is $15,500, the employer must separately report the actual amounts of $16,000 and $1,000 in box 12."

The corrected version of the 2008 Instructions for Forms W-2 and W-3, is now available for download.

--19-FEB-2008

Notice — Form 8918, Material Advisor Disclosure Statement, Now Available for Filing

Form 8918 was recently released and is to be filed by material advisors to satisfy their disclosure requirements under IRC section 6111 and to comply with the provisions of the recently published Regulations section 301.6111-3 (Treasury Decision 9351).

Form 8918 replaces Form 8264, Application for Registration of a Tax Shelter, and must be used for disclosures required to be filed after October 31, 2007. For disclosures required to be filed by October 31, 2007, material advisors may use either Form 8918 or Form 8264. For more information, see Notice 2007-85.

Form 8918, Material Advisor Disclosure Statement, and the Instructions for Form 8918 are now available for download.

--29-OCT-2007

Notice — New Chinese, Korean, Russian, and Vietnamese Tax Glossaries Available

The Virtual Translation Office of the Internal Revenue Service announces the release of five new publications designed to respond to the rapidly increasing demand for tax-related resources in languages other than English.

These glossaries of tax terminology were created to serve the needs of taxpayers in specific language communities in the United States and the professionals who assist them. They have been developed in cooperation with numerous professional translators and editors to establish uniformity in language usage in IRS tax products and to function as reference materials for these products.

Although the publications are not legal documents, it is the hope of the Internal Revenue Service that the glossaries will be useful to members of the Chinese, Korean, Russian, and Vietnamese communities in the United States in understanding IRS documents and clarifying tax-related issues.

  The new publications are now available for download.
 
     Publication 850 (EN/CN-S), English-Chinese (Simplified) Glossary of Words and Phrases
     Publication 850 (EN/CN-T), English-Chinese (Traditional) Glossary of Words and Phrases
     Publication 850 (EN/KR), English-Korean Glossary of Words and Phrases
     Publication 850 (EN/RU), English-Russian Glossary of Words and Phrases
     Publication 850 (EN/VN), English-Vietnamese Glossary of Words and Phrases

--24-OCT-2007

Notice — Enhancement of PDF fillable forms

Beginning October 25, 2004, we started posting new and revised fill-in tax forms (PDF - Portable Document Format) in our PDF directory with "document rights" enabled. The document rights feature provides Adobe Reader users the ability to save filled-in forms to their hard drive with their changes when using Version 5.1 or later of the Adobe Reader (formerly known as Adobe Acrobat Reader) software.

You may obtain the most current version of the freely-distributed Adobe Reader software at the Adobe website. A "rights-enabled" dialog box will be displayed when you open a fillable form in Adobe Reader.

Please note that these IRS forms do not support electronic filing. You must complete the form and mail it to the appropriate IRS address in accordance with that tax form's instructions. If you wish to file electronically (e-file), please visit the IRS e-file web page.

Caution: not all tax forms are fillable. Some forms, especially information returns such as the 1099 series, are displayed for illustration only. These forms must be filed by an employer either electronically or in OCR-scannable format. The instructions for those forms explain the filing options.

You can access the tax forms and PDF versions of the instructions on Forms and Publications download page.

-- 28-OCT-2005