Table of Contents
Who must file. Generally, the amount of income you can receive before you must file a return has been increased. See Table 1-1, Table 1-2, and Table 1-3 for the specific amounts.
Filing late. If you file your return more than 60 days after the due date or extended due date, the minimum penalty is the smaller of $135 (increased from $100) or 100% of the unpaid tax. See Civil Penalties, later.
Mailing your return. You may be mailing your return to a different address this year because the IRS has changed the filing location for several areas. If you received an envelope with your tax package, please use it. Otherwise, see Where Do I File , later in this chapter.
Alternative filing methods. Rather than filing a return on paper, you may be able to file electronically using IRS e-file. Create your own personal identification number (PIN) and file a completely paperless tax return. For more information, see Does My Return Have To Be on Paper , later.
Change of address. If you change your address, you should notify the IRS. See Change of Address , later, under What Happens After I File.
Enter your social security number. You must enter your social security number (SSN) in the spaces provided on your tax return. If you file a joint return, enter the SSNs in the same order as the names.
Direct deposit of refund. Instead of getting a paper check, you may be able to have your refund deposited directly into your account at a bank or other financial institution. See Direct Deposit under Refunds, later. If you choose direct deposit of your refund, you may be able to split the refund among two or three accounts.
Alternative payment methods. If you owe additional tax, you may be able to pay electronically. See How To Pay , later.
Installment agreement. If you cannot pay the full amount due with your return, you may ask to make monthly installment payments. See Installment Agreement , later, under Amount You Owe. You may be able to apply online for a payment agreement if you owe federal tax, interest, and penalties.
Automatic 6-month extension. You can get an automatic 6-month extension to file your tax return if, no later than the date your return is due, you file Form 4868, Application for Automatic Extension of Time To File U.S. Individual Income Tax Return. See Automatic Extension , later.
Service in combat zone. You are allowed extra time to take care of your tax matters if you are a member of the Armed Forces who served in a combat zone, or if you served in the combat zone in support of the Armed Forces. See Individuals Serving in Combat Zone , later, under When Do I Have To File.
Adoption taxpayer identification number. If a child has been placed in your home for purposes of legal adoption and you will not be able to get a social security number for the child in time to file your return, you may be able to get an adoption taxpayer identification number (ATIN). For more information, see Social Security Number , later.
Taxpayer identification number for aliens. If you or your dependent is a nonresident or resident alien who does not have and is not eligible to get a social security number, file Form W-7, Application for IRS Individual Taxpayer Identification Number, with the IRS. For more information, see Social Security Number , later.
Frivolous tax submissions. The IRS has published a list of positions that are identified as frivolous. The penalty for filing a frivolous tax return is $5,000. Also, the $5,000 penalty will apply to other specified frivolous submissions. For more information, see Civil Penalties , later.
This chapter discusses the following topics.
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Whether you have to file a return.
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Which form to use.
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How to file electronically.
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When, how, and where to file your return.
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What happens if you pay too little or too much tax.
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What records you should keep and how long you should keep them.
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How you can change a return you have already filed.
You must file a federal income tax return if you are a citizen or resident of the United States or a resident of Puerto Rico and you meet the filing requirements for any of the following categories that apply to you.
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Individuals in general. (There are special rules for surviving spouses, executors, administrators, legal representatives, U.S. citizens and residents living outside the United States, residents of Puerto Rico, and individuals with income from U.S. possessions.)
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Dependents.
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Certain children under age 19 or full-time students.
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Self-employed persons.
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Aliens.
The filing requirements for each category are explained in this chapter.
The filing requirements apply even if you do not owe tax.
Even if you do not have to file a return, it may be to your advantage to do so. See Who Should File, later. File only one federal income tax return for the year regardless of how many jobs you had, how many Forms W-2 you received, or how many states you lived in during the year. Do not file more than one original return for the same year, even if you have not gotten your refund or have not heard from the IRS since you filed.If you are a U.S. citizen or resident, whether you must file a return depends on three factors:
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Your gross income,
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Your filing status, and
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Your age.
To find out whether you must file, see Table 1-1, Table 1-2, and Table 1-3. Even if no table shows that you must file, you may need to file to get money back. (See Who Should File , later.)
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You were married, filing a separate return, and you lived with your spouse at any time during 2008; or
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Half of your social security benefits plus your other gross income is more than $25,000 ($32,000 if married filing jointly).
IF your filing status is... | AND at the end of 2008 you were...* |
THEN file a return if your gross income was at least...** |
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single | under 65 | $8,950 | |
65 or older | $10,300 | ||
married filing jointly*** | under 65 (both spouses) | $17,900 | |
65 or older (one spouse) | $18,950 | ||
65 or older (both spouses) | $20,000 | ||
married filing separately | any age | $3,500 | |
head of household | under 65 | $11,500 | |
65 or older | $12,850 | ||
qualifying widow(er) with | under 65 | $14,400 | |
dependent child | 65 or older | $15,450 |
* | If you were born on January 1, 1944, you are considered to be age 65 at the end of 2008. |
** | Gross income means all income you received in the form of money, goods, property, and services that is not exempt from tax, including any income from sources outside the United States (even if you may exclude part or all of it). Do not include any social security benefits unless (a) you are married filing a separate return and you lived with your spouse at any time during 2008 or (b) one-half of your social security benefits plus your other gross income is more than $25,000 ($32,000 if married filing jointly). If (a) or (b) applies, see the instructions for Form 1040 or 1040A or Publication 915 to figure the taxable part of social security benefits you must include in gross income. |
*** | If you did not live with your spouse at the end of 2008 (or on the date your spouse died) and your gross income was at least $3,500, you must file a return regardless of your age. |
You must file a final return for a decedent (a person who died) if both of the following are true.
For more information on rules for filing a decedent's final return, see Publication 559, Survivors, Executors, and Administrators.
If you are a U.S. citizen or resident living outside the United States, you must file a return if you meet the filing requirements. For information on special tax rules that may apply to you, see Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad. It is available at most U.S. embassies and consulates. Also see How To Get Tax Help in the back of this publication.
Generally, if you are a U.S. citizen and a resident of Puerto Rico, you must file a U.S. income tax return if you meet the filing requirements. This is in addition to any legal requirement you may have to file an income tax return for Puerto Rico.
If you are a resident of Puerto Rico for the entire year, gross income does not include income from sources within Puerto Rico, except for amounts received as an employee of the United States or a U.S. agency. If you receive income from Puerto Rican sources that is not subject to U.S. tax, you must reduce your standard deduction. As a result, the amount of income you must have before you are required to file a U.S. income tax return is lower than the applicable amount in Table 1-1 or Table 1-2. For more information, see Publication 570, Tax Guide for Individuals With Income From U.S. Possessions.
If you had income from Guam, the Commonwealth of the Northern Mariana Islands, American Samoa, or the U.S. Virgin Islands, special rules may apply when determining whether you must file a U.S. federal income tax return. In addition, you may have to file a return with the individual island government. See Publication 570 for more information.
If you are a dependent (one who meets the dependency tests in chapter 3), see Table 1-2 to find whether you must file a return. You also must file if your situation is described in Table 1-3.
If a child's only income is interest and dividends (including capital gain distributions and Alaska Permanent Fund dividends), the child was under age 19 at the end of 2008 or was a full-time student under age 24 at the end of 2008, and certain other conditions are met, a parent can elect to include the child's income on the parent's return. If this election is made, the child does not have to file a return. See Parent's Election To Report Child's Interest and Dividends in chapter 31.
You are self-employed if you:
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Carry on a trade or business as a sole proprietor,
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Are an independent contractor,
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Are a member of a partnership, or
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Are in business for yourself in any other way.
Self-employment can include work in addition to your regular full-time business activities, such as certain part-time work you do at home or in addition to your regular job.
You must file a return if your gross income is at least as much as the filing requirement amount for your filing status and age (shown in Table 1-1). Also, you must file Form 1040 and Schedule SE (Form 1040), Self-Employment Tax, if:
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Your net earnings from self-employment (excluding church employee income) were $400 or more, or
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You had church employee income of $108.28 or more. (See Table 1-3.)
Use Schedule SE (Form 1040) to figure your self-employment tax. Self-employment tax is comparable to the social security and Medicare tax withheld from an employee's wages. For more information about this tax, see Publication 334, Tax Guide for Small Business.
Table 1-2.2008 Filing Requirements for Dependents
See chapter 3 to find out if someone can claim you as a dependent.
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If your parents (or someone else) can claim you as a dependent, and any of the situations below apply to you, you must file a return. (See Table 1-3 for other situations when you must file.) | ||||
In this table, earned income includes salaries, wages, tips, and professional fees. It also includes taxable scholarship and fellowship grants. (See Scholarships and fellowships in chapter 12.) Unearned income includes investment-type income such as taxable interest, ordinary dividends, and capital gain distributions. It also includes unemployment compensation, taxable social security benefits, pensions, annuities, cancellation of debt, and distributions of unearned income from a trust. Gross income is the total of your earned and unearned income. | ||||
Single dependents—Were you either age 65 or older or blind? | ||||
□ | No. | You must file a return if any of the following apply. | ||
• | Your unearned income was more than $900. | |||
• | Your earned income was more than $5,450. | |||
• | Your gross income was more than the larger of: | |||
• | $900, or | |||
• | Your earned income (up to $5,150) plus $300. | |||
□ | Yes. | You must file a return if any of the following apply. | ||
• | Your unearned income was more than $2,250 ($3,600 if 65 or older and blind). | |||
• | Your earned income was more than $6,800 ($8,150 if 65 or older and blind). | |||
• | Your gross income was more than the larger of: | |||
• | $2,250 ($3,600 if 65 or older and blind), or | |||
• | Your earned income (up to $5,150) plus $1,650 ($3,000 if 65 or older and blind). | |||
Married dependents—Were you either age 65 or older or blind? | ||||
□ | No. | You must file a return if any of the following apply. | ||
• | Your unearned income was more than $900. | |||
• | Your earned income was more than $5,450. | |||
• | Your gross income was at least $5 and your spouse files a separate return and itemizes deductions. | |||
• | Your gross income was more than the larger of: | |||
• | $900, or | |||
• | Your earned income (up to $5,150) plus $300. | |||
□ | Yes. | You must file a return if any of the following apply. | ||
• | Your unearned income was more than $1,950 ($3,000 if 65 or older and blind). | |||
• | Your earned income was more than $6,500 ($7,550 if 65 or older and blind). | |||
• | Your gross income was at least $5 and your spouse files a separate return and itemizes deductions. | |||
• | Your gross income was more than the larger of: | |||
• | $1,950 ($3,000 if 65 or older and blind), or | |||
• | Your earned income (up to $5,150) plus $1,350 ($2,400 if 65 or older and blind). |
Your status as an alien—resident, nonresident, or dual-status—determines whether and how you must file an income tax return.
The rules used to determine your alien status are discussed in Publication 519, U.S. Tax Guide for Aliens.
Even if you do not have to file, you should file a federal income tax return to get money back if any of the following conditions apply.
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You had federal income tax withheld from your pay or made estimated tax payments.
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You qualify for the earned income credit. See chapter 36 for more information.
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You qualify for the additional child tax credit. See chapter 34 for more information.
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You qualify for the health coverage tax credit. See chapter 37 for more information.
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You qualify for the refundable credit for prior year minimum tax.
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You qualify for the recovery rebate credit. See chapter 37 for more information.
You must use one of three forms to file your return: Form 1040EZ, Form 1040A, or Form 1040. (But also see Does My Return Have To Be on Paper , later.)
See the discussion under Form 1040 for when you must use that form.Form 1040EZ is the simplest form to use.
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Your filing status is single or married filing jointly. If you were a nonresident alien at any time in 2008, your filing status must be married filing jointly.
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You (and your spouse if married filing a joint return) were under age 65 and not blind at the end of 2008. If you were born on January 1, 1944, you are considered to be age 65 at the end of 2008.
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You do not claim any dependents.
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Your taxable income is less than $100,000.
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Your income is only from wages, salaries, tips, unemployment compensation, Alaska Permanent Fund dividends, taxable scholarship and fellowship grants, and taxable interest of $1,500 or less.
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You did not receive any advance earned income credit (EIC) payments.
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You do not claim any adjustments to income, such as a deduction for IRA contributions or student loan interest.
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You do not claim any credits other than the earned income credit or the recovery rebate credit.
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You do not owe any household employment taxes on wages you paid to a household employee.
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You are not claiming the additional standard deduction for real estate taxes or disaster losses.
If you do not qualify to use Form 1040EZ, you may be able to use Form 1040A.
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Your income is only from wages, salaries, tips, IRA distributions, pensions and annuities, taxable social security and railroad retirement benefits, taxable scholarship and fellowship grants, interest, ordinary dividends (including Alaska Permanent Fund dividends), capital gain distributions, and unemployment compensation.
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Your adjustments to income are for only the following items.
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Your taxes are from only the following items.
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Tax Table.
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Alternative minimum tax. (See chapter 30.)
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Advance earned income credit (EIC) payments, if you received any. (See chapter 36.)
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Recapture of an education credit. (See chapter 35.)
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Form 8615, Tax for Certain Children Who Have Investment Income of More Than $1,800.
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You claim only the following tax credits.
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The credit for child and dependent care expenses. (See chapter 32.)
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The credit for the elderly or the disabled. (See chapter 33.)
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The child tax credit. (See chapter 34.)
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The additional child tax credit. (See chapter 34.)
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The education credits. (See chapter 35.)
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The retirement savings contributions credit. (See chapter 37.)
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The earned income credit. (See chapter 36.)
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The recovery rebate credit.
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You did not have an alternative minimum tax adjustment on stock you acquired from the exercise of an incentive stock option. (See Publication 525, Taxable and Nontaxable Income.)
If you cannot use Form 1040EZ or Form 1040A, you must use Form 1040. You can use Form 1040 to report all types of income, deductions, and credits.
You may have received Form 1040A or Form 1040EZ in the mail because of the return you filed last year. If your situation has changed this year, it may be to your advantage to file Form 1040 instead. You may pay less tax by filing Form 1040 because you can take itemized deductions, some adjustments to income, and credits you cannot take on Form 1040A or Form 1040EZ.
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Your taxable income is $100,000 or more.
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You itemize your deductions.
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You had income that cannot be reported on Form 1040EZ or Form 1040A, including tax-exempt interest from private activity bonds issued after August 7, 1986.
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You claim any adjustments to gross income other than the adjustments listed earlier under Form 1040A.
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Your Form W-2, box 12, shows uncollected employee tax (social security and Medicare tax) on tips (see chapter 6) or group-term life insurance (see chapter 5).
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You received $20 or more in tips in any 1 month and did not report all of them to your employer. (See chapter 6.)
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You were a bona fide resident of Puerto Rico and exclude income from sources in Puerto Rico.
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You claim any credits other than the credits listed earlier under Form 1040A.
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You owe the excise tax on insider stock compensation from an expatriated corporation.
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Your Form W-2 shows an amount in box 12 with a code Z.
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You had a qualified health savings account funding distribution from your IRA.
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You are an employee and your employer did not withhold social security and Medicare tax.
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You have to file other forms with your return to report certain exclusions, taxes, or transactions.
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You are a debtor in a bankruptcy case filed after October 16, 2005.
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You have a net disaster loss attributable to a federally declared disaster, even if you are claiming the standard deduction.
If any of the four conditions listed below apply, you must file a return, even if your income is less than the amount shown in Table 1-1 or Table 1-2. | ||
1. | You owe any special taxes, including any of the following. | |
• • • • • • • • • • • • • • • • |
Social security or Medicare tax on tips you did not report to your employer. (See chapter 6.) Social security or Medicare tax on wages you received from an employer who did not withhold these taxes. Uncollected social security, Medicare, or railroad retirement tax on tips you reported to your employer. (See chapter 6.) Uncollected social security, Medicare, or railroad retirement tax on your group-term life insurance. This amount should be shown in box 12 of your Form W-2. Alternative minimum tax. (See chapter 30.) Additional tax on a qualified retirement plan, including an individual retirement arrangement (IRA). (See chapter 17.) Additional tax on an Archer MSA or health savings account. (See Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans.) Additional tax on a Coverdell ESA or qualified tuition program. (See Publication 970, Tax Benefits for Education.) Recapture of an investment credit or a low-income housing credit. (See the Instructions for Form 4255, Recapture of Investment Credit, or Form 8611, Recapture of Low-Income Housing Credit.) Recapture tax on the disposition of a home purchased with a federally subsidized mortgage. (See chapter 15.) Recapture of the qualified electric vehicle credit. (See chapter 37.) Recapture of an education credit. (See chapter 35.) Recapture of the Indian employment credit. (See the Instructions for Form 8845, Indian Employment Credit.) Recapture of the new markets credit. (See Form 8874, New Markets Credit.) Recapture of alternative motor vehicle credit. (See Form 8910, Alternative Motor Vehicle Credit.) Household employment taxes. (See Schedule H (Form 1040), Household Employment Taxes.) |
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2. | You received any advance earned income credit (EIC) payments from your employer. This amount should be shown in box 9 of your Form W-2. (See chapter 36.) | |
3. | You had net earnings from self-employment of at least $400. (See Self-Employed Persons earlier in this chapter.) | |
4. | You had wages of $108.28 or more from a church or qualified church-controlled organization that is exempt from employer social security and Medicare taxes. (See Publication 334.) |
You may be able to file a paperless return using IRS e-file (electronic filing). If your 2008 adjusted gross income (AGI) is $56,000 or less, you are eligible for Free File. If you do not qualify for Free File, then you should check out the Partners Page on www.irs.gov for low-cost e-file options.
Table 1-4Benefits of IRS e-file
• | Free File allows qualified taxpayers to prepare and e-file their own tax returns for free. |
• | Free File is available in English and Spanish. |
• | Free File is available online 24 hours a day, 7 days a week. |
• | Get your refund faster than paper filers do, in as little as 10 days with Direct Deposit. |
• | Sign electronically with a secure self-selected PIN number and file a completely paperless return. |
• | Receive an e-mailed proof of receipt within 48 hours after the IRS receives your return. |
• | If you owe, you can e-file and authorize an electronic funds withdrawal or pay by credit card. You can also file a return early and pay the amount you owe later. |
• | Save time by preparing and e-filing federal and state returns together. |
• | IRS computers quickly and automatically check for errors or other missing information. |
• | Help the environment, use less paper, and save taxpayer money—it costs less to process an e-filed return than a paper return. |
For more details, visit www.irs.gov/efile and click on “ Individual Taxpayers. ”
www.irs.gov/efile.
IRS approved tax preparation software is available for online use on the Internet, for download from the Internet, and in retail stores.
For information, visit our website at
www.irs.gov/efile.
Some businesses offer free e-file to their employees, members, or customers. Others offer it for a fee. Ask your employer or financial institution if they offer IRS e-file as an employee, member, or customer benefit.
Free help in preparing your return is available nationwide from IRS-trained volunteers. The Volunteer Income Tax Assistance (VITA) program is designed to help low to moderate income taxpayers and the Tax Counseling for the Elderly (TCE) program is designed to assist taxpayers age 60 or older with their tax returns. Many VITA sites offer free electronic filing and all volunteers will let you know about the credits and deductions you may be entitled to claim. To find a site near you, call 1-800-829-1040. Or to find the nearest AARP TaxAide site, visit AARP's website at www.aarp.org/taxaide or call 1-888-227-7669. For more information on these programs, go to www.irs.gov and enter keyword “VITA” in the upper right-hand corner.
April 15, 2009, is the due date for filing your 2008 income tax return if you use the calendar year. For a quick view of due dates for filing a return with or without an extension of time to file (discussed later), see Table 1-5.
Table 1-5. When To File Your 2008 Return
For U.S. citizens and residents who file returns on a calendar year.
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For Most Taxpayers | For Certain Taxpayers Outside the U.S. |
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No extension requested | April 15, 2009 | June 15, 2009 |
Automatic extension Form 4868 filed, or credit card payment made |
October 15, 2009 | October 15, 2009 |
If you use a fiscal year (a year ending on the last day of any month except December, or a 52-53-week year), your income tax return is due by the 15th day of the 4th month after the close of your fiscal year.
When the due date for doing any act for tax purposes—filing a return, paying taxes, etc.—falls on a Saturday, Sunday, or legal holiday, the due date is delayed until the next business day.
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DHL Express (DHL): DHL Same Day Service, DHL Next Day 10:30 am, DHL Next Day 12:00 pm, DHL Next Day 3:00 pm, and DHL 2nd Day Service.
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Federal Express (FedEx): FedEx Priority Overnight, FedEx Standard Overnight, FedEx 2Day, FedEx International Priority, and FedEx International First.
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United Parcel Service (UPS): UPS Next Day Air, UPS Next Day Air Saver, UPS 2nd Day Air, UPS 2nd Day Air A.M., UPS Worldwide Express Plus, and UPS Worldwide Express.
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April 15, 2009, if you use a calendar year, or
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The 15th day of the 4th month after the end of your fiscal year if you use a fiscal year.
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June 15, 2009, if you use a calendar year, or
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The 15th day of the 6th month after the end of your fiscal year, if you use a fiscal year.
You may be able to get an extension of time to file your return. Special rules apply for those who were:
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Outside the United States, or
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Serving in a combat zone.
If you cannot file your 2008 return by the due date, you may be able to get an automatic 6-month extension of time to file.
If you do not pay the tax due by the regular due date (generally, April 15), you will owe interest. You may also be charged penalties, discussed later.You are allowed an automatic 2-month extension (until June 15, 2009, if you use the calendar year) to file your 2008 return and pay any federal income tax due if:
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You are a U.S. citizen or resident, and
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On the due date of your return:
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You are living outside the United States and Puerto Rico, and your main place of business or post of duty is outside the United States and Puerto Rico, or
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You are in military or naval service on duty outside the United States and
Puerto Rico.
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However, if you pay the tax due after the regular due date (generally, April 15), interest will be charged from that date until the date the tax is paid.
If you served in a combat zone or qualified hazardous duty area, you may be eligible for a longer extension of time to file. See Individuals Serving in Combat Zone , later, for special rules that apply to you.
The deadline for filing your tax return, paying any tax you may owe, and filing a claim for refund is automatically extended if you serve in a combat zone. This applies to members of the Armed Forces, as well as merchant marines serving aboard vessels under the operational control of the Department of Defense, Red Cross personnel, accredited correspondents, and civilians under the direction of the Armed Forces in support of the Armed Forces.
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The Persian Gulf area, effective January 17, 1991.
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The qualified hazardous duty area of the Federal Republic of Yugoslavia (Serbia/Montenegro), Albania, the Adriatic Sea, and the Ionian Sea north of the 39th parallel, effective March 24, 1999.
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Afghanistan, effective September 19, 2001.
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The last day you are in a combat zone or the last day the area qualifies as a combat zone, or
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The last day of any continuous qualified hospitalization for injury from service in the combat zone.
This 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.
In most cases, based on the paper return you filed last year, the IRS will mail you Form 1040, Form 1040A, or Form 1040EZ with related instructions. Before you fill in the form, look at the form instructions to see if you need, or would benefit from filing, a different form this year. Also see if you need any additional forms or schedules. You may also want to read Does My Return Have To Be on Paper , earlier.
If you do not receive a tax return package in the mail, or if you need other forms, you can order them or print them from the Internet. See How To Get Tax Help in the back of this publication.
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Your name, address (including ZIP code), and phone number.
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Your SSN.
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Your dates of employment.
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Your employer's name, address (including ZIP code), and phone number.
You 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.
Most 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.
Your 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.
Example.
Alice 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.
You 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.
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You have a child living with you who was placed in your home for legal adoption.
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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.
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You cannot get an SSN for the child from the SSA because, for example, the adoption is not final.
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You are eligible to claim the child as a dependent on your tax return.
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You file a joint return,
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You file a separate return and claim an exemption for your spouse, or
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Your spouse is filing a separate return.
This 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.
The following information on entering numbers on your tax return may be useful in making the return easier to complete.
Depending 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.You can authorize the IRS to discuss your return with a friend, family member, or any other person you choose. If you check the “Yes” box in the Third party designee area of your 2008 tax return and provide the information required, you are authorizing:
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The IRS to call the designee to answer any questions that arise during the processing of your return, and
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The designee to
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Give information that is missing from your return to the IRS,
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Call the IRS for information about the processing of your return or the status of your refund or payments,
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Receive copies of notices or transcripts related to your return, upon request, and
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Respond to certain IRS notices about math errors, offsets (see Refunds , later), and return preparation.
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The authorization will automatically end no later than the due date (without any extensions) for filing your 2009 tax return. This is April 15, 2010 for most people.
See your form instructions for more information.
If you want to allow the paid preparer who signed your return to discuss it with the IRS, just enter “Preparer” in the space for the designee's name.You 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 e-file your return, you can use an electronic signature to sign your return. See Does My Return Have To Be on Paper, earlier.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.
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Unable to sign the return because of disease or injury,
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Absent from the United States for a continuous period of at least 60 days before the due date for filing your return, or
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Given permission to do so by the IRS office in your area.
Generally, anyone you pay to prepare, assist in preparing, or review your tax return must sign it and fill in the other blanks 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's 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.
When 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 (2009) estimated tax. You cannot have your overpayment applied to your 2009 estimated tax if you file Form 1040EZ.
If you choose to have a 2008 overpayment applied to your 2009 estimated tax, you cannot change your mind and have any of it refunded to you after the due date (without extensions) of your 2008 return.Follow the form instructions to complete the entries to claim your refund and/or to apply your overpayment to your 2009 estimated tax.
If your refund for 2008 is large, you may want to decrease the amount of income tax withheld from your pay in 2009. 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.
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You are not legally obligated to pay the past-due amount.
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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.
When 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 2008 is large, you may want to increase the amount of income tax withheld from your pay or make estimated tax payments for 2009. See chapter 4 for more information.If you have an amount due on your tax return, you can pay by check, money order, or credit 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.Service Providers |
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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.
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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.
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Safe and secure. It offers the highest available levels of security. Every transaction receives an immediate confirmation.
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.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:
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The date the return is filed, or
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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 card or EFTPS to make installment agreement payments. See Credit card and Electronic Federal Tax Payment System (EFTPS) , under How To Pay, earlier.
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Your total taxes (not counting interest, penalties, additions to the tax, or additional amounts) do not exceed $10,000,
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In the last 5 years, you (and your spouse if the liability relates to a joint return) have not:
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Failed to file any required income tax return,
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Failed to pay any tax shown on any such return, or
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Entered into an installment agreement for the payment of any income tax,
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You show you cannot pay your income tax in full when due,
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The tax will be paid in full in 3 years or less, and
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You agree to comply with the tax laws while your agreement is in effect.
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Balance due notice from the IRS.
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Social security number or individual taxpayer identification number.
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Personal identification number, which can be established online using the caller identification number from the balance due notice.
Bureau of the Public Debt
Department G
P.O. Box 2188
Parkersburg, WV 26106-2188.
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).
After you have completed your return, peel off the label with your name and address from the back of your tax return package and place it in the appropriate area of the Form 1040, Form 1040A, or Form 1040EZ you send to the IRS. If you have someone prepare your return, give that person your label to use on your tax return.
If you file electronically and you are required to attach or file certain forms or worksheets use the label on Form 8453. (More information on electronic filing is found earlier in this chapter.)
The label helps the IRS to correctly identify your account. It also saves processing costs and speeds up processing so that refunds can be issued sooner.
You must write your SSN in the spaces provided on your tax return.-
City,
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Province or state, and
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Name of foreign country. (Do not abbreviate the name of the country.)
After you complete your return, you must send it to the IRS. You can mail it or you may be able to file it electronically. See Does My Return Have To Be on Paper , earlier.
After you send your return to the IRS, you may have some questions. This section discusses concerns you may have about recordkeeping, your refund, and what to do if you move.
If you file a claim for refund, you must be able to prove by your records that you have overpaid your tax.
Note.
If you receive a Form W-2, keep Copy C until you begin receiving social security benefits. This will help protect your benefits in case there is a question about your work record or earnings in a particular year. Review the information shown on your annual (for workers over age 25) Social Security Statement.
You can request the following items.
You can go online to check the status of your 2008 refund 72 hours after IRS acknowledges receipt of your e-filed return, or 3 to 4 weeks after you mail a paper return. If you filed Form 8379 with your return, allow 14 weeks (11 weeks if you filed electronically) before checking your refund status. Be sure to have a copy of your 2008 tax return available because you will need to know the filing status, the first SSN shown on the return, and the exact whole-dollar amount of the refund. To check on your refund, do one of the following.
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Go to www.irs.gov, and click on “Where's My Refund.”
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Call 1-800-829-4477 24 hours a day, 7 days a week for automated refund information.
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Call 1-800-829-1954 during the hours shown in your form instructions.
If you are due a refund, you may get interest on it. The interest rates are adjusted quarterly.
If the refund is made within 45 days after the due date of your return, no interest will be paid. If you file your return after the due date (including extensions), no interest will be paid if the refund is made within 45 days after the date you filed. If the refund is not made within this 45-day period, interest will be paid from the due date of the return or from the date you filed, whichever is later.
Accepting a refund check does not change your right to claim an additional refund and interest. File your claim within the period of time that applies. See Amended Returns and Claims for Refund , later. If you do not accept a refund check, no more interest will be paid on the overpayment included in the check.
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You, or a person related to you, caused the erroneous refund in any way, or
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The refund is more than $50,000.
If you have moved, file your return using your new address.
If you move after you filed your return, you should give the IRS clear and concise written notification of your change of address. Send the notification to the Internal Revenue Service Center serving your old address. You can use Form 8822, Change of Address. If you are expecting a refund, also notify the post office serving your old address. This will help in forwarding your check to your new address (unless you chose direct deposit of your refund). If you are affected by a federally declared disaster, you may be able to change your address with the IRS orally.
Be sure to include your SSN (and the name and SSN of your spouse, if you filed a joint return) in any correspondence with the IRS.
Errors may delay your refund or result in notices being sent to you. If you discover an error, you can file an amended return or claim for refund.
You should correct your return if, after you have filed it, you find that:
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You did not report some income,
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You claimed deductions or credits you should not have claimed,
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You did not claim deductions or credits you could have claimed, or
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You should have claimed a different filing status. (Once you file a joint return, you cannot choose to file separate returns for that year after the due date of the return. However, an executor may be able to make this change for a deceased spouse.)
If you need a copy of your return, see Copies of returns under What Records Should I Keep, earlier in this chapter.
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Be in writing and signed,
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Include your name, address, SSN or ITIN, and other contact information,
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Identify and describe the contingencies affecting the claim,
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Clearly alert the IRS to the essential nature of the claim, and
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Identify the specific year(s) for which a refund is sought.
Example 1.
You made estimated tax payments of $500 and got an automatic extension of time to October 16, 2006, to file your 2005 income tax return. When you filed your return on that date, you paid an additional $200 tax. On October 15, 2009, you filed an amended return and claimed a refund of $700. Because you filed your claim within 3 years after you filed your original return, you can get a refund of up to $700, the tax paid within the 3 years plus the 6-month extension period immediately before you filed the claim.
Example 2.
The situation is the same as in Example 1, except you filed your return on October 30, 2006, 2 weeks after the extension period ended. You paid an additional $200 on that date. On October 29, 2009, you filed an amended return and claimed a refund of $700. Although you filed your claim within 3 years from the date you filed your original return, the refund was limited to $200, the tax paid within the 3 years plus the 6-month extension period immediately before you filed the claim. The estimated tax of $500 paid before that period cannot be refunded or credited.
Example.
You filed your 2005 tax return on April 17, 2006. You paid taxes of $500. On November 5, 2007, after an examination of your 2005 return, you had to pay an additional tax of $200. On May 12, 2009, you file a claim for a refund of $300. However, because you filed your claim more than 3 years after you filed your return, your refund will be limited to the $200 you paid during the 2 years immediately before you filed your claim.
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A statement from your qualified physician that includes:
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The name and a description of your physical or mental impairment,
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The physician's medical opinion that the impairment prevented you from managing your financial affairs,
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The physician's medical opinion that the impairment was or can be expected to result in death, or that its duration has lasted, or can be expected to last, at least 12 months,
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The specific time period (to the best of the physician's knowledge), and
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The following certification signed by the physician: “I hereby certify that, to the best of my knowledge and belief, the above representations are true, correct, and complete.”
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A statement made by the person signing the claim for credit or refund that no person, including your spouse, was authorized to act on your behalf in financial matters during the period of disability (or the exact dates that a person was authorized to act for you).
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Bad debt. (See Nonbusiness Bad Debts in chapter 14.)
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Worthless security. (See Worthless securities in chapter 14.)
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Foreign tax paid or accrued. (See Publication 514, Foreign Tax Credit for Individuals.)
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Net operating loss carryback. (See Publication 536, Net Operating Losses (NOLs) for Individuals, Estates, and Trusts.)
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Carryback of certain business tax credits. (See Form 3800, General Business Credit.)
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Claim based on an agreement with the IRS extending the period for assessment of tax.
The IRS provides a direct method to move your claim to court if:
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You are filing a claim for a credit or refund based solely on contested income tax or on estate tax or gift tax issues considered in your previously examined returns, and
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You want to take your case to court instead of appealing it within the IRS.
When you file your claim with the IRS, you get the direct method by requesting in writing that your claim be immediately rejected. A notice of claim disallowance will be sent to you.
You have 2 years from the date of mailing of the notice of claim disallowance to file a refund suit in the United States District Court having jurisdiction or in the United States Court of Federal Claims.
The law provides penalties for failure to file returns or pay taxes as required.
If you do not file your return and pay your tax by the due date, you may have to pay a penalty. You may also have to pay a penalty if you substantially understate your tax, understate a reportable transaction, file an erroneous claim for refund or credit, file a frivolous tax submission, or fail to supply your SSN or individual taxpayer identification number. If you provide fraudulent information on your return, you may have to pay a civil fraud penalty.
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You show negligence or disregard of the rules or regulations, or
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You substantially understate your income tax.
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Substantial authority, or
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Adequate disclosure and a reasonable basis.
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