2004 Instructions for Form 1040 (ALL) - Supreme Law Firm
2004 Instructions for Form 1040 (ALL) - Supreme Law Firm
2004 Instructions for Form 1040 (ALL) - Supreme Law Firm
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<strong>Form</strong> <strong>1040</strong>—Lines 7 and 8a<br />
less than $1,400 in <strong>2004</strong>. Also, enter • Disability pensions shown on <strong>Form</strong><br />
Income ‘‘HSH’’ and the amount not reported on 1099-R if you have not reached the mini-<br />
<strong>Form</strong> W-2 on the dotted line next to line 7. mum retirement age set by your employer.<br />
Foreign-Source Income • Tip income you did not report to your Disability pensions received after you<br />
You must report unearned income, such as employer. Also include allocated tips reach that age and other payments shown<br />
interest, dividends, and pensions, from shown on your <strong>Form</strong>(s) W-2 unless you can on <strong>Form</strong> 1099-R (other than payments from<br />
sources outside the United States unless exshould<br />
be shown in <strong>Form</strong>(s) W-2, box 8. Payments from an IRA are reported on<br />
prove that you received less. Allocated tips an IRA*) are reported on lines 16a and 16b.<br />
empt by law or a tax treaty. You must also<br />
report earned income, such as wages and They are not included as income in box 1. lines 15a and 15b.<br />
tips, from sources outside the United See Pub. 531 <strong>for</strong> more details.<br />
• Corrective distributions from a retire-<br />
States.<br />
ment plan shown on <strong>Form</strong> 1099-R of ex-<br />
You may owe social security cess salary deferrals, and excess<br />
If you worked abroad, you may be able and Medicare tax on unreported contributions (plus earnings). But do not<br />
to exclude part or all of your earned in- !<br />
or allocated tips. See the ininclude<br />
distributions from an IRA* on line<br />
CAUTION<br />
come. For details, see Pub. 54 and <strong>Form</strong><br />
structions <strong>for</strong> line 58 on<br />
2555 or 2555-EZ.<br />
7. Instead, report distributions from an IRA<br />
page 39.<br />
on lines 15a and 15b.<br />
Foreign retirement plans. If you were a • Dependent care benefits, which *This includes a Roth, SEP, or SIMPLE IRA.<br />
beneficiary of a <strong>for</strong>eign retirement plan, should be shown in <strong>Form</strong>(s) W-2, box 10.<br />
you may have to report the undistributed But first complete <strong>Form</strong> 2441 to see if you Were You a Statutory Employee?<br />
income earned in your plan. However, if may exclude part or all of the benefits.<br />
you were the beneficiary of a Canadian reg-<br />
If you were, the “Statutory employee” box<br />
istered retirement plan, see <strong>Form</strong> 8891 to • Employer-provided adoption benefits, in <strong>Form</strong> W-2, box 13, should be checked.<br />
find out if you can elect to defer tax on the<br />
which should be shown in <strong>Form</strong>(s) W-2, Statutory employees include full-time life<br />
undistributed income.<br />
box 12, with code T. But see the Instruc- insurance salespeople, certain agent or<br />
tions <strong>for</strong> <strong>Form</strong> 8839 to find out if you can commission drivers and traveling salespeexclude<br />
part or all of the benefits. You may ople, and certain homeworkers. If you have<br />
Report distributions from <strong>for</strong>eign pension<br />
plans on lines 16a and 16b.<br />
also be able to exclude amounts if you related business expenses to deduct, report<br />
adopted a child with special needs and the the amount shown in <strong>Form</strong> W-2, box 1, on<br />
Community Property States adoption became final in <strong>2004</strong>.<br />
Schedule C or C-EZ along with your ex-<br />
Community property states are Arizona, • Scholarship and fellowship grants not penses.<br />
Cali<strong>for</strong>nia, Idaho, Louisiana, Nevada, New reported on <strong>Form</strong> W-2. Also, enter “SCH”<br />
Mexico, Texas, Washington, and Wisconline<br />
7. However, if you were a degree can-<br />
and the amount on the dotted line next to Missing or Incorrect <strong>Form</strong> W-2?<br />
sin. If you and your spouse lived in a comdidate,<br />
include on line 7 only the amounts<br />
Your employer is required to provide or<br />
munity property state, you must usually<br />
you used <strong>for</strong> expenses other than tuition<br />
send <strong>Form</strong> W-2 to you no later than<br />
follow state law to determine what is comand<br />
course-related expenses. For example,<br />
January 31, 2005. If you do not receive it<br />
munity income and what is separate inamounts<br />
used <strong>for</strong> room, board, and travel<br />
by early February, use TeleTax topic 154<br />
come. For details, see Pub. 555.<br />
must be reported on line 7.<br />
(see page 8) to find out what to do. Even if<br />
you do not get a <strong>Form</strong> W-2, you must still<br />
Rounding Off to Whole<br />
• Excess salary deferrals. The amount report your earnings on line 7. If you lose<br />
deferred should be shown in <strong>Form</strong> W-2,<br />
Dollars your <strong>Form</strong> W-2 or it is incorrect, ask your<br />
box 12, and the “Retirement plan” box in employer <strong>for</strong> a new one.<br />
You may round off cents to whole dollars box 13 should be checked. If the total<br />
on your return and schedules. If you do amount you (or your spouse if filing<br />
round to whole dollars, you must round all jointly) deferred <strong>for</strong> <strong>2004</strong> under all plans<br />
amounts. To round, drop amounts under 50 was more than $13,000 (excluding Line 8a<br />
cents and increase amounts from 50 to 99 catch-up contributions as explained becents<br />
to the next dollar. For example, $1.39 low), include the excess on line 7. This Taxable Interest<br />
becomes $1 and $2.50 becomes $3. limit is increased to $16,000 <strong>for</strong> section Each payer should send you a <strong>Form</strong><br />
403(b) plans if you qualify <strong>for</strong> the 15-year<br />
If you have to add two or more amounts<br />
1099-INT or <strong>Form</strong> 1099-OID. Enter your<br />
rule in Pub. 571.<br />
to figure the amount to enter on a line,<br />
total taxable interest income on line 8a. But<br />
include cents when adding the amounts and A higher limit may apply to participants<br />
you must fill in and attach Schedule B if the<br />
round off only the total.<br />
in section 457(b) deferred compensation<br />
total is over $1,500 or any of the other<br />
plans <strong>for</strong> the 3 years be<strong>for</strong>e retirement age.<br />
conditions listed at the beginning of the<br />
Contact your plan administrator <strong>for</strong> more Schedule B instructions (see page B-1) apin<strong>for</strong>mation.<br />
ply to you.<br />
Line 7<br />
Wages, Salaries, Tips, etc.<br />
If you were age 50 or older at the end of<br />
<strong>2004</strong>, your employer may have allowed an<br />
Enter the total of your wages, salaries, tips, additional deferral (catch-up contributions)<br />
etc. If a joint return, also include your of up to $3,000 ($1,500 <strong>for</strong> SIMPLE plans).<br />
spouse’s income. For most people, the This additional deferral amount is not subamount<br />
to enter on this line should be ject to the overall limit on elective defershown<br />
in <strong>Form</strong>(s) W-2, box 1. But the fol- rals.<br />
lowing types of income must also be included<br />
in the total on line 7.<br />
You cannot deduct the amount<br />
• Wages received as a household em-<br />
deferred. It is not included as<br />
ployee <strong>for</strong> which you did not receive a<br />
!<br />
income in <strong>Form</strong> W-2, box 1.<br />
CAUTION<br />
<strong>Form</strong> W-2 because your employer paid you<br />
Interest credited in <strong>2004</strong> on deposits that<br />
you could not withdraw because of the<br />
bankruptcy or insolvency of the financial<br />
institution may not have to be included in<br />
your <strong>2004</strong> income. For details, see<br />
Pub. 550.<br />
If you get a <strong>2004</strong> <strong>Form</strong><br />
TIP 1099-INT <strong>for</strong> U.S. savings<br />
bond interest that includes<br />
amounts you reported be<strong>for</strong>e<br />
<strong>2004</strong>, see Pub. 550.<br />
-19- Need more in<strong>for</strong>mation or <strong>for</strong>ms? See page 7.