Federal Free Printable 2016 Instruction 1040 for 2017 Federal Form 1040 Instructional Booklet

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Form 1040 Instructional Booklet
2016 Instruction 1040

1040 THIS BOOKLET DOES NOT CONTAIN INSTRUCTIONS FOR ANY FORM 1040 SCHEDULES INSTRUCTIONS 2016 is the fast, safe, and free way to prepare and e-file your taxes. See IRS.gov/freefile. Get a faster refund, reduce errors, and save paper. For more information on IRS Free File and e-file, see Free Software Options for Doing Your Taxes in these instructions or go to IRS.gov/freefile. 2016 TAX CHANGES See What’s New in these instructions. FUTURE DEVELOPMENTS For the latest information about developments related to Form 1040 and its instructions, such as legislation enacted after they were published, go to IRS.gov/form1040. IRS Dec 15, 2016 Department of the Treasury Internal Revenue Service IRS.gov Cat. No. 24811V Table of Contents Contents Department of the Treasury Internal Revenue Service Page What's New . . . . . . . . . . . . . . . . . . . . . . . . 6 Filing Requirements . . . . . . . . . . . . . Do You Have To File? . . . . . . . . . When and Where Should You File? Where To Report Certain Items From 2016 Forms W-2, 1095, 1097, 1098, and 1099 . . . . . . . . . . . . 7 . . . . . 7 . . . . . 7 . . . . 10 Line Instructions for Form 1040 . . . . . . . . . 13 Name and Address . . . . . . . . . . . . . . . 13 Social Security Number (SSN) . . . . . . . 13 Presidential Election Campaign Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Filing Status . . . . . . . . . . . . . . . . . . . 14 Exemptions . . . . . . . . . . . . . . . . . . . . 15 Income . . . . . . . . . . . . . . . . . . . . . . . 21 Adjusted Gross Income . . . . . . . . . . . . 31 Tax and Credits . . . . . . . . . . . . . . . . . 38 Other Taxes . . . . . . . . . . . . . . . . . . . . 50 Payments . . . . . . . . . . . . . . . . . . . . . 53 -2- Contents Refund . . . . . . . . . . Amount You Owe . . . Third Party Designee . Sign Your Return . . . Assemble Your Return Page . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71 74 75 76 77 2016 Tax Table . . . . . . . . . . . . . . . . . . . . 78 General Information . . . . . . . . . . . . . . . . . 91 Refund Information . . . . . . . . . . . . . . . . . . 96 Tax Topics . . . . . . . . . . . . . . . . . . . . . . . 97 Disclosure, Privacy Act, and Paperwork Reduction Act Notice . . . . . . . . . . . . . 99 Order Form for Forms and Publications . . . 101 Major Categories of Federal Income and Outlays for Fiscal Year 2015 . . . . . . . 102 Index . . . . . . . . . . . . . . . . . . . . . . . . . . 104 The Taxpayer Advocate Service Is Here To Help You What is the Taxpayer Advocate Service? The Taxpayer Advocate Service (TAS) is an independent organization within the Internal Revenue Service (IRS) that helps taxpayers and protects taxpayer rights. Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights under the Taxpayer Bill of Rights. What can the Taxpayer Advocate Service do for you? We can help you resolve problems that you can’t resolve with the IRS. And our service is free. If you qualify for our assistance, your advocate will be with you at every turn and do everything possible. TAS can help you if: Your problem is causing financial difficulty for you, your family, or your business. You face (or your business is facing) an immediate threat of adverse action. You’ve tried repeatedly to contact the IRS but no one has responded, or the IRS hasn’t responded by the date promised. How can you reach us? We have offices in every state, the District of Columbia, and Puerto Rico. Your local advocate’s number is at www.TaxpayerAdvocate.irs.gov, at IRS.gov/advocate, and in your local directory. You can also call us at 1-877-777-4778. How can you learn about your taxpayer rights? The Taxpayer Bill of Rights describes ten basic rights that all taxpayers have when dealing with the IRS. Our Tax Toolkit at www.TaxpayerAdvocate.irs.gov can help you understand what these rights mean to you and how they apply. These are your rights. Know them. Use them. How else does the Taxpayer Advocate Service help taxpayers? TAS works to resolve large-scale problems that affect many taxpayers. If you know of one of these broad issues, please report it to us at IRS.gov/sams. Low Income Taxpayer Clinics Help Taxpayers Low Income Taxpayer Clinics (LITCs) are independent from the IRS. Some serve individuals whose income is below a certain level and who need to resolve a tax problem. These clinics provide professional representation before the IRS or in court on audits, appeals, tax collection disputes, and other issues for free or for a small fee. Some clinics provide information about taxpayer rights and responsibilities in many different languages for individuals who speak English as a second language. For more information, and to find a clinic near you, read the LITC page on IRS.gov/litc or IRS Publication 4134, Low Income Taxpayer Clinic List. You can also get this publication at your local IRS office or by calling 1-800-829-3676. Suggestions for Improving the IRS Taxpayer Advocacy Panel Have a suggestion for improving the IRS and do not know who to contact? The Taxpayer Advocacy Panel (TAP) is a diverse group of citizen volunteers who listen to taxpayers, identify taxpayers’ issues, and make suggestions for improving IRS service and customer satisfaction. The panel is demographically and geographically diverse, with at least one member from each state, the District of Columbia, and Puerto Rico. Contact TAP at www.improveirs.org or 1-888-912-1227 (toll-free). -3- Affordable Care Act — What You Need To Know Requirement To Reconcile Advance Payments of the Premium Tax Credit The premium tax credit helps pay premiums for health insurance purchased from the Marketplace. Eligible individuals may have advance payments of the premium tax credit made on their behalf directly to the insurance company. If you or a family member enrolled in health insurance through the Marketplace and advance payments of the premium tax credit were made to your insurance company to reduce your monthly premium payment, you must attach Form 8962 to your return to reconcile (compare) the advance payments with your premium tax credit for the year. The Marketplace is required to send Form 1095-A by January 31, 2017, listing the advance payments and other information you need to complete Form 8962. 1. You will need Form 1095-A from the Marketplace. 2. Complete Form 8962 to claim the credit and to reconcile your advance credit payments. 3. Include Form 8962 with your 1040, 1040A, or 1040NR. (Do not include Form 1095-A.) Health Coverage Individual Responsibility Payment Increased If you or someone in your household didn’t have qualifying health care coverage or qualify for a coverage exemption for one or more months of 2016, the amount of your shared responsibility payment may be larger this year than it was last year. For 2016, you must: A B OR C 8965 OR Report Health Care Coverage Claim a Coverage Exemption Make a Shared Responsibility Payment Check the Full-year coverage box on line 61 to indicate that you, your spouse (if filing jointly), and anyone you can or do claim as a dependent had qualifying health care coverage throughout 2016. Attach Form 8965 to claim an exemption from the requirement to have health care coverage. For more information, go to IRS.gov/form8965. Make a shared responsibility payment if, for any month in 2016, you, your spouse (if filing jointly), or anyone you can or do claim as a dependent didn’t have coverage and don’t qualify for a coverage exemption. For more information, go to IRS.gov/srp. Health Coverage Reporting • If you or someone in your family had health coverage in 2016, the provider of that coverage is required to send you a Form 1095-A, 1095-B, or 1095-C (with Part III completed), that lists individuals in your family who were enrolled in the coverage and shows their months of coverage. You may use this information to help complete line 61. You should receive the Form 1095-A by early February 2017 and Form 1095-B or 1095-C by early March 2017, if applicable. You do not need to wait to receive your Form 1095-B or 1095-C to file your return. You may rely on other information about your coverage to complete line 61. Do not include Form 1095-A, Form 1095-B, or Form 1095-C with your tax return. • If you or someone in your family was an employee in 2016, the employer may be required to send you a Form 1095-C. Part II of Form 1095-C shows whether your employer offered you health insurance coverage and, if so, information about the offer. You should receive Form 1095-C by early March 2017. This information may be relevant if you purchased health insurance coverage for 2016 through the Health Insurance Marketplace and wish to claim the premium tax credit on line 69. However, you do not need to wait to receive this form to file your return. You may rely on other information received from your employer. If you don’t wish to claim the premium tax credit for 2016, you don’t need the information in Part II of Form 1095-C. For more information on who is eligible for the premium tax credit, see the Instructions for Form 8962. -4- Free Software Options for Doing Your Taxes Why have 49 million Americans used Free File? • Security—Free File uses the latest encryption technology to safeguard your information. • Flexible Payments—File early; pay by April 18, 2017. • Greater Accuracy—Fewer errors mean faster processing. • Quick Receipt—Get an acknowledgment that your return was received and accepted. Go Green—Reduce the amount of paper used. • • It’s Free—through IRS.gov/freefile. • Faster Refunds—Join the eight in 10 taxpayers who get their refunds faster by using direct deposit and e-file. Do Your Taxes for Free If your adjusted gross income was $64,000 or less in 2016, you can use free tax software to prepare and e-file your tax return. Earned more? Use Free File Fillable Forms. Free File. This public-private partnership, between the IRS and tax software providers, makes approximately a dozen brand name commercial software products and e-file available for free. Seventy percent of the nation’s taxpayers are eligible. Just visit IRS.gov/freefile for details. Free File combines all the benefits of e-file and easy-to-use software at no cost. Guided questions will help ensure you get all the tax credits and deductions you are due. It’s fast, safe, and free. You can review each software provider’s criteria for free usage or use an online tool to find which free software products match your situation. Some software providers offer state tax return preparation for free. Free File Fillable Forms. The IRS offers electronic versions of IRS paper forms that also can be e-filed for free. Free File Fillable Forms is best for people experienced in preparing their own tax returns. There are no income limitations. Free File Fillable Forms does basic math calculations. It supports only federal tax forms. Free Tax Help Available Nationwide Volunteers are available in communities nationwide providing free tax assistance to low to moderate income (generally under $54,000 in adjusted gross income) and elderly taxpayers (age 60 and older). At selected sites, taxpayers can input and electronically file their own tax return with the assistance of an IRS-certified volunteer. See How To Get Tax Help near the end of these instructions for additional information or visit IRS.gov (Keyword: VITA) for a VITA/TCE site near you! IRS.gov is the gateway to all electronic services offered by the IRS, as well as the spot to download forms at IRS.gov/forms. Make your tax payments electronically—it’s easy. You can make electronic payments online, by phone, or from a mobile device. Paying electronically is safe and secure. The IRS uses the latest encryption technology and does not store the bank account number you use to submit your payment. When you use any of the IRS electronic payment options, it puts you in control of paying your tax bill and gives you peace of mind. You determine the payment date, and you will receive an immediate confirmation from the IRS. It’s easy, secure, and much quicker than mailing in a check or money order. Go to IRS.gov/payments to see all your electronic payment options. -5- What's New For information about any additional changes to the 2016 tax law or any other developments affecting Form 1040 or its instructions, go to IRS.gov/form1040. Due date of return. File Form 1040 by April 18, 2017. The due date is April 18, instead of April 15, because of the Emancipation Day holiday in the District of Columbia—even if you do not live in the District of Columbia. Service at local IRS offices by ap­ pointment. Many issues can be resolved conveniently on IRS.gov with no waiting. However, if you need help from an IRS Taxpayer Assistance Center (TAC) you need to call to schedule an appointment. Go to IRS.gov/taclocator to find the location and telephone number of your local TAC. Delayed refunds for returns claiming certain credits. Due to changes in the law, the IRS can’t issue refunds before February 15, 2017, for returns that claim the earned income credit or the additional child tax credit. This delay applies to the entire refund, not just the portion associated with these credits. Although the IRS will begin releasing refunds for returns that claim these credits on February 15, because of the time it generally takes banking or financial systems to process deposits, it is unlikely that your refund will arrive in your bank account or on a debit card before the week of February 27 (assuming your return has no processing issues and you elect direct deposit). If you filed your return before February 15, you can check Where’s My Re­ fund on IRS.gov (IRS.gov/refunds) a few days after February 15 for your projected deposit date. Where’s My Refund and the IRS2Go phone app remain the best ways to check the status of any refund. Delivery services. Eight delivery services have been added to the list of designated private delivery services. For the complete list see Private Delivery Serv­ ices. Cash payment option. There is a new option for taxpayers who want to pay their taxes in cash. For details, see Pay by Cash under Amount You Owe in the instructions for line 78. Educator expenses. You may be able to deduct certain expenses for professional development courses you have taken related to the curriculum you teach or to the students you teach. See the instructions for line 23. Olympic and Paralympic medals and USOC prize money. If you receive Olympic and Paralympic medals and United States Olympic Committee prize money, the value of the medals and the amount of the prize money may be nontaxable. See the instructions for line 21 for more information. Child tax credit and additional child tax credit may be disallowed. If you take the child tax credit or the additional child tax credit even though you aren’t eligible, you may not be able to take these credits for up to 10 years. For more information, see the Instructions for Schedule 8812. American opportunity credit may be disallowed. If you take the American opportunity credit even though you aren’t eligible, you may not be able to take this credit for up to 10 years. For more information, see the Instructions for Form 8863. Health coverage tax credit (HCTC). The HCTC is a tax credit that pays a percentage of health insurance premiums for certain eligible taxpayers and their qualifying family members. The HCTC is a separate tax credit with different eligibility rules than the premium tax credit. You may have received monthly advance payments of the HCTC beginning in July 2016. For information on how to report these payments or on the HCTC generally, see the Instructions for Form 8885. Get Transcript Online. The Get Transcript Online tool on IRS.gov is available again to get a copy of your tax transcripts and similar documents. To guard against fraud, you will now need to go through a two-step authentication process in order to use the online tool. For more information, go to IRS.gov/ transcript. -6- Electronic Filing PIN. Electronic Filing PIN, an IRS-generated PIN used to verify your signature on your self-prepared, electronic tax return, is no longer available. To validate your signature, you must use your prior-year adjusted gross income or prior-year self-select PIN. See Electronic Return Signatures, later. Individual taxpayer identification number (ITIN) renewal. If you were assigned an ITIN before January 1, 2013, or if you have an ITIN that you haven't included on a tax return in the last three consecutive years, you may need to renew it. For more information, see the Instructions for Form W-7. Personal exemption amount increased for certain taxpayers. Your personal exemption is increased to $4,050. But the amount is reduced if your adjusted gross income is more than $155,650 if married filing separately; $259,400 if single; $285,350 if head of household; or $311,300 if married filing jointly or qualifying widow(er). See the instructions for line 42. Limit on itemized deductions. You may not be able to deduct all of your itemized deductions if your adjusted gross income is more than $155,650 if married filing separately; $259,400 if single; $285,350 if head of household; or $311,300 if married filing jointly or qualifying widow(er). Standard deduction for head of household filing status. For 2016, the standard deduction for head of household filing status has increased to $9,300. The other standard deduction amounts are unchanged. Secure access. To combat identity fraud, the IRS has upgraded its identity verification process for certain self-help tools on IRS.gov. To find out what types of information new users will need, go to IRS.gov/secureaccess. Filing Requirements Do You Have To File? Use Chart A, B, or C to see if you must file a return. U.S. citizens who lived in or had income from a U.S. possession should see Pub. 570. Residents of Puerto Rico can use Tax Topic 901 to see if they must file. Even if you do not otherwise TIP have to file a return, you should file one to get a refund of any federal income tax withheld. You should also file if you are eligible for any of the following credits. Earned income credit. Additional child tax credit. American opportunity credit. Credit for federal tax on fuels. Premium tax credit. Health coverage tax credit. See Pub. 501 for details. Also see Pub. 501 if you do not have to file but received a Form 1099-B (or substitute statement). Requirement to reconcile advance payments of the premium tax credit. If you, your spouse with whom you are filing a joint return, or a dependent was enrolled in coverage through the Marketplace for 2016 and advance payments of the premium tax credit were made for this coverage, you must file a 2016 return and attach Form 8962. You (or whoever enrolled you) should have received Form 1095-A from the Marketplace with information about your coverage and any advance payments. You must attach Form 8962 even if someone else enrolled you, your spouse, or your dependent. If you are a dependent who is claimed on someone else's 2016 return, you do not have to attach Form 8962. Exception for certain children under age 19 or full­time students. If certain conditions apply, you can elect to include on your return the income of a These rules apply to all U.S. citizens, regardless of where they live, and resident aliens. Have you tried IRS e­file? It's the fastest way to get your refund and it's free if you are eligible. Visit IRS.gov for details. child who was under age 19 at the end of 2016 or was a full-time student under age 24 at the end of 2016. To do so, use Form 8814. If you make this election, your child doesn't have to file a return. For details, use Tax Topic 553 or see Form 8814. A child born on January 1, 1993, is considered to be age 24 at the end of 2016. Do not use Form 8814 for such a child. Resident aliens. These rules also apply if you were a resident alien. Also, you may qualify for certain tax treaty benefits. See Pub. 519 for details. Nonresident aliens and dual­status ali­ ens. These rules also apply if you were a nonresident alien or a dual-status alien and both of the following apply. You were married to a U.S. citizen or resident alien at the end of 2016. You elected to be taxed as a resident alien. See Pub. 519 for details. Specific rules apply to deter­ mine if you are a resident alien, CAUTION nonresident alien, or dual­sta­ tus alien. Most nonresident aliens and dual­status aliens have different filing requirements and may have to file Form 1040NR or Form 1040NR­EZ. Pub. 519 discusses these requirements and other information to help aliens comply with U.S. tax law. ! When and Where Should You File? File Form 1040 by April 18, 2017. (The due date is April 18, instead of April 15, because of the Emancipation Day holiday in the District of Columbia—even if you do not live in the District of Columbia.) If you file after this date, you may have to pay interest and penalties. See Interest and Penalties, later. If you were serving in, or in support of, the U.S. Armed Forces in a designa- -7- ted combat zone or contingency operation, you may be able to file later. See Pub. 3 for details. If you e­file your return, there is no need to mail it. However, if you choose to mail it, filing instructions and addresses are at the end of these instructions. What if You Can't File on Time? You can get an automatic 6-month extension if, no later than the date your return is due, you file Form 4868. For details, see Form 4868. Instead of filing Form 4868, you can apply for an automatic extension by making an electronic payment by the due date of your return. An automatic 6­month exten­ sion to file doesn't extend the CAUTION time to pay your tax. If you do not pay your tax by the original due date of your return, you will owe interest on the unpaid tax and may owe penalties. See Form 4868. ! If you are a U.S. citizen or resident alien, you may qualify for an automatic extension of time to file without filing Form 4868. You qualify if, on the due date of your return, you meet one of the following conditions. You live 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. You are in military or naval service on duty outside the United States and Puerto Rico. This extension gives you an extra 2 months to file and pay the tax, but interest will be charged from the original due date of the return on any unpaid tax. You must include a statement showing that you meet the requirements. If you are still unable to file your return by the end of the 2-month period, you can get an additional 4 months if, no later than June 15, 2017, you file Form 4868. This 4-month extension of time to file doesn't extend the time to pay your tax. See Form 4868. Private Delivery Services If you choose to mail your return, you can use certain private delivery services designated by the IRS to meet the "timely mailing treated as timely filing/ paying" rule for tax returns and payments. These private delivery services include only the following. DHL Express 9:00, DHL Express 10:30, DHL Express 12:00, DHL Express Worldwide, DHL Express Enve- lope, DHL Import Express 10:30, DHL Import Express 12:00, DHL Import Express Worldwide. UPS Next Day Air Early AM, 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. FedEx First Overnight, FedEx Priority Overnight, FedEx Standard Overnight, FedEx 2 Day, FedEx International Next Flight Out, FedEx International Priority, FedEx International First, and FedEx International Economy. For more information, go to IRS.gov and enter “private delivery service” in the search box. The search results will direct you to the IRS mailing address to use if you are using a private delivery service. You will also find any updates to the list of designated private delivery services. The private delivery service can tell you how to get written proof of the mailing date. Chart A—For Most People IF your filing status is . . . AND at the end of 2016 you were* . . . THEN file a return if your gross income** was at least . . . Single (see the instructions for line 1) under 65 65 or older $10,350 11,900 Married filing jointly*** (see the instructions for line 2) under 65 (both spouses) 65 or older (one spouse) 65 or older (both spouses) $20,700 21,950 23,200 Married filing separately (see the instructions for line 3) any age Head of household (see the instructions for line 4) under 65 65 or older $13,350 14,900 Qualifying widow(er) with dependent child (see the instructions for line 5) under 65 65 or older $16,650 17,900 $4,050 *If you were born on January 1, 1952, you are considered to be age 65 at the end of 2016. (If your spouse died in 2016 or if you are preparing a return for someone who died in 2016, see Pub. 501.) **Gross income means all income you received in the form of money, goods, property, and services that isn't exempt from tax, including any income from sources outside the United States or from the sale of your main home (even if you can 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 in 2016 or (b) one­half of your social security benefits plus your other gross income and any tax­exempt interest is more than $25,000 ($32,000 if married filing jointly). If (a) or (b) applies, see the instructions for lines 20a and 20b to figure the taxable part of social security benefits you must include in gross income. Gross income includes gains, but not losses, reported on Form 8949 or Schedule D. Gross income from a business means, for example, the amount on Schedule C, line 7, or Schedule F, line 9. But, in figuring gross income, do not reduce your income by any losses, including any loss on Schedule C, line 7, or Schedule F, line 9. ***If you didn't live with your spouse at the end of 2016 (or on the date your spouse died) and your gross income was at least $4,050, you must file a return regardless of your age. -8- Chart B—For Children and Other Dependents (See the instructions for line 6c to find out if someone can claim you as a dependent.) If your parent (or someone else) can claim you as a dependent, use this chart to see if you must file a return. In this chart, unearned income includes taxable interest, ordinary dividends, and capital gain distributions. It also includes unemployment compensation, taxable social security benefits, pensions, annuities, and distributions of unearned income from a trust. Earned income includes salaries, wages, tips, professional fees, and taxable scholarship and fellowship grants. Gross income is the total of your unearned and earned 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 over $1,050. Your earned income was over $6,300. Your gross income was more than the larger of— $1,050, or Your earned income (up to $5,950) plus $350. Yes. You must file a return if any of the following apply. Your unearned income was over $2,600 ($4,150 if 65 or older and blind). Your earned income was over $7,850 ($9,400 if 65 or older and blind). Your gross income was more than the larger of— $2,600 ($4,150 if 65 or older and blind), or Your earned income (up to $5,950) plus $1,900 ($3,450 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 over $1,050. Your earned income was over $6,300. 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— $1,050, or Your earned income (up to $5,950) plus $350. Yes. You must file a return if any of the following apply. Your unearned income was over $2,300 ($3,550 if 65 or older and blind). Your earned income was over $7,550 ($8,800 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— $2,300 ($3,550 if 65 or older and blind), or Your earned income (up to $5,950) plus $1,600 ($2,850 if 65 or older and blind). -9- Chart C—Other Situations When You Must File You must file a return if any of the five conditions below apply for 2016. 1. You owe any special taxes, including any of the following. a. Alternative minimum tax. b. Additional tax on a qualified plan, including an individual retirement arrangement (IRA), or other tax-favored account. But if you are filing a return only because you owe this tax, you can file Form 5329 by itself. c. Household employment taxes. But if you are filing a return only because you owe this tax, you can file Schedule H by itself. d. Social security and Medicare tax on tips you didn't report to your employer or on wages you received from an employer who didn't withhold these taxes. e. Recapture of first-time homebuyer credit. See the instructions for line 60b. f. Write-in taxes, including uncollected social security and Medicare or RRTA tax on tips you reported to your employer or on group-term life insurance and additional taxes on health savings accounts. See the instructions for line 62. g. Recapture taxes. See the instructions for lines 44, 60b, and line 62. 2. You (or your spouse, if filing jointly) received health savings account, Archer MSA, or Medicare Advantage MSA distributions. 3. You had net earnings from self-employment of at least $400. 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. 5. Advance payments of the premium tax credit were made for you, your spouse, or a dependent who enrolled in coverage through the Marketplace. You or whoever enrolled you should have received Form(s) 1095-A showing the amount of the advance payments. -10- Where To Report Certain Items From 2016 Forms W-2, 1095, 1097, 1098, and 1099 File electronically. You may be eligible for free tax software that will take the guesswork out of preparing your return. Free File makes available free brand-name software and free e­file. Visit IRS.gov/freefile for details. If any federal income tax withheld is shown on these forms, include the tax withheld on Form 1040, line 64. If any state or local income tax withheld is shown on these forms and you deduct state and local income taxes on Schedule A, line 5, include the tax withheld in your deduction on that line. Form Item and Box in Which It Should Appear Where To Report W-2 Wages, tips, other compensation (box 1) Form 1040, line 7 Allocated tips (box 8) See Wages, Salaries, Tips, etc. Dependent care benefits (box 10) Form 2441, Part III Adoption benefits (box 12, code T) Form 8839, line 20 Employer contributions to an Archer MSA (box 12, code R) Form 8853, line 1 Employer contributions to a health savings account (box 12, code W) Form 8889, line 9 Uncollected social security and Medicare or RRTA tax (box 12, code A, B, M, or N) See the instructions for Form 1040, line 62 W-2G Gambling winnings (box 1) Form 1040, line 21 (Schedule C or C-EZ for professional gamblers) 1095-A Advance payment of premium tax credit (line 33, column c) See Form 8962 and its instructions 1097-BTC Bond tax credit See Form 8912 and its instructions 1098 Mortgage interest (box 1) Schedule A, line 10, but first see the instructions on Form 1098* Refund of overpaid interest (box 4) Form 1040, line 21, but first see the instructions on Form 1098* Mortgage insurance premiums (box 5) See the instructions for Schedule A, line 13* Points (box 6) Schedule A, line 10, but first see the instructions on Form 1098* 1098-C Contributions of motor vehicles, boats, and airplanes Schedule A, line 17 1098-E Student loan interest (box 1) See the instructions for Form 1040, line 33* 1098-MA Homeowner mortgage payments (box 3) Schedule A, but first see the instructions on Form 1098-MA 1098-T Qualified tuition and related expenses (box 1) See the instructions for Form 1040, line 34, or Form 1040, line 50; but first see the instructions on Form 1098-T* 1099-A Acquisition or abandonment of secured property See Pub. 4681 1099-B Sales price of stocks, bonds, etc. (box 1d), cost or other basis (box 1e), and adjustments (boxes 1f and 1g) Form 8949 or Schedule D, whichever applies; see the Instructions for Form 8949 Aggregate profit or (loss) on contracts (box 11) Form 6781, line 1 Bartering (box 13) See Pub. 525 1099-C Canceled debt (box 2) See Pub. 4681 1099-DIV Total ordinary dividends (box 1a) Form 1040, line 9a Qualified dividends (box 1b) See the instructions for Form 1040, line 9b Total capital gain distributions (box 2a) Form 1040, line 13, or, if required, Schedule D, line 13 Unrecaptured section 1250 gain (box 2b) See the instructions for Schedule D, line 19 Section 1202 gain (box 2c) See Exclusion of Gain on Qualified Small Business (QSB) Stock in the instructions for Schedule D Collectibles (28%) gain (box 2d) See the instructions for Schedule D, line 18 Nondividend distributions (box 3) See the instructions for Form 1040, line 9a 1099-G Investment expenses (box 5) Schedule A, line 23 Foreign tax paid (box 6) Form 1040, line 48, or Schedule A, line 8; but first see the instructions for line 48 Exempt-interest dividends (box 10) Form 1040, line 8b Specified private activity bond interest dividends (box 11) Form 6251, line 12 Unemployment compensation (box 1) See the instructions for Form 1040, line 19 State or local income tax refunds, credits, or offsets (box 2) See the instructions for Form 1040, line 10, and if box 8 on Form 1099-G is checked, see the box 8 instructions RTAA payments (box 5) Form 1040, line 21 Taxable grants (box 6) Form 1040, line 21* Agriculture payments (box 7) See the Instructions for Schedule F or Pub. 225* Market gain (box 9) See the Instructions for Schedule F *If the item relates to an activity for which you are required to file Schedule C, C­EZ, E, or F or Form 4835, report the taxable or deductible amount allocable to the activity on that schedule or form instead. -11- Form Item and Box in Which It Should Appear 1099-INT Interest income (box 1) Where To Report See the instructions on Form 1099-INT Early withdrawal penalty (box 2) Form 1040, line 30 Interest on U.S. savings bonds and Treasury obligations (box 3) See the instructions on Form 1099-INT and the instructions for Form 1040, line 8a Investment expenses (box 5) Schedule A, line 23 Foreign tax paid (box 6) Form 1040, line 48, or Schedule A, line 8; but first see the instructions for line 48 Tax-exempt interest (box 8) Form 1040, line 8b Specified private activity bond interest (box 9) Form 6251, line 12 Market discount (box 10) Form 1040, line 8a Bond premium (box 11), bond premium on Treasury obligations (box 12), and bond premium on tax-exempt bond (box 13) See the instructions on Form 1099-INT and Pub. 550 1099-K Payment card and third party network transactions Schedule C, C-EZ, E, or F 1099-LTC Long-term care and accelerated death benefits See Pub. 525 and the Instructions for Form 8853 1099-MISC Rents (box 1) See the Instructions for Schedule E* Royalties (box 2) See the Instructions for Schedule E* (for timber, coal, and iron ore royalties, see Pub. 544)* Other income (box 3) Form 1040, line 21* Nonemployee compensation (box 7) Schedule C, C-EZ, or F; but if you were not self-employed, see the instructions on Form 1099-MISC Excess golden parachute payments (box 13) See the instructions for Form 1040, line 62 Other (boxes 5, 6, 8, 9, 10, 14, and 15b) See the instructions on Form 1099-MISC Original issue discount (box 1) Other periodic interest (box 2) See the instructions on Form 1099-OID 1099-OID 1099-PATR Early withdrawal penalty (box 3) Form 1040, line 30 Market discount (box 5) Form 1040, line 8a Acquisition premium (box 6) See the instructions on Form 1099-OID and Pub. 550 Original issue discount on U.S. Treasury obligations (box 8) See the instructions on Form 1099-OID Investment expenses (box 9) Schedule A, line 23 Bond premium (box 10) See the instructions on Form 1099-OID and Pub. 550 Patronage dividends and other distributions from a cooperative (boxes 1, 2, 3, and 5) Schedule C, C-EZ, or F or Form 4835; but first see the instructions on Form 1099-PATR Domestic production activities deduction (box 6) Form 8903, line 23 Credits and other deductions (boxes 7, 8, and 10) See the instructions on Form 1099-PATR Patron's AMT adjustment (box 9) Form 6251, line 27 1099-Q Qualified education program payments See the instructions for Form 1040, line 21 1099-QA Distributions from ABLE accounts See the instructions for line 21, Form 5329, and Pub. 907 1099-R Distributions from IRAs** See the instructions for Form 1040, lines 15a and 15b Distributions from pensions, annuities, etc. See the instructions for Form 1040, lines 16a and 16b Capital gain (box 3) See the instructions on Form 1099-R Disability income with code 3 in box 7 See the instructions for Form 1040, line 7 Gross proceeds from real estate transactions (box 2) Form 4797, Form 6252, Form 8824, or Form 8949 Buyer's part of real estate tax (box 5) See the instructions for Schedule A, line 6* Distributions from health savings accounts (HSAs) Form 8889, line 14a Distributions from MSAs*** Form 8853 SSA-1099 Social security benefits See the instructions for lines 20a and 20b RRB-1099 Railroad retirement benefits See the instructions for lines 20a and 20b 1099-S 1099-SA *If the item relates to an activity for which you are required to file Schedule C, C­EZ, E, or F or Form 4835, report the taxable or deductible amount allocable to the activity on that schedule or form instead. **This includes distributions from Roth, SEP, and SIMPLE IRAs. ***This includes distributions from Archer and Medicare Advantage MSAs. Need more information or forms? Visit IRS.gov. -12- Line Instructions for Form 1040 Name and Address Print or type the information in the spaces provided. If you are married filing a separate return, enter your spouse's name on line 3 instead of below your name. If you filed a joint return for TIP 2015 and you are filing a joint return for 2016 with the same spouse, be sure to enter your names and SSNs in the same order as on your 2015 return. Name Change If you changed your name because of marriage, divorce, etc., be sure to report the change to the Social Security Administration (SSA) before filing your return. This prevents delays in processing your return and issuing refunds. It also safeguards your future social security benefits. Address Change If you plan to move after filing your return, use Form 8822 to notify the IRS of your new address. P.O. Box Enter your box number only if your post office doesn't deliver mail to your home. Foreign Address If you have a foreign address, enter the city name on the appropriate line. Do not enter any other information on that line, but also complete the spaces below that line. Do not abbreviate the country name. Follow the country's practice for entering the postal code and the name of the province, county, or state. Death of a Taxpayer See Death of a Taxpayer under General Information, later. You may be eligible for free tax software that will take the guesswork out of preparing your return. Free File makes available free brand-name software and free e­file. Visit IRS.gov/freefile for details. Section references are to the Internal Revenue Code. signed before 2013 will expire according to an annual schedule, regardless of use. Expired ITINs must be renewed in order to avoid delays in processing your return. Social Security Number (SSN) An incorrect or missing SSN can increase your tax, reduce your refund, or delay your refund. To apply for an SSN, fill in Form SS-5 and return it, along with the appropriate evidence documents, to the Social Security Administration (SSA). You can get Form SS-5 online at www.socialsecurity.gov, from your local SSA office, or by calling the SSA at 1-800-772-1213. It usually takes about 2 weeks to get an SSN once the SSA has all the evidence and information it needs. Check that both the name and SSN on your Forms 1040, W-2, and 1099 agree with your social security card. If they do not, certain deductions and credits on your Form 1040 may be reduced or disallowed and you may not receive credit for your social security earnings. If your Form W-2 shows an incorrect SSN or name, notify your employer or the form-issuing agent as soon as possible to make sure your earnings are credited to your social security record. If the name or SSN on your social security card is incorrect, call the SSA. IRS Individual Taxpayer Identification Numbers (ITINs) for Aliens If you are a nonresident or resident alien and you do not have and are not eligible to get an SSN, you must apply for an ITIN. It takes about 7 weeks to get an ITIN. If you already have an ITIN, enter it wherever your SSN is requested on your tax return. Make sure your ITIN has not expired. ITINs that have not been included on a U.S. federal tax return at least once in the last three consecutive years will expire. In addition, ITINs that were as-13- An ITIN is for tax use only. It doesn't entitle you to social security benefits or change your employment or immigration status under U.S. law. For more information on ITINs, including application, expiration, and renewal, see Form W-7 and its instructions. If you receive an SSN after previously using an ITIN, stop using your ITIN. Use your SSN instead. Visit a local IRS office or write a letter to the IRS explaining that you now have an SSN and want all your tax records combined under your SSN. Details about what to include with the letter and where to mail it are at IRS.gov/ITINinfo. Nonresident Alien Spouse If your spouse is a nonresident alien, he or she must have either an SSN or an ITIN if: You file a joint return, You file a separate return and claim an exemption for your spouse, or Your spouse is filing a separate return. Presidential Election Campaign Fund 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. The fund also helps pay for pediatric medical research. 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 won't change. Need more information or forms? Visit IRS.gov. 2016 Form 1040—Lines 1 Through 4 Filing Status Check only the filing status that applies to you. The ones that will usually give you the lowest tax are listed last. Married filing separately. Single. Head of household. Married filing jointly. Qualifying widow(er) with dependent child. For information about marital status, see Pub. 501. More than one filing status can TIP apply to you. You can choose the one that will give you the lowest tax. Line 1 Single You can check the box on line 1 if any of the following was true on December 31, 2016. You were never married. You were legally separated according to your state law under a decree of divorce or separate maintenance. But if, at the end of 2016, your divorce wasn't final (an interlocutory decree), you are considered married and can't check the box on line 1. You were widowed before January 1, 2016, and didn't remarry before the end of 2016. But if you have a dependent child, you may be able to use the qualifying widow(er) filing status. See the instructions for line 5. Line 2 Married Filing Jointly You can check the box on line 2 if any of the following apply. You were married at the end of 2016, even if you didn't live with your spouse at the end of 2016. Your spouse died in 2016 and you didn't remarry in 2016. You were married at the end of 2016, and your spouse died in 2017 before filing a 2016 return. A married couple filing jointly report their combined income and deduct their combined allowable expenses on one return. They can file a joint return even if only one had income or if they didn't live together all year. However, both persons must sign the return. Once you file a joint return, you can't choose to file separate returns for that year after the due date of the return. Joint and several tax liability. If you file a joint return, both you and your spouse are generally responsible for the tax and interest or penalties due on the return. This means that if one spouse doesn't pay the tax due, the other may have to. Or, if one spouse doesn't report the correct tax, both spouses may be responsible for any additional taxes assessed by the IRS. You may want to file separately if: You believe your spouse isn't reporting all of his or her income, or You do not want to be responsible for any taxes due if your spouse doesn't have enough tax withheld or doesn't pay enough estimated tax. See the instructions for line 3. Also see Innocent Spouse Relief under General Information, later. Nonresident aliens and dual­status ali­ ens. Generally, a married couple can't file a joint return if either spouse is a nonresident alien at any time during the year. However, if you were a nonresident alien or a dual-status alien and were married to a U.S. citizen or resident alien at the end of 2016, you can elect to be treated as a resident alien and file a joint return. See Pub. 519 for details. Line 3 Married Filing Separately If you are married and file a separate return, you generally report only your own income, exemptions, deductions, and credits. Generally, you are responsible only for the tax on your own income. Different rules apply to people in community property states; see Pub. 555. However, you will usually pay more tax than if you use another filing status for which you qualify. Also, if you file a separate return, you can't take the student loan interest deduction, the tuition and fees deduction, the education credits, or the earned income credit. You also can't take the standard deduction if your spouse itemizes deductions. Be sure to enter your spouse's SSN or ITIN on Form 1040. If your spouse Need more information or forms? Visit IRS.gov. -14- doesn't have and isn't required to have an SSN or ITIN, enter “NRA.” You may be able to file as head TIP of household if you had a child living with you and you lived apart from your spouse during the last 6 months of 2016. See Married persons who live apart. Line 4 Head of Household This filing status is for unmarried individuals who provide a home for certain other persons. You are considered unmarried for this purpose if any of the following applies. You were legally separated according to your state law under a decree of divorce or separate maintenance at the end of 2016. But if, at the end of 2016, your divorce wasn't final (an interlocutory decree), you are considered married. You are married but lived apart from your spouse for the last 6 months of 2016 and you meet the other rules under Married persons who live apart. You are married to a nonresident alien at any time during the year and you do not choose to treat him or her as a resident alien. Check the box on line 4 only if you are unmarried (or considered unmarried) and either Test 1 or Test 2 applies. Test 1. You paid over half the cost of keeping up a home that was the main home for all of 2016 of your parent whom you can claim as a dependent on line 6c, except under a multiple support agreement (see the line 6c instructions). Your parent didn't have to live with you. Test 2. You paid over half the cost of keeping up a home in which you lived and in which one of the following also lived for more than half of the year (if half or less, see Exception to time lived with you). 1. Any person whom you can claim as a dependent on line 6c. But do not include: a. Your child whom you claim as your dependent because of the rule for Children of divorced or separated pa­ rents in the line 6c instructions, b. Any person who is your dependent only because he or she lived with you for all of 2016, or c. Any person you claimed as a dependent under a multiple support agreement. See the line 6c instructions. 2. Your unmarried qualifying child who isn't your dependent. 3. Your married qualifying child who isn't your dependent only because you can be claimed as a dependent on line 6c of someone else's 2016 return. 4. Your qualifying child who, even though you are the custodial parent, isn't your dependent because of the rule for Children of divorced or separated pa­ rents in the line 6c instructions. If the child isn't claimed as your dependent on line 6c, enter the child's name on line 4. If you do not enter the name, it will take us longer to process your return. Qualifying child. To find out if someone is your qualifying child, see Step 1 of the line 6c instructions. Dependent. To find out if someone is your dependent, see the instructions for line 6c. Exception to time lived with you. Temporary absences by you or the other person for special circumstances, such as school, vacation, business, medical care, military service, or detention in a juvenile facility, count as time lived in the home. Also see Kidnapped child in the line 6c instructions, if applicable. If the person for whom you kept up a home was born or died in 2016, you still may be able to file as head of household. If the person is your qualifying child, the child must have lived with you for more than half the part of the year he or she was alive. If the person is anyone else, see Pub. 501. Keeping up a home. To find out what is included in the cost of keeping up a home, see Pub. 501. If you used payments you received under Temporary Assistance for Needy Families (TANF) or other public assistance programs to pay part of the cost of keeping up your home, you can't count them as money you paid. However, you must include them in the total cost of keeping up your home to figure if you paid over half the cost. Married persons who live apart. Even if you were not divorced or legally separated at the end of 2016, you are consid- ered unmarried if all of the following apply. You lived apart from your spouse for the last 6 months of 2016. Temporary absences for special circumstances, such as for business, medical care, school, or military service, count as time lived in the home. You file a separate return from your spouse. You paid over half the cost of keeping up your home for 2016. Your home was the main home of your child, stepchild, or foster child for more than half of 2016 (if half or less, see Exception to time lived with you, earlier). You can claim this child as your dependent or could claim the child except that the child's other parent can claim him or her under the rule for Chil­ dren of divorced or separated parents in the line 6c instructions. Adopted child. An adopted child is always treated as your own child. An adopted child includes a child lawfully placed with you for legal adoption. Foster child. A foster child is any child placed with you by an authorized placement agency or by judgment, decree, or other order of any court of competent jurisdiction. Line 5 Qualifying Widow(er) With Dependent Child You can check the box on line 5 and use joint return tax rates for 2016 if all of the following apply. 1. Your spouse died in 2014 or 2015 and you didn't remarry before the end of 2016. 2. You have a child or stepchild you can claim as a dependent on line 6c. This doesn't include a foster child. 3. This child lived in your home for all of 2016. If the child didn't live with you for the required time, see Exception to time lived with you, later. 4. You paid over half the cost of keeping up your home. 5. You could have filed a joint return with your spouse the year he or she died, even if you didn't actually do so. If your spouse died in 2016, you can't file as qualifying widow(er) with de- -15- pendent child. Instead, see the instructions for line 2. Adopted child. An adopted child is always treated as your own child. An adopted child includes a child lawfully placed with you for legal adoption. Dependent. To find out if someone is your dependent, see the instructions for line 6c. Exception to time lived with you. Temporary absences by you or the child for special circumstances, such as school, vacation, business, medical care, military service, or detention in a juvenile facility, count as time lived in the home. Also see Kidnapped child in the line 6c instructions, if applicable. A child is considered to have lived with you for all of 2016 if the child was born or died in 2016 and your home was the child's home for the entire time he or she was alive. Keeping up a home. To find out what is included in the cost of keeping up a home, see Pub. 501. If you used payments you received under Temporary Assistance for Needy Families (TANF) or other public assistance programs to pay part of the cost of keeping up your home, you can't count them as money you paid. However, you must include them in the total cost of keeping up your home to figure if you paid over half the cost. Exemptions You usually can deduct $4,050 on line 42 for each exemption you can take. Line 6b Spouse Check the box on line 6b if either of the following applies. 1. Your filing status is married filing jointly and your spouse can't be claimed as a dependent on another person's return. 2. You were married at the end of 2016, your filing status is married filing separately or head of household, and both of the following apply. a. Your spouse had no income and isn't filing a return. Need more information or forms? Visit IRS.gov. b. Your spouse can't be claimed as a dependent on another person's return. If your filing status is head of household and you check the box on line 6b, enter the name of your spouse on the dotted line next to line 6b. Also, enter your spouse's social security number in the space provided at the top of your return. If you became divorced or legally separated during 2016, you can't take an exemption for your former spouse. Death of your spouse. If your spouse died in 2016 and you didn't remarry by Need more information or forms? Visit IRS.gov. -16- the end of 2016, check the box on line 6b if you could have taken an exemption for your spouse on the date of death. For other filing instructions, see Death of a Taxpayer under General In­ formation, later. 2016 Form 1040—Line 6c Line 6c—Dependents 1. Do you have a child who meets the conditions to be your qualifying child? Yes. Go to Step 2. No. Go to Step 4. Dependents and Qualifying Child for Child Tax Credit Follow the steps below to find out if a person qualifies as your dependent, qualifies you to take the child tax credit, or both. If you have more than four dependents, check the box to the left of line 6c and include a statement showing the information required in columns (1) through (4). Step 1 Do You Have a Qualifying Child? Step 2 Is Your Qualifying Child Your Dependent? 1. Was the child a U.S. citizen, U.S. national, U.S. resident alien, or a resident of Canada or Mexico? (See Pub. 519 for the definition of a U.S. national or U.S. resident alien. If the child was adopted, see Exception to citizen test, later.) Yes. Continue No. STOP 䊲 A qualifying child is a child who is your... Son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half brother, half sister, or a descendant of any of them (for example, your grandchild, niece, or nephew) 2. Was the child married? Yes. See Married person, later. You can't claim this child as a dependent. No. Continue 䊲 AND was ... Under age 19 at the end of 2016 and younger than you (or your spouse, if filing jointly) or Under age 24 at the end of 2016, a student (defined later), and younger than you (or your spouse, if filing jointly) 3. Could you, or your spouse if filing jointly, be claimed as a dependent on someone else's 2016 tax return? See Steps 1, 2, and 4. Yes. You can't claim No. You can claim this any dependents. Go to child as a dependent. Form 1040, line 7. Complete Form 1040, line 6c, columns (1) through (3) for this child. Then, go to Step 3. or Any age and permanently and totally disabled (defined later) Step 3 AND Who didn't provide over half of his or her own support for 2016 (see Pub. 501) 1. Was the child under age 17 at the end of 2016? Yes. Continue No. STOP 䊲 AND Who isn't filing a joint return for 2016 or is filing a joint return for 2016 only to claim a refund of withheld income tax or estimated tax paid (see Pub. 501 for details and examples) AND Who lived with you for more than half of 2016. If the child didn't live with you for the required time, see Exception to time lived with you, later. ! Does Your Qualifying Child Qualify You for the Child Tax Credit? This child isn't a qualifying child for the child tax credit. 2. Was the child a U.S. citizen, U.S. national, or U.S. resident alien? (See Pub. 519 for the definition of a U.S. national or U.S. resident alien. If the child was adopted, see Exception to citizen test, later.) Yes. This child is a No. STOP qualifying child for the This child isn't a child tax credit. Check qualifying child for the the box on Form 1040, child tax credit. line 6c, column (4). If the child meets the conditions to be a qualifying child of any other person (other than your spouse if filing jointly) for 2016, see Qualifying child of more than one person, later. CAUTION -17- Need more information or forms? Visit IRS.gov. 2016 Form 1040—Line 6c Step 4 Is Your Qualifying Relative Your Dependent? A qualifying relative is a person who is your... 2. Was your qualifying relative a U.S. citizen, U.S. national, U.S. resident alien, or a resident of Canada or Mexico? (See Pub. 519 for the definition of a U.S. national or U.S. resident alien. If your qualifying relative was adopted, see Exception to citizen test, later.) Yes. Continue No. STOP 䊲 Son, daughter, stepchild, foster child, or a descendant of any of them (for example, your grandchild) You can't claim this person as a dependent. or Brother, sister, half brother, half sister, or a son or daughter of any of them (for example, your niece or nephew) or Father, mother, or an ancestor or sibling of either of them (for example, your grandmother, grandfather, aunt, or uncle) or Stepbrother, stepsister, stepfather, stepmother, son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law or Any other person (other than your spouse) who lived with you all year as a member of your household if your relationship didn't violate local law. If the person didn't live with you for the required time, see Exception to time lived with you, later. 3. Was your qualifying relative married? Yes. See Married No. Continue 䊲 person, later. 4. Could you, or your spouse if filing jointly, be claimed as a dependent on someone else's 2016 tax return? See Steps 1, 2, and 4. No. You can claim this Yes. STOP person as a dependent. You can't claim any Complete Form 1040, dependents. Go to Form line 6c, columns (1) 1040, line 7. through (3). Do not check the box on Form 1040, line 6c, column (4). Definitions and Special Rules AND Adopted child. An adopted child is always treated as your own child. An adopted child includes a child lawfully placed with you for legal adoption. Who wasn't a qualifying child (see Step 1) of any taxpayer for 2016. For this purpose, a person isn't a taxpayer if he or she isn't required to file a U.S. income tax return and either doesn't file such a return or files only to get a refund of withheld income tax or estimated tax paid. See Pub. 501 for details and examples. Adoption taxpayer identification numbers (ATINs). If you have a dependent who was placed with you for legal adoption and you do not know his or her SSN, you must get an ATIN for the dependent from the IRS. See Form W-7A for details. If the dependent isn't a U.S. citizen or resident alien, apply for an ITIN instead, using Form W-7. If you didn't have an SSN (or ITIN) by the due date of your 2016 return (including extensions), you can't claim the child tax credit on either your original or an amended 2016 return, even if you later get an SSN (or ITIN). Also, no child tax credit is allowed on your original or an amended 2016 return with respect to a child who didn't have an SSN, ATIN, or ITIN by the due date of your return (including extensions), even if that child later gets one of those numbers. If you apply for an ATIN or an ITIN on or before the due date of your 2016 return (including extensions) and the IRS issues you an ATIN or an ITIN as a result of the application, the IRS will consider your ATIN or ITIN as issued on or before the due date of your return. AND Who had gross income of less than $4,050 in 2016. If the person was permanently and totally disabled, see Exception to gross income test, later. AND For whom you provided over half of his or her support in 2016. But see Children of divorced or separated parents, Multiple support agreements, and Kidnapped child, later. 1. Does any person meet the conditions to be your qualifying relative? Yes. Continue No. STOP 䊲 Go to Form 1040, line 7. Need more information or forms? Visit IRS.gov. Children of divorced or separated parents. A child will be treated as the qualifying child or qualifying relative of his or her noncustodial parent (defined later) if all of the following conditions apply. 1. The parents are divorced, legally separated, separated under a written separation agreement, or lived apart at all times during the last 6 months of 2016 (whether or not they are or were married). -18- 2016 Form 1040—Line 6c 2. The child received over half of his or her support for 2016 from the parents (and the rules on Multiple support agree­ ments, later, do not apply). Support of a child received from a parent's spouse is treated as provided by the parent. 3. The child is in custody of one or both of the parents for more than half of 2016. 4. Either of the following applies. a. The custodial parent signs Form 8332 or a substantially similar statement that he or she won't claim the child as a dependent for 2016, and the noncustodial parent includes a copy of the form or statement with his or her return. If the divorce decree or separation agreement went into effect after 1984 and before 2009, the noncustodial parent may be able to include certain pages from the decree or agreement instead of Form 8332. See Post­1984 and pre­2009 decree or agreement and Post­2008 decree or agreement. b. A pre-1985 decree of divorce or separate maintenance or written separation agreement between the parents provides that the noncustodial parent can claim the child as a dependent, and the noncustodial parent provides at least $600 for support of the child during 2016. If conditions (1) through (4) apply, only the noncustodial parent can claim the child for purposes of the dependency exemption (line 6c) and the child tax credits (lines 52 and 67). However, this doesn't allow the noncustodial parent to claim head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, the earned income credit, or the health coverage tax credit. See Pub. 501 for details. Example. Even if conditions (1) through (4) are met and the custodial parent signs Form 8332 or a substantially similar statement that he or she will not claim the child as a dependent for 2016, this doesn't allow the noncustodial parent to claim the child as a qualifying child for the earned income credit. The custodial parent or another taxpayer, if eligible, can claim the child for the earned income credit. Custodial and noncustodial parents. The custodial parent is the parent with whom the child lived for the greater number of nights in 2016. The noncustodial parent is the other parent. If the child was with each parent for an equal number of nights, the custodial parent is the parent with the higher adjusted gross income. See Pub. 501 for an exception for a parent who works at night, rules for a child who is emancipated under state law, and other details. Post-1984 and pre-2009 decree or agreement. The decree or agreement must state all three of the following. 1. The noncustodial parent can claim the child as a dependent without regard to any condition, such as payment of support. 2. The other parent won't claim the child as a dependent. 3. The years for which the claim is released. The noncustodial parent must include all of the following pages from the decree or agreement. Cover page (include the other parent's SSN on that page
Extracted from PDF file 2016-federal-form-1040-ins.pdf, last modified December 2016

More about the Federal Form 1040-INS Individual Income Tax TY 2016

This booklet includes instructions for filling out and filling (by mail or efile) your 1040 federal tax return.

We last updated the Form 1040 Instructional Booklet in January 2017, so this is the latest version of Form 1040-INS, fully updated for tax year 2016. You can download or print current or past-year PDFs of Form 1040-INS directly from TaxFormFinder. You can print other Federal tax forms here.

Other Federal Individual Income Tax Forms:

TaxFormFinder has an additional 774 Federal income tax forms that you may need, plus all federal income tax forms.

Form Code Form Name
Form 1040-V Payment Voucher
1040 (Schedule A) Itemized Deductions
Form 1040 U.S. Individual Income Tax Return
1040 (Schedule B) Interest and Ordinary Dividends
1040 (Schedule SE) Self-Employment Tax

Download all  tax forms View all 775 Federal Income Tax Forms


Form Sources:

The Internal Revenue Service usually releases income tax forms for the current tax year between October and January, although changes to some forms can come even later. We last updated Federal Form 1040-INS from the Internal Revenue Service in January 2017.

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About the Individual Income Tax

The IRS and most states collect a personal income tax, which is paid throughout the year via tax withholding or estimated income tax payments.

Most taxpayers are required to file a yearly income tax return in April to both the Internal Revenue Service and their state's revenue department, which will result in either a tax refund of excess withheld income or a tax payment if the withholding does not cover the taxpayer's entire liability. Every taxpayer's situation is different - please consult a CPA or licensed tax preparer to ensure that you are filing the correct tax forms!

Historical Past-Year Versions of Federal Form 1040-INS

We have a total of two past-year versions of Form 1040-INS in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:


2016 Form 1040-INS

2016 Instruction 1040

1040, Instructions 2015 Form 1040-INS

2015 Instruction 1040


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While we do our best to keep our list of Federal Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.

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