Idaho Idaho Capital Gains Deduction
Extracted from PDF file 2020-idaho-form-cg.pdf, last modified September 2020
Idaho Capital Gains DeductionForm CG Capital Gains Deduction 2020 Names as shown on return Social Security number 1. List qualifying capital gains and losses not included on lines 2 through 5 below. a. b. c. d. e. f. Description of property and Idaho location Date acquired (mm/dd/yyyy) Date sold (mm/dd/yyyy) Sales price Cost or other basis Gain or (loss) 2. Qualifying capital gain from sale of personal residence from federal Schedule D. 2 Idaho address of personal residence sold 3. Qualifying capital gain or (loss) from installment sales. Include federal Form 6252. Idaho location of property sold on installment 3 4. Qualifying capital gain or (loss) from sales of business property. Include federal Form 4797. Idaho location of business property 4 5. Qualifying capital gain or (loss) from partnerships, S corporations, estates, or trusts. a. b. c. d. e. Description of property and Idaho location Date acquired (mm/dd/yyyy) Date sold (mm/dd/yyyy) Pass-through entity (PTE) EIN Distributive share of gain or (loss) 6. Add amounts in column f of line 1 and lines 2 through 4, and amounts in column e of line 5 .. 6 7. Qualifying capital loss carryover. See instructions ................................................................... 7 8. Net gain or (loss). Subtract line 7 from line 6 ............................................................................. 8 9. If line 8 is a gain, multiply line 8 by 60% ................................................................................... 9 10. Capital gain net income included in federal adjusted gross income. See instructions .............. 10 11. Enter the smaller of line 9 or 10 here and on Form 39R, Part B, line 10, or Form 39NR, Part B, line 6 ......................................................................................................... 11 (See instructions for qualifying Idaho property.) Include additional schedules as needed to report all qualifying capital gains and losses. EFO00093 08-27-2020 Form CG — Instructions Capital Gains Deduction General Information Use Form CG to compute an individual’s Idaho capital gains deduction. The deduction is 60% of the capital gain net income included in federal taxable income from the sale of Idaho property. “Capital gain net income” is the amount left over when you reduce your gains by your losses from selling or exchanging capital assets. Only capital gains from the following Idaho property qualify: (a) Real property* held for at least 12 months (b) Tangible personal property used in a revenue-producing enterprise and held for at least 12 months A revenue-producing enterprise means: 1) Producing, assembling, fabricating, manufacturing or processing any agricultural, mineral or manufactured product 2) Storing, warehousing, distributing or selling at wholesale any products of agriculture, mining or manufacturing 3) Feeding livestock at a feedlot 4) Operating laboratories or other facilities for scientific, agricultural, animal husbandry or industrial research, development or testing (c) Cattle and horses held for at least 24 months, and other livestock used for breeding held for at least 12 months (d) Timber held for at least 24 months *The term “real property” means land and includes the following: 1) Qualified conservation easements transferred to a qualified organization as described in sections 2031(c)(8)(B) and 170(h) of the Internal Revenue Code 2) Grazing permits or grazing leases issued by the U.S. Forest Service, the Bureau of Land Management or the Idaho Department of Lands, but only if the grazing permit or grazing lease was transferred at the same time as the “base property” 3) Depreciable real property as described in section 1250(c) of the Internal Revenue Code, but only if that property was transferred in perpetuity and the transfer EIN00070 08-27-2020 2020 was required to be in writing according to Idaho Code section 9-503. CAUTION: Gains from the sale of stocks and other intangibles don’t qualify. Refer to Idaho Code section 63-3022H(3)(f) for information on the sale of a real estate partnership interest. Refer to the Internal Revenue Code for definitions of capital assets, short-term and long-term capital gains and losses, computations of basis and gain from disposition of depreciable property. If you have any capital gain in the current year and any capital loss carryover from a prior year, you must reduce your capital gain by the carryover loss. Only losses from qualifying property can be used to reduce your capital gain. The Idaho capital gains deduction can’t exceed the capital gain net income reported on the federal return. Gains treated as ordinary income don’t qualify for the deduction. Distributive Share of Gain or Loss from S Corporations, Partnerships, Trusts and Estates (Pass-through Entity) Who is Eligible for a Capital Gains Deduction? Pass-through entities with a capital gain from qualifying property are eligible for the Idaho capital gains deduction. Pass-through entities that pay the tax for an individual can’t claim a capital gains deduction. How Do Pass-through Entities Report the Gain or Loss to a Pass-through Owner? 1. Calculate the amount of the gain or loss for the owner. 2. Enter this amount on Form ID K-1, Part VI, line 40. 3. Fill in all other information, such as the type of property sold, the date of the sale and the holding period of the property. 4. Send the ID K-1 to the owner. What Does a Pass-through Owner Do With the ID K-1? The owner claims the deduction on their Idaho individual income tax return. Please refer to the individual tax return instructions for more information. Note: The pass-through owner can include the holding period of the entity when determining the holding period requirement for capital gains purposes. Page 1 of 2 Form CG — Instructions Specific Instructions Line 1. List qualifying capital gains and losses. Don’t include gains and losses reported on lines 2 through 5. Column a Describe the type of property. Identify the Idaho location at the date of sale. Column b Identify the month, day and year the property was acquired. Column c Identify the month, day and year the property was sold. Column d Enter the sales price. Column e Enter the cost or other basis. Basis is computed under the appropriate provisions of the Internal Revenue Code. Column f To compute your gain or loss, subtract column e from column d. Line 2. Enter the taxable gain from the sale of your Idaho home from federal Schedule D. If you’re reporting a gain that qualifies from previous installment sales, see line 3. Line 3. If you used federal Form 6252 to report the installment method for the gain on the sale of eligible property on your federal return, compute your capital gains deduction using the current year’s taxable portion of the installment payment. Include federal Form 6252. Capital gain from an installment sale isn’t eligible for the Idaho capital gains deduction if the property wasn’t held for the minimum holding period by the date sold. Line 4. Enter the eligible capital gain net income from federal Form 4797. Don’t include ordinary gains reported on federal Form 4797, Part II. 2020 Line 5. Enter your distributive share of qualifying capital gain or loss from pass-through entities. If filing Form 40, enter the amount shown from Form ID K-1, Part VI, line 40. If filing Form 43, enter the amount of qualified gains or losses included on Form 43, line 27; this is usually the amount from Form ID K-1, Part VI, line 39 multiplied by the percentage shown on Form ID K-1, Part III, line 6. Column a Describe the type of property. Identify the Idaho location at the date of sale. Column b Identify the month, day and year the property was acquired. Column c Identify the month, day and year the property was sold. Column d Enter the Employer Identification Number (EIN) of the pass-through entity. Column e Enter your distributive share of gain or loss. Line 6. Enter the total of gains and losses in column f for lines 1 through 4, and column e, line 5. Line 7. Enter the total qualifying capital loss carryover from the prior year’s return. Line 9. If line 8 is a gain, enter 60% of line 8. If line 8 is a loss, you can’t claim this deduction. Line 10. Enter your capital gain net income included in federal adjusted gross income. This is the capital gain from federal Form 1040, line 6. If you have a capital loss, enter 0. Line 11. Compare lines 9 and 10. Enter the smaller amount here and on Form 39R, Part B, line 10 or Form 39NR, Part B, line 6. This is your Idaho capital gains deduction. Contact us: In the Boise area: (208) 334-7660 | Toll free: (800) 972-7660 Hearing impaired (TDD) (800) 377-3529 tax.idaho.gov/contact EIN00070 08-27-2020 Page 2 of 2
Form CG, Capital Gains Deduction and Instructions 2020
More about the Idaho FORM CG Individual Income Tax TY 2020
We last updated the Idaho Capital Gains Deduction in January 2021, so this is the latest version of FORM CG, fully updated for tax year 2020. You can download or print current or past-year PDFs of FORM CG directly from TaxFormFinder. You can print other Idaho tax forms here.
Other Idaho Individual Income Tax Forms:
|Form Code||Form Name|
|FORM 24||Idaho Grocery Credit Refund|
|FORM ID-VP||Income Tax Payment Voucher|
|FORM 51||Estimated Payment of Idaho Individual Income Tax|
|FORM 40||Idaho Individual Income Tax|
|FORM 43||Idaho Part-Year Resident & Nonresident Income Tax Return|
Idaho usually releases forms for the current tax year between January and April. We last updated Idaho FORM CG from the State Tax Commission in January 2021.
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 Idaho FORM CG
We have a total of ten past-year versions of FORM CG in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
Form CG, Capital Gains Deduction and Instructions 2020
Form CG, Capital Gains Deduction and Instructions 2019
Form CG, Idaho Capital Gains Deduction
Form CG - Idaho Capital Gains Deduction
Form CG - Idaho Capital Gains Deduction
While we do our best to keep our list of Idaho 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.