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How Do I File My 2012 Taxes For Free

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How Do I File My 2012 Taxes For Free

How do i file my 2012 taxes for free Publication 531 - Main Content Table of Contents Keeping a Daily Tip RecordElectronic tip record. How do i file my 2012 taxes for free Reporting Tips to Your EmployerElectronic tip statement. How do i file my 2012 taxes for free Final report. How do i file my 2012 taxes for free Tip Rate Determination and Education Program Reporting Tips on Your Tax Return Allocated Tips How To Get Tax Help Keeping a Daily Tip Record Why keep a daily tip record. How do i file my 2012 taxes for free   You must keep a daily tip record so you can: Report your tips accurately to your employer, Report your tips accurately on your tax return, and Prove your tip income if your return is ever questioned. How do i file my 2012 taxes for free How to keep a daily tip record. How do i file my 2012 taxes for free   There are two ways to keep a daily tip record. How do i file my 2012 taxes for free You can either: Write information about your tips in a tip diary, or Keep copies of documents that show your tips, such as restaurant bills and credit or debit card charge slips. How do i file my 2012 taxes for free You should keep your daily tip record with your tax or other personal records. How do i file my 2012 taxes for free You must keep your records for as long as they are important for administration of the federal tax law. How do i file my 2012 taxes for free For information on how long to keep records, see How Long to Keep Records in chapter 1 of Publication 17, Your Federal Income Tax. How do i file my 2012 taxes for free    If you keep a tip diary, you can use Form 4070A, Employee's Daily Record of Tips. How do i file my 2012 taxes for free To get Form 4070A, ask the Internal Revenue Service (IRS) or your employer for Publication 1244, Employee's Daily Record of Tips and Report to Employer. How do i file my 2012 taxes for free Publication 1244 is also available at www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/pub1244. How do i file my 2012 taxes for free Publication 1244 includes a 1-year supply of Form 4070A. How do i file my 2012 taxes for free Each day, write in the information asked for on the form. How do i file my 2012 taxes for free A filled-in Form 4070A is shown on the following page. How do i file my 2012 taxes for free   In addition to the information asked for on Form 4070A, you also need to keep a record of the date and value of any noncash tips you get, such as tickets, passes, or other items of value. How do i file my 2012 taxes for free Although you do not report these tips to your employer, you must report them on your tax return. How do i file my 2012 taxes for free   If you do not use Form 4070A, start your records by writing your name, your employer's name, and the name of the business (if it is different from your employer's name). How do i file my 2012 taxes for free Then, each workday, write the date and the following information. How do i file my 2012 taxes for free Cash tips you get directly from customers or from other employees. How do i file my 2012 taxes for free Tips from credit and debit card charge customers that your employer pays you. How do i file my 2012 taxes for free The value of any noncash tips you get, such as tickets, passes, or other items of value. How do i file my 2012 taxes for free The amount of tips you paid out to other employees through tip pools or tip splitting, or other arrangements, and the names of the employees to whom you paid the tips. How do i file my 2012 taxes for free Please click here for the text description of the image. How do i file my 2012 taxes for free Sample Filled-in Form 4070A from Publication 1244 Electronic tip record. How do i file my 2012 taxes for free   You can use an electronic system provided by your employer to record your daily tips. How do i file my 2012 taxes for free If you do, you must receive and keep a paper copy of this record. How do i file my 2012 taxes for free Service charges. How do i file my 2012 taxes for free    Do not write in your tip diary the amount of any service charge that your employer adds to a customer's bill and then pays to you and treats as wages. How do i file my 2012 taxes for free This is part of your wages, not a tip. How do i file my 2012 taxes for free The following factors determine if you have a tip or service charge: The payment is made free from compulsion; The customer has the right to determine the amount of payment; The payment is not subject to negotiation or dictated by employer policy; and The customer generally has the right to determine who receives the payment. How do i file my 2012 taxes for free See examples below. How do i file my 2012 taxes for free Example 1. How do i file my 2012 taxes for free Good Food Restaurant adds an 18% charge to the bill for parties of 6 or more customers. How do i file my 2012 taxes for free Jane's bill for food and beverages for her party of 8 includes an amount on the tip line equal to 18% of the charges for food and beverages, and the total includes this amount. How do i file my 2012 taxes for free Because Jane did not have an unrestricted right to determine the amount on the “tip line,” the 18% charge is considered a service charge. How do i file my 2012 taxes for free Do not include the 18% charge in your tip diary. How do i file my 2012 taxes for free Service charges that are paid to you are considered wages, not tips. How do i file my 2012 taxes for free Example 2. How do i file my 2012 taxes for free Good Food Restaurant includes sample calculations of tip amounts at the bottom of its bills for food and beverages provided to customers. How do i file my 2012 taxes for free David's bill includes a blank “tip line,” with sample tip calculations of 15%, 18%, and 20% of the charges for food and beverages at the bottom of the bill beneath the signature line. How do i file my 2012 taxes for free Because David is free to enter any amount on the “tip line” or leave it blank, any amount he includes is considered a tip. How do i file my 2012 taxes for free Be sure to include this amount in your tip diary. How do i file my 2012 taxes for free Sample Filled-in Form 4070 from Publication 1244 Please click here for the text description of the image. How do i file my 2012 taxes for free Filled-in Form 4070 Reporting Tips to Your Employer Why report tips to your employer. How do i file my 2012 taxes for free   You must report tips to your employer so that: Your employer can withhold federal income tax and social security, Medicare, Additional Medicare, or railroad retirement taxes, Your employer can report the correct amount of your earnings to the Social Security Administration or Railroad Retirement Board (which affects your benefits when you retire or if you become disabled, or your family's benefits if you die), and You can avoid the penalty for not reporting tips to your employer (explained later). How do i file my 2012 taxes for free What tips to report. How do i file my 2012 taxes for free   Report to your employer only cash, check, and debit and credit card tips you receive. How do i file my 2012 taxes for free   If your total tips for any 1 month from any one job are less than $20, do not report the tips for that month to that employer. How do i file my 2012 taxes for free   If you participate in a tip-splitting or tip-pooling arrangement, report only the tips you receive and retain. How do i file my 2012 taxes for free Do not report to your employer any portion of the tips you receive that you pass on to other employees. How do i file my 2012 taxes for free However, you must report tips you receive from other employees. How do i file my 2012 taxes for free   Do not report the value of any noncash tips, such as tickets or passes, to your employer. How do i file my 2012 taxes for free You do not pay social security, Medicare, Additional Medicare, or railroad retirement taxes on these tips. How do i file my 2012 taxes for free How to report. How do i file my 2012 taxes for free   If your employer does not give you any other way to report your tips, you can use Form 4070, Employee's Report of Tips to Employer. How do i file my 2012 taxes for free Fill in the information asked for on the form, sign and date the form, and give it to your employer. How do i file my 2012 taxes for free A sample filled-in Form 4070 is shown above. How do i file my 2012 taxes for free To get a 1-year supply of the form, ask the IRS or your employer for Publication 1244. How do i file my 2012 taxes for free   If you do not use Form 4070, give your employer a statement with the following information. How do i file my 2012 taxes for free Your name, address, and social security number. How do i file my 2012 taxes for free Your employer's name, address, and business name (if it is different from your employer's name). How do i file my 2012 taxes for free The month (or the dates of any shorter period) in which you received tips. How do i file my 2012 taxes for free The total tips required to be reported for that period. How do i file my 2012 taxes for free You must sign and date the statement. How do i file my 2012 taxes for free Be sure to keep a copy with your tax or other personal records. How do i file my 2012 taxes for free   Your employer may require you to report your tips more than once a month. How do i file my 2012 taxes for free However, the statement cannot cover a period of more than 1 calendar month. How do i file my 2012 taxes for free Electronic tip statement. How do i file my 2012 taxes for free   Your employer can have you furnish your tip statements electronically. How do i file my 2012 taxes for free When to report. How do i file my 2012 taxes for free   Give your report for each month to your employer by the 10th of the next month. How do i file my 2012 taxes for free If the 10th falls on a Saturday, Sunday, or legal holiday, give your employer the report by the next day that is not a Saturday, Sunday, or legal holiday. How do i file my 2012 taxes for free Example. How do i file my 2012 taxes for free You must report your tips received in September 2014 by October 10, 2014. How do i file my 2012 taxes for free Final report. How do i file my 2012 taxes for free   If your employment ends during the month, you can report your tips when your employment ends. How do i file my 2012 taxes for free Penalty for not reporting tips. How do i file my 2012 taxes for free   If you do not report tips to your employer as required, you may be subject to a penalty equal to 50% of the social security, Medicare, Additional Medicare, or railroad retirement taxes you owe on the unreported tips. How do i file my 2012 taxes for free (For information about these taxes, see Reporting social security, Medicare, Additional Medicare, or railroad retirement taxes on tips not reported to your employer under Reporting Tips on Your Tax Return, later. How do i file my 2012 taxes for free ) The penalty amount is in addition to the taxes you owe. How do i file my 2012 taxes for free   You can avoid this penalty if you can show reasonable cause for not reporting the tips to your employer. How do i file my 2012 taxes for free To do so, attach a statement to your return explaining why you did not report them. How do i file my 2012 taxes for free Giving your employer money for taxes. How do i file my 2012 taxes for free   Your regular pay may not be enough for your employer to withhold all the taxes you owe on your regular pay plus your reported tips. How do i file my 2012 taxes for free If this happens, you can give your employer money until the close of the calendar year to pay the rest of the taxes. How do i file my 2012 taxes for free   If you do not give your employer enough money, your employer will apply your regular pay and any money you give to the taxes, in the following order. How do i file my 2012 taxes for free All taxes on your regular pay. How do i file my 2012 taxes for free Social security, Medicare, Additional Medicare, or railroad retirement taxes on your reported tips. How do i file my 2012 taxes for free Federal, state, and local income taxes on your reported tips. How do i file my 2012 taxes for free    Any taxes that remain unpaid can be collected by your employer from your next paycheck. How do i file my 2012 taxes for free If withholding taxes remain uncollected at the end of the year, you may be subject to a penalty for underpayment of estimated taxes. How do i file my 2012 taxes for free See Publication 505, Tax Withholding and Estimated Tax, for more information. How do i file my 2012 taxes for free    Uncollected taxes. How do i file my 2012 taxes for free You must report on your tax return any social security and Medicare taxes, or railroad retirement taxes that remained uncollected at the end of 2013. How do i file my 2012 taxes for free These uncollected taxes will be shown on your 2013 Form W-2. How do i file my 2012 taxes for free See Reporting uncollected social security, Medicare, Additional Medicare, or railroad retirement taxes on tips reported to your employer under Reporting Tips on Your Tax Return, later. How do i file my 2012 taxes for free Tip Rate Determination and Education Program Your employer may participate in the Tip Rate Determination and Education Program. How do i file my 2012 taxes for free The program was developed to help employees and employers understand and meet their tip reporting responsibilities. How do i file my 2012 taxes for free There are two agreements under the program: the Tip Rate Determination Agreement (TRDA) and the Tip Reporting Alternative Commitment (TRAC). How do i file my 2012 taxes for free A variation of the TRAC program, the Employer Tip Reporting Alternative Commitment, (EmTRAC) was designed to allow employers in the food and beverage industry to design and receive approval for their own TRAC programs. How do i file my 2012 taxes for free For information on the EmTRAC program, see Notice 2001-1, which is on page 261 of Internal Revenue Bulletin 2001-2 at www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/pub/irs-irbs/irb01-02. How do i file my 2012 taxes for free pdf. How do i file my 2012 taxes for free If you are employed in the gaming industry, your employer may participate in the Gaming Industry Tip Compliance Agreement Program. How do i file my 2012 taxes for free See Revenue Procedure 2007-32, 2007-22 I. How do i file my 2012 taxes for free R. How do i file my 2012 taxes for free B. How do i file my 2012 taxes for free 1322, available at www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/pub/irs-irbs/irb07_22. How do i file my 2012 taxes for free pdf. How do i file my 2012 taxes for free Your employer can provide you with a copy of any applicable agreement. How do i file my 2012 taxes for free To find out more about these agreements, visit IRS. How do i file my 2012 taxes for free gov and enter “restaurant tip reporting” in the search box. How do i file my 2012 taxes for free You may also call 1-800-829-4933, visit www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/localcontacts for the IRS Taxpayer Assistance Center in your area, or send an email to Tip. How do i file my 2012 taxes for free Program@irs. How do i file my 2012 taxes for free gov and request information on this program. How do i file my 2012 taxes for free Reporting Tips on Your Tax Return How to report tips. How do i file my 2012 taxes for free   Report your tips with your wages on Form 1040, line 7; Form 1040A, line 7; Form 1040EZ, line 1; Form 1040NR, line 8; or Form 1040NR-EZ, line 3. How do i file my 2012 taxes for free What tips to report. How do i file my 2012 taxes for free   Generally, you must report all tips you received in 2013 on your tax return, including both cash tips and noncash tips. How do i file my 2012 taxes for free Any tips you reported to your employer as required in 2013 are included in the wages shown in box 1 of your Form W-2. How do i file my 2012 taxes for free Add to the amount in box 1 only the tips you did not report to your employer. How do i file my 2012 taxes for free   However, any tips you received in 2013 that you reported to your employer as required after 2013 but before January 11, 2014, are not included in the wages shown in box 1 of your 2013 Form W-2. How do i file my 2012 taxes for free Do not include the amount of these tips on your 2013 tax return. How do i file my 2012 taxes for free Instead, include them on your 2014 tax return. How do i file my 2012 taxes for free Tips you received in 2012 that you reported to your employer as required after 2012 but before January 11, 2013, are included in the wages shown in box 1 of your 2013 Form W-2. How do i file my 2012 taxes for free Although these tips were received in 2012, you must report them on your 2013 tax return. How do i file my 2012 taxes for free   If you participate in a tip-splitting or tip-pooling arrangement, report only the tips you receive and retain. How do i file my 2012 taxes for free Do not report on your income tax return any portion of the tips you receive that you pass on to other employees. How do i file my 2012 taxes for free However, you must report tips you receive from other employees. How do i file my 2012 taxes for free    If you received $20 or more in cash and charge tips in a month and did not report all of those tips to your employer, see Reporting social security, Medicare, Additional Medicare, or railroad retirement taxes on tips not reported to your employer, later. How do i file my 2012 taxes for free    If you did not keep a daily tip record as required and an amount is shown in box 8 of your Form W-2, see Allocated Tips, later. How do i file my 2012 taxes for free   If you kept a daily tip record and reported tips to your employer as required under the rules explained earlier, add the following tips to the amount in box 1 of your Form W-2. How do i file my 2012 taxes for free Cash and charge tips you received that totaled less than $20 for any month. How do i file my 2012 taxes for free The value of noncash tips, such as tickets, passes, or other items of value. How do i file my 2012 taxes for free Example. How do i file my 2012 taxes for free Ben Smith began working at the Blue Ocean Restaurant (his only employer in 2013) on June 30 and received $10,000 in wages during the year. How do i file my 2012 taxes for free Ben kept a daily tip record showing that his tips for June were $18 and his tips for the rest of the year totaled $7,000. How do i file my 2012 taxes for free He was not required to report his June tips to his employer, but he reported all of the rest of his tips to his employer as required. How do i file my 2012 taxes for free Ben's Form W-2 from Blue Ocean Restaurant shows $17,000 ($10,000 wages + $7,000 reported tips) in box 1. How do i file my 2012 taxes for free He adds the $18 unreported tips to that amount and reports $17,018 as wages on his tax return. How do i file my 2012 taxes for free Reporting social security, Medicare, Additional Medicare, or railroad retirement taxes on tips not reported to your employer. How do i file my 2012 taxes for free    If you received $20 or more in cash and charge tips in a month from any one job and did not report all of those tips to your employer, you must report the social security, Medicare, and Additional Medicare taxes on the unreported tips as additional tax on your return. How do i file my 2012 taxes for free To report these taxes, you must file a return even if you would not otherwise have to file. How do i file my 2012 taxes for free You must use Form 1040, Form 1040NR, Form 1040NR-EZ, Form 1040-SS, or 1040-PR (as appropriate) for this purpose. How do i file my 2012 taxes for free (You cannot file Form 1040EZ or Form 1040A. How do i file my 2012 taxes for free )    Use Form 4137, Social Security and Medicare Tax on Unreported Tip Income, to figure social security and Medicare taxes. How do i file my 2012 taxes for free Enter the tax on your return as instructed, and attach the completed Form 4137 to your return. How do i file my 2012 taxes for free Use Form 8959 to figure Additional Medicare Tax. How do i file my 2012 taxes for free If you are subject to the Railroad Retirement Tax Act, you cannot use Form 4137 to pay railroad retirement tax on unreported tips. How do i file my 2012 taxes for free To get railroad retirement credit, you must report tips to your employer. How do i file my 2012 taxes for free Reporting uncollected social security, Medicare, Additional Medicare, or railroad retirement taxes on tips reported to your employer. How do i file my 2012 taxes for free    You may have uncollected taxes if your regular pay was not enough for your employer to withhold all the taxes you owe and you did not give your employer enough money to pay the rest of the taxes. How do i file my 2012 taxes for free For more information, see Giving your employer money for taxes , under Reporting Tips to Your Employer, earlier. How do i file my 2012 taxes for free   If your employer could not collect all the social security and Medicare taxes, or railroad retirement taxes you owe on tips reported for 2013, the uncollected taxes will be shown in box 12 of your Form W-2 (codes A and B). How do i file my 2012 taxes for free You must report these amounts as additional tax on your return. How do i file my 2012 taxes for free   If you worked in the U. How do i file my 2012 taxes for free S. How do i file my 2012 taxes for free possessions and received Form W-2AS, Form W-2CM, Form W-2GU, or Form W-2VI, any uncollected taxes on tips will be shown in box 12 with codes A and B. How do i file my 2012 taxes for free If you received Form 499R-2/W-2PR, any uncollected taxes will be shown in boxes 22 and 23. How do i file my 2012 taxes for free Unlike the uncollected portion of the regular (1. How do i file my 2012 taxes for free 45%) Medicare tax, the uncollected Additional Medicare Tax is not reported on Form W-2. How do i file my 2012 taxes for free   To report these uncollected taxes, you must file a return even if you would not otherwise have to file. How do i file my 2012 taxes for free You can report these taxes on Form 1040, in the space next to line 60; Form 1040NR, line 59; Form 1040-SS, Part I, line 6; or Form 1040-PR, Part I, line 6. How do i file my 2012 taxes for free See the instructions for the appropriate form and line number indicated, and Form 8959. How do i file my 2012 taxes for free (You cannot file Form 1040A, Form 1040EZ, or Form 1040NR-EZ. How do i file my 2012 taxes for free ) Self-employed persons. How do i file my 2012 taxes for free    If you receive tips as a self-employed person, you should report these tips as income on Schedule C or C-EZ. How do i file my 2012 taxes for free See Publication 334, Tax Guide for Small Business, for more information on reporting business income. How do i file my 2012 taxes for free Allocated Tips If your employer allocated tips to you, they are shown separately in box 8 of your Form W-2. How do i file my 2012 taxes for free They are not included in box 1 with your wages and reported tips. How do i file my 2012 taxes for free If box 8 is blank, this discussion does not apply to you. How do i file my 2012 taxes for free What are allocated tips. How do i file my 2012 taxes for free   These are tips that your employer assigned to you in addition to the tips you reported to your employer for the year. How do i file my 2012 taxes for free Your employer will have done this only if: You worked in an establishment (restaurant, cocktail lounge, or similar business) that must allocate tips to employees, and The tips you reported to your employer were less than your share of 8% of food and drink sales. How do i file my 2012 taxes for free No income, social security, Medicare, Additional Medicare, or railroad retirement taxes are withheld on allocated tips. How do i file my 2012 taxes for free How were your allocated tips figured. How do i file my 2012 taxes for free   The tips allocated to you are your share of an amount figured by subtracting the reported tips of all employees from 8% (or an approved lower rate) of food and drink sales (other than carryout sales and sales with a service charge of 10% or more). How do i file my 2012 taxes for free Your share of that amount was figured using either a method provided by an employer-employee agreement or a method provided by IRS regulations based on employees' sales or hours worked. How do i file my 2012 taxes for free For information about the exact allocation method used, ask your employer. How do i file my 2012 taxes for free Must you report your allocated tips on your tax return. How do i file my 2012 taxes for free   You must report tips you received in 2013 (including both cash and noncash tips) on your tax return as explained in What tips to report , earlier. How do i file my 2012 taxes for free Any tips you reported to your employer in 2013 as required (explained under Reporting Tips to Your Employer , earlier) are included in the wages shown in box 1 of your Form W-2. How do i file my 2012 taxes for free Add to the amount in box 1 only the tips you did not report to your employer as required. How do i file my 2012 taxes for free This should include any allocated tips shown in box 8 on your Form(s) W-2, unless you have adequate records to show that you received less tips in the year than the allocated amount. How do i file my 2012 taxes for free   See What tips to report under Reporting Tips on Your Tax Return, and Keeping a Daily Tip Record , earlier. How do i file my 2012 taxes for free How to report allocated tips. How do i file my 2012 taxes for free   If you received any tips in 2013 that you did not report to your employer as required (including allocated tips that you are required to report on your tax return), add these tips to the amount in box 1 of your Form(s) W-2 and report this amount as wages on Form 1040, line 7; Form 1040NR, line 8; or Form 1040NR-EZ, line 3. How do i file my 2012 taxes for free (You cannot file Form 1040A or Form 1040EZ). How do i file my 2012 taxes for free    Because social security, Medicare, or Additional Medicare taxes were not withheld from the allocated tips, you must report those taxes as additional tax on your return. How do i file my 2012 taxes for free Complete Form 4137 and include the allocated tips on line 1 of the form as provided in its instructions. How do i file my 2012 taxes for free See Reporting social security, Medicare, Additional Medicare, or railroad retirement taxes on tips not reported to your employer under Reporting Tips on Your Tax Return, earlier. How do i file my 2012 taxes for free How to request an approved lower rate. How do i file my 2012 taxes for free   Your employer can use a tip rate lower than 8% (but not lower than 2%) to figure allocated tips only if the IRS approves the lower rate. How do i file my 2012 taxes for free Either the employer or the employees can request approval of a lower rate by filing a petition with the IRS. How do i file my 2012 taxes for free The petition must include specific information about the establishment that will justify the lower rate. How do i file my 2012 taxes for free A user fee must be paid with the petition. How do i file my 2012 taxes for free    An employee petition can be filed only with the consent of a majority of the directly tipped employees (waiters, bartenders, and others who receive tips directly from customers). How do i file my 2012 taxes for free The petition must state the total number of directly tipped employees and the number of employees consenting to the petition. How do i file my 2012 taxes for free Employees filing the petition must promptly notify the employer, and the employer must promptly give the IRS a copy of all Forms 8027, Employer's Annual Information Return of Tip Income and Allocated Tips, filed for the establishment for the previous 3 years. How do i file my 2012 taxes for free   For more information about how to file a petition and what information to include, see Allocation of Tips in the Instructions for Form 8027. How do i file my 2012 taxes for free How To Get Tax Help Go online, use a smart phone, call or walk in to an office near you. How do i file my 2012 taxes for free Whether it's help with a tax issue, preparing your tax return or picking up a free publication or form, get the help you need the way you want it. How do i file my 2012 taxes for free Free help with your tax return. How do i file my 2012 taxes for free   Free help in preparing your return is available nationwide from IRS-certified volunteers. How do i file my 2012 taxes for free The Volunteer Income Tax Assistance (VITA) program is designed to help low-to-moderate income, elderly, persons with disabilities, and limited English proficient taxpayers. How do i file my 2012 taxes for free The Tax Counseling for the Elderly (TCE) program is designed to assist taxpayers age 60 and older with their tax returns. How do i file my 2012 taxes for free Most VITA and TCE sites offer free electronic filing and all volunteers will let you know about credits and deductions you may be entitled to claim. How do i file my 2012 taxes for free Some VITA and TCE sites provide taxpayers the opportunity to prepare their return with the assistance of an IRS-certified volunteer. How do i file my 2012 taxes for free To find the nearest VITA or TCE site, visit IRS. How do i file my 2012 taxes for free gov or call 1-800-906-9887. How do i file my 2012 taxes for free   As part of the TCE program, AARP offers the Tax-Aide counseling program. How do i file my 2012 taxes for free To find the nearest AARP Tax-Aide site, visit AARP's website at www. How do i file my 2012 taxes for free aarp. How do i file my 2012 taxes for free org/money/taxaide or call 1-888-227-7669. How do i file my 2012 taxes for free   For more information on these programs, go to IRS. How do i file my 2012 taxes for free gov and enter “VITA” in the search box. How do i file my 2012 taxes for free Internet. How do i file my 2012 taxes for free IRS. How do i file my 2012 taxes for free gov and IRS2Go are ready when you are — every day, every night, 24 hours a day, 7 days a week. How do i file my 2012 taxes for free Apply for an Employer Identification Number (EIN). How do i file my 2012 taxes for free Go to IRS. How do i file my 2012 taxes for free gov and enter Apply for an EIN in the search box. How do i file my 2012 taxes for free Request an Electronic Filing PIN by going to IRS. How do i file my 2012 taxes for free gov and entering Electronic Filing PIN in the search box. How do i file my 2012 taxes for free Check the status of your 2013 refund with Where's My Refund? Go to IRS. How do i file my 2012 taxes for free gov or the IRS2Go app, and click on Where's My Refund? You'll get a personalized refund date as soon as the IRS processes your tax return and approves your refund. How do i file my 2012 taxes for free If you e-file, your refund status is usually available within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. How do i file my 2012 taxes for free Check the status of your amended return. How do i file my 2012 taxes for free Go to IRS. How do i file my 2012 taxes for free gov and enter Where's My Amended Return in the search box. How do i file my 2012 taxes for free Download forms, instructions, and publications, including some accessible versions. How do i file my 2012 taxes for free Order free transcripts of your tax returns or tax account using the Order a Transcript tool on IRS. How do i file my 2012 taxes for free gov or IRS2Go. How do i file my 2012 taxes for free Tax return and tax account transcripts are generally available for the current year and past three years. How do i file my 2012 taxes for free Figure your income tax withholding with the IRS Withholding Calculator on IRS. How do i file my 2012 taxes for free gov. How do i file my 2012 taxes for free Use it if you've had too much or too little withheld, your personal situation has changed, you're starting a new job or you just want to see if you're having the right amount withheld. How do i file my 2012 taxes for free Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. How do i file my 2012 taxes for free gov. How do i file my 2012 taxes for free Locate the nearest Taxpayer Assistance Center using the Office Locator tool on IRS. How do i file my 2012 taxes for free gov or IRS2Go. How do i file my 2012 taxes for free Stop by most business days for face-to-face tax help, no appointment necessary — just walk in. How do i file my 2012 taxes for free An employee can explain IRS letters, request adjustments to your tax account or help you set up a payment plan. How do i file my 2012 taxes for free Before you visit, check the Office Locator for the address, phone number, hours of operation and the services provided. How do i file my 2012 taxes for free If you have an ongoing tax account problem or a special need, such as a disability, you can request an appointment. How do i file my 2012 taxes for free Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. How do i file my 2012 taxes for free Locate the nearest volunteer help site with the VITA Locator Tool on IRS. How do i file my 2012 taxes for free gov. How do i file my 2012 taxes for free Low-to-moderate income, elderly, persons with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. How do i file my 2012 taxes for free The Tax Counseling for the Elderly (TCE) program helps taxpayers 60 and older with their tax returns. How do i file my 2012 taxes for free Most VITA and TCE sites offer free electronic filing and some provide IRS-certified volunteers who can help prepare your tax return. How do i file my 2012 taxes for free AARP offers the Tax-Aide counseling program as part of the TCE program. How do i file my 2012 taxes for free Visit AARP's website to find the nearest Tax-Aide location. How do i file my 2012 taxes for free Research your tax questions. How do i file my 2012 taxes for free Search publications and instructions by topic or keyword. How do i file my 2012 taxes for free Read the Internal Revenue Code, regulations, or other official guidance. How do i file my 2012 taxes for free Read Internal Revenue Bulletins. How do i file my 2012 taxes for free Sign up to receive local and national tax news by email. How do i file my 2012 taxes for free Phone. How do i file my 2012 taxes for free You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. How do i file my 2012 taxes for free Download the free IRS2Go mobile app from the iTunes app store or from Google Play. How do i file my 2012 taxes for free Use it to watch the IRS YouTube channel, get IRS news as soon as it's released to the public, order transcripts of your tax returns or tax account, check your refund status, subscribe to filing season updates or daily tax tips, and follow the IRS Twitter news feed, @IRSnews, to get the latest federal tax news, including information about tax law changes and important IRS programs. How do i file my 2012 taxes for free Call to locate the nearest volunteer help site, 1-800-906-9887. How do i file my 2012 taxes for free Low-to-moderate income, elderly, persons with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. How do i file my 2012 taxes for free The Tax Counseling for the Elderly (TCE) program helps taxpayers 60 and older with their tax returns. How do i file my 2012 taxes for free Most VITA and TCE sites offer free electronic filing. How do i file my 2012 taxes for free Some VITA and TCE sites provide IRS-certified volunteers who can help prepare your tax return. How do i file my 2012 taxes for free Through the TCE program, AARP offers the Tax-Aide counseling program; call 1-888-227-7669 to find the nearest Tax-Aide location. How do i file my 2012 taxes for free Call to check the status of your 2013 refund, 1-800-829-1954 or 1-800-829-4477. How do i file my 2012 taxes for free The automated Where's My Refund? information is available 24 hours a day, 7 days a week. How do i file my 2012 taxes for free If you e-file, your refund status is usually available within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. How do i file my 2012 taxes for free Before you call, have your 2013 tax return handy so you can provide your social security number, your filing status, and the exact whole dollar amount of your refund. How do i file my 2012 taxes for free Where's My Refund? can give you a personalized refund date as soon as the IRS processes your tax return and approves your refund. How do i file my 2012 taxes for free Where's My Refund? includes information for the most recent return filed in the current year and does not include information about amended returns. How do i file my 2012 taxes for free Call the Amended Return Hotline, 1-866-464-2050, to check the status of your amended return. How do i file my 2012 taxes for free Call to order forms, instructions and publications, 1-800-TAX-FORM (1-800-829-3676) to order current-year forms, instructions and publications, and prior-year forms and instructions (limited to 5 years). How do i file my 2012 taxes for free You should receive your order within 10 business days. How do i file my 2012 taxes for free Call to order transcripts of your tax returns or tax account, 1-800-908-9946. How do i file my 2012 taxes for free Follow the prompts to provide your Social Security Number or Individual Taxpayer Identification Number, date of birth, street address and ZIP code. How do i file my 2012 taxes for free Call for TeleTax topics, 1-800-829-4477, to listen to pre-recorded messages covering various tax topics. How do i file my 2012 taxes for free Call to ask tax questions, 1-800-829-1040. How do i file my 2012 taxes for free Call using TTY/TDD equipment, 1-800-829-4059 to ask tax questions or order forms and publications. How do i file my 2012 taxes for free The TTY/TDD telephone number is for people who are deaf, hard of hearing, or have a speech disability. How do i file my 2012 taxes for free These individuals can also contact the IRS through relay services such as the Federal Relay Service available at www. How do i file my 2012 taxes for free gsa. How do i file my 2012 taxes for free gov/fedrelay. How do i file my 2012 taxes for free Walk-in. How do i file my 2012 taxes for free You can find a selection of forms, publications and services — in-person, face-to-face. How do i file my 2012 taxes for free Products. How do i file my 2012 taxes for free You can walk in to some post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. How do i file my 2012 taxes for free Some IRS offices, libraries, and city and county government offices have a collection of products available to photocopy from reproducible proofs. How do i file my 2012 taxes for free Services. How do i file my 2012 taxes for free You can walk in to your local TAC most business days for personal, face-to-face tax help. How do i file my 2012 taxes for free An employee can explain IRS letters, request adjustments to your tax account, or help you set up a payment plan. How do i file my 2012 taxes for free If you need to resolve a tax problem, have questions about how the tax law applies to your individual tax return, or you are more comfortable talking with someone in person, visit your local TAC where you can talk with an IRS representative face-to-face. How do i file my 2012 taxes for free No appointment is necessary—just walk in. How do i file my 2012 taxes for free Before visiting, check www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/localcontacts for hours of operation and services provided. How do i file my 2012 taxes for free Mail. How do i file my 2012 taxes for free You can send your order for forms, instructions, and publications to the address below. How do i file my 2012 taxes for free You should receive a response within 10 business days after your request is received. How do i file my 2012 taxes for free  Internal Revenue Service 1201 N. How do i file my 2012 taxes for free Mitsubishi Motorway Bloomington, IL 61705-6613 The Taxpayer Advocate Service Is Here to Help You. How do i file my 2012 taxes for free   The Taxpayer Advocate Service (TAS) is your voice at the IRS. How do i file my 2012 taxes for free Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. How do i file my 2012 taxes for free What can TAS do for you?   We can offer you free help with IRS problems that you can't resolve on your own. How do i file my 2012 taxes for free We know this process can be confusing, but the worst thing you can do is nothing at all! TAS can help if you can't resolve your tax problem and: Your problem is causing financial difficulties for you, your family, or your business. How do i file my 2012 taxes for free You face (or your business is facing) an immediate threat of adverse action. How do i file my 2012 taxes for free You've tried repeatedly to contact the IRS but no one has responded, or the IRS hasn't responded by the date promised. How do i file my 2012 taxes for free   If you qualify for our help, you'll be assigned to one advocate who'll be with you at every turn and will do everything possible to resolve your problem. How do i file my 2012 taxes for free Here's why we can help: TAS is an independent organization within the IRS. How do i file my 2012 taxes for free Our advocates know how to work with the IRS. How do i file my 2012 taxes for free Our services are free and tailored to meet your needs. How do i file my 2012 taxes for free We have offices in every state, the District of Columbia, and Puerto Rico. How do i file my 2012 taxes for free How can you reach us?   If you think TAS can help you, call your local advocate, whose number is in your local directory and at www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/advocate, or call us toll-free at 1-877-777-4778. How do i file my 2012 taxes for free How else does TAS help taxpayers?   TAS also works to resolve large-scale, systemic problems that affect many taxpayers. How do i file my 2012 taxes for free If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System at www. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov/sams. How do i file my 2012 taxes for free Low Income Taxpayer Clinics. How do i file my 2012 taxes for free   Low Income Taxpayer Clinics (LITCs) serve individuals whose income is below a certain level and need to resolve tax problems such as audits, appeals, and tax collection disputes. How do i file my 2012 taxes for free Some clinics can provide information about taxpayer rights and responsibilities in different languages for individuals who speak English as a second language. How do i file my 2012 taxes for free Visit www. How do i file my 2012 taxes for free TaxpayerAdvocate. How do i file my 2012 taxes for free irs. How do i file my 2012 taxes for free gov or see IRS Publication 4134, Low Income Taxpayer Clinic List. How do i file my 2012 taxes for free Prev  Up  Next   Home   More Online Publications
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The How Do I File My 2012 Taxes For Free

How do i file my 2012 taxes for free 3. How do i file my 2012 taxes for free   Savings Incentive Match Plans for Employees (SIMPLE) Table of Contents Introduction What Is a SIMPLE Plan?Eligible Employees How Are Contributions Made? How Much Can Be Contributed on Your Behalf?Matching contributions less than 3%. How do i file my 2012 taxes for free Traditional IRA mistakenly moved to SIMPLE IRA. How do i file my 2012 taxes for free When Can You Withdraw or Use Assets?Are Distributions Taxable? Introduction This chapter is for employees who need information about savings incentive match plans for employees (SIMPLE plans). How do i file my 2012 taxes for free It explains what a SIMPLE plan is, contributions to a SIMPLE plan, and distributions from a SIMPLE plan. How do i file my 2012 taxes for free Under a SIMPLE plan, SIMPLE retirement accounts for participating employees can be set up either as: Part of a 401(k) plan, or A plan using IRAs (SIMPLE IRA). How do i file my 2012 taxes for free This chapter only discusses the SIMPLE plan rules that relate to SIMPLE IRAs. How do i file my 2012 taxes for free See chapter 3 of Publication 560 for information on any special rules for SIMPLE plans that do not use IRAs. How do i file my 2012 taxes for free If your employer maintains a SIMPLE plan, you must be notified, in writing, that you can choose the financial institution that will serve as trustee for your SIMPLE IRA and that you can roll over or transfer your SIMPLE IRA to another financial institution. How do i file my 2012 taxes for free See Rollovers and Transfers Exception, later under When Can You Withdraw or Use Assets. How do i file my 2012 taxes for free What Is a SIMPLE Plan? A SIMPLE plan is a tax-favored retirement plan that certain small employers (including self-employed individuals) can set up for the benefit of their employees. How do i file my 2012 taxes for free See chapter 3 of Publication 560 for information on the requirements employers must satisfy to set up a SIMPLE plan. How do i file my 2012 taxes for free A SIMPLE plan is a written agreement (salary reduction agreement) between you and your employer that allows you, if you are an eligible employee (including a self-employed individual), to choose to: Reduce your compensation (salary) by a certain percentage each pay period, and Have your employer contribute the salary reductions to a SIMPLE IRA on your behalf. How do i file my 2012 taxes for free These contributions are called salary reduction contributions. How do i file my 2012 taxes for free All contributions under a SIMPLE IRA plan must be made to SIMPLE IRAs, not to any other type of IRA. How do i file my 2012 taxes for free The SIMPLE IRA can be an individual retirement account or an individual retirement annuity, described in chapter 1. How do i file my 2012 taxes for free Contributions are made on behalf of eligible employees. How do i file my 2012 taxes for free (See Eligible Employees below. How do i file my 2012 taxes for free ) Contributions are also subject to various limits. How do i file my 2012 taxes for free (See How Much Can Be Contributed on Your Behalf , later. How do i file my 2012 taxes for free ) In addition to salary reduction contributions, your employer must make either matching contributions or nonelective contributions. How do i file my 2012 taxes for free See How Are Contributions Made , later. How do i file my 2012 taxes for free You may be able to claim a credit for contributions to your SIMPLE plan. How do i file my 2012 taxes for free For more information, see chapter 4. How do i file my 2012 taxes for free Eligible Employees You must be allowed to participate in your employer's SIMPLE plan if you: Received at least $5,000 in compensation from your employer during any 2 years prior to the current year, and Are reasonably expected to receive at least $5,000 in compensation during the calendar year for which contributions are made. How do i file my 2012 taxes for free Self-employed individual. How do i file my 2012 taxes for free   For SIMPLE plan purposes, the term employee includes a self-employed individual who received earned income. How do i file my 2012 taxes for free Excludable employees. How do i file my 2012 taxes for free   Your employer can exclude the following employees from participating in the SIMPLE plan. How do i file my 2012 taxes for free Employees whose retirement benefits are covered by a collective bargaining agreement (union contract). How do i file my 2012 taxes for free Employees who are nonresident aliens and received no earned income from sources within the United States. How do i file my 2012 taxes for free Employees who would not have been eligible employees if an acquisition, disposition, or similar transaction had not occurred during the year. How do i file my 2012 taxes for free Compensation. How do i file my 2012 taxes for free   For purposes of the SIMPLE plan rules, your compensation for a year generally includes the following amounts. How do i file my 2012 taxes for free Wages, tips, and other pay from your employer that is subject to income tax withholding. How do i file my 2012 taxes for free Deferred amounts elected under any 401(k) plans, 403(b) plans, government (section 457) plans, SEP plans, and SIMPLE plans. How do i file my 2012 taxes for free Self-employed individual compensation. How do i file my 2012 taxes for free   For purposes of the SIMPLE plan rules, if you are self-employed, your compensation for a year is your net earnings from self-employment (Schedule SE (Form 1040), Section A, line 4, or Section B, line 6) before subtracting any contributions made to a SIMPLE IRA on your behalf. How do i file my 2012 taxes for free   For these purposes, net earnings from self-employment include services performed while claiming exemption from self-employment tax as a member of a group conscientiously opposed to social security benefits. How do i file my 2012 taxes for free How Are Contributions Made? Contributions under a salary reduction agreement are called salary reduction contributions. How do i file my 2012 taxes for free They are made on your behalf by your employer. How do i file my 2012 taxes for free Your employer must also make either matching contributions or nonelective contributions. How do i file my 2012 taxes for free Salary reduction contributions. How do i file my 2012 taxes for free   During the 60-day period before the beginning of any year, and during the 60-day period before you are eligible, you can choose salary reduction contributions expressed either as a percentage of compensation, or as a specific dollar amount (if your employer offers this choice). How do i file my 2012 taxes for free You can choose to cancel the election at any time during the year. How do i file my 2012 taxes for free   Salary reduction contributions are also referred to as “elective deferrals. How do i file my 2012 taxes for free ”   Your employer cannot place restrictions on the contributions amount (such as by limiting the contributions percentage), except to comply with the salary reduction contributions limit, discussed under How Much Can Be Contributed on Your Behalf, later. How do i file my 2012 taxes for free Matching contributions. How do i file my 2012 taxes for free   Unless your employer chooses to make nonelective contributions, your employer must make contributions equal to the salary reduction contributions you choose (elect), but only up to certain limits. How do i file my 2012 taxes for free See How Much Can Be Contributed on Your Behalf below. How do i file my 2012 taxes for free These contributions are in addition to the salary reduction contributions and must be made to the SIMPLE IRAs of all eligible employees (defined earlier) who chose salary reductions. How do i file my 2012 taxes for free These contributions are referred to as matching contributions. How do i file my 2012 taxes for free   Matching contributions on behalf of a self-employed individual are not treated as salary reduction contributions. How do i file my 2012 taxes for free Nonelective contributions. How do i file my 2012 taxes for free   Instead of making matching contributions, your employer may be able to choose to make nonelective contributions on behalf of all eligible employees. How do i file my 2012 taxes for free These nonelective contributions must be made on behalf of each eligible employee who has at least $5,000 of compensation from your employer, whether or not the employee chose salary reductions. How do i file my 2012 taxes for free   One of the requirements your employer must satisfy is notifying the employees that the election was made. How do i file my 2012 taxes for free For other requirements that your employer must satisfy, see chapter 3 of Publication 560. How do i file my 2012 taxes for free How Much Can Be Contributed on Your Behalf? The limits on contributions to a SIMPLE IRA vary with the type of contribution that is made. How do i file my 2012 taxes for free Salary reduction contributions limit. How do i file my 2012 taxes for free   Salary reduction contributions (employee-chosen contributions or elective deferrals) that your employer can make on your behalf under a SIMPLE plan are limited to $12,000 for 2013. How do i file my 2012 taxes for free The limitation remains at $12,000 for 2014. How do i file my 2012 taxes for free If you are a participant in any other employer plans during 2013 and you have elective salary reductions or deferred compensation under those plans, the salary reduction contributions under the SIMPLE plan also are included in the annual limit of $17,500 for 2013 on exclusions of salary reductions and other elective deferrals. How do i file my 2012 taxes for free You, not your employer, are responsible for monitoring compliance with these limits. How do i file my 2012 taxes for free Additional elective deferrals can be contributed to your SIMPLE plan if: You reached age 50 by the end of 2013, and No other elective deferrals can be made for you to the plan for the year because of limits or restrictions, such as the regular annual limit. How do i file my 2012 taxes for free The most that can be contributed in additional elective deferrals to your SIMPLE plan is the lesser of the following two amounts. How do i file my 2012 taxes for free $2,500 for 2013, or Your compensation for the year reduced by your other elective deferrals for the year. How do i file my 2012 taxes for free The additional deferrals are not subject to any other contribution limit and are not taken into account in applying other contribution limits. How do i file my 2012 taxes for free The additional deferrals are not subject to the nondiscrimination rules as long as all eligible participants are allowed to make them. How do i file my 2012 taxes for free Matching employer contributions limit. How do i file my 2012 taxes for free   Generally, your employer must make matching contributions to your SIMPLE IRA in an amount equal to your salary reduction contributions. How do i file my 2012 taxes for free These matching contributions cannot be more than 3% of your compensation for the calendar year. How do i file my 2012 taxes for free See Matching contributions less than 3% below. How do i file my 2012 taxes for free Example 1. How do i file my 2012 taxes for free In 2013, Joshua was a participant in his employer's SIMPLE plan. How do i file my 2012 taxes for free His compensation, before SIMPLE plan contributions, was $41,600 ($800 per week). How do i file my 2012 taxes for free Instead of taking it all in cash, Joshua elected to have 12. How do i file my 2012 taxes for free 5% of his weekly pay ($100) contributed to his SIMPLE IRA. How do i file my 2012 taxes for free For the full year, Joshua's salary reduction contributions were $5,200, which is less than the $12,000 limit on these contributions. How do i file my 2012 taxes for free Under the plan, Joshua's employer was required to make matching contributions to Joshua's SIMPLE IRA. How do i file my 2012 taxes for free Because his employer's matching contributions must equal Joshua's salary reductions, but cannot be more than 3% of his compensation (before salary reductions) for the year, his employer's matching contribution was limited to $1,248 (3% of $41,600). How do i file my 2012 taxes for free Example 2. How do i file my 2012 taxes for free Assume the same facts as in Example 1 , except that Joshua's compensation for the year was $408,163 and he chose to have 2. How do i file my 2012 taxes for free 94% of his weekly pay contributed to his SIMPLE IRA. How do i file my 2012 taxes for free In this example, Joshua's salary reduction contributions for the year (2. How do i file my 2012 taxes for free 94% × $408,163) were equal to the 2013 limit for salary reduction contributions ($12,000). How do i file my 2012 taxes for free Because 3% of Joshua's compensation ($12,245) is more than the amount his employer was required to match ($12,000), his employer's matching contributions were limited to $12,000. How do i file my 2012 taxes for free In this example, total contributions made on Joshua's behalf for the year were $24,000 ($12,000 (Joshua's contributions) + $12,000 (matching contributions)), the maximum contributions permitted under a SIMPLE IRA for 2013. How do i file my 2012 taxes for free Matching contributions less than 3%. How do i file my 2012 taxes for free   Your employer can reduce the 3% limit on matching contributions for a calendar year, but only if: The limit is not reduced below 1%, The limit is not reduced for more than 2 years out of the 5-year period that ends with (and includes) the year for which the election is effective, and Employees are notified of the reduced limit within a reasonable period of time before the 60-day election period during which they can enter into salary reduction agreements. How do i file my 2012 taxes for free   For purposes of applying the rule in item (2) in determining whether the limit was reduced below 3% for the year, any year before the first year in which your employer (or a former employer) maintains a SIMPLE IRA plan will be treated as a year for which the limit was 3%. How do i file my 2012 taxes for free If your employer chooses to make nonelective contributions for a year, that year also will be treated as a year for which the limit was 3%. How do i file my 2012 taxes for free Nonelective employer contributions limit. How do i file my 2012 taxes for free   If your employer chooses to make nonelective contributions, instead of matching contributions, to each eligible employee's SIMPLE IRA, contributions must be 2% of your compensation for the entire year. How do i file my 2012 taxes for free For 2013, only $255,000 of your compensation can be taken into account to figure the contribution limit. How do i file my 2012 taxes for free   Your employer can substitute the 2% nonelective contribution for the matching contribution for a year if both of the following requirements are met. How do i file my 2012 taxes for free Eligible employees are notified that a 2% nonelective contribution will be made instead of a matching contribution. How do i file my 2012 taxes for free This notice is provided within a reasonable period during which employees can enter into salary reduction agreements. How do i file my 2012 taxes for free Example 3. How do i file my 2012 taxes for free Assume the same facts as in Example 2 , except that Joshua's employer chose to make nonelective contributions instead of matching contributions. How do i file my 2012 taxes for free Because his employer's nonelective contributions are limited to 2% of up to $255,000 of Joshua's compensation, his employer's contribution to Joshua's SIMPLE IRA was limited to $5,100. How do i file my 2012 taxes for free In this example, total contributions made on Joshua's behalf for the year were $17,100 (Joshua's salary reductions of $12,000 plus his employer's contribution of $5,100). How do i file my 2012 taxes for free Traditional IRA mistakenly moved to SIMPLE IRA. How do i file my 2012 taxes for free   If you mistakenly roll over or transfer an amount from a traditional IRA to a SIMPLE IRA, you can later recharacterize the amount as a contribution to another traditional IRA. How do i file my 2012 taxes for free For more information, see Recharacterizations in chapter 1. How do i file my 2012 taxes for free Recharacterizing employer contributions. How do i file my 2012 taxes for free   You cannot recharacterize employer contributions (including elective deferrals) under a SEP or SIMPLE plan as contributions to another IRA. How do i file my 2012 taxes for free SEPs are discussed in chapter 2 of Publication 560. How do i file my 2012 taxes for free SIMPLE plans are discussed in this chapter. How do i file my 2012 taxes for free Converting from a SIMPLE IRA. How do i file my 2012 taxes for free   Generally, you can convert an amount in your SIMPLE IRA to a Roth IRA under the same rules explained in chapter 1 under Converting From Any Traditional IRA Into a Roth IRA . How do i file my 2012 taxes for free    However, you cannot convert any amount distributed from the SIMPLE IRA during the 2-year period beginning on the date you first participated in any SIMPLE IRA plan maintained by your employer. How do i file my 2012 taxes for free When Can You Withdraw or Use Assets? Generally, the same distribution (withdrawal) rules that apply to traditional IRAs apply to SIMPLE IRAs. How do i file my 2012 taxes for free These rules are discussed in chapter 1. How do i file my 2012 taxes for free Your employer cannot restrict you from taking distributions from a SIMPLE IRA. How do i file my 2012 taxes for free Are Distributions Taxable? Generally, distributions from a SIMPLE IRA are fully taxable as ordinary income. How do i file my 2012 taxes for free If the distribution is an early distribution (discussed in chapter 1), it may be subject to the additional tax on early distributions. How do i file my 2012 taxes for free See Additional Tax on Early Distributions, later. How do i file my 2012 taxes for free Rollovers and Transfers Exception Generally, rollovers and trustee-to-trustee transfers are not taxable distributions. How do i file my 2012 taxes for free Two-year rule. How do i file my 2012 taxes for free   To qualify as a tax-free rollover (or a tax-free trustee-to-trustee transfer), a rollover distribution (or a transfer) made from a SIMPLE IRA during the 2-year period beginning on the date on which you first participated in your employer's SIMPLE plan must be contributed (or transferred) to another SIMPLE IRA. How do i file my 2012 taxes for free The 2-year period begins on the first day on which contributions made by your employer are deposited in your SIMPLE IRA. How do i file my 2012 taxes for free   After the 2-year period, amounts in a SIMPLE IRA can be rolled over or transferred tax free to an IRA other than a SIMPLE IRA, or to a qualified plan, a tax-sheltered annuity plan (section 403(b) plan), or deferred compensation plan of a state or local government (section 457 plan). How do i file my 2012 taxes for free Additional Tax on Early Distributions The additional tax on early distributions (discussed in chapter 1) applies to SIMPLE IRAs. How do i file my 2012 taxes for free If a distribution is an early distribution and occurs during the 2-year period following the date on which you first participated in your employer's SIMPLE plan, the additional tax on early distributions is increased from 10% to 25%. How do i file my 2012 taxes for free If a rollover distribution (or transfer) from a SIMPLE IRA does not satisfy the 2-year rule, and is otherwise an early distribution, the additional tax imposed because of the early distribution is increased from 10% to 25% of the amount distributed. How do i file my 2012 taxes for free Prev  Up  Next   Home   More Online Publications