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1040 V Payment Voucher

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1040 V Payment Voucher

1040 v payment voucher 5. 1040 v payment voucher   How To Get Tax Help Table of Contents Low Income Taxpayer Clinics Whether it's help with a tax issue, preparing your tax return or a need for a free publication or form, get the help you need the way you want it: online, use a smart phone, call or walk in to an IRS office or volunteer site near you. 1040 v payment voucher Free help with your tax return. 1040 v payment voucher   You can get free help preparing your return nationwide from IRS-certified volunteers. 1040 v payment voucher The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. 1040 v payment voucher The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. 1040 v payment voucher 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. 1040 v payment voucher In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. 1040 v payment voucher To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. 1040 v payment voucher gov, download the IRS2Go app, or call 1-800-906-9887. 1040 v payment voucher   As part of the TCE program, AARP offers the Tax-Aide counseling program. 1040 v payment voucher To find the nearest AARP Tax-Aide site, visit AARP's website at www. 1040 v payment voucher aarp. 1040 v payment voucher org/money/taxaide or call 1-888-227-7669. 1040 v payment voucher For more information on these programs, go to IRS. 1040 v payment voucher gov and enter “VITA” in the search box. 1040 v payment voucher Internet. 1040 v payment voucher    IRS. 1040 v payment voucher gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. 1040 v payment voucher Download the free IRS2Go app from the iTunes app store or from Google Play. 1040 v payment voucher Use it to check your refund status, order transcripts of your tax returns or tax account, watch the IRS YouTube channel, get IRS news as soon as it's released to the public, 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. 1040 v payment voucher Check the status of your 2013 refund with the Where's My Refund? application on IRS. 1040 v payment voucher gov or download the IRS2Go app and select the Refund Status option. 1040 v payment voucher The IRS issues more than 9 out of 10 refunds in less than 21 days. 1040 v payment voucher Using these applications, you can start checking on the status of your return within 24 hours after we receive your e-filed return or 4 weeks after you mail a paper return. 1040 v payment voucher You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. 1040 v payment voucher The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. 1040 v payment voucher Use the Interactive Tax Assistant (ITA) to research your tax questions. 1040 v payment voucher No need to wait on the phone or stand in line. 1040 v payment voucher The ITA is available 24 hours a day, 7 days a week, and provides you with a variety of tax information related to general filing topics, deductions, credits, and income. 1040 v payment voucher When you reach the response screen, you can print the entire interview and the final response for your records. 1040 v payment voucher New subject areas are added on a regular basis. 1040 v payment voucher  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. 1040 v payment voucher gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. 1040 v payment voucher You can use the IRS Tax Map, to search publications and instructions by topic or keyword. 1040 v payment voucher The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. 1040 v payment voucher When the user searches the IRS Tax Map, they will be provided with links to related content in existing IRS publications, forms and instructions, questions and answers, and Tax Topics. 1040 v payment voucher Coming this filing season, you can immediately view and print for free all 5 types of individual federal tax transcripts (tax returns, tax account, record of account, wage and income statement, and certification of non-filing) using Get Transcript. 1040 v payment voucher You can also ask the IRS to mail a return or an account transcript to you. 1040 v payment voucher Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. 1040 v payment voucher gov or by calling 1-800-908-9946. 1040 v payment voucher Tax return and tax account transcripts are generally available for the current year and the past three years. 1040 v payment voucher Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. 1040 v payment voucher Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. 1040 v payment voucher If you received the First Time Homebuyer Credit, you can use the First Time Homebuyer Credit Account Look-up tool for information on your repayments and account balance. 1040 v payment voucher Check the status of your amended return using Where's My Amended Return? Go to IRS. 1040 v payment voucher gov and enter Where's My Amended Return? in the search box. 1040 v payment voucher You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. 1040 v payment voucher It can take up to 3 weeks from the date you mailed it to show up in our system. 1040 v payment voucher Make a payment using one of several safe and convenient electronic payment options available on IRS. 1040 v payment voucher gov. 1040 v payment voucher Select the Payment tab on the front page of IRS. 1040 v payment voucher gov for more information. 1040 v payment voucher Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. 1040 v payment voucher Figure your income tax withholding with the IRS Withholding Calculator on IRS. 1040 v payment voucher gov. 1040 v payment voucher 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. 1040 v payment voucher Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. 1040 v payment voucher gov. 1040 v payment voucher Request an Electronic Filing PIN by going to IRS. 1040 v payment voucher gov and entering Electronic Filing PIN in the search box. 1040 v payment voucher Download forms, instructions and publications, including accessible versions for people with disabilities. 1040 v payment voucher Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. 1040 v payment voucher gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. 1040 v payment voucher An employee can answer questions about your tax account or help you set up a payment plan. 1040 v payment voucher Before you visit, check the Office Locator on IRS. 1040 v payment voucher gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. 1040 v payment voucher If you have a special need, such as a disability, you can request an appointment. 1040 v payment voucher Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. 1040 v payment voucher Apply for an Employer Identification Number (EIN). 1040 v payment voucher Go to IRS. 1040 v payment voucher gov and enter Apply for an EIN in the search box. 1040 v payment voucher Read the Internal Revenue Code, regulations, or other official guidance. 1040 v payment voucher Read Internal Revenue Bulletins. 1040 v payment voucher Sign up to receive local and national tax news and more by email. 1040 v payment voucher Just click on “subscriptions” above the search box on IRS. 1040 v payment voucher gov and choose from a variety of options. 1040 v payment voucher    Phone. 1040 v payment voucher You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. 1040 v payment voucher Download the free IRS2Go app from the iTunes app store or from Google Play. 1040 v payment voucher Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. 1040 v payment voucher gov, or download the IRS2Go app. 1040 v payment voucher Low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. 1040 v payment voucher The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. 1040 v payment voucher Most VITA and TCE sites offer free electronic filing. 1040 v payment voucher Some VITA and TCE sites provide IRS-certified volunteers who can help prepare your tax return. 1040 v payment voucher Through the TCE program, AARP offers the Tax-Aide counseling program; call 1-888-227-7669 to find the nearest Tax-Aide location. 1040 v payment voucher Call the automated Where's My Refund? information hotline to check the status of your 2013 refund 24 hours a day, 7 days a week at 1-800-829-1954. 1040 v payment voucher If you e-file, you can start checking on the status of your return within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. 1040 v payment voucher The IRS issues more than 9 out of 10 refunds in less than 21 days. 1040 v payment voucher Where's My Refund? will give you a personalized refund date as soon as the IRS processes your tax return and approves your refund. 1040 v payment voucher Before you call this automated hotline, have your 2013 tax return handy so you can enter your social security number, your filing status, and the exact whole dollar amount of your refund. 1040 v payment voucher The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. 1040 v payment voucher Note, the above information is for our automated hotline. 1040 v payment voucher Our live phone and walk-in assistors can research the status of your refund only if it's been 21 days or more since you filed electronically or more than 6 weeks since you mailed your paper return. 1040 v payment voucher Call the Amended Return Hotline, 1-866-464-2050, to check the status of your amended return. 1040 v payment voucher You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. 1040 v payment voucher It can take up to 3 weeks from the date you mailed it to show up in our system. 1040 v payment voucher Call 1-800-TAX-FORM (1-800-829-3676) to order current-year forms, instructions, publications, and prior-year forms and instructions (limited to 5 years). 1040 v payment voucher You should receive your order within 10 business days. 1040 v payment voucher Call TeleTax, 1-800-829-4477, to listen to pre-recorded messages covering general and business tax information. 1040 v payment voucher If, between January and April 15, you still have questions about the Form 1040, 1040A, or 1040EZ (like filing requirements, dependents, credits, Schedule D, pensions and IRAs or self-employment taxes), call 1-800-829-1040. 1040 v payment voucher Call using TTY/TDD equipment, 1-800-829-4059 to ask tax questions or order forms and publications. 1040 v payment voucher The TTY/TDD telephone number is for people who are deaf, hard of hearing, or have a speech disability. 1040 v payment voucher These individuals can also contact the IRS through relay services such as the Federal Relay Service. 1040 v payment voucher    Walk-in. 1040 v payment voucher You can find a selection of forms, publications and services — in-person. 1040 v payment voucher Products. 1040 v payment voucher You can walk in to some post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. 1040 v payment voucher Some IRS offices, libraries, and city and county government offices have a collection of products available to photocopy from reproducible proofs. 1040 v payment voucher Services. 1040 v payment voucher You can walk in to your local TAC for face-to-face tax help. 1040 v payment voucher An employee can answer questions about your tax account or help you set up a payment plan. 1040 v payment voucher Before visiting, use the Office Locator tool on IRS. 1040 v payment voucher gov, or choose the Contact Us option on the IRS2Go app and search Local Offices for days and hours of operation, and services provided. 1040 v payment voucher    Mail. 1040 v payment voucher You can send your order for forms, instructions, and publications to the address below. 1040 v payment voucher You should receive a response within 10 business days after your request is received. 1040 v payment voucher Internal Revenue Service 1201 N. 1040 v payment voucher Mitsubishi Motorway Bloomington, IL 61705-6613    The Taxpayer Advocate Service Is Here to Help You. 1040 v payment voucher The Taxpayer Advocate Service (TAS) is your voice at the IRS. 1040 v payment voucher Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. 1040 v payment voucher   What can TAS do for you? We can offer you free help with IRS problems that you can't resolve on your own. 1040 v payment voucher 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. 1040 v payment voucher You face (or your business is facing) an immediate threat of adverse action. 1040 v payment voucher You've tried repeatedly to contact the IRS but no one has responded, or the IRS hasn't responded by the date promised. 1040 v payment voucher   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. 1040 v payment voucher Here's why we can help: TAS is an independent organization within the IRS. 1040 v payment voucher Our advocates know how to work with the IRS. 1040 v payment voucher Our services are free and tailored to meet your needs. 1040 v payment voucher We have offices in every state, the District of Columbia, and Puerto Rico. 1040 v payment voucher   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 Taxpayer Advocate, or call us toll-free at 1-877-777-4778. 1040 v payment voucher   How else does TAS help taxpayers?  TAS also works to resolve large-scale, systemic problems that affect many taxpayers. 1040 v payment voucher If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System. 1040 v payment voucher Low Income Taxpayer Clinics 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. 1040 v payment voucher Some clinics can provide information about taxpayer rights and responsibilities in different languages for individuals who speak English as a second language. 1040 v payment voucher Visit Taxpayer Advocate or see IRS Publication 4134, Low Income Taxpayer Clinic List. 1040 v payment voucher Prev  Up  Next   Home   More Online Publications
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Employee Tool & Equipment Plans

This resource page provides information and guidance related to Employee Tool and Equipment Plans, sometimes called Service Technician’s Tool Reimbursement Plans (Tool Plans). Tool Plans are programs that are marketed in various industries including auto dealership and repair facilities and other trades that require employees to provide their own tools. The plans typically purport to receive tax-favored treatment as “accountable plans” under Internal Revenue Code § 62(c) and the accompanying regulations.

Available Guidance and other Information

View recent Department of Justice activity

Revenue Rule 2012-25
Revenue Rule 2012-25 clarifies that an arrangement that recharacterizes taxable wages as nontaxable reimbursements or allowances does not satisfy the business connection requirement of the accountable plan rules under § 62(c) and the applicable regulations.  The ruling includes three examples of programs that do not satisfy the business connection requirement of the accountable plan rules because they impermissibly recharacterize wages.  It also includes an example in which the reimbursement arrangement satisfies the business connection requirement of the accountable plan rules because the employer’s plan only reimburses employees when a deductible business expense has been incurred in connection with performing services for the employer and the reimbursement is not in lieu of wages that the employees would otherwise receive.

ILM 201120021
A reimbursement or other expense allowance arrangement that pays an amount regardless of whether an expense is paid or incurred or reasonably expected to be paid or incurred by the employee in performing services for the employer violates the business connection requirement of an accountable plan. Specifically, such an arrangement violates the business connection’s reimbursement requirement under Treas. Reg. § 1.62-2(d)(3)(i). Accordingly, payments made under the arrangement are treated as made under a nonaccountable plan. Amounts treated as paid under a nonaccountable plan must be included in the employee’s gross income for the taxable year, are subject to withholding and payment of employment taxes, and must be reported as wages or other compensation on the employee’s Form W-2.

Employee Tool & Equipment Plans Alert
The Internal Revenue Service has established a compliance team to address significant concerns with certain Employee Tool and Equipment Plans that purport to receive tax-favored treatment as accountable plans.

IRS Letter Ruling 200930029
An employer's expense reimbursement plan satisfies the business connection, substantiation, and return of excess requirements of an accountable plan.  Payments made under the Plan in accordance with the terms of the plan will be excluded from the Technician’s income and will not be wages subject to the withholding and payment of employment taxes.

Chief Counsel Advice -   ILM 200745018
A legal memorandum that concludes that an employer's tool reimbursement plan does not satisfy the requirements of an accountable plan. 

Revenue Ruling 2005-52
This ruling holds that tool allowances paid to employees are not paid under an accountable plan because the substantiation and return of excess requirements are not met. 

 

Page Last Reviewed or Updated: 13-Feb-2014

The 1040 V Payment Voucher

1040 v payment voucher 14. 1040 v payment voucher   Excise Taxes Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Fuels Used in FarmingBuyer of fuel, including undyed diesel fuel or undyed kerosene. 1040 v payment voucher Undyed diesel fuel, undyed kerosene, and Other Fuels (including alternative fuel). 1040 v payment voucher Custom application of fertilizer and pesticide. 1040 v payment voucher Fuel not used for farming. 1040 v payment voucher Dyed Diesel Fuel and Dyed Kerosene Fuels Used in Off-Highway Business Use Fuels Used for Household Purposes or Other Than as a Fuel for Propulsion Engines How To Claim a Credit or RefundCredit only. 1040 v payment voucher Claiming a Credit Claiming a Refund Including the Credit or Refund in Income Introduction You may be eligible to claim a credit on your income tax return for the federal excise tax on certain fuels. 1040 v payment voucher You may also be eligible to claim a quarterly refund of the fuel taxes during the year, instead of waiting to claim a credit on your income tax return. 1040 v payment voucher Whether you can claim a credit or refund depends on whether the fuel was taxed and the purpose (nontaxable use) for which you used the fuel. 1040 v payment voucher The nontaxable uses of fuel for which a farmer may claim a credit or refund are generally the following. 1040 v payment voucher Use on a farm for farming purposes. 1040 v payment voucher Off-highway business use. 1040 v payment voucher Uses other than as a fuel in a propulsion engine, such as home use. 1040 v payment voucher Table 14-1 presents an overview of credits and refunds that may be claimed for fuels used for the nontaxable uses listed above. 1040 v payment voucher See Publication 510, Excise Taxes, for more information. 1040 v payment voucher Topics - This chapter discusses: Fuels used in farming Dyed diesel fuel and dyed kerosene Fuels used in off-highway business use Fuels used for household purposes How to claim a credit or refund Including the credit or refund in income Useful Items - You may want to see: Publication 510 Excise Taxes Form (and Instructions) 720 Quarterly Federal Excise Tax Return 4136 Credit for Federal Tax Paid on Fuels 8849 Claim for Refund of Excise Taxes See chapter 16 for information about getting publications and forms. 1040 v payment voucher Fuels Used in Farming Owners, operators, and tenants of farms and certain other persons may be eligible to claim a credit or refund of excise taxes on fuel used in the trade or business of farming, when used on a farm in the United States for farming purposes. 1040 v payment voucher See Table 14-1 for a list of available fuel tax credits and refunds. 1040 v payment voucher Fuel is used on a farm for farming purposes only if used in carrying on a trade or business of farming, on a farm in the United States, and for farming purposes. 1040 v payment voucher Farm. 1040 v payment voucher   A farm includes livestock, dairy, fish, poultry, fruit, fur-bearing animals, and truck farms, orchards, plantations, ranches, nurseries, ranges, and feed yards for finishing cattle. 1040 v payment voucher It also includes structures such as greenhouses used primarily for raising agricultural or horticultural commodities. 1040 v payment voucher A fish farm is an area where fish are grown or raised and not merely caught or harvested. 1040 v payment voucher Table 14-1. 1040 v payment voucher Fuel Tax Credits and Refunds at a Glance Use this table to see if you can take a credit or refund for a nontaxable use of the fuel listed. 1040 v payment voucher Fuel Used On a Farm for Farming Purposes Off-Highway Business Use Household Use or Use Other Than as a Fuel1 Gasoline Credit only Credit or refund None Aviation gasoline Credit only None None Undyed diesel fuel and undyed kerosene Credit or refund Credit or refund2 Credit or refund2 Kerosene for use in aviation Credit or refund None None Dyed diesel fuel and dyed kerosene None None None Other Fuels (including alternative fuels)3 Credit or refund Credit or refund None 1For a use other than as fuel in a propulsion engine. 1040 v payment voucher 2Applies to undyed kerosene not sold from a blocked pump or, under certain circumstances, for blending with undyed diesel fuel to be used for heating purposes. 1040 v payment voucher See Reg. 1040 v payment voucher 48. 1040 v payment voucher 6427-10 (b)(1) for the definition of a blocked pump. 1040 v payment voucher 3Other Fuels means any liquid except gas oil, fuel oil, or any product taxable under Internal Revenue Code section 4081. 1040 v payment voucher It includes the alternative fuels: liquefied petroleum gas (LPG),“P” Series fuels, compressed natural gas (CNG), liquefied hydrogen, any liquid fuel derived from coal (including peat) through the Fischer-Tropsch process, liquid fuel derived from biomass, liquid natural gas (LNG), liquefied gas derived from biomass, and compressed gas derived from biomass. 1040 v payment voucher Farming purposes. 1040 v payment voucher   As the owner, tenant, or operator and the ultimate purchaser of fuel that you purchased, you use the fuel on a farm for farming purposes if you use it in any of the following ways. 1040 v payment voucher To cultivate the soil or to raise or harvest any agricultural or horticultural commodity. 1040 v payment voucher To raise, shear, feed, care for, train, or manage livestock, bees, poultry, fur-bearing animals, or wildlife. 1040 v payment voucher To operate, manage, conserve, improve, or maintain your farm and its tools and equipment. 1040 v payment voucher To handle, dry, pack, grade, or store any raw agricultural or horticultural commodity. 1040 v payment voucher For this use to qualify, you must have produced more than half the commodity so treated during the tax year. 1040 v payment voucher The more-than-one-half test applies separately to each commodity. 1040 v payment voucher Commodity means a single raw product. 1040 v payment voucher For example, apples and peaches are two separate commodities. 1040 v payment voucher To plant, cultivate, care for, or cut trees or to prepare (other than sawing logs into lumber, chipping, or other milling) trees for market, but only if these activities are incidental to your farming operations. 1040 v payment voucher Your tree operations are incidental only if they are minor in nature when compared to the total farming operations. 1040 v payment voucher   If any other person, such as a neighbor or custom operator (independent contractor), performs a service for you on your farm for any of the purposes included in list items (1) or (2), above, you are considered to be the ultimate purchaser who used the fuel on a farm for farming purposes. 1040 v payment voucher Therefore, you can still claim the credit or refund for the fuel so used. 1040 v payment voucher However, see Custom application of fertilizer and pesticide, later. 1040 v payment voucher If the other person performs any other services for you on your farm for purposes not included in list items (1) or (2) above, no one can claim the credit or refund for fuel used on your farm for those other services. 1040 v payment voucher Buyer of fuel, including undyed diesel fuel or undyed kerosene. 1040 v payment voucher   If doubt exists whether the owner, tenant, or operator of the farm bought the fuel, determine who actually bore the cost of the fuel. 1040 v payment voucher For example, if the owner of a farm and his or her tenant equally share the cost of gasoline used on the farm, each can claim a credit for the tax on half the fuel used. 1040 v payment voucher Undyed diesel fuel, undyed kerosene, and Other Fuels (including alternative fuel). 1040 v payment voucher   Usually, the farmer is the only person who can make a claim for credit or refund for the tax on undyed diesel fuel, undyed kerosene, or other fuels (including alternative fuel) used for farming purposes. 1040 v payment voucher However, see Custom application of fertilizer and pesticide, next. 1040 v payment voucher Also see Dyed Diesel Fuel and Dyed Kerosene, later. 1040 v payment voucher Example. 1040 v payment voucher Farm owner Haleigh Blue hired custom operator Tyler Steele to cultivate the soil on her farm. 1040 v payment voucher Tyler used 200 gallons of undyed diesel fuel that he purchased to perform the work on Haleigh's farm. 1040 v payment voucher In addition, Haleigh hired contractor Lee Brown to pack and store her apple crop. 1040 v payment voucher Lee bought 25 gallons of undyed diesel fuel to use in packing the apples. 1040 v payment voucher Haleigh can claim the credit for the 200 gallons of undyed diesel fuel used by Tyler on her farm because it qualifies as fuel used on the farm for farming purposes. 1040 v payment voucher No one can claim a credit for the 25 gallons used by Lee because that fuel was not used for a farming purpose included in list items (1) or (2), above. 1040 v payment voucher In the above example, both Tyler Steele and Lee Brown could have purchased dyed (untaxed) diesel fuel for their tasks. 1040 v payment voucher Custom application of fertilizer and pesticide. 1040 v payment voucher   Fuel used on a farm for farming purposes includes fuel used in the application (including aerial application) of fertilizer, pesticides, or other substances. 1040 v payment voucher Generally, the applicator is treated as having used the fuel on a farm for farming purposes. 1040 v payment voucher For applicators using highway vehicles, only the fuel used on the farm is exempt. 1040 v payment voucher Fuel used traveling on the highway to and from the farm is taxable. 1040 v payment voucher Fuel used by an aerial applicator for the direct flight between the airfield and one or more farms is treated as used for a farming purpose. 1040 v payment voucher For aviation gasoline, the aerial applicator makes the claim as the ultimate purchaser. 1040 v payment voucher For kerosene used in aviation, the ultimate purchaser may make the claim or waive the right to make the claim to the registered ultimate vendor. 1040 v payment voucher A sample waiver is included as Model Waiver L in the appendix of Publication 510. 1040 v payment voucher A registered ultimate vendor is the person who sells undyed diesel fuel, undyed kerosene, or kerosene for use in aviation to the user (ultimate purchaser) of the fuel for use on a farm for farming purposes. 1040 v payment voucher To claim a credit or refund of tax, the ultimate vendor must be registered with the Internal Revenue Service at the time the claim is made. 1040 v payment voucher However, registered ultimate vendors cannot make claims for undyed diesel fuel and undyed kerosene sold for use on a farm for farming purposes. 1040 v payment voucher Fuel not used for farming. 1040 v payment voucher   You do not use fuel on a farm for farming purposes when you use it in any of the following ways. 1040 v payment voucher Off the farm, such as on the highway or in noncommercial aviation, even if the fuel is used in transporting livestock, feed, crops, or equipment. 1040 v payment voucher For personal use, such as lawn mowing. 1040 v payment voucher In processing, packaging, freezing, or canning operations. 1040 v payment voucher In processing crude gum into gum spirits of turpentine or gum resin or in processing maple sap into maple syrup or maple sugar. 1040 v payment voucher All-terrain vehicles (ATVs). 1040 v payment voucher   Fuel used in ATVs on a farm for farming purposes, discussed earlier, is eligible for a credit or refund of excise taxes on the fuel. 1040 v payment voucher Fuel used in ATVs for nonfarming purposes is not eligible for a credit or refund of the taxes. 1040 v payment voucher If ATVs are used both for farming and nonfarming purposes, only that portion of the fuel used for farming purposes is eligible for the credit or refund. 1040 v payment voucher Dyed Diesel Fuel and Dyed Kerosene If you purchase dyed diesel fuel or dyed kerosene for a nontaxable use, you must use it only on a farm for farming purposes or for other nontaxable purposes. 1040 v payment voucher For example, you should not use dyed diesel fuel in a truck that is used both on the farm for farming purposes and on the highway, even though the highway use is in connection with farm business. 1040 v payment voucher Excise tax applies to the fuel used by the truck on the highways. 1040 v payment voucher In this situation, undyed (taxed) fuel should be purchased for the truck. 1040 v payment voucher You should keep fuel records of the use of the truck on the farm for farming purposes, and for other uses. 1040 v payment voucher You may be eligible for a credit or refund for the excise tax on fuel used on the farm for farming purposes. 1040 v payment voucher Penalty. 1040 v payment voucher   A penalty is imposed on any person who knowingly uses, sells, or alters dyed diesel fuel or dyed kerosene for any purpose other than a nontaxable use. 1040 v payment voucher The penalty is the greater of $1,000 or $10 per gallon of the dyed diesel fuel or dyed kerosene involved. 1040 v payment voucher After the first violation, the $1,000 portion of the penalty increases depending on the number of violations. 1040 v payment voucher For more information on this penalty, see Publication 510. 1040 v payment voucher Fuels Used in Off-Highway Business Use You may be eligible to claim a credit or refund for the excise tax on fuel used in an off-highway business use. 1040 v payment voucher Off-highway business use. 1040 v payment voucher   This is any use of fuel in a trade or business or in an income-producing activity. 1040 v payment voucher The use must not be in a highway vehicle registered or required to be registered for use on public highways. 1040 v payment voucher Off-highway business use generally does not include any use in a recreational motorboat. 1040 v payment voucher Examples. 1040 v payment voucher   Off-highway business use includes the use of fuels in a trade or business in any of the following ways. 1040 v payment voucher In stationary machines such as generators, compressors, power saws, and similar equipment; For cleaning ; and In forklift trucks, bulldozers, and earthmovers. 1040 v payment voucher   Off-highway nonbusiness (taxable) use of fuel includes: use in minibikes, snowmobiles, power lawn mowers, chain saws, and other yard equipment. 1040 v payment voucher For more information, see Publication 510. 1040 v payment voucher Fuels Used for Household Purposes or Other Than as a Fuel for Propulsion Engines You may be eligible to claim a credit or refund for the excise tax on undyed diesel fuel or kerosene used for home heating, lighting, and cooking. 1040 v payment voucher This also applies to diesel fuel and kerosene used in a home generator to produce electricity for home use. 1040 v payment voucher Home use of a fuel does not include use in a propulsion engine and it is not considered an off-highway business use. 1040 v payment voucher How To Claim a Credit or Refund You may be able to claim a credit or refund of the excise tax on fuels you use for nontaxable uses. 1040 v payment voucher The basic rules for claiming credits and refunds are listed in Table 14-2 . 1040 v payment voucher Table 14-2. 1040 v payment voucher Claiming a Credit or Refund of Excise Taxes This table gives the basic rules for claiming a credit or refund of excise taxes on fuels used for a nontaxable use. 1040 v payment voucher   Credit Refund Which form to use Form 4136, Credit for Federal Tax Paid on Fuels Form 8849, Claim for Refund of Excise Taxes, and Schedule 1 (Form 8849), Nontaxable Use of Fuels Type of form Annual Quarterly When to file With your income tax return By the last day of the quarter following the last quarter included in the claim Amount of tax Any amount $750 or more1 1You may carry over an amount less than $750 to the next quarter. 1040 v payment voucher Keep at your principal place of business all records needed to enable the IRS to verify that you are the person entitled to claim a credit or refund and the amount you claimed. 1040 v payment voucher You do not have to use any special form, but the records should establish the following information. 1040 v payment voucher The total number of gallons bought and used during the period covered by your claim. 1040 v payment voucher The dates of the purchases. 1040 v payment voucher The names and addresses of suppliers and amounts bought from each during the period covered by your claim. 1040 v payment voucher The nontaxable use for which you used the fuel. 1040 v payment voucher The number of gallons used for each nontaxable use. 1040 v payment voucher It is important that your records separately show the number of gallons used for each nontaxable use that qualifies as a claim. 1040 v payment voucher For more information about recordkeeping, see Publication 583, Starting a Business and Keeping Records. 1040 v payment voucher Credit or refund. 1040 v payment voucher   A credit is an amount that reduces the tax on your income tax return when you file it at the end of the year. 1040 v payment voucher If you meet certain requirements, you may claim a refund during the year instead of waiting until you file your income tax return. 1040 v payment voucher Credit only. 1040 v payment voucher   You can claim the following taxes only as a credit on your income tax return. 1040 v payment voucher Tax on gasoline and aviation gasoline you used on a farm for farming purposes. 1040 v payment voucher Tax on fuels (including undyed diesel fuel or undyed kerosene) you used for nontaxable uses if the total for the tax year is less than $750. 1040 v payment voucher Tax on fuel you did not include in any claim for refund previously filed for any quarter of the tax year. 1040 v payment voucher Claiming a Credit You make a claim for a fuel tax credit on Form 4136 and attach it to your income tax return. 1040 v payment voucher Do not claim a credit for any excise tax for which you have filed a refund claim. 1040 v payment voucher How to claim a credit. 1040 v payment voucher   How you claim a credit depends on whether you are an individual, partnership, corporation, S corporation, trust, or farmers' cooperative association. 1040 v payment voucher Individuals. 1040 v payment voucher   You claim the credit on the “Credit for federal tax on fuels” line of your Form 1040. 1040 v payment voucher If you would not otherwise have to file an income tax return, you must do so to get a fuel tax credit. 1040 v payment voucher Partnership. 1040 v payment voucher   Partnerships (other than electing large partnerships) claim the credit by including a statement on Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc. 1040 v payment voucher , showing each partner's share of the number of gallons of each fuel sold or used for a nontaxable use, the type of use, and the applicable credit per gallon. 1040 v payment voucher Each partner claims the credit on his or her income tax return for the partner's share of the fuel used by the partnership. 1040 v payment voucher An electing large partnership can claim the credit on the “Other payments” line of Form 1065-B, U. 1040 v payment voucher S. 1040 v payment voucher Return of Income for Electing Large Partnerships. 1040 v payment voucher Other entities. 1040 v payment voucher   Corporations, S corporations, farmers' cooperative associations, and trusts make the claim on the appropriate line of their income tax return. 1040 v payment voucher When to claim a credit. 1040 v payment voucher   You can claim a fuel tax credit on your income tax return for the year you used the fuel. 1040 v payment voucher You may be able to make a fuel tax claim on an amended income tax return for the year you used the fuel. 1040 v payment voucher A claim for credit or refund of an overpayment must generally be filed within the later of: Three years from the date the original return was filed, or Two years from the date the tax was paid. 1040 v payment voucher Claiming a Refund Generally, you may claim a refund of excise taxes on Form 8849. 1040 v payment voucher Complete and attach to Form 8849 the appropriate Form 8849 schedule(s). 1040 v payment voucher The instructions for Form 8849 and the separate instructions for each schedule explain the requirements for making a claim for refund. 1040 v payment voucher If you file Form 720, you can use its Schedule C for your refund claims for the quarter. 1040 v payment voucher See the Instructions for Form 720. 1040 v payment voucher Do not claim a refund on Form 8849 for any amount for which you have filed or will file a claim on Form 720 or Form 4136. 1040 v payment voucher You may file a claim for refund for any quarter of your tax year for which you can claim $750 or more. 1040 v payment voucher This amount is the excise tax on all fuels used for a nontaxable use during that quarter or any prior quarter (for which no other claim has been filed) during the tax year. 1040 v payment voucher If you cannot claim at least $750 at the end of a quarter, you carry the amount over to the next quarter of your tax year to determine if you can claim at least $750 for that quarter. 1040 v payment voucher If you cannot claim at least $750 at the end of the fourth quarter of your tax year, you must claim a credit on your income tax return using Form 4136. 1040 v payment voucher Only one claim can be filed for a quarter. 1040 v payment voucher You cannot claim a refund for excise tax on gasoline and aviation gasoline used on a farm for farming purposes. 1040 v payment voucher You must claim a credit on your income tax return for the tax. 1040 v payment voucher How to file a quarterly claim. 1040 v payment voucher   File the claim for refund by filling out Schedule 1 (Form 8849) and attaching it to Form 8849. 1040 v payment voucher Send it to the address shown in the instructions. 1040 v payment voucher If you file Form 720, you can use its Schedule C for your refund claims. 1040 v payment voucher See the Instructions for Form 720. 1040 v payment voucher When to file a quarterly claim. 1040 v payment voucher   You must file a quarterly claim by the last day of the first quarter following the last quarter included in the claim. 1040 v payment voucher If you do not file a timely refund claim for the fourth quarter of your tax year, you will have to claim a credit for that amount on your income tax return, as discussed earlier. 1040 v payment voucher    In most situations, the amount claimed as a credit or refund will be less than the amount deducted as fuel tax expense because the Leaking Underground Storage Tank (LUST) tax of $0. 1040 v payment voucher 001 per gallon is generally not subject to credit or refund. 1040 v payment voucher Including the Credit or Refund in Income Include any credit or refund of excise taxes on fuels in your gross income if you claimed the total cost of the fuel (including the excise taxes) as an expense deduction that reduced your income tax liability. 1040 v payment voucher Which year you include a credit or refund in gross income depends on whether you use the cash or an accrual method of accounting. 1040 v payment voucher Cash method. 1040 v payment voucher   If you use the cash method and file a claim for refund, include the refund amount in gross income for the tax year in which you receive the refund. 1040 v payment voucher If you claim a credit on your income tax return, include the credit amount in gross income for the tax year in which you file Form 4136. 1040 v payment voucher If you file an amended return and claim a credit, include the credit amount in gross income for the tax year in which you receive the credit. 1040 v payment voucher Example. 1040 v payment voucher Sharon Brown, a farmer who uses the cash method, filed her 2012 Form 1040 on March 3, 2013. 1040 v payment voucher On her Schedule F, she deducted the total cost of gasoline (including $110 of excise taxes) used on the farm for farming purposes. 1040 v payment voucher Then, on Form 4136, she claimed the $110 as a credit. 1040 v payment voucher Sharon reports the $110 as other income on line 8b of her 2013 Schedule F. 1040 v payment voucher Accrual method. 1040 v payment voucher   If you use an accrual method, include the amount of credit or refund in gross income for the tax year in which you used the fuels. 1040 v payment voucher It does not matter whether you filed for a quarterly refund or claimed the entire amount as a credit. 1040 v payment voucher Example. 1040 v payment voucher Patty Green, a farmer who uses the accrual method, files her 2012 Form 1040 on April 15, 2013. 1040 v payment voucher On Schedule F, she deducts the total cost of gasoline (including $155 of excise taxes) she used on the farm for farming purposes during 2012. 1040 v payment voucher On Form 4136, Patty claims the $155 as a credit. 1040 v payment voucher She reports the $155 as other income on line 8b of her 2012 Schedule F. 1040 v payment voucher Prev  Up  Next   Home   More Online Publications