File your Taxes for Free!
  • Get your maximum refund*
  • 100% accurate calculations guaranteed*

TurboTax Federal Free Edition - File Taxes Online

Don't let filing your taxes get you down! We'll help make it as easy as possible. With e-file and direct deposit, there's no faster way to get your refund!

Approved TurboTax Affiliate Site. TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.


© 2012 - 2018 All rights reserved.

This is an Approved TurboTax Affiliate site. TurboTax and TurboTax Online, among other are registered trademarks and/or service marks of Intuit, Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.
When discussing "Free e-file", note that state e-file is an additional fee. E-file fees do not apply to New York state returns. Prices are subject to change without notice. E-file and get your refund faster
*If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
*Maximum Refund Guarantee - or Your Money Back: If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Federal Free Edition customers are entitled to payment of $14.99 and a refund of your state purchase price paid. Claims must be submitted within sixty (60) days of your TurboTax filing date and no later than 6/15/14. E-file, Audit Defense, Professional Review, Refund Transfer and technical support fees are excluded. This guarantee cannot be combined with the TurboTax Satisfaction (Easy) Guarantee. *We're so confident your return will be done right, we guarantee it. Accurate calculations guaranteed. If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
https://turbotax.intuit.com/corp/guarantees.jsp

1040ez Free File

2011 Taxes FormsH & R Block Free For Military1040 ComFree Taxes For MilitaryCan A Full Time Student File TaxesHow Do You File An Amended Tax Return1040nr FormForms TaxWhen Can I File An Amended Tax ReturnH&r Block At Home 2011 Deluxe Federal State Efile2010 Income Tax1040 X 2011Amend 2011 Tax Return TurbotaxHow Do You File An Amended Federal Tax ReturnH And R Block ComHow To Do An Amended Tax Return On TurbotaxEz 40 Tax FormH & R Block Free Tax Filing2013 1040ezElectronically File 2010 Taxes2010 Tax Forms 1040aHow To Do Amended Tax Return1040x Calculator2006 Tax Software Free DownloadAmend State TaxesIrs 1040xFile Federal Taxes Online Free 2012Instructions For Filing An Amended Tax Return2012 1040 Tax FormsFree Tax FileForm 1040aFree Tax Software 2012Filing Taxes For 20111040 State Tax FormFile My State Taxes Online FreeFile My Federal And State Taxes For Free1040ez.govFiling State Taxes OnlineTax BackH&r Blocks

1040ez Free File

1040ez free file 5. 1040ez free file   Table and Worksheets for the Self-Employed Table of Contents Community property laws. 1040ez free file As discussed in chapters 2 and 4, if you are self-employed, you must use the rate table or rate worksheet and deduction worksheet to figure your deduction for contributions you made for yourself to a SEP-IRA or qualified plan. 1040ez free file First, use either the rate table or rate worksheet to find your reduced contribution rate. 1040ez free file Then complete the deduction worksheet to figure your deduction for contributions. 1040ez free file The table and the worksheets in chapter 5 apply only to self-employed individuals who have only one defined contribution plan, such as a profit-sharing plan. 1040ez free file A SEP plan is treated as a profit-sharing plan. 1040ez free file However, do not use this worksheet for SARSEPs. 1040ez free file Rate table for self-employed. 1040ez free file   If your plan's contribution rate is a whole percentage (for example, 12% rather than 12½%), you can use the table on the next page to find your reduced contribution rate. 1040ez free file Otherwise, use the rate worksheet provided below. 1040ez free file   First, find your plan contribution rate (the contribution rate stated in your plan) in Column A of the table. 1040ez free file Then read across to the rate under Column B. 1040ez free file Enter the rate from Column B in step 4 of the Deduction Worksheet for Self-Employed on this page. 1040ez free file    Example. 1040ez free file You are a sole proprietor with no employees. 1040ez free file If your plan's contribution rate is 10% of a participant's compensation, your rate is 0. 1040ez free file 090909. 1040ez free file Enter this rate in step 4 of the Deduction Worksheet for Self-Employed on this page. 1040ez free file Deduction Worksheet for Self-Employed   Step 1           Enter your net profit from line 31, Schedule C (Form 1040); line 3, Schedule C-EZ (Form 1040); line 34, Schedule F (Form 1040)*; or box 14, code A**, Schedule K-1 (Form 1065)*. 1040ez free file For information on other income included in net profit from self-employment, see the Instructions for Schedule SE, Form 1040. 1040ez free file       *Reduce this amount by any amount reported on Schedule SE (Form 1040), line 1b. 1040ez free file       **General partners should reduce this amount by the same additional expenses subtracted from box 14, code A to determine the amount on line 1 or 2 of Schedule SE. 1040ez free file     Step 2           Enter your deduction for self-employment tax from Form 1040, line 27             Step 3           Net earnings from self-employment. 1040ez free file Subtract step 2 from step 1     Step 4           Enter your rate from the Rate Table for Self-Employed or Rate Worksheet for Self-Employed     Step 5           Multiply step 3 by step 4     Step 6           Multiply $255,000 by your plan contribution rate (not the reduced rate)     Step 7           Enter the smaller of step 5 or step 6     Step 8           Contribution dollar limit $51,000     • If you made any elective deferrals to your self-employed plan, go to step 9. 1040ez free file         • Otherwise, skip steps 9 through 20 and enter the smaller of step 7 or step 8 on step 21. 1040ez free file       Step 9           Enter your allowable elective deferrals (including designated Roth contributions) made to your self-employed plan during 2013. 1040ez free file Do not enter more than $17,500     Step 10           Subtract step 9 from step 8     Step 11           Subtract step 9 from step 3       Step 12           Enter one-half of step 11     Step 13           Enter the smallest of step 7, 10, or 12     Step 14           Subtract step 13 from step 3     Step 15           Enter the smaller of step 9 or step 14       • If you made catch-up contributions, go to step 16. 1040ez free file         • Otherwise, skip steps 16 through 18 and go to step 19. 1040ez free file       Step 16           Subtract step 15 from step 14     Step 17           Enter your catch-up contributions (including designated Roth contributions), if any. 1040ez free file Do not enter more than $5,500     Step 18           Enter the smaller of step 16 or step 17     Step 19           Add steps 13, 15, and 18. 1040ez free file     Step 20           Enter the amount of designated Roth contributions included on lines 9 and 17. 1040ez free file     Step 21           Subtract step 20 from step 19. 1040ez free file This is your maximum deductible contribution. 1040ez free file                 Next: Enter your actual contribution, not to exceed your maximum deductible contribution, on Form 1040, line 28. 1040ez free file   Rate worksheet for self-employed. 1040ez free file   If your plan's contribution rate is not a whole percentage (for example, 10½%), you cannot use the Rate Table for Self-Employed. 1040ez free file Use the following worksheet instead. 1040ez free file Rate Worksheet for Self-Employed 1) Plan contribution rate as a decimal (for example, 10½% = 0. 1040ez free file 105)   2) Rate in line 1 plus 1 (for example, 0. 1040ez free file 105 + 1 = 1. 1040ez free file 105)   3) Self-employed rate as a decimal rounded to at least 3 decimal places (line 1 ÷ line 2) (for example, 0. 1040ez free file 105 ÷ 1. 1040ez free file 105 = 0. 1040ez free file 095)   Figuring your deduction. 1040ez free file   Now that you have your self-employed rate from either the rate table or rate worksheet, you can figure your maximum deduction for contributions for yourself by completing the Deduction Worksheet for Self-Employed. 1040ez free file Community property laws. 1040ez free file   If you reside in a community property state and you are married and filing a separate return, disregard community property laws for step 1 of the Deduction Worksheet for Self-Employed. 1040ez free file Enter on step 1 the total net profit you actually earned. 1040ez free file Rate Table for Self-Employed Column A  If the plan contri- bution rate is: (shown as %) Column B  Your rate is: (shown as decimal) 1 . 1040ez free file 009901 2 . 1040ez free file 019608 3 . 1040ez free file 029126 4 . 1040ez free file 038462 5 . 1040ez free file 047619 6 . 1040ez free file 056604 7 . 1040ez free file 065421 8 . 1040ez free file 074074 9 . 1040ez free file 082569 10 . 1040ez free file 090909 11 . 1040ez free file 099099 12 . 1040ez free file 107143 13 . 1040ez free file 115044 14 . 1040ez free file 122807 15 . 1040ez free file 130435 16 . 1040ez free file 137931 17 . 1040ez free file 145299 18 . 1040ez free file 152542 19 . 1040ez free file 159664 20 . 1040ez free file 166667 21 . 1040ez free file 173554 22 . 1040ez free file 180328 23 . 1040ez free file 186992 24 . 1040ez free file 193548 25* . 1040ez free file 200000* *The deduction for annual employer contributions (other than elective deferrals) to a SEP plan, a profit-sharing plan, or a money purchase plan cannot be more than 20% of your net earnings (figured without deducting contributions for yourself) from the business that has the plan. 1040ez free file Example. 1040ez free file You are a sole proprietor with no employees. 1040ez free file The terms of your plan provide that you contribute 8½% (. 1040ez free file 085) of your compensation to your plan. 1040ez free file Your net profit from line 31, Schedule C (Form 1040) is $200,000. 1040ez free file You have no elective deferrals or catch-up contributions. 1040ez free file Your self-employment tax deduction on line 27 of Form 1040 is $9,728. 1040ez free file See the filled-in portions of both Schedule SE (Form 1040), Self-Employment Income, and Form 1040, later. 1040ez free file You figure your self-employed rate and maximum deduction for employer contributions you made for yourself as follows. 1040ez free file Deduction Worksheet for Self-Employed   Step 1           Enter your net profit from line 31, Schedule C (Form 1040); line 3, Schedule C-EZ (Form 1040); line 34, Schedule F (Form 1040)*; or box 14, code A**, Schedule K-1 (Form 1065)*. 1040ez free file For information on other income included in net profit from self-employment, see the Instructions for Schedule SE, Form 1040. 1040ez free file $200,000     *Reduce this amount by any amount reported on Schedule SE (Form 1040), line 1b. 1040ez free file       **General partners should reduce this amount by the same additional expenses subtracted from box 14, code A to determine the amount on line 1 or 2 of Schedule SE. 1040ez free file     Step 2           Enter your deduction for self-employment tax from Form 1040, line 27 9,728           Step 3           Net earnings from self-employment. 1040ez free file Subtract step 2 from step 1 190,272   Step 4           Enter your rate from the Rate Table for Self-Employed or Rate Worksheet for Self-Employed 0. 1040ez free file 078   Step 5           Multiply step 3 by step 4 14,841   Step 6           Multiply $255,000 by your plan contribution rate (not the reduced rate) 21,675   Step 7           Enter the smaller of step 5 or step 6 14,841   Step 8           Contribution dollar limit $51,000     • If you made any elective deferrals to your self-employed plan, go to step 9. 1040ez free file         • Otherwise, skip steps 9 through 20 and enter the smaller of step 7 or step 8 on step 21. 1040ez free file       Step 9           Enter your allowable elective deferrals (including designated Roth contributions) made to your self-employed plan during 2013. 1040ez free file Do not enter more than $17,500 N/A   Step 10           Subtract step 9 from step 8     Step 11           Subtract step 9 from step 3       Step 12           Enter one-half of step 11     Step 13           Enter the smallest of step 7, 10, or 12     Step 14           Subtract step 13 from step 3     Step 15           Enter the smaller of step 9 or step 14       • If you made catch-up contributions, go to step 16. 1040ez free file         • Otherwise, skip steps 16 through 18 and go to step 19. 1040ez free file       Step 16           Subtract step 15 from step 14     Step 17           Enter your catch-up contributions (including designated Roth contributions), if any. 1040ez free file Do not enter more than $5,500     Step 18           Enter the smaller of step 16 or step 17     Step 19           Add steps 13, 15, and 18. 1040ez free file     Step 20           Enter the amount of designated Roth contributions included on lines 9 and 17     Step 21           Subtract step 20 from step 19. 1040ez free file This is your maximum deductible contribution $14,841                 Next: Enter your actual contribution, not to exceed your maximum deductible contribution, on Form 1040, line 28. 1040ez free file   See the filled-in Deduction Worksheet for Self-Employed on this page. 1040ez free file Rate Worksheet for Self-Employed 1) Plan contribution rate as a decimal (for example, 10½% = 0. 1040ez free file 105) 0. 1040ez free file 085 2) Rate in line 1 plus 1 (for example, 0. 1040ez free file 105 + 1 = 1. 1040ez free file 105) 1. 1040ez free file 085 3) Self-employed rate as a decimal rounded to at least 3 decimal places (line 1 ÷ line 2) (for example, 0. 1040ez free file 105 ÷ 1. 1040ez free file 105 = 0. 1040ez free file 095) 0. 1040ez free file 078 This image is too large to be displayed in the current screen. 1040ez free file Please click the link to view the image. 1040ez free file Portion of Form 1040 and Portion of Schedule SE Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

Tax Relief for Victims of Hurricane Irene in New York

IRS e-File to Remain Open through Oct. 31 for Victims of Hurricane Irene

Updated 9/14/11 to include Herkimer county.
Updated 9/12/11 to include Bronx, Kings, Queens and Richmond counties.
Updated 9/911 to include Columbia, Putnam and Washington counties.
Updated 9/6/11 to include Clinton, Montgomery, Orange, Otsego, Rockland, Saratoga, Sullivan, Suffolk and Warren counties.
Updated 9/2/11 to include Nassau, Rensselaer and Westchester counties.

NY-2011-34, Sept. 1, 2011

NEW YORK — Victims of Hurricane Irene that began on Aug. 26, 2011, in parts of New York may qualify for tax relief from the Internal Revenue Service.

The President has declared the following counties a federal disaster area: Albany, Bronx, Clinton, Columbia, Delaware, Dutchess, Essex, Greene, Herkimer, Kings, Montgomery, Nassau, Orange, Otsego, Putnam, Queens, Rensselaer, Richmond, Rockland, Saratoga, Schenectady, Schoharie, Suffolk, Sullivan, Ulster, Warren, Washington and Westchester. Individuals who reside or have a business in these counties may qualify for tax relief.

The declaration permits the IRS to postpone certain deadlines for taxpayers who reside or have a business in the disaster area. For instance, certain deadlines falling on or after Aug. 26 and on or before Oct. 31 have been postponed to Oct. 31, 2011. This includes corporations and other businesses that previously obtained an extension until Sept. 15 to file their 2010 returns, and individuals and businesses that received a similar extension until Oct. 17. It also includes the estimated tax payment for the third quarter, normally due Sept. 15.  

In addition, the IRS is waiving the failure-to-deposit penalties for employment and excise tax deposits due on or after Aug. 26 and on or before Sept. 12 as long as the deposits are made by Sept. 12, 2011.

If an affected taxpayer receives a penalty notice from the IRS, the taxpayer should call the telephone number on the notice to have the IRS abate any interest and any late filing or late payment penalties that would otherwise apply. Penalties or interest will be abated only for taxpayers who have an original or extended filing, payment or deposit due date, including an extended filing or payment due date, that falls within the postponement period.

The IRS automatically identifies taxpayers located in the covered disaster area and applies automatic filing and payment relief. But affected taxpayers who reside or have a business located outside the covered disaster area must call the IRS disaster hotline at 1-866-562-5227 to request this tax relief.

Covered Disaster Area

The counties listed above constitute a covered disaster area for purposes of Treas. Reg. § 301.7508A-1(d)(2) and are entitled to the relief detailed below.

Affected Taxpayers

Taxpayers considered to be affected taxpayers eligible for the postponement of time to file returns, pay taxes and perform other time-sensitive acts are those taxpayers listed in Treas. Reg. § 301.7508A-1(d)(1), and include individuals who live, and businesses whose principal place of business is located, in the covered disaster area. Taxpayers not in the covered disaster area, but whose records necessary to meet a deadline listed in Treas. Reg. § 301.7508A-1(c) are in the covered disaster area, are also entitled to relief. In addition, all relief workers affiliated with a recognized government or philanthropic organization assisting in the relief activities in the covered disaster area and any individual visiting the covered disaster area who was killed or injured as a result of the disaster are entitled to relief.

Grant of Relief

Under section 7508A, the IRS gives affected taxpayers until Oct. 31 to file most tax returns (including individual, corporate, and estate and trust income tax returns; partnership returns, S corporation returns, and trust returns; estate, gift, and generation-skipping transfer tax returns; and employment and certain excise tax returns), or to make tax payments, including estimated tax payments, that have either an original or extended due date occurring on or after Aug. 26 and on or before Oct. 31.

The IRS also gives affected taxpayers until Oct. 31 to perform other time-sensitive actions described in Treas. Reg. § 301.7508A-1(c)(1) and Rev. Proc. 2007-56, 2007-34 I.R.B. 388 (Aug. 20, 2007), that are due to be performed on or after Aug. 26 and on or before Oct. 31.

This relief also includes the filing of Form 5500 series returns, in the manner described in section 8 of Rev. Proc. 2007-56. The relief described in section 17 of Rev. Proc. 2007-56, pertaining to like-kind exchanges of property, also applies to certain taxpayers who are not otherwise affected taxpayers and may include acts required to be performed before or after the period above.

The postponement of time to file and pay does not apply to information returns in the W-2, 1098, 1099 series, or to Forms 1042-S or 8027. Penalties for failure to timely file information returns can be waived under existing procedures for reasonable cause. Likewise, the postponement does not apply to employment and excise tax deposits. The IRS, however, will abate penalties for failure to make timely employment and excise tax deposits due on or after Aug. 26 and on or before Sept. 12 provided the taxpayer makes these deposits by Sept. 12.

Casualty Losses

Affected taxpayers in a federally declared disaster area have the option of claiming disaster-related casualty losses on their federal income tax return for either this year or last year. Claiming the loss on an original or amended return for last year will get the taxpayer an earlier refund, but waiting to claim the loss on this year’s return could result in a greater tax saving, depending on other income factors.

Individuals may deduct personal property losses that are not covered by insurance or other reimbursements. For details, see Form 4684 and its instructions.

Affected taxpayers claiming the disaster loss on last year’s return should put the Disaster Designation “New York/Hurricane Irene” at the top of the form so that the IRS can expedite the processing of the refund.

Other Relief

The IRS will waive the usual fees and expedite requests for copies of previously filed tax returns for affected taxpayers. Taxpayers should put the assigned Disaster Designation in red ink at the top of Form 4506, Request for Copy of Tax Return, or Form 4506-T, Request for Transcript of Tax Return, as appropriate, and submit it to the IRS.

Affected taxpayers who are contacted by the IRS on a collection or examination matter should explain how the disaster impacts them so that the IRS can provide appropriate consideration to their case.

Taxpayers may download forms and publications from the official IRS website, irs.gov, or order them by calling 1-800-TAX-FORM (1-800-829-3676). The IRS toll-free number for general tax questions is 1-800-829-1040.

Related Information

Page Last Reviewed or Updated: 20-Mar-2014

The 1040ez Free File

1040ez free file 9. 1040ez free file   Education Exception to Additional Tax on Early IRA Distributions Table of Contents Introduction Who Is Eligible Figuring the Amount Not Subject to the 10% Tax Reporting Early Distributions Introduction Generally, if you take a distribution from your IRA before you reach age 59½, you must pay a 10% additional tax on the early distribution. 1040ez free file This applies to any IRA you own, whether it is a traditional IRA (including a SEP-IRA), a Roth IRA, or a SIMPLE IRA. 1040ez free file The additional tax on an early distribution from a SIMPLE IRA may be as high as 25%. 1040ez free file See Publication 560, Retirement Plans for Small Business, for information on SEP-IRAs, and Publication 590, for information about all other IRAs. 1040ez free file However, you can take distributions from your IRAs for qualified higher education expenses without having to pay the 10% additional tax. 1040ez free file You may owe income tax on at least part of the amount distributed, but you may not have to pay the 10% additional tax. 1040ez free file Generally, if the taxable part of the distribution is less than or equal to the adjusted qualified education expenses (AQEE), none of the distribution is subject to the additional tax. 1040ez free file If the taxable part of the distribution is more than the AQEE, only the excess is subject to the additional tax. 1040ez free file Who Is Eligible You can take a distribution from your IRA before you reach age 59½ and not have to pay the 10% additional tax if, for the year of the distribution, you pay qualified education expenses for: yourself, your spouse, or your or your spouse's child, foster child, adopted child, or descendant of any of them. 1040ez free file Qualified education expenses. 1040ez free file   For purposes of the 10% additional tax, these expenses are tuition, fees, books, supplies, and equipment required for enrollment or attendance at an eligible educational institution. 1040ez free file They also include expenses for special needs services incurred by or for special needs students in connection with their enrollment or attendance. 1040ez free file   In addition, if the student is at least a half-time student, room and board are qualified education expenses. 1040ez free file   The expense for room and board qualifies only to the extent that it is not more than the greater of the following two amounts. 1040ez free file The allowance for room and board, as determined by the eligible educational institution, that was included in the cost of attendance (for federal financial aid purposes) for a particular academic period and living arrangement of the student. 1040ez free file The actual amount charged if the student is residing in housing owned or operated by the eligible educational institution. 1040ez free file You will need to contact the eligible educational institution for qualified room and board costs. 1040ez free file Eligible educational institution. 1040ez free file   An eligible educational institution is any college, university, vocational school, or other postsecondary educational institution eligible to participate in a student aid program administered by the U. 1040ez free file S. 1040ez free file Department of Education. 1040ez free file It includes virtually all accredited public, nonprofit, and proprietary (privately owned profit-making) postsecondary institutions. 1040ez free file The educational institution should be able to tell you if it is an eligible educational institution. 1040ez free file   Certain educational institutions located outside the United States also participate in the U. 1040ez free file S. 1040ez free file Department of Education's Federal Student Aid (FSA) programs. 1040ez free file Half-time student. 1040ez free file   A student is enrolled “at least half-time” if he or she is enrolled for at least half the full-time academic work load for the course of study the student is pursuing as determined under the standards of the school where the student is enrolled. 1040ez free file Figuring the Amount Not Subject to the 10% Tax To determine the amount of your distribution that is not subject to the 10% additional tax, first figure your adjusted qualified education expenses. 1040ez free file You do this by reducing your total qualified education expenses by any tax-free educational assistance, which includes: Expenses used to figure the tax-free portion of distributions from a Coverdell education savings account (ESA) (see Distributions in chapter 7, Coverdell Education Savings Account), The tax-free part of scholarships and fellowships (see Tax-Free Scholarships and Fellowships in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions), Pell grants (see Pell Grants and Other Title IV Need-Based Education Grants in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions), Veterans' educational assistance (see Veterans' Benefits in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions), Employer-provided educational assistance (see chapter 11, Employer-Provided Educational Assistance ), and Any other nontaxable (tax-free) payments (other than gifts or inheritances) received as educational assistance. 1040ez free file Do not reduce the qualified education expenses by amounts paid with funds the student receives as: Payment for services, such as wages, A loan, A gift, An inheritance given to either the student or the individual making the withdrawal, or A withdrawal from personal savings (including savings from a qualified tuition program (QTP)). 1040ez free file If your IRA distribution is equal to or less than your adjusted qualified education expenses, you are not subject to the 10% additional tax. 1040ez free file Example 1. 1040ez free file In 2013, Erin (age 32) took a year off from teaching to attend graduate school full-time. 1040ez free file She paid $5,800 of qualified education expenses from the following sources. 1040ez free file   Employer-provided educational assistance  (tax free) $5,000     Early distribution from IRA (includes $500 taxable earnings) 3,200           Before Erin can determine if she must pay the 10% additional tax on her IRA distribution, she must reduce her total qualified education expenses. 1040ez free file   Total qualified education expenses $5,800     Minus: Tax-free educational assistance −5,000     Equals: Adjusted qualified  education expenses (AQEE) $ 800   Because Erin's AQEE ($800) are more than the taxable portion of her IRA distribution ($500), she does not have to pay the 10% additional tax on any part of this distribution. 1040ez free file However, she must include the $500 taxable earnings in her gross income subject to income tax. 1040ez free file Example 2. 1040ez free file Assume the same facts as in Example 1 , except that Erin deducted some of the contributions to her IRA, so the taxable part of her early distribution is higher by $1,000. 1040ez free file This must be included in her income subject to income tax. 1040ez free file The taxable part of Erin's IRA distribution ($1,000) is larger than her $800 AQEE. 1040ez free file Therefore, she must pay the 10% additional tax on $200, the taxable part of her distribution ($1,000) that is more than her qualified education expenses ($800). 1040ez free file She does not have to pay the 10% additional tax on the remaining $800 of her taxable distribution. 1040ez free file Reporting Early Distributions By January 31, 2014, the payer of your IRA distribution should send you Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. 1040ez free file The information on this form will help you determine how much of your distribution is taxable for income tax purposes and how much is subject to the 10% additional tax. 1040ez free file If you received an early distribution from your IRA, you must report the taxable earnings on Form 1040, line 15b (Form 1040NR, line 16b). 1040ez free file Then, if you qualify for an exception for qualified higher education expenses, you must file Form 5329 to show how much, if any, of your early distribution is subject to the 10% additional tax. 1040ez free file See the Instructions for Form 5329, Part I, for help in completing the form and entering the results on Form 1040 or 1040NR. 1040ez free file There are many other situations in which Form 5329 is required. 1040ez free file If, during 2013, you had other distributions from IRAs or qualified retirement plans, or have made excess contributions to certain tax-favored accounts, see the instructions for line 58 (Form 1040) or line 56 (Form 1040NR) to determine if you must file Form 5329. 1040ez free file Prev  Up  Next   Home   More Online Publications