Specialized Returns
This return is filed to report income, deductions, gains, and losses of an estate or trust.
What is Form 1041?
This tax is imposed on an individual's net earnings from self-employment.
What is Self-Employment Tax?
These damages received because of physical injury or physical sickness are generally excluded from income.
What are compensatory damages for physical injury or sickness?
The starting basis of property is generally this amount.
What is the cost of the property?
This form is used to calculate and claim the Earned Income Credit.
What is Schedule EIC?
A taxpayer can claim this filing status if their spouse died within the last two years and they have a qualifying child.
What is Qualifying Surviving Spouse?
This type of trust allows income to be taxed directly to the grantor.
What is a grantor trust?
Taxpayers generally must make these payments throughout the year if they expect to owe at least $1,000 in tax.
What are estimated tax payments?
Income earned abroad that may be excluded by qualifying taxpayers under certain conditions.
What is the Foreign Earned Income Exclusion?
This decreases the basis of business or rental property.
What is depreciation?
This form is used to report rental real estate, royalties, partnerships, S corporations, estates, and trusts.
What is Schedule E?
This percentage of net earnings from self-employment is subject to self-employment tax.
What is 92.35%?
This document is issued to beneficiaries showing their share of estate or trust income.
What is Schedule K-1 (Form 1041)?
This tax applies to certain investment income of higher-income taxpayers.
What is the Net Investment Income Tax (NIIT)?
This code section provides the exclusion of gain from the sale of a principal residence.
What is IRC Section 121?
Basis after increases and decreases have been made.
What is adjusted basis?
This form is used to apply for an Employer Identification Number.
What is Form SS-4?
This tax is imposed at a rate of 3.8% on certain investment income of higher-income taxpayers.
What is the Net Investment Income Tax (NIIT)?
This tax identification number is assigned to an estate after a taxpayer's death.
What is an Employer Identification Number (EIN)?
This federal tax funds unemployment compensation programs.
What is FUTA (Federal Unemployment Tax Act) Tax?
To qualify for the full home sale exclusion, a taxpayer generally must own and use the home as a principal residence for at least this amount of time.
What is 2 out of the last 5 years?
The basis of inherited property is generally its value on this date.
What is the date of death?
This form is used to report installment sale income.
What is Form 6252?
Improvements increase basis, while these expenditures generally do not.
What are repairs and maintenance expenses?
This deduction prevents trust income from being taxed twice—once to the trust and again to the beneficiary.
What is the income distribution deduction?
This percentage of net earnings from self-employment is subject to self-employment tax.
What is 92.35%?
Although not taxable, this type of interest must still be reported on Form 1040.
What is tax-exempt municipal bond interest?
When property is received as a gift, the recipient generally takes this type of basis.
What is the donor's carryover basis?
This form is used to report like-kind exchanges.
What is Form 8824?
This three-word concept is one of the most important calculations on the EA exam and is generally determined by cost, increased by improvements, and decreased by depreciation.
What is Adjusted Basis?