This worksheet is used to report several miscellaneous Form 1040 "write-in" items.
Gambling Winnings. This includes amounts received in lotteries, raffles, etc.
Prizes and Awards. Some of these amounts may have been reported to you on either Form W-2 or on Form 1099-MISC (in which case you do not need to report them again here). You may be able to exclude an award for charitable, educational, literary, artistic, etc. activities if you do not accept the proceeds yourself but arrange for them to be paid directly to a charity of your choice. See IRS Publication 525.
Nonemployee compensation. We enter any amounts here that you filled in on Form 1099-MISC and specified for Form 1040. If any of these amounts are self-employment income, you need to revise Form 1099-MISC and specify Schedule C or C-EZ. Otherwise, you may be underpaying your self-employment tax.
Recovery of medical expenses, real estate taxes, etc. that you deducted in an earlier year. In most cases, you will only need to include the recovery up to the amount of the deduction that reduced your tax. In certain situations, however, you may need to include the entire recovery. See Publication 525 for more information.
Fees for jury duty. If you turned the jury fees over to your employer, then you should also enter the amount you turned over on the Other Adjustments section of the Attachments Worksheet.
Fees received as a nonprofessional fiduciary. You may have received such fees if you acted as an executor or administrator of the estate of a relative or friend.
Income from an activity not engaged in for profit. Expenses related to such an activity may be deductible on Schedule A.
Loss on a corrective distribution of an excess deferral. Report this only if you reported the full excess deferral as income in an earlier year. Enter the loss as a negative amount.
Net operating loss carryforward. Include here as a negative item.
Other Income. Include such items as:
Cancellation by someone of a debt you owe. Your income is the amount of the canceled debt. Exceptions may apply if the cancellation is intended as a gift, in some cases in bankruptcy or insolvency proceedings, if you are a farmer, if debt is secured by real property used in a trade or business, and for certain student loans.
Illegal income. If from a business, use Schedule C or Schedule C-EZ.
Other items of income you do not report elsewhere.
If your employer required you to turn over some or all of your jury duty pay, because your employer continued to pay you while you served on the jury, then report the jury duty pay as "other income," and report here the amount turned over to your employer.
The amount reported here as turned over will offset the income reported..
Enter here any deduction for amortization of the costs of forestation or reforestation that you did not deduct on a Schedule C or C-EZ or a Schedule F. (Most people will enter zero.)
Enter here any repayment of supplemental unemployment benefits ("sub-pay") that you previously reported in income because you became eligible for payments under the Trade Act of 1974.
As an alternative to this deduction, you may be entitled to a tax credit. See IRS Publication 525.
We enter automatically on this form any amounts identified on a W-2 with code H in box 12. Please note that there are limits on the amount you can defer each year. See the IRS instructions for Form 1040, line 7 to see if you need to include any excess deferrals in income.
If, in this tax year, you placed a vehicle in service that uses a clean-burning fuel, you may be able to take a deduction. See IRS Publication 535. Enter here any portion of the deduction which you do not claim on Schedule C, Schedule C-EZ, Schedule E, or Schedule F.
If you are reporting income from the rental of personal property in the "other income" section of this form, enter here the total of your deductible expenses related to that income.
Section 72(m)(5) tax (Keogh Excess Distributions).
If you are a 5% or more owner of a business and you received excess distributions from your Keogh plan, you may owe a 10% penalty tax. See IRS Publication 560. If so, enter the tax here.
FICA and Medicare tax on tips, life insurance.
We enter these amounts for you automatically, if you had any amount on a W-2 in Box 12 designated as code A, B, M or N.
Excess Golden Parachute Payments.
Golden parachutes payments are certain payments made by a corporation to key employees to compensate them if control of the corporation changes. If you receive an excess parachute payment (EPP), you must pay a 20% tax on it.
If you received a W-2 that includes a parachute payment, the amount of tax on any excess payment should be identified with Code K in box 12 . We enter these amounts automatically on the Other Taxes Mini-Worksheet.
If you received a 1099-MISC that includes an excess parachute payment in box 13, we enter the amount automatically on line 13b.
If you are bona fide resident of Puerto Rico, American Samoa, Guam, or the Northern Mariana Islands, enter on lines 1 through 4 of this section any income that is excludable. This information is required in order to calculate such credits as the child tax credit.
If you claimed the Hope credit or lifetime learning credit in a prior year but received in 2010 a refund (or tax-free assistance) for the educational expenses on which the credit was based, you must figure the amount by which are credit would have been reduced if the refund or tax-free assistance had been received in the year for which you claimed the education credit. You need to report that amount on line 5 of this section.