Including the instructions for (2018)

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INSTRUCTIONS

2018

1040

TAX

YEAR

Including the instructions for

Schedules 1 through 6

2018 Tax Reform Changes

• Form 1040 has been redesigned.

Forms 1040A and 1040EZ will no

longer be used.

• Most tax rates have been reduced.

• The child tax credit amount has

been increased up to $2,000.

• A new tax credit of up to $500 may

be available for each dependent

who doesn’t qualify for the child

tax credit.

• The deduction for state and local

taxes has been limited.

• The deduction for miscellaneous

expenses has been eliminated.

• The overall limit on itemized

deductions has been eliminated.

For details on these and other

changes see What’s New in these

instructions.

Future Developments

See IRS.gov and IRS.gov/Forms and for the latest information about developments related to Form 1040 and

its instructions, such as legislation enacted after they were published, go to IRS.gov/Form1040.

FreeFile is the fast, safe, and free way to prepare and e-file your taxes. See IRS.gov/FreeFile.

Pay Online. It’s fast, simple, and secure. Go to IRS.gov/Payments

Department of the Treasury Internal Revenue Service www.irs.gov

Mar 26, 2020

Cat. No. 24811V

Table of Contents

Contents

Department

of the

Treasury

Internal

Revenue

Service

Page

Contents

Page

What's New . . . . . . . . . . . . . . . . . . . . . . . . 6

Assemble Your Return . . . . . . . . . . . . 68

Filing Requirements . . . . . . . . . . . . . . . . . . 9

Do You Have To File? . . . . . . . . . . . . . . 9

When and Where Should You File? . . . . . 9

Where To Report Certain Items

From 2018 Forms W-2, 1095,

1097, 1098, and 1099 . . . . . . . . . . . 13

General Information . . . . . . . . . . . . . . . . . 82

Line Instructions for Form 1040 . . . . . . . . . 15

Filing Status . . . . . . . . . . . . . . . . . . . 15

Name and Address . . . . . . . . . . . . . . . 17

Social Security Number (SSN) . . . . . . . 17

Presidential Election Campaign Fund . . . 19

Dependents, Qualifying Child for

Child Tax Credit, and Credit for

Other Dependents . . . . . . . . . . . . . . 20

Sign Your Return . . . . . . . . . . . . . . . . 25

Income . . . . . . . . . . . . . . . . . . . . . . . 25

Total Income and Adjusted Gross

Income . . . . . . . . . . . . . . . . . . . . . 34

Tax and Credits . . . . . . . . . . . . . . . . . 34

Payments . . . . . . . . . . . . . . . . . . . . . 44

Refund . . . . . . . . . . . . . . . . . . . . . . . 64

Amount You Owe . . . . . . . . . . . . . . . . 66

Refund Information . . . . . . . . . . . . . . . . . . 87

2018 Instructions for Schedule 1 . . . . . . . . . 88

2018 Instructions for Schedule 2 . . . . . . . . 100

2018 Instructions for Schedule 3 . . . . . . . . 102

2018 Instructions for Schedule 4 . . . . . . . . 104

2018 Instructions for Schedule 5 . . . . . . . . 107

2018 Instructions for Schedule 6 . . . . . . . . 108

Tax Topics . . . . . . . . . . . . . . . . . . . . . . 109

Disclosure, Privacy Act, and Paperwork

Reduction Act Notice . . . . . . . . . . . . 111

Order Form for Forms and Publications . . . 113

Major Categories of Federal Income and

Outlays for Fiscal Year 2017 . . . . . . . 114

Index . . . . . . . . . . . . . . . . . . . . . . . . . . 116

Form 1040 Redesign

Everyone files the new Form 1040!

Use the base form...

only the schedules

that are right for you!

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Form 1040 Redesign

Helpful Hints

For 2018, you will no longer use Form 1040A or Form 1040EZ as you may have in the past. Instead, you will

use the redesigned Form 1040, which now has six new numbered schedules in addition to the existing

schedules such as Schedule A.

Many people will only need to file Form 1040 and none of the new numbered schedules. However, if your

return is more complicated (for example, you claim certain deductions or credits or owe additional taxes), you

will need to complete one or more of the new numbered schedules. Below is a general guide to which

schedule(s) you will need to file based on your circumstances. See the instructions for the schedules for

more information.

If you e-file your return, you generally won't notice much of a change and the software you use will generally

determine which schedules you need.

IF YOU...

THEN USE...

Have additional income, such as capital gains, unemployment

compensation, prize or award money, or gambling winnings.

Have any deductions to claim, such as student loan interest

deduction, self-employment tax, or educator expenses.

Schedule 1

Owe AMT or need to make an excess advance premium tax

credit repayment.

Schedule 2

Can claim a nonrefundable credit other than the child tax credit

or the credit for other dependents, such as the foreign tax credit,

education credits, or general business credit.

Schedule 3

Owe other taxes, such as self-employment tax, household

employment taxes, additional tax on IRAs or other qualified

retirement plans and tax-favored accounts.

Schedule 4

Can claim a refundable credit other than the earned income

credit, American opportunity credit, or additional child tax credit,

such as the net premium tax credit or health coverage tax credit.

Have other payments, such as an amount paid with a request for

an extension to file or excess social security tax withheld.

Have a foreign address or a third party designee other than a

paid preparer.

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Schedule 5

Schedule 6

The Taxpayer Advocate Service Is Here To Help You

What is the Taxpayer Advocate Service?

The Taxpayer Advocate Service (TAS) is an independent organization within the Internal Revenue Service (IRS) that helps

taxpayers and protects taxpayer rights. Our job is to ensure that every taxpayer is treated fairly and that you know and

understand your rights under the Taxpayer Bill of Rights.

What can the Taxpayer Advocate Service do for you?

We can help you resolve problems that you can’t resolve with the IRS. And our service is free. If you qualify for our assistance,

you will be assigned to one advocate who will work with you throughout the process and will do everything possible to resolve

your issue. TAS can help you if:

• Your problem is causing financial difficulty for you, your family, or your business.

• You face (or your business is facing) an immediate threat of adverse action.

• You’ve tried repeatedly to contact the IRS but no one has responded, or the IRS hasn’t responded by the date promised.

How can you reach us?

We have offices in every state, the District of Columbia, and Puerto Rico. Your local advocate’s number is at

www.TaxpayerAdvocate.IRS.gov and in your local directory. You can also call us at 1-877-777-4778.

How can you learn about your taxpayer rights?

The Taxpayer Bill of Rights describes ten basic rights that all taxpayers have when dealing with the IRS. Our Tax Toolkit at

www.TaxpayerAdvocate.IRS.gov can help you understand what these rights mean to you and how they apply. These are your

rights. Know them. Use them.

How else does the Taxpayer Advocate Service help taxpayers?

TAS works to resolve large-scale problems that affect many taxpayers. If you know of one of these broad issues, please report it

to us at IRS.gov/SAMS.

Low Income Taxpayer Clinics Help Taxpayers

Low Income Taxpayer Clinics (LITCs) are independent from the IRS. Some serve individuals whose income is below a certain

level and who need to resolve a tax problem. These clinics provide professional representation before the IRS or in court on

audits, appeals, tax collection disputes, and other issues for free or for a small fee. Some clinics provide information about

taxpayer rights and responsibilities in many different languages for individuals who speak English as a second language. For

more information, and to find a clinic near you, read the LITC page on IRS.gov/LITC or IRS Publication 4134, Low Income

Taxpayer Clinic List. You can also get this publication at your local IRS office or by calling 1-800-829-3676.

Suggestions for Improving the IRS

Taxpayer Advocacy Panel

Have a suggestion for improving the IRS and do not know who to contact? The Taxpayer Advocacy Panel (TAP) is a diverse

group of citizen volunteers who listen to taxpayers, identify taxpayers’ issues, and make suggestions for improving IRS service

and customer satisfaction. The panel is demographically and geographically diverse, with at least one member from each state,

the District of Columbia, and Puerto Rico. Contact TAP at www.improveirs.org or 1-888-912-1227 (toll-free).

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Affordable Care Act — What You Need To Know

Requirement To Reconcile Advance Payments of the Premium Tax Credit

The premium tax credit helps pay premiums for health insurance purchased from the Marketplace. Eligible

individuals may have advance payments of the premium tax credit made on their behalf directly to the insurance

company.

If you or a family member enrolled in health insurance through the Marketplace and advance payments of the premium

tax credit were made to your insurance company to reduce your monthly premium payment, you must attach

Form 8962 to your return to reconcile (compare) the advance payments with your premium tax credit for the year.

The Marketplace is required to send Form 1095-A by January 31, 2019, listing the advance payments and other

information you need to complete Form 8962.

1. You will need Form 1095-A from the Marketplace.

2. Complete Form 8962 to claim the credit and to reconcile your advance credit payments.

3. Include Form 8962 with your Form 1040 or Form 1040NR. (Don’t include Form 1095-A.)

Health Coverage Individual Responsibility Payment

For 2018, you must:

A

B

OR

Report Health Care Coverage or Exempt

Make a Shared Responsibility Payment

Check the “Full-year health care coverage or

exempt” box on the front of Form 1040 to indicate

that you, your spouse (if filing jointly), and anyone

you can or do claim as a dependent had qualifying

health care coverage or a coverage exemption

that covered all of 2018 or a combination of

qualifying health care coverage and coverage

exemption(s) for every month of 2018.

Make a shared responsibility payment if, for any

month in 2018, you, your spouse (if filing jointly), or

anyone you can or do claim as a dependent didn’t

have coverage and doesn’t qualify for a coverage

exemption. If you can claim any part-year

exemptions or exemptions for specific members of

your household, use Form 8965. This will reduce

the amount of your shared responsibility payment.

For more information, see the Form 8965

instructions or go to IRS.gov/SRP.

Health Coverage Reporting

• If you or someone in your family had health coverage in 2018, the provider of that coverage is required to send you

a Form 1095-A, 1095-B, or 1095-C (with Part III completed) that lists individuals in your family who were enrolled

in the coverage and shows their months of coverage. You may use this information to help complete Schedule 4,

line 61. You should receive Form 1095-A by early February 2019 and Form 1095-B or 1095-C by early March

2019, if applicable. You don’t need to wait to receive your Form 1095-B or 1095-C to file your return. You may rely

on other information about your coverage to complete Schedule 4, line 61. Don’t include Form 1095-A, Form

1095-B, or Form 1095-C with your tax return.

• If you or someone in your family was an employee in 2018, the employer may be required to send you Form

1095-C. Part II of Form 1095-C shows whether your employer offered you health insurance coverage and, if

so, information about the offer. You should receive Form 1095-C by early March 2019. This information may

be relevant if you purchased health insurance coverage for 2018 through the Health Insurance Marketplace

and wish to claim the premium tax credit on Schedule 5, line 70. However, you don’t need to wait to receive this

form to file your return. You may rely on other information received from your employer. If you don’t wish to claim

the premium tax credit for 2018, you don’t need the information in Part II of Form 1095-C. For more information

on who is eligible for the premium tax credit, see the Instructions for Form 8962.

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What's New

Retroactive legislation. These instructions have been revised to reflect

changes made by the Taxpayer Certainty

and Disaster Tax Relief Act of 2019.

Form 1040 didn't require changes as a

result of this act but the 2018 Schedule 1

(Form 1040) has also been revised to reflect changes due to this act. Use these

instructions with the 2018 version of

Form 1040. Visit IRS.gov/FormsPubs

and IRS.gov/LatestForms to make sure

you have the latest version of forms, instructions, and publications. If you are

eligible for one or more tax benefits in

the Taxpayer Certainty and Disaster Tax

Relief Act of 2019 for tax year 2018,

you will need to file an amended return,

Form 1040-X, to claim them. See

IRS.gov/Form1040X for more information about amending a tax return.

Extended tax provisions. These tax

benefits that had expired at the end of

2017 have been extended.

• Tuition and fees deduction.

• Deduction for mortgage insurance

premiums.

• Residential energy property credit.

• Nonbusiness energy property credit.

• Alternative fuel vehicle refueling

credit.

• Indian employment credit.

Disaster tax relief. Disaster tax relief

was enacted for those impacted by certain federally declared disasters. The tax

benefits provided by this relief include

the following.

• Special disaster-related rules for

use of retirement funds.

• An increased standard deduction

based on your qualified disaster losses.

See the instructions for line 8 and the Instructions for Schedule A for information on qualifying for and figuring the

increased standard deduction.

• Election to use your 2017 earned

income to figure your 2018 earned income credit. See the instructions for

line 17a for more information on this

election.

• Election to use your 2017 earned

income to figure your 2018 additional

child tax credit. See the instructions for

For information about any additional changes to the 2018 tax law or any other developments affecting Form 1040 or its instructions, go to IRS.gov/Form1040.

line 17b and the Instructions for Schedule 8812 for more information on this

election.

Medicaid waiver payments. Changes

have been made to how Medicaid waiver payments are treated for purposes of

the earned income credit. See the instructions for line 17a.

Form 1040 has been redesigned for

2018. The new design uses a “building

block” approach. Form 1040, which

many taxpayers can file by itself, is supplemented with new Schedules 1

through 6. These additional schedules

will be used as needed to complete more

complex tax returns. The instructions for

the new schedules are at the end of the

Form 1040 instructions.

Forms 1040A and 1040EZ no longer

available. Forms 1040A and 1040EZ

aren’t available to file your 2018 taxes.

If you used one of these forms in the

past, you will now file Form 1040.

Some forms and publications that were

released in 2017 or early 2018 (for example, Form W-2) may still have references to Form 1040A or Form 1040EZ.

Please disregard these references.

Due date of return. File Form 1040 by

April 15, 2019. If you live in Maine or

Massachusetts, you have until April 17,

2019, because of the Patriots’ Day holiday in those states and the Emancipation

Day holiday in the District of Columbia.

Change in tax rates. For 2018, most

tax rates have been reduced. The 2018

tax rates are 10%, 12%, 22%, 24%,

32%, 35%, and 37%.

Standard deduction amount increased. For 2018, the standard deduction amount has been increased for all

filers. The amounts are:

• Single or Married filing separately—$12,000.

• Married filing jointly or Qualifying widow(er)—$24,000.

• Head of household—$18,000.

Personal exemption suspended. For

2018, you can’t claim a personal exemption deduction for yourself, your spouse,

or your dependents.

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Increased child tax credit and additional child tax credit. For 2018, the

maximum child tax credit has increased

to $2,000 per qualifying child, of which

$1,400 can be claimed for the additional

child tax credit. In addition, the modified adjusted gross income threshold at

which the credit begins to phase out has

increased to $200,000 ($400,000 if married filing jointly).

New credit for other dependents. If

you have a dependent, you may be able

to claim the credit for other dependents.

The credit is a nonrefundable credit of

up to $500 for each eligible dependent

who can't be claimed for the child tax

credit. The child tax credit and credit for

other dependents are both figured using

the Child Tax Credit and Credit for Other Dependents Worksheet and reported

on line 12a. See Who Qualifies as Your

Dependent for more information.

Social security number (SSN) required for child tax credit. Your child

must have an SSN valid for employment

issued before the due date of your 2018

return (including extensions) to be

claimed as a qualifying child for the

child tax credit or additional child tax

credit. If your child doesn’t qualify you

for the child tax credit but has a taxpayer

identification number issued on or before the due date of your 2018 return

(including extensions), you may be able

to claim the new credit for other dependents for that child.

Qualified business income deduction.

Beginning in 2018, you may be able to

deduct up to 20% of your qualified business income from your qualified trade or

business, plus 20% of your qualified

REIT dividends and qualified PTP income. The deduction can be taken in addition to your standard deduction or

itemized deductions. For more information, see the instructions for line 9 and

Pub. 535.

Changes to itemized deductions. For

2018, there have been changes to the

itemized deductions that can be claimed

on Schedule A. See the Schedule A instructions for more information on these

changes and a complete list of changes.

These changes include:

• Your overall itemized deductions

are no longer limited because your adjusted gross income is over a certain

limit.

• Your deduction of state and local

income, sales, and property taxes is limited to a combined, total deduction of

$10,000 ($5,000 if married filing separately).

• You can no longer deduct job-related expenses or other miscellaneous

itemized deductions that were subject to

the 2%-of-adjusted-gross-income floor.

Alternative minimum tax (AMT) exemption amount increased. The AMT

exemption amount is increased to

$70,300 ($109,400 if married filing

jointly or qualifying widow(er); $54,700

if married filing separately). The income

levels at which the AMT exemption begins to phase out have increased to

$500,000 ($1,000,000 if married filing

jointly or qualifying widow(er)).

Section 965 deferred foreign income.

If you own (directly or indirectly) certain foreign corporations, you may have

to include on your return certain deferred foreign income. You may pay the

entire amount of tax due with respect to

this deferred foreign income this year or

elect to make payment in eight installments or, in the case of certain stock

owned through an S corporation, elect to

defer payment until the occurrence of a

triggering event. See the instructions for

Line 11a; Schedule 1, line 21; Schedule

5, line 74; Form 965; and Form 965-A

for more information.

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Global intangible low-taxed income

(GILTI) under section 951A. If you

are a U.S. shareholder of a controlled

foreign corporation, you must include

your GILTI in your income. If you own

an interest in a domestic pass-through

entity that is a U.S. shareholder of a controlled foreign corporation, you may

have a GILTI inclusion related to that

interest, even if you are not a U.S. shareholder of the controlled foreign corporation. See IRS.gov/Form8992 and Form

8992 and its instructions for the latest

information regarding GILTI and domestic pass-through entities.

Domestic production activities deduction. The domestic production activities

deduction has been repealed with limited exceptions. See the instructions for

Schedule 1, line 36, for more information.

Free Software Options for Doing Your Taxes

Why have 49 million Americans used Free File?

• Security—Free File uses the latest encryption technology to safeguard your information.

• Flexible Payments—File early; pay by April 15, 2019 (for most people).

• Greater Accuracy—Fewer errors mean faster processing.

• Quick Receipt—Get an acknowledgment that your return was received and accepted.

• Go Green—Reduce the amount of paper used.

• It’s Free—through IRS.gov/FreeFile.

• Faster Refunds—Join the eight in 10 taxpayers who get their refunds faster by using

direct deposit and e-file.

Do Your Taxes for Free

If your adjusted gross income was $66,000 or less in 2018, you can use free tax software to prepare and e-file your tax return.

Earned more? Use Free File Fillable Forms.

Free File. This public–private partnership, between the IRS and tax software providers, makes approximately a dozen brand

name commercial software products and e-file available for free. Seventy percent of the nation’s taxpayers are eligible.

Just visit IRS.gov/FreeFile for details. Free File combines all the benefits of e-file and easy-to-use software at no cost. Guided

questions will help ensure you get all the tax credits and deductions you are due. It’s fast, safe, and free.

You can review each software provider’s criteria for free usage or use an online tool to find which free software products match

your situation. Some software providers offer state tax return preparation for free.

Free File Fillable Forms. The IRS offers electronic versions of IRS paper forms that also can be e-filed for free. Free File

Fillable Forms is best for people experienced in preparing their own tax returns. There are no income limitations. Free File

Fillable Forms does basic math calculations. It supports only federal tax forms.

Free Tax Help Available Nationwide

Volunteers are available in communities nationwide providing free tax assistance to low-to-moderate income (generally under

$55,000 in adjusted gross income) and elderly taxpayers (age 60 and older). At selected sites, taxpayers can input and

electronically file their own tax return with the assistance of an IRS-certified volunteer.

See How To Get Tax Help near the end of these instructions for additional information or visit IRS.gov (Keyword: VITA) for a

VITA/TCE site near you!

IRS.gov is the gateway to all electronic services offered by the IRS, as well as the spot to download forms at IRS.gov/Forms.

Make your tax payments electronically—it’s easy.

You can make electronic payments online, by phone, or from a mobile device. Paying electronically is

safe and secure. The IRS uses the latest encryption technology and doesn’t store the bank account

number you use to submit your payment. When you use any of the IRS electronic payment options, it

puts you in control of paying your tax bill and gives you peace of mind. You determine the payment

date, and you will receive an immediate confirmation from the IRS. It’s easy, secure, and much quicker

than mailing in a check or money order. Go to IRS.gov/Payments to see all your electronic payment

options.

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Filing

Requirements

Do You Have To

File?

Use Chart A, B, or C to see if you must

file a return. U.S. citizens who lived in

or had income from a U.S. possession

should see Pub. 570. Residents of Puerto

Rico can use Tax Topic 901 to see if

they must file.

Even if you do not otherwise

TIP have to file a return, you

should file one to get a refund

of any federal income tax withheld. You

also should file if you are eligible for

any of the following credits.

• Earned income credit.

• Additional child tax credit.

• American opportunity credit.

• Credit for federal tax on fuels.

• Premium tax credit.

• Health coverage tax credit.

See Pub. 501 for details. Also see

Pub. 501 if you do not have to file but

received a Form 1099-B (or substitute

statement).

Requirement to reconcile advance

payments of the premium tax credit.

If you, your spouse with whom you are

filing a joint return, or a dependent was

enrolled in coverage through the Marketplace for 2018 and advance payments

of the premium tax credit were made for

this coverage, you must file a 2018 return and attach Form 8962. You (or

whoever enrolled you) should have received Form 1095-A from the Marketplace with information about your coverage and any advance payments.

You must attach Form 8962 even if

someone else enrolled you, your spouse,

or your dependent. If you are a dependent who is claimed on someone else's

2018 return, you do not have to attach

Form 8962.

Exception for certain children under

age 19 or full-time students. If certain

conditions apply, you can elect to in-

These rules apply to all U.S. citizens, regardless of where they live, and resident aliens.

Have you tried IRS e-file? It's the fastest way to get your refund

and it's free if you are eligible. Visit IRS.gov for details.

clude on your return the income of a

child who was under age 19 at the end

of 2018 or was a full-time student under

age 24 at the end of 2018. To do so, use

Form 8814. If you make this election,

your child doesn't have to file a return.

For details, use Tax Topic 553 or see

Form 8814.

A child born on January 1, 1995, is

considered to be age 24 at the end of

2018. Do not use Form 8814 for such a

child.

Resident aliens. These rules also apply

if you were a resident alien. Also, you

may qualify for certain tax treaty benefits. See Pub. 519 for details.

Nonresident aliens and dual-status aliens. These rules also apply if you were

a nonresident alien or a dual-status alien

and both of the following apply.

• You were married to a U.S. citizen

or resident alien at the end of 2018.

• You elected to be taxed as a resident alien.

See Pub. 519 for details.

Specific rules apply to determine if you are a resident alien,

CAUTION nonresident alien, or dual-status alien. Most nonresident aliens and

dual-status aliens have different filing

requirements and may have to file Form

1040NR or Form 1040NR-EZ. Pub. 519

discusses these requirements and other

information to help aliens comply with

U.S. tax law.

!

When and Where

Should You File?

File Form 1040 by April 15, 2019. (If

you live in Maine or Massachusetts, you

have until April 17, 2019, because of the

Patriots’ Day holiday in Maine and Massachusetts and the Emancipation Day

holiday in the District of Columbia.) If

you file after this date, you may have to

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pay interest and penalties. See Interest

and Penalties, later.

If you were serving in, or in support

of, the U.S. Armed Forces in a designated combat zone or contingency operation, you may be able to file later. See

Pub. 3 for details.

If you e-file your return, there is no

need to mail it. However, if you choose

to mail it, filing instructions and addresses are at the end of these instructions.

What if You Can't File on

Time?

You can get an automatic 6-month extension if, no later than the date your return is due, you file Form 4868. For details, see Form 4868. Instead of filing

Form 4868, you can apply for an automatic extension by making an electronic

payment by the due date of your return.

An automatic 6-month extension to file doesn't extend the

CAUTION time to pay your tax. If you

don’t pay your tax by the original due

date of your return, you will owe interest

on the unpaid tax and may owe penalties. See Form 4868.

!

If you are a U.S. citizen or resident

alien, you may qualify for an automatic

extension of time to file without filing

Form 4868. You qualify if, on the due

date of your return, you meet one of the

following conditions.

• You live outside the United States

and Puerto Rico and your main place of

business or post of duty is outside the

United States and Puerto Rico.

• You are in military or naval service on duty outside the United States and

Puerto Rico.

This extension gives you an extra 2

months to file and pay the tax, but interest will be charged from the original due

date of the return on any unpaid tax.

You must include a statement showing

that you meet the requirements. If you

are still unable to file your return by the

end of the 2-month period, you can get

an additional 4 months if, no later than

June 17, 2019, you file Form 4868. This

4-month extension of time to file doesn't

extend the time to pay your tax. See

Form 4868.

Private Delivery Services

If you choose to mail your return, you

can use certain private delivery services

designated by the IRS to meet the "timely mailing treated as timely filing/

paying" rule for tax returns and payments. These private delivery services

include only the following.

• FedEx First Overnight, FedEx Priority Overnight, FedEx Standard Overnight, FedEx 2 Day, FedEx International

Next Flight Out, FedEx International

Priority, FedEx International First, and

FedEx International Economy.

• DHL Express 9:00, DHL Express

10:30, DHL Express 12:00, DHL Express Worldwide, DHL Express Envelope, DHL Import Express 10:30, DHL

Import Express 12:00, and DHL Import

Express Worldwide.

• UPS Next Day Air Early A.M.,

UPS Next Day Air, UPS Next Day Air

Saver, UPS 2nd Day Air, UPS 2nd Day

Air A.M., UPS Worldwide Express

Plus, and UPS Worldwide Express.

To check for any updates to the list of

designated private delivery services, go

to IRS.gov/PDS. For the IRS mailing address to use if you’re using a private delivery service, go to IRS.gov/

PDSStreetAddresses.

The private delivery service can tell

you how to get written proof of the mailing date.

Chart A—For Most People

IF your filing status is . . .

AND at the end of 2018

you were* . . .

THEN file a return if your gross

income** was at least . . .

Single

under 65

65 or older

$12,000

13,600

Married filing jointly***

under 65 (both spouses)

65 or older (one spouse)

65 or older (both spouses)

$24,000

25,300

26,600

Married filing separately

any age

Head of household

under 65

65 or older

$18,000

19,600

Qualifying widow(er)

under 65

65 or older

$24,000

25,300

$5

*If you were born on January 1, 1954, you are considered to be age 65 at the end of 2018. (If your spouse died in 2018 or

if you are preparing a return for someone who died in 2018, see Pub. 501.)

**Gross income means all income you received in the form of money, goods, property, and services that isn't exempt from

tax, including any income from sources outside the United States or from the sale of your main home (even if you can

exclude part or all of it). Don’t include any social security benefits unless (a) you are married filing a separate return and

you lived with your spouse at any time in 2018 or (b) one-half of your social security benefits plus your other gross

income and any tax-exempt interest is more than $25,000 ($32,000 if married filing jointly). If (a) or (b) applies, see the

instructions for lines 5a and 5b to figure the taxable part of social security benefits you must include in gross income.

Gross income includes gains, but not losses, reported on Form 8949 or Schedule D. Gross income from a business means,

for example, the amount on Schedule C, line 7, or Schedule F, line 9. But, in figuring gross income, don’t reduce your

income by any losses, including any loss on Schedule C, line 7, or Schedule F, line 9.

***If you didn't live with your spouse at the end of 2018 (or on the date your spouse died) and your gross income was at

least $5, you must file a return regardless of your age.

-10-

Chart B—For Children and Other Dependents (See Who Qualifies as Your Dependent, later.)

If your parent (or someone else) can claim you as a dependent, use this chart to see if you must file a return.

In this chart, unearned income includes taxable interest, ordinary dividends, and capital gain distributions. It also includes

unemployment compensation, taxable social security benefits, pensions, annuities, and distributions of unearned income from a trust.

Earned income includes salaries, wages, tips, professional fees, and taxable scholarship and fellowship grants. Gross income is the

total of your unearned and earned income.

Single dependents. Were you either age 65 or older or blind?

No. You must file a return if any of the following apply.

• Your unearned income was over $1,050.

• Your earned income was over $12,000.

• Your gross income was more than the larger of—

• $1,050, or

• Your earned income (up to $11,650) plus $350.

Yes. You must file a return if any of the following apply.

• Your unearned income was over $2,650 ($4,250 if 65 or older and blind).

• Your earned income was over $13,600 ($15,200 if 65 or older and blind).

• Your gross income was more than the larger of—

• $2,650 ($4,250 if 65 or older and blind), or

• Your earned income (up to $11,650) plus $1,950 ($3,550 if 65 or older and blind).

Married dependents. Were you either age 65 or older or blind?

No. You must file a return if any of the following apply.

• Your unearned income was over $1,050.

• Your earned income was over $12,000.

• Your gross income was at least $5 and your spouse files a separate return and itemizes deductions.

• Your gross income was more than the larger of—

• $1,050, or

• Your earned income (up to $11,650) plus $350.

Yes. You must file a return if any of the following apply.

• Your unearned income was over $2,350 ($3,650 if 65 or older and blind).

• Your earned income was over $13,300 ($14,600 if 65 or older and blind).

• Your gross income was at least $5 and your spouse files a separate return and itemizes deductions.

• Your gross income was more than the larger of—

• $2,350 ($3,650 if 65 or older and blind), or

• Your earned income (up to $11,650) plus $1,650 ($2,950 if 65 or older and blind).

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Chart C—Other Situations When You Must File

You must file a return if any of the seven conditions below apply for 2018.

1.

You owe any special taxes, including any of the following.

a. Alternative minimum tax.

b. Additional tax on a qualified plan, including an individual retirement arrangement (IRA), or other tax-favored account.

But if you are filing a return only because you owe this tax, you can file Form 5329 by itself.

c. Household employment taxes. But if you are filing a return only because you owe this tax, you can file Schedule H by

itself.

d. Social security and Medicare tax on tips you didn't report to your employer or on wages you received from an employer

who didn't withhold these taxes.

e. Write-in taxes, including uncollected social security and Medicare or RRTA tax on tips you reported to your employer or

on group-term life insurance and additional taxes on health savings accounts. See the instructions for Schedule 4, line 62.

f. Recapture taxes. See the instructions for line 11a and Schedule 4, lines 60b and 62.

2.

You (or your spouse, if filing jointly) received health savings account, Archer MSA, or Medicare Advantage MSA

distributions.

3.

You had net earnings from self-employment of at least $400.

4.

You had wages of $108.28 or more from a church or qualified church-controlled organization that is exempt from

employer social security and Medicare taxes.

5.

Advance payments of the premium tax credit were made for you, your spouse, or a dependent who enrolled in coverage

through the Marketplace. You or whoever enrolled you should have received Form(s) 1095-A showing the amount of the

advance payments.

6.

Advance payments of the health coverage tax credit were made for you, your spouse, or a dependent. You or whoever

enrolled you should have received Form(s) 1099-H showing the amount of the advance payments.

7.

You are required to include amounts in income under section 965 or you have a net tax liability under section 965 that you

are paying in installments under section 965(h) or deferred by making an election under section 965(i).

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Where To Report Certain Items From 2018 Forms W-2, 1095, 1097, 1098, and

1099

File electronically. You may be eligible for free tax software that will take the guesswork out of preparing your return. Free File

makes available free brand-name software and free e-file. Visit IRS.gov/FreeFile for details.

If any federal income tax withheld is shown on these forms, include the tax withheld on Form 1040, line 16. If any state or local

income tax withheld is shown on these forms and you deduct state and local income taxes on Schedule A, line 5a, include the tax

withheld in your deduction on that line.

Form

Item and Box in Which It Should Appear

Where To Report

W-2

Wages, tips, other compensation (box 1)

Form 1040, line 1

Allocated tips (box 8)

See Wages, Salaries, Tips, etc.

Dependent care benefits (box 10)

Form 2441, Part III

Adoption benefits (box 12, code T)

Form 8839, line 20

Employer contributions to an

Archer MSA (box 12, code R)

Form 8853, line 1

Employer contributions to a health savings account (box 12,

code W)

Form 8889, line 9

Uncollected social security and Medicare or RRTA tax

(box 12, code A, B, M, or N)

See the instructions for Schedule 4, line 62

W-2G

Reportable winnings (box 1)

Schedule 1, line 21 (Schedule C or C-EZ for professional gamblers)

1095-A

Advance payment of premium tax credit (line 33, column c)

See Form 8962 and its instructions

1097-BTC

Bond tax credit

See Form 8912 and its instructions

1098

Mortgage interest (box 1)

Schedule A, line 8a, but first see the instructions on Form 1098*

Refund of overpaid interest (box 4)

Schedule 1, line 21, but first see the instructions on Form 1098*

Points (box 6)

Schedule A, line 8a, but first see the instructions on Form 1098*

1098-C

Contributions of motor vehicles, boats, and airplanes

Schedule A, line 12

1098-E

Student loan interest (box 1)

See the instructions for Schedule 1, line 33*

1098-MA

Homeowner mortgage payments (box 3)

Schedule A, but first see the instructions on Form 1098-MA

1099-A

Acquisition or abandonment of secured property

See Pub. 4681

1099-B

Sales price of stocks, bonds, etc. (box 1d), cost or other

basis (box 1e), and adjustments (boxes 1f and 1g)

Form 8949 or Schedule D, whichever applies; see the Instructions for Form 8949

Aggregate profit or (loss) on contracts (box 11)

Form 6781, line 1

Bartering (box 13)

See Pub. 525

1099-C

Canceled debt (box 2)

See Pub. 4681

1099-DIV

Total ordinary dividends (box 1a)

Form 1040, line 3b

Qualified dividends (box 1b)

See the instructions for Form 1040, line 3a

Total capital gain distributions (box 2a)

Schedule 1, line 13, or, if required, Schedule D, line 13

Unrecaptured section 1250 gain (box 2b)

See the instructions for Schedule D, line 19

Section 1202 gain (box 2c)

See Exclusion of Gain on Qualified Small Business (QSB) Stock in the instructions for

Schedule D

Collectibles (28%) gain (box 2d)

See the instructions for Schedule D, line 18

Nondividend distributions (box 3)

See the instructions for Form 1040, line 3b

Foreign tax paid (box 7)

Schedule 3, line 48, or Schedule A, line 6; but first see the instructions for Schedule 3,

line 48

Exempt-interest dividends (box 10)

Form 1040, line 2a

Specified private activity bond interest dividends (box 11)

Form 6251, line 2g

1099-G

Unemployment compensation (box 1)

See the instructions for Schedule 1, line 19

State or local income tax refunds, credits, or offsets (box 2)

See the instructions for Schedule 1, line 10, and if box 8 on Form 1099-G is checked, see the

box 8 instructions

RTAA payments (box 5)

Schedule 1, line 21

Taxable grants (box 6)

Schedule 1, line 21*

Agriculture payments (box 7)

See the Instructions for Schedule F or Pub. 225*

Market gain (box 9)

See the Instructions for Schedule F

*If the item relates to an activity for which you are required to file Schedule C, C-EZ, E, or F or Form 4835, report the taxable or deductible amount allocable to the activity on that schedule or form

instead.

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Form

Item and Box in Which It Should Appear

1099-INT

Interest income (box 1)

Where To Report

See the instructions on Form 1099-INT

Early withdrawal penalty (box 2)

Schedule 1, line 30

Interest on U.S. savings bonds and

Treasury obligations (box 3)

See the instructions on Form 1099-INT and the instructions for Form 1040, line 2b

Foreign tax paid (box 6)

Schedule 3, line 48, or Schedule A, line 6; but first see the instructions for Schedule 3,

line 48

Tax-exempt interest (box 8)

Form 1040, line 2a

Specified private activity bond interest (box 9)

Form 6251, line 2g

Market discount (box 10)

Form 1040, line 2b

Bond premium (box 11), bond premium on Treasury

obligations (box 12), and bond premium on tax-exempt

bond (box 13)

See the instructions on Form 1099-INT and Pub. 550

1099-K

Payment card and third party network

transactions

Schedule C, C-EZ, E, or F

1099-LTC

Long-term care and accelerated death benefits

See Pub. 525 and the Instructions for Form 8853

1099-MISC

Rents (box 1)

See the Instructions for Schedule E*

Royalties (box 2)

See the Instructions for Schedule E* (for timber, coal, and iron ore royalties, see Pub. 544)*

Other income (box 3)

Schedule 1, line 21*

Nonemployee compensation (box 7)

Schedule C, C-EZ, or F; but if you were not self-employed, see the instructions on Form

1099-MISC

Excess golden parachute payments (box 13)

See the instructions for Schedule 4, line 62

Other (boxes 5, 6, 8, 9, 10, 14, and 15b)

See the instructions on Form 1099-MISC

Original issue discount (box 1)

Other periodic interest (box 2)

See the instructions on Form 1099-OID

1099-OID

1099-PATR

Early withdrawal penalty (box 3)

Schedule 1, line 30

Market discount (box 5)

Form 1040, line 2b

Acquisition premium (box 6)

See the instructions on Form 1099-OID and Pub. 550

Original issue discount on U.S. Treasury obligations (box 8)

See the instructions on Form 1099-OID

Bond premium (box 10)

See the instructions on Form 1099-OID and Pub. 550

Tax-exempt OID (box 11)

Form 1040, line 2a, but first see the instructions on Form 1099-OID

Patronage dividends and other distributions from a

cooperative (boxes 1, 2, 3, and 5)

Schedule C, C-EZ, or F or Form 4835; but first see the instructions on Form 1099-PATR

Credits and other deductions (boxes 7, 8, and 10)

See the instructions on Form 1099-PATR

Patron's AMT adjustment (box 9)

Form 6251, line 3

1099-Q

Qualified education program payments

See the instructions for Schedule 1, line 21

1099-QA

Distributions from ABLE accounts

See the instructions for Schedule 1, line 21, Form 5329, and Pub. 907

1099-R

Distributions from IRAs**

See the instructions for Form 1040, lines 4a and 4b

Distributions from pensions, annuities, etc.

See the instructions for Form 1040, lines 4a and 4b

Capital gain (box 3)

See the instructions on Form 1099-R

Disability income with code 3 in box 7

See the instructions for Form 1040, line 1

Gross proceeds from real estate transactions

(box 2)

Form 4797, Form 6252, Form 8824, or Form 8949

Buyer's part of real estate tax (box 6)

See the instructions for Schedule A, line 5b*

Distributions from health savings accounts (HSAs)

Form 8889, line 14a

Distributions from MSAs***

Form 8853

SSA-1099

Social security benefits

See the instructions for lines 5a and 5b

RRB-1099

Railroad retirement benefits

See the instructions for lines 5a and 5b

1099-S

1099-SA

*If the item relates to an activity for which you are required to file Schedule C, C-EZ, E, or F or Form 4835, report the taxable or deductible amount allocable to the activity on that schedule or form

instead.

**This includes distributions from Roth, SEP, and SIMPLE IRAs.

***This includes distributions from Archer and Medicare Advantage MSAs.

Need more information or forms? Visit IRS.gov.

-14-

Also see the instructions for Schedule 1 through Schedule 6 that follow the

Line

! Form 1040 instructions.

Instructions for Free File makes available free brand-name software and free e-file. Visit IRS.gov/

FreeFile for details and to see if you are eligible.

Form 1040

Fiscal year filers. If you are a fiscal year filer using a tax year other than January 1

CAUTION

through December 31, 2018, write “Tax Year” and the beginning and ending months

of your fiscal year in the top margin of page 1 of Form 1040.

Write-in information. If you need to write a word, code and/or dollar amount on

Form 1040 to explain an item of income or deduction, but don't have enough space to

enter the word, code and/or dollar amount, you can put an asterisk next to the applicable line number and put a footnote at the bottom of page 2 of Form 1040 indicating the

line number and the word, code and/or dollar amount you need to enter.

For example, if you received wages as a household employee and didn't receive a

W-2 because you were paid only $2,000, the instructions for line 1 state that you must

enter “HSH” and the amount of the wages next to line 7. You may instead put an asterisk next to line 7 and in the white space at the bottom of page 2 of Form 1040 enter

“*Line 7: HSH $2,000.”

Section references are to the Internal Revenue Code.

Filing Status

Check only the filing status that applies

to you. The ones that will usually give

you the lowest tax are listed last.

• Married filing separately.

• Single.

• Head of household.

• Married filing jointly.

• Qualifying widow(er).

For information about marital status, see

Pub. 501.

More than one filing status can

TIP apply to you. You can choose

the one that will give you the

lowest tax.

Single

You can check the “Single” box at the

top of Form 1040 if any of the following

was true on December 31, 2018.

• You were never married.

• You were legally separated according to your state law under a decree of

divorce or separate maintenance. But if,

at the end of 2018, your divorce wasn't

final (an interlocutory decree), you are

considered married and can't check the

box.

• You were widowed before January

1, 2018, and didn't remarry before the

end of 2018. But if you have a child,

you may be able to use the qualifying

widow(er) filing status. See the instructions for Qualifying Widow(er), later.

Married Filing Jointly

You can check the “Married filing jointly” box at the top of Form 1040 if any of

the following apply.

• You were married at the end of

2018, even if you didn't live with your

spouse at the end of 2018.

• Your spouse died in 2018 and you

didn't remarry in 2018.

• You were married at the end of

2018, and your spouse died in 2019 before filing a 2018 return.

A married couple filing jointly report

their combined income and deduct their

combined allowable expenses on one return. They can file a joint return even if

only one had income or if they didn't

live together all year. However, both

persons must sign the return. Once you

file a joint return, you can't choose to

file separate returns for that year after

the due date of the return.

Joint and several tax liability. If you

file a joint return, both you and your

spouse are generally responsible for the

tax and interest or penalties due on the

return. This means that if one spouse

doesn't pay the tax due, the other may

have to. Or, if one spouse doesn't report

the correct tax, both spouses may be responsible for any additional taxes as-

-15-

sessed by the IRS. You may want to file

separately if:

• You believe your spouse isn't reporting all of his or her income, or

• You don’t want to be responsible

for any taxes due if your spouse doesn't

have enough tax withheld or doesn't pay

enough estimated tax.

See the instructions for Married Filing

Separately. Also see Innocent Spouse

Relief under General Information, later.

Nonresident aliens and dual-status aliens. Generally, a married couple can't

file a joint return if either spouse is a

nonresident alien at any time during the

year. However, if you were a nonresident alien or a dual-status alien and were

married to a U.S. citizen or resident alien at the end of 2018, you can elect to

be treated as a resident alien and file a

joint return. See Pub. 519 for details.

Married Filing Separately

Check the “Married filing separately”

box at the top of Form 1040 if you are

married and file a separate return. Enter

your spouse’s name in the entry space at

the far right of the filing status checkboxes (next to “Qualifying widow(er)”).

Be sure to enter your spouse’s SSN or

ITIN in the space for spouse’s SSN on

Form 1040. If your spouse doesn’t have

and isn’t required to have an SSN or

ITIN, enter “NRA.”

Need more information or forms? Visit IRS.gov.

If you are married and file a separate

return, you generally report only your

own income, deductions, and credits.

Generally, you are responsible only for

the tax on your own income. Different

rules apply to people in community

property states; see Pub. 555.

However, you usually will pay more

tax than if you use another filing status

for which you qualify. Also, if you file a

separate return, you can't take the student loan interest deduction, the tuition

and fees deduction, the education credits, or the earned income credit. You also can't take the standard deduction if

your spouse itemizes deductions.

You may be able to file as head

TIP of household if you had a child

living with you and you lived

apart from your spouse during the last 6

months of 2018. See Married persons

who live apart.

Head of Household

You can check the “Head of household”

box at the top of Form 1040 if you are

unmarried and provide a home for certain other persons. You are considered

unmarried for this purpose if any of the

following applies.

• You were legally separated according to your state law under a decree of

divorce or separate maintenance at the

end of 2018. But if, at the end of 2018,

your divorce wasn't final (an interlocutory decree), you are considered married.

• You are married but lived apart

from your spouse for the last 6 months

of 2018 and you meet the other rules under Married persons who live apart.

• You are married to a nonresident

alien at any time during the year and you

don’t choose to treat him or her as a resident alien.

Check the “Head of household” box only if you are unmarried (or considered

unmarried) and either Test 1 or Test 2

applies.

Test 1. You paid over half the cost of

keeping up a home that was the main

home for all of 2018 of your parent

whom you can claim as a dependent, except under a multiple support agreement

(see Who Qualifies as Your Dependent,

later). Your parent didn't have to live

with you.

Test 2. You paid over half the cost of

keeping up a home in which you lived

and in which one of the following also

lived for more than half of the year (if

half or less, see Exception to time lived

with you).

1. Any person whom you can claim

as a dependent. But don’t include:

a. Your child whom you claim as

your dependent because of the rule for

Children of divorced or separated parents under Who Qualifies as Your Dependent, later,

b. Any person who is your dependent only because he or she lived with

you for all of 2018, or

c. Any person you claimed as a dependent under a multiple support agreement. See Who Qualifies as Your Dependent, later.

2. Your unmarried qualifying child

who isn't your dependent.

3. Your married qualifying child

who isn't your dependent only because

you can be claimed as a dependent on

someone else's 2018 return.

4. Your qualifying child who, even

though you are the custodial parent, isn't

your dependent because of the rule for

Children of divorced or separated parents under Who Qualifies as Your Dependent, later.

If the child isn't claimed as your dependent, enter the child's name in the entry space at the far right of the filing status checkboxes (next to “Qualifying

Widow(er)”). If you don’t enter the

name, it will take us longer to process

your return.

Qualifying child. To find out if someone is your qualifying child, see Step 1

under Who Qualifies as Your Dependent, later.

Dependent. To find out if someone is

your dependent, see Who Qualifies as

Your Dependent, later.

The dependents you claim are

TIP those you list by name and SSN

in the Dependents section on

Form 1040.

Exception to time lived with you.

Temporary absences by you or the other

person for special circumstances, such

as school, vacation, business, medical

Need more information or forms? Visit IRS.gov.

-16-

care, military service, or detention in a

juvenile facility, count as time lived in

the home. Also see Kidnapped child, later, under Who Qualifies as Your Dependent, if applicable.

If the person for whom you kept up a

home was born or died in 2018, you still

may be able to file as head of household.

If the person is your qualifying child, the

child must have lived with you for more

than half the part of the year he or she

was alive. If the person is anyone else,

see Pub. 501.

Keeping up a home. To find out what

is included in the cost of keeping up a

home, see Pub. 501.

Married persons who live apart. Even

if you weren’t divorced or legally separated at the end of 2018, you are considered unmarried if all of the following

apply.

• You lived apart from your spouse

for the last 6 months of 2018. Temporary absences for special circumstances,

such as for business, medical care,

school, or military service, count as time

lived in the home.

• You file a separate return from

your spouse.

• You paid over half the cost of

keeping up your home for 2018.

• Your home was the main home of

your child, stepchild, or foster child for

more than half of 2018 (if half or less,

see Exception to time lived with you,

earlier).

• You can claim this child as your

dependent or could claim the child except that the child's other parent can

claim him or her under the rule for Children of divorced or separated parents

under Who Qualifies as Your Dependent, later.

Adopted child. An adopted child is

always treated as your own child. An

adopted child includes a child lawfully

placed with you for legal adoption.

Foster child. A foster child is any

child placed with you by an authorized

placement agency or by judgment, decree, or other order of any court of competent jurisdiction.

Qualifying Widow(er)

You can check the “Qualifying widow(er)” box at the top of Form 1040 and

use joint return tax rates for 2018 if all

of the following apply.

1. Your spouse died in 2016 or 2017

and you didn't remarry before the end of

2018.

2. You have a child or stepchild (not

a foster child) whom you can claim as a

dependent or could claim as a dependent

except that, for 2018:

a. The child had gross income of

$4,150 or more,

b. The child filed a joint return, or

c. You could be claimed as a dependent on someone else’s return.

If the child isn’t claimed as your dependent, enter the child’s name in the

entry space at the far right of the filing

status checkboxes (next to “Qualifying

widow(er)”). If you don’t enter the

name, it will take us longer to process

your return.

3. This child lived in your home for

all of 2018. If the child didn't live with

you for the required time, see Exception

to time lived with you, later.

4. You paid over half the cost of

keeping up your home.

5. You could have filed a joint return with your spouse the year he or she

died, even if you didn't actually do so.

If your spouse died in 2018, you can't

file as qualifying widow(er). Instead, see

the instructions for Married Filing

Jointly, earlier.

Adopted child. An adopted child is always treated as your own child. An

adopted child includes a child lawfully

placed with you for legal adoption.

Dependent. To find out if someone is

your dependent, see Who Qualifies as

Your Dependent, later.

The dependents you claim are

TIP those you list by name and SSN

in the Dependents section on

Form 1040.

Exception to time lived with you.

Temporary absences by you or the child

for special circumstances, such as

school, vacation, business, medical care,

military service, or detention in a juvenile facility, count as time lived in the

home. Also see Kidnapped child, later,

under Who Qualifies as Your Dependent, if applicable.

A child is considered to have lived

with you for all of 2018 if the child was

born or died in 2018 and your home was

the child's home for the entire time he or

she was alive.

Keeping up a home. To find out what

is included in the cost of keeping up a

home, see Pub. 501.

Name and Address

Print or type the information in the

spaces provided. If you are married filing a separate return, enter your spouse's

name in the entry space on the far right

of the filing status checkboxes (next to

“Qualifying widow(er)”) instead of below your name.

If you filed a joint return for

TIP 2017 and you are filing a joint

return for 2018 with the same

spouse, be sure to enter your names and

SSNs in the same order as on your 2017

return.

Name Change

If you changed your name because of

marriage, divorce, etc., be sure to report

the change to the Social Security Administration (SSA) before filing your return. This prevents delays in processing

your return and issuing refunds. It also

safeguards your future social security

benefits.

Address Change

If you plan to move after filing your return, use Form 8822 to notify the IRS of

your new address.

P.O. Box

Enter your box number only if your post

office doesn't deliver mail to your home.

Foreign Address

If you have a foreign address, see the

“Foreign Address” section in the Schedule 6 instructions.

Death of a Taxpayer

See Death of a Taxpayer under General

Information, later.

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Social Security

Number (SSN)

An incorrect or missing SSN can increase your tax, reduce your refund, or

delay your refund. To apply for an SSN,

fill in Form SS-5 and return it, along

with the appropriate evidence documents, to the Social Security Administration (SSA). You can get Form SS-5

online at SSA.gov, from your local SSA

office, or by calling the SSA at

1-800-772-1213. It usually takes about 2

weeks to get an SSN once the SSA has

all the evidence and information it

needs.

Check that both the name and SSN

on your Forms 1040, W-2, and 1099

agree with your social security card. If

they don’t, certain deductions and credits on your Form 1040 may be reduced

or disallowed and you may not receive

credit for your social security earnings.

If your Form W-2 shows an incorrect

SSN or name, notify your employer or

the form-issuing agent as soon as possible to make sure your earnings are credited to your social security record. If the

name or SSN on your social security

card is incorrect, call the SSA.

IRS Individual Taxpayer

Identification Numbers

(ITINs) for Aliens

If you are a nonresident or resident alien

and you don’t have and aren’t eligible to

get an SSN, you must apply for an ITIN.

It takes about 7 weeks to get an ITIN.

If you already have an ITIN, enter it

wherever your SSN is requested on your

tax return.

Some ITINs must be renewed. If you

haven't used your ITIN on a federal tax

return at least once in the last 3 years, or

if your ITIN has the middle digits 73,

74, 75, 76, 77, 81, or 82

(9NN-73-NNNN), it expired at the end

of 2018 and must be renewed if you

need to file a federal tax return in 2019.

You don't need to renew your ITIN if

you don't need to file a federal tax return. You can find more information at

IRS.gov/ITIN.

Need more information or forms? Visit IRS.gov.

ITINs with middle digits 70, 71,

The dependents you claim are

TIP 72, 78, 79, or 80 that expired in

TIP those you list by name and SSN

2016 or 2017 must also be renewed if you need to file a tax return in

2019 and haven’t already renewed the

ITIN.

in the Dependents section on

Form 1040.

An ITIN is for tax use only. It doesn't

entitle you to social security benefits or

change your employment or immigration status under U.S. law.

For more information on ITINs, including application, expiration, and renewal, see Form W-7 and its instructions.

If you receive an SSN after previously using an ITIN, stop using your ITIN.

Use your SSN instead. Visit a local IRS

office or write a letter to the IRS explaining that you now have an SSN and

want all your tax records combined under your SSN. Details about what to include with the letter and where to mail it

are at IRS.gov/ITIN.

Nonresident Alien Spouse

If your spouse is a nonresident alien, he

or she must have either an SSN or an

ITIN if:

• You file a joint return, or

• Your spouse is filing a separate return.

Full-year Health Care

Coverage or Exempt

For 2018, you must either:

• Have qualifying health care coverage or a coverage exemption for yourself, your spouse (if filing jointly), and

anyone you can or do claim as a dependent (you are treated as having coverage

for any month in which you have coverage for at least 1 day of the month) that

covered all of 2018 or a combination of

qualifying health care coverage and coverage exemption(s) for every month of

2018, or

• Make a shared responsibility payment with your return and report it on

Schedule 4, line 61. If you can claim any

part-year exemptions or exemptions for

specific members of your household, use

Form 8965. This will reduce the amount

of your shared responsibility payment.

Check the box if you had qualifying

health care coverage (called minimum

essential coverage) or a coverage exemption that covered all of 2018 or a

combination of qualifying health care

coverage and coverage exemption(s) for

yourself, your spouse (if filing jointly),

and anyone you can or do claim as a dependent.

You can check the box even if:

• A dependent child who was born

or adopted during the year wasn’t covered by your insurance or exempt during

the month of or months before birth or

adoption (but the child must have had

minimum essential coverage or a coverage exemption every month of 2018 following the birth or adoption), or

• A spouse or dependent who died

during the year wasn’t covered by your

insurance or exempt during the month of

death and months after death (but he or

she must have had minimum essential

coverage or a coverage exemption every

month of 2018 before death).

If you can check the box, you don't

have to file Form 8965 to claim any coverage exemptions, including the coverage exemption for household income below the filing threshold in Part II of

Form 8965.

If you can be claimed as a dependent

on someone else's return, you don't need

to check the box, claim a coverage exemption, or report a payment.

If you can’t check the box, you generally must report a shared responsibility

payment on Schedule 4, line 61, for each

month that you, your spouse (if filing

jointly), or someone else you can or do

claim as a dependent didn’t have qualifying health care coverage or a coverage

exemption.

See the instructions for Schedule 4,

line 61, for information about the individual shared responsibility payment.

Also see the Instructions for Form 8965.

Need more information or forms? Visit IRS.gov.

-18-

Your Standard

Deduction and

Spouse’s Standard

Deduction

Single and Married Filing

Jointly

If you were born before January 2, 1954,

blind at the end of 2018, or can be

claimed as a dependent on someone

else’s return, check the appropriate

box(es) on the line labeled “Your standard deduction” under your name. If you

were married and filing a joint return

and your spouse was born before January 2, 1954, or was blind at the end of

2018, check the appropriate box(es) on

the line labeled “Your spouse standard

deduction” under your spouse’s name.

If you were a dual-status alien, check

the “Spouse itemizes on a separate return or you were a dual-status alien” box

on the line labeled “Spouse standard deduction.” If you were a dual-status alien

and you file a joint return with your

spouse who was a U.S. citizen or resident alien at the end of 2018 and you

and your spouse agree to be taxed on

your combined worldwide income, don’t

check the box.

Don’t check any boxes for your

spouse if your filing status is head of

household.

Death of spouse in 2018. If your

spouse was born before January 2, 1954,

but died in 2018 before reaching age 65,

don’t check the box that says “Spouse

was born before January 2, 1954.”

A person is considered to reach age

65 on the day before his or her 65th

birthday.

Example. Your spouse was born on

February 14, 1953, and died on February

13, 2018. Your spouse is considered age

65 at the time of death. Check the appropriate box for your spouse on the line labeled “Spouse standard deduction.”

However, if your spouse died on February 12, 2018, your spouse isn't considered age 65. Don’t check the box.

Death of taxpayer in 2018. If you are

preparing a return for someone who died

in 2018, see Pub. 501 before completing

the standard deduction information.

Blindness

If you weren’t totally blind as of December 31, 2018, you must get a statement certified by your eye doctor (ophthalmologist or optometrist) that:

• You can't see better than 20/200 in

your better eye with glasses or contact

lenses, or

• Your field of vision is 20 degrees

or less.

If your eye condition isn't likely to

improve beyond the conditions listed

above, you can get a statement certified

by your eye doctor (ophthalmologist or

optometrist) to this effect instead.

You must keep the statement for your

records.

Married Filing Separately

If your filing status is married filing separately and your spouse itemizes deductions on his or her return, check the

“Spouse itemizes on a separate return or

you were a dual-status alien” box on the

line labeled “Spouse standard deduction.”

If your filing status is married filing

separately and your spouse was born before January 2, 1954, or was blind at the

end of 2018, you can check the appropriate box(es) on the line labeled

"Spouse standard deduction" if your

spouse had no income, isn't filing a return, and can't be claimed as a dependent

on another person's return.

-19-

Presidential Election

Campaign Fund

This fund helps pay for Presidential

election campaigns. The fund reduces

candidates' dependence on large contributions from individuals and groups and

places candidates on an equal financial

footing in the general election. The fund

also helps pay for pediatric medical research. If you want $3 to go to this fund,

check the box. If you are filing a joint

return, your spouse also can have $3 go

to the fund. If you check a box, your tax

or refund won't change.

Need more information or forms? Visit IRS.gov.

Who Qualifies as Your

Dependent

Step 1

Dependents, Qualifying Child for Child Tax

Credit, and Credit for Other Dependents

A qualifying child is a child who is your...

Follow the steps below to find out if a person qualifies as your

dependent, and to find out if your dependent qualifies you to

take the child tax credit or the credit for other dependents. If

you have more than four dependents, check the box on the right

side of page 1 of Form 1040 (just above the Dependents section) and include a statement showing the information required

in columns (1) through (4).

TIP

Do You Have a Qualifying

Child?

Son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half

brother, half sister, or a descendant of any of them (for example, your grandchild,

niece, or nephew)

AND

was ...

The dependents you claim are those you list by name

and SSN in the Dependents section on Form 1040.

Under age 19 at the end of 2018 and younger than you

(or your spouse, if filing jointly)

or

Before you begin. See the definition of Social security number, later. If you want to claim the child tax credit or the credit

for other dependents, you (and your spouse if filing jointly)

must have an SSN or ITIN issued on or before the due date of

your 2018 return (including extensions). If an ITIN is applied

for on or before the due date of a 2018 return (including extensions) and the IRS issues an ITIN as result of the application,

the IRS will consider the ITIN as issued on or before the due

date of the return.

Under age 24 at the end of 2018, a student (defined later), and younger than you

(or your spouse, if filing jointly)

or

Any age and permanently and totally disabled (defined later)

AND

Who didn't provide over half of his or her own support for 2018 (see Pub. 501)

AND

Who isn't filing a joint return for 2018

or is filing a joint return for 2018 only to claim a refund of withheld income tax or

estimated tax paid (see Pub. 501 for details and examples)

AND

Who lived with you for more than half of 2018. If the child didn't live with you

for the required time, see Exception to time lived with you, later.

!

If the child meets the conditions to be a qualifying child of any

other person (other than your spouse if filing jointly) for 2018, see

Qualifying child of more than one person, later.

CAUTION

1. Do you have a child who meets the conditions to be your

qualifying child?

Yes. Go to Step 2.

No. Go to Step 4.

Step 2

Is Your Qualifying Child Your

Dependent?

1. Was the child a U.S. citizen, U.S. national, U.S. resident

alien, or a resident of Canada or Mexico? (See Pub. 519 for

Need more information or forms? Visit IRS.gov.

-20-

the definition of a U.S. national or U.S. resident alien. If the

child was adopted, see Exception to citizen test, later.)

Yes. Continue

No. STOP

䊲

2. Was the child married?

Yes. See Married

person, later.

You can't claim this child

as a dependent.

No. Continue

䊲

3. Could you, or your spouse if filing jointly, be claimed as a

dependent on someone else's 2018 tax return? See Steps 1,

2, and 4.

No. You can claim this

Yes. STOP

child as a dependent.

You can't claim any

Complete columns (1)

dependents. Complete

through (3) of the

the rest of Form 1040

Dependents section for

and any applicable

this child. Then, go to

schedules.

Step 3.

4. Did this child have an SSN valid for employment issued

before the due date of your 2018 return (including

extensions)? (See Social Security Number, later.)

Yes. You can claim the

No. STOP

child tax credit for this

You can claim the credit

person. Check the

for other dependents for

“child tax credit” box in

this child. Check the

column (4) of the

“credit for other

Dependents section for

dependents” box in

this person.

column (4) of the

Dependents section for

this person.

Step 4

Is Your Qualifying Relative

Your Dependent?

A qualifying relative is a person who is your...

Son, daughter, stepchild, foster child, or a descendant of any of them (for

example, your grandchild)

or

Step 3

Does Your Qualifying Child

Qualify You for the Child Tax

Credit or Credit for Other

Dependents?

Brother, sister, half brother, half sister, or a son or daughter of any of them (for

example, your niece or nephew)

or

Father, mother, or an ancestor or sibling of either of them (for example, your

grandmother, grandfather, aunt, or uncle)

or

1. Did the child have an SSN, ITIN, or ATIN issued on or

before the due date of your return (including extensions)?

(Answer “Yes” if you are applying for an ITIN or ATIN for

the child on or before the due date of your return (including

extensions).)

Yes. Continue

No. STOP

䊲

You can’t claim the child

tax credit or the credit for

other dependents for this

child.

2. Was the child a U.S. citizen, U.S. national, or U.S. resident

alien? (See Pub. 519 for the definition of a U.S. national or

U.S. resident alien. If the child was adopted, see Exception

to citizen test, later.)

Yes. Continue

No. STOP

䊲

Stepbrother, stepsister, stepfather, stepmother, son-in-law, daughter-in-law,

father-in-law, mother-in-law, brother-in-law, or sister-in-law

or

Any other person (other than your spouse) who lived with you all year as a

member of your household if your relationship didn't violate local law. If the

person didn't live with you for the required time, see Exception to time lived with

you, later.

AND

Who wasn't a qualifying child (see Step 1) of any taxpayer for 2018. For this

purpose, a person isn't a taxpayer if he or she isn't required to file a U.S. income

tax return and either doesn't file such a return or files only to get a refund of

withheld income tax or estimated tax paid. See Pub. 501 for details and examples.

You can’t claim the child

tax credit or the credit for

other dependents for this

child.

3. Was the child under age 17 at the end of 2018?

Yes. Continue

No. You can claim the

䊲

credit for other

dependents for this child.

Check the “credit for

other dependents” box in

column (4) of the

Dependents section for

this person.

-21-

AND

Who had gross income of less than $4,150 in 2018. If the person was permanently

and totally disabled, see Exception to gross income test, later.

AND

For whom you provided over half of his or her support in 2018. But see Children

of divorced or separated parents, Multiple support agreements, and Kidnapped

child, later.

Need more information or forms? Visit IRS.gov.

1. Does any person meet the conditions to be your qualifying

relative?

Yes. Continue

No. STOP

Definitions and Special Rules

2. Was your qualifying relative a U.S. citizen, U.S. national,

U.S. resident alien, or a resident of Canada or Mexico? (See

Pub. 519 for the definition of a U.S. national or U.S.

resident alien. If your qualifying relative was adopted, see

Exception to citizen test, later.)

Yes. Continue

No. STOP

Adoption taxpayer identification numbers (ATINs). If you

have a dependent who was placed with you for legal adoption

and you don’t know his or her SSN, you must get an ATIN for

the dependent from the IRS. See Form W-7A for details. If the

dependent isn't a U.S. citizen or resident alien, apply for an

ITIN instead, using Form W-7.

Adopted child. An adopted child is always treated as your own

child. An adopted child includes a child lawfully placed with

you for legal adoption.

䊲

䊲

You can't claim this

person as a dependent.

3. Was your qualifying relative married?

Yes. See Married

No. Continue

䊲

person, later.

4. Could you, or your spouse if filing jointly, be claimed as a

dependent on someone else's 2018 tax return? See Steps 1,

2, and 4.

No. You can claim this

Yes. STOP

person as a dependent.

You can't claim any

Complete columns (1)

dependents. Complete

through (3) of the

the rest of Form 1040

Dependents section.

and any applicable

Then go to Step 5.

schedules.

Step 5

Does Your Qualifying Relative

Qualify You for the Credit for

Other Dependents?

1. Did your qualifying relative have an SSN, ITIN, or adoption

taxpayer identification number (ATIN) issued on or before

the due date of your 2018 return (including extensions)?

(Answer “Yes” if you are applying for an ITIN or ATIN for

the qualifying relative on or before the return due date

(including extensions).)

Yes. Continue

No. STOP

䊲

You can’t claim the

credit for other

dependents for this

qualifying relative.

2. Was your qualifying relative a U.S. citizen, U.S. national, or

U.S. resident alien? (See Pub. 519 for the definition of a

U.S. national or a U.S. resident alien. If your qualifying

relative was adopted, see Exception to citizenship test,

later.)

Yes. You can claim

No. STOP

the credit for other

You can’t claim the

dependents for this

credit for other

dependent. Check the

dependents for this

“credit for other

qualifying relative.

dependents” box in

column (4) of the

Dependents section for

this person.

Need more information or forms? Visit IRS.gov.

Children of divorced or separated parents. A child will be

treated as the qualifying child or qualifying relative of his or her

noncustodial parent (defined later) if all of the following conditions apply.

1. The parents are divorced, legally separated, separated under a written separation agreement, or lived apart at all times

during the last 6 months of 2018 (whether or not they are or

were married).

2. The child received over half of his or her support for

2018 from the parents (and the rules on Multiple support agreements, later, don’t apply). Support of a child received from a parent's spouse is treated as provided by the parent.

3. The child is in custody of one or both of the parents for

more than half of 2018.

4. Either of the following applies.

a. The custodial parent signs Form 8332 or a substantially

similar statement that he or she won't claim the child as a dependent for 2018, and the noncustodial parent includes a copy

of the form or statement with his or her return. If the divorce decree or separation agreement went into effect after 1984 and before 2009, the noncustodial parent may be able to include certain pages from the decree or agreement instead of Form 8332.

See Post-1984 and pre-2009 decree or agreement and

Post-2008 decree or agreement.

b. A pre-1985 decree of divorce or separate maintenance or

written separation agreement between the parents provides that

the noncustodial parent can claim the child as a dependent, and

the noncustodial parent provides at least $600 for support of the

child during 2018.

If conditions (1) through (4) apply, only the noncustodial parent can claim the child for purposes of the child tax credits and

credit for other dependents (lines 12a and 17b). However, this

doesn't allow the noncustodial parent to claim head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, the earned income credit, or the health coverage tax credit. The custodial parent or another taxpayer, if eligible, can claim the child for the

earned income credit and these other benefits. See Pub. 501 for

details.

Custodial and noncustodial parents. The custodial parent is

the parent with whom the child lived for the greater number of

nights in 2018. The noncustodial parent is the other parent. If

the child was with each parent for an equal number of nights,

-22-

the custodial parent is the parent with the higher adjusted gross

income. See Pub. 501 for an exception for a parent who works

at night, rules for a child who is emancipated under state law,

and other details.

Post-1984 and pre-2009 decree or agreement. The decree

or agreement must state all three of the following.

1. The noncustodial parent can claim the child as a dependent without regard to any condition, such as payment of support.

2. The other parent won't claim the child as a dependent.

3. The years for which the claim is released.

The noncustodial parent must include all of the following pages from the decree or agreement.

• Cover page (include the other parent's SSN on that page).

• The pages that include all the information identified in (1)

through (3) above.

• Signature page with the other parent's signature and date

of agreement.

!

You must include the required information even if you

filed it with your return in an earlier year.

CAUTION

Post-2008 decree or agreement. If the divorce decree or

separation agreement went into effect after 2008, the noncustodial parent can't include pages from the decree or agreement instead of Form 8332. The custodial parent must sign either Form

8332 or a substantially similar statement the only purpose of

which is to release the custodial parent's claim to certain tax

benefits for a child, and the noncustodial parent must include a

copy with his or her return. The form or statement must release

the custodial parent's claim to the child without any conditions.

For example, the release must not depend on the noncustodial

parent paying support.

Release of certain tax benefits revoked. A custodial parent

who has revoked his or her previous release of a claim to certain

tax benefits for a child must include a copy of the revocation

with his or her return. For details, see Form 8332.

Exception to citizen test. If you are a U.S. citizen or U.S. national and your adopted child lived with you all year as a member of your household, that child meets the requirement to be a

U.S. citizen in Step 2, question 1; Step 3, question 2; Step 4,

question 2; and Step 5, question 2.

Exception to gross income test. If your relative (including a

person who lived with you all year as a member of your household) is permanently and totally disabled (defined later), certain

income for services performed at a sheltered workshop may be

excluded for this test. For details, see Pub. 501.

Exception to time lived with you. Temporary absences by you

or the other person for special circumstances, such as school,

vacation, business, medical care, military service, or detention

in a juvenile facility, count as time the person lived with you.

Also see Children of divorced or separated parents, earlier, or

Kidnapped child, later.

If the person meets all other requirements to be your qualifying child but was born or died in 2018, the person is considered

to have lived with you for more than half of 2018 if your home

was this person's home for more than half the time he or she

was alive in 2018.

Any other person is considered to have lived with you for all

of 2018 if the person was born or died in 2018 and your home

was this person's home for the entire time he or she was alive in

2018.

Foster child. A foster child is any child placed with you by an

authorized placement agency or by judgment, decree, or other

order of any court of competent jurisdiction.

Kidnapped child. If your child is presumed by law enforcement authorities to have been kidnapped by someone who isn't a

family member, you may be able to take the child into account

in determining your eligibility for head of household or qualifying widow(er) filing status, the child tax credit, the credit for

other dependents, and the earned income credit (EIC). For details, see Pub. 501 (Pub. 596 for the EIC).

Married person. If the person is married and files a joint return, you can't claim that person as your dependent. However, if

the person is married but doesn't file a joint return or files a

joint return only to claim a refund of withheld income tax or estimated tax paid, you may be able to claim him or her as a dependent. (See Pub. 501 for details and examples.) In that case,

go to Step 2, question 3 (for a qualifying child) or Step 4, question 4 (for a qualifying relative).

Multiple support agreements. If no one person contributed

over half of the support of your relative (or a person who lived

with you all year as a member of your household) but you and

another person(s) provided more than half of your relative's

support, special rules may apply that would treat you as having

provided over half of the support. For details, see Pub. 501.

Permanently and totally disabled. A person is permanently

and totally disabled if, at any time in 2018, the person can't engage in any substantial gainful activity because of a physical or

mental condition and a doctor has determined that this condition

has lasted or can be expected to last continuously for at least a

year or can be expected to lead to death.

Public assistance payments. If you received payments under

the Temporary Assistance for Needy Families (TANF) program

or other public assistance program and you used the money to

support another person, see Pub. 501.

Qualifying child of more than one person. Even if a child

meets the conditions to be the qualifying child of more than one

person, only one person can claim the child as a qualifying child

for all of the following tax benefits, unless the special rule for

Children of divorced or separated parents, described earlier,

applies.

1. Child tax credit and credit for other dependents (line 12a)

and additional child tax credit (line 17b).

2. Head of household filing status.

3. Credit for child and dependent care expenses (Schedule

3, line 49).

4. Exclusion for dependent care benefits (Form 2441, Part

III).

5. Earned income credit (line 17a).

-23-

Need more information or forms? Visit IRS.gov.

No other person can take any of the five tax benefits just listed

based on the qualifying child. If you and any other person can

claim the child as a qualifying child, the following rules apply.

• If only one of the persons is the child's parent, the child is

treated as the qualifying child of the parent.

• If the parents file a joint return together and can claim the

child as a qualifying child, the child is treated as the qualifying

child of the parents.

• If the parents don’t file a joint return together but both parents claim the child as a qualifying child, the IRS will treat the

child as the qualifying child of the parent with whom the child

lived for the longer period of time in 2018. If the child lived

with each parent for the same amount of time, the IRS will treat

the child as the qualifying child of the parent who had the higher adjusted gross income (AGI) for 2018.

• If no parent can claim the child as a qualifying child, the

child is treated as the qualifying child of the person who had the

highest AGI for 2018.

• If a parent can claim the child as a qualifying child but no

parent does so claim the child, the child is treated as the qualifying child of the person who had the highest AGI for 2018, but

only if that person's AGI is higher than the highest AGI of any

parent of the child who can claim the child.

Example. Your daughter meets the conditions to be a qualifying child for both you and your mother. Your daughter doesn't

meet the conditions to be a qualifying child of any other person,

including her other parent. Under the rules just described, you

can claim your daughter as a qualifying child for all of the five

tax benefits just listed for which you otherwise qualify. Your

mother can't claim any of those five tax benefits based on your

daughter. However, if your mother's AGI is higher than yours

and you do not claim your daughter as a qualifying child, your

daughter is the qualifying child of your mother.

For more details and examples, see Pub. 501.

If you will be claiming the child as a qualifying child, go to

Step 2. Otherwise, stop; you can't claim any benefits based on

this child.

Social security number. You must enter each dependent's social security number (SSN). Be sure the name and SSN entered

agree with the dependent's social security card. Otherwise, at

the time we process your return, we may reduce or disallow any

Need more information or forms? Visit IRS.gov.

tax benefits (such as the child tax credit) based on that dependent. If the name or SSN on the dependent's social security card

isn't correct or you need to get an SSN for your dependent, contact the Social Security Administration. See Social Security

Number (SSN), earlier. If your dependent won't have a number

by the date your return is due, see What if You Can't File on

Time? earlier.

For the child tax credit, your child must have the required

SSN. The required SSN is one that is valid for employment and

that is issued by the Social Security Administration before the

due date of your 2018 return (including extensions). If your

child was a U.S. citizen when the child received the SSN, the

SSN is valid for employment. If “Not Valid for Employment” is

printed on your child’s social security card and your child’s immigration status has changed so that your child is now a U.S.

citizen or permanent resident, ask the SSA for a new social security card without the legend. However, if “Valid for Work

Only With DHS Authorization” is printed on your child’s social

security card, your child has the required SSN only as long as

the DHS authorization is valid.

If your dependent child was born and died in 2018 and you

do not have an SSN for the child, enter “Died” in column (2) of

the Dependents section and include a copy of the child's birth

certificate, death certificate, or hospital records. The document

must show the child was born alive.

If you, or your spouse if filing jointly, didn't have an SSN (or

ITIN) issued on or before the due date of your 2018 return (including extensions), you can't claim the child tax credit or the

credit for other dependents on your original or an amended

2018 return.

If you apply for an ITIN on or before the due date of your

2018 return (including extensions) and the IRS issues you an

ITIN as a result of the application, the IRS will consider your

ITIN as issued on or before the due date of your return.

Student. A student is a child who during any part of 5 calendar

months of 2018 was enrolled as a full-time student at a school,

or took a full-time, on-farm training course given by a school or

a state, county, or local government agency. A school includes a

technical, trade, or mechanical school. It doesn't include an

on-the-job training course, correspondence school, or school offering courses only through the Internet.

-24-

Sign Your Return

Form 1040 isn't considered a valid return unless you sign it. If you are filing a

joint return, your spouse also must sign.

If your spouse can't sign the return, see

Pub. 501. Be sure to date your return

and enter your occupation(s). If you

have someone prepare your return, you

are still responsible for the correctness

of the return. If your return is signed by

a representative for you, you must have

a power of attorney attached that specifically authorizes the representative to

sign your return. To do this, you can use

Form 2848. If you are filing a joint return as a surviving spouse, see Death of

a Taxpayer, later.

Court-Appointed

Conservator, Guardian, or

Other Fiduciary

If you are a court-appointed conservator,

guardian, or other fiduciary for a mentally or physically incompetent individual who has to file Form 1040, sign your

name for the individual and file Form

56.

Child's Return

If your child can't sign his or her return,

either parent can sign the child's name in

the space provided. Then, enter “By

(your signature), parent for minor

child.”

Electronic Return

Signatures

To file your return electronically, you

must sign the return electronically using

a personal identification number (PIN).

If you are filing online using software,

you must use a Self-Select PIN. If you

are filing electronically using a tax practitioner, you can use a Self-Select PIN or

a Practitioner PIN.

Self-Select PIN. The Self-Select PIN

method allows you to create your own

PIN. If you are married filing jointly,

you and your spouse will each need to

create a PIN and enter these PINs as

your electronic signatures.

A PIN is any combination of five digits you choose except five zeros. If you

use a PIN, there is nothing to sign and

nothing to mail—not even your Forms

W-2.

To verify your identity, you will be

prompted to enter your date of birth and

your adjusted gross income (AGI) from

your originally filed 2017 federal income tax return, if applicable. Don’t use

your AGI from an amended return

(Form 1040X) or a math error correction

made by the IRS. AGI is the amount

shown on your 2017 Form 1040, line 38;

Form 1040A, line 22; or Form 1040EZ,

line 4. If you don’t have your 2017 income tax return, call the IRS at

1-800-908-9946 to get a free transcript

of your return or visit IRS.gov/

Transcript. (If you filed electronically

last year, you may use your prior year

PIN to verify your identity instead of

your prior year AGI. The prior year PIN

is the five-digit PIN you used to electronically sign your 2017 return.)

You can't use the Self-Select

PIN method if you are a

CAUTION first-time filer under age 16 at

the end of 2018.

!

Practitioner PIN. The Practitioner PIN

method allows you to authorize your tax

practitioner to enter or generate your

PIN. The practitioner can provide you

with details.

Form 8453. You must send in a paper

Form 8453 if you have to attach certain

forms or other documents that can't be

electronically filed. See Form 8453.

Identity Protection

PIN

For 2018, if you received an Identity

Protection Personal Identification Number (IP PIN) from the IRS, enter it in the

IP PIN spaces provided next to the space

for your occupation. You must correctly

enter all six numbers of your IP PIN. If

you didn't receive an IP PIN, leave these

spaces blank.

PIN

but

misplaced

1-800-908-4490.

it,

call

Paid Preparer Must

Sign Your Return

Generally, anyone you pay to prepare

your return must sign it and include their

Preparer Tax Identification Number

(PTIN) in the space provided. The preparer must give you a copy of the return

for your records. Someone who prepares

your return but doesn't charge you

shouldn’t sign your return.

If your paid preparer is self-employed, then he or she should check the

“self-employed” checkbox.

If you want to allow your paid preparer to be able to discuss your return

with the IRS, check the “3rd Party Designee” checkbox.

If you check the “3rd Party Designee” box, you, and your spouse if filing

a joint return, are authorizing the IRS to

call the designee to answer any questions that may arise during the processing of your return. You also are authorizing the designee to:

• Give the IRS any information that

is missing from your return,

• Call the IRS for information about

the processing of your return or the status of your refund or payment(s),

• Receive copies of notices or transcripts related to your return, upon request, and

• Respond to certain IRS notices

about math errors, offsets, and return

preparation.

This authorization will automatically

end no later than the due date (not

counting extensions) for filing your

2019 tax return. This is April 15, 2020,

for most people.

New IP PINs are issued every

year. Enter the latest IP PIN

CAUTION you received. IP PINs for 2018

tax returns generally were sent in December 2018.

If you want someone other than

your paid preparer to be your

CAUTION third party designee, do not

check the box here. Instead, see Third

Party Designee in the Schedule 6 instructions.

If you are filing a joint return and

both taxpayers receive an IP PIN, enter

both IP PINs in the spaces provided.

Income

If you need more information, go to

IRS.gov/CP01A. If you received an IP

Generally, you must report all income

except income that is exempt from tax

!

-25-

!

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Line 1

by law. For details, see the following instructions and the Schedule 1 instructions, especially the instructions for lines

1 through 5 and Schedule 1, lines 10

through 21. Also see Pub. 525.

Foreign-Source Income

You must report unearned income, such

as interest, dividends, and pensions,

from sources outside the United States

unless exempt by law or a tax treaty.

You also must report earned income,

such as wages and tips, from sources

outside the United States.

If you worked abroad, you may be

able to exclude part or all of your foreign earned income. For details, see

Pub. 54 and Form 2555 or 2555-EZ.

Foreign retirement plans. If you were

a beneficiary of a foreign retirement

plan, you may have to report the undistributed income earned in your plan.

However, if you were the beneficiary of

a Canadian registered retirement plan,

see Rev. Proc. 2014-55, 2014-44 I.R.B.

IRS.gov/irb/

753,

available

at

2014-44_IRB#RP2014-55, to find out if

you can elect to defer tax on the undistributed income.

Report distributions from foreign

pension plans on lines 4a and 4b.

Foreign accounts and trusts. You

must complete Part III of Schedule B if

you:

• Had a foreign account, or

• Received a distribution from, or

were a grantor of, or a transferor to, a

foreign trust.

Foreign financial assets. If you had

foreign financial assets in 2018, you

may have to file Form 8938. See Form

8938 and its instructions.

Chapter 11 Bankruptcy

Cases

If you are a debtor in a chapter 11 bankruptcy case, income taxable to the bankruptcy estate and reported on the estate's

income tax return includes:

• Earnings from services you performed after the beginning of the case

(both wages and self-employment income), and

• Income from property described in

section 541 of title 11 of the U.S. Code

that you either owned when the case began or that you acquired after the case

began and before the case was closed,

dismissed, or converted to a case under a

different chapter.

Because this income is taxable to the

estate, don’t include this income on your

own individual income tax return. The

only exception is for purposes of figuring your self-employment tax. For that

purpose, you must take into account all

your self-employment income for the

year from services performed both before and after the beginning of the case.

Also, you (or the trustee, if one is appointed) must allocate between you and

the bankruptcy estate the wages, salary,

or other compensation and withheld income tax reported to you on Form W-2.

A similar allocation is required for income and withheld income tax reported

to you on Forms 1099. You also must

include a statement that indicates you

filed a chapter 11 case and that explains

how income and withheld income tax reported to you on Forms W-2 and 1099

are allocated between you and the estate.

For more details, including acceptable

allocation methods, see Notice 2006-83,

2006-40 I.R.B. 596, available at

IRS.gov/irb/

2006-40_IRB#NOT-2006-83.

Community Property States

Community property states include Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington,

and Wisconsin. If you and your spouse

lived in a community property state, you

usually must follow state law to determine what is community income and

what is separate income. For details, see

Form 8958 and Pub. 555.

Nevada, Washington, and California

domestic partners. A registered domestic partner in Nevada, Washington,

or California generally must report half

the combined community income of the

individual and his or her domestic partner. See Form 8958 and Pub. 555.

Rounding Off to Whole

Dollars

You can round off cents to whole dollars

on your return and schedules. If you do

round to whole dollars, you must round

all amounts. To round, drop amounts under 50 cents and increase amounts from

50 to 99 cents to the next dollar. For ex-

Need more information or forms? Visit IRS.gov.

-26-

ample, $1.39 becomes $1 and $2.50 becomes $3.

If you have to add two or more

amounts to figure the amount to enter on

a line, include cents when adding the

amounts and round off only the total.

Line 1

Wages, Salaries, Tips, etc.

Enter the total of your wages, salaries,

tips, etc. If a joint return, also include

your spouse's income. For most people,

the amount to enter on this line should

be shown in box 1 of their Form(s) W-2.

But the following types of income also

must be included in the total on line 1.

• All wages received as a household

employee. An employer isn’t required to

provide a Form W-2 to you if he or she

paid you wages of less then $2,100 in

2018. If you received wages as a household employee and you didn’t receive a

Form W-2 because an employer paid

you less than $2,100 in 2018, enter

“HSH” and the amount not reported to

you on a Form W-2 in the space to the

left of line 1. For information on employment taxes for household employees, see Tax Topic 756.

• Any Medicaid waiver payments

you received that you choose to include

in earned income for purposes of claiming a credit or other tax benefit, even if

you didn't receive a Form W-2 reporting

these payments. See the instructions for

Schedule 1, line 21.

• Tip income you didn't report to

your employer. This should include any

allocated tips shown in box 8 on your

Form(s) W-2 unless you can prove that

your unreported tips are less than the

amount in box 8. Allocated tips aren't included as income in box 1. See Pub. 531

for more details. Also include the value

of any noncash tips you received, such

as tickets, passes, or other items of value. Although you don’t report these noncash tips to your employer, you must report them on line 1.

You may owe social security

and Medicare or railroad reCAUTION tirement (RRTA) tax on unreported tips. See the instructions for

Schedule 4, line 58.

!

• Dependent care benefits, which

should be shown in box 10 of your

2018 Form 1040—Lines 1 Through 3a

Form(s) W-2. But first complete Form

2441 to see if you can exclude part or all

of the benefits.

• Employer-provided adoption benefits, which should be shown in box 12 of

your Form(s) W-2 with code T. But see

the Instructions for Form 8839 to find

out if you can exclude part or all of the

benefits. You also may be able to exclude amounts if you adopted a child

with special needs and the adoption became final in 2018.

• Scholarship and fellowship grants

not reported on Form W-2. Also, enter

“SCH” and the amount on the dotted

line next to line 1. However, if you were

a degree candidate, include on line 1 only the amounts you used for expenses

other than tuition and course-related expenses. For example, amounts used for

room, board, and travel must be reported

on line 1.

• Excess elective deferrals. The

amount deferred should be shown in

box 12 of your Form W-2, and the “Retirement plan” box in box 13 should be

checked. If the total amount you (or

your spouse if filing jointly) deferred for

2018 under all plans was more than

$18,500 (excluding catch-up contributions as explained later), include the excess on line 1. This limit is (a) $12,500

if you have only SIMPLE plans, or (b)

$21,500 for section 403(b) plans if you

qualify for the 15-year rule in Pub. 571.

Although designated Roth contributions

are subject to this limit, don’t include

the excess attributable to such contributions on line 1. They already are included as income in box 1 of your Form

W-2.

A higher limit may apply to participants in section 457(b) deferred compensation plans for the 3 years before retirement age. Contact your plan administrator for more information.

If you were age 50 or older at the end

of 2018, your employer may have allowed an additional deferral (catch-up

contributions) of up to $6,000 ($3,000

for section 401(k)(11) and SIMPLE

plans). This additional deferral amount

isn't subject to the overall limit on elective deferrals.

You can't deduct the amount

deferred. It isn't included as inCAUTION come in box 1 of your Form

W-2.

!

• Disability pensions shown on

Form 1099-R if you haven’t reached the

minimum retirement age set by your employer. But see Insurance Premiums for

Retired Public Safety Officers in the instructions for lines 4a and 4b. Disability

pensions received after you reach minimum retirement age and other payments

shown on Form 1099-R (other than payments from an IRA*) are reported on

lines 4a and 4b. Payments from an IRA

are also reported on lines 4a and 4b.

• Corrective distributions from a retirement plan shown on Form 1099-R of

excess elective deferrals and excess contributions (plus earnings). But don’t include distributions from an IRA* on

line 1. Instead, report distributions from

an IRA on lines 4a and 4b.

• Wages from Form 8919, line 6.

*This includes a Roth, SEP, or SIMPLE IRA.

Were You a Statutory Employee?

If you were, the “Statutory employee”

box in box 13 of your Form W-2 should

be checked. Statutory employees include

full-time life insurance salespeople and

certain agent or commission drivers,

traveling salespeople, and homeworkers.

If you have related business expenses to

deduct, report the amount shown in

box 1 of your Form W-2 on Schedule C

or C-EZ along with your expenses.

Missing or Incorrect Form W-2?

Your employer is required to provide or

send Form W-2 to you no later than

January 31, 2019. If you don’t receive it

by early February, use Tax Topic 154 to

find out what to do. Even if you don’t

get a Form W-2, you still must report

your earnings on line 1. If you lose your

Form W-2 or it is incorrect, ask your

employer for a new one.

Line 2a

Tax-Exempt Interest

If you received any tax-exempt interest

(including any tax-exempt original issue

discount (OID)), such as from municipal

bonds, each payer should send you a

Form 1099-INT or a Form 1099-OID. In

general, your tax-exempt stated interest

should be shown in box 8 of Form

1099-INT or, for a tax-exempt OID

-27-

bond, in box 2 of Form 1099-OID and

your tax-exempt OID should be shown

in box 11 of Form 1099-OID. Enter the

total on line 2a. However, if you acquired a tax-exempt bond at a premium,

only report the net amount of tax-exempt interest on line 2a (that is, the excess of the tax-exempt interest received

during the year over the amortized bond

premium for the year). Also, if you acquired a tax-exempt OID bond at an acquisition premium, only report the net

amount of tax-exempt OID on line 2a

(that is, the excess of tax-exempt OID

for the year over the amortized acquisition premium for the year). See Pub. 550

for more information about OID, bond

premium, and acquisition premium.

Also include on line 2a any exempt-interest dividends from a mutual

fund or other regulated investment company. This amount should be shown in

box 10 of Form 1099-DIV.

Don’t include interest earned on your

IRA, health savings account, Archer or

Medicare Advantage MSA, or Coverdell

education savings account.

Line 2b

Taxable Interest

Each payer should send you a Form

1099-INT or Form 1099-OID. Enter

your total taxable interest income on

line 2b. But you must fill in and attach

Schedule B if the total is over $1,500 or

any of the other conditions listed at the

beginning of the Schedule B instructions

apply to you.

For more details about reporting taxable interest, including market discount

on bonds and adjustments for amortizable bond premium or acquisition premium, see Pub. 550.

Interest credited in 2018 on deposits

that you couldn't withdraw because of

the bankruptcy or insolvency of the financial institution may not have to be

included in your 2018 income. For details, see Pub. 550.

If you get a 2018 Form

TIP 1099-INT for U.S. savings bond

interest that includes amounts

you reported before 2018, see Pub. 550.

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Lines 3a through 4b

Line 3a

Qualified Dividends

Enter your total qualified dividends on

line 3a. Qualified dividends also are included in the ordinary dividend total required to be shown on line 3b. Qualified

dividends are eligible for a lower tax

rate than other ordinary income. Generally, these dividends are shown in

box 1b of Form(s) 1099-DIV. See Pub.

550 for the definition of qualified dividends if you received dividends not reported on Form 1099-DIV.

Exception. Some dividends may be reported as qualified dividends in box 1b

of Form 1099-DIV but aren't qualified

dividends. These include:

• Dividends you received as a nominee. See the Schedule B instructions.

• Dividends you received on any

share of stock that you held for less than

61 days during the 121-day period that

began 60 days before the ex-dividend

date. The ex-dividend date is the first

date following the declaration of a dividend on which the purchaser of a stock

isn't entitled to receive the next dividend

payment. When counting the number of

days you held the stock, include the day

you disposed of the stock but not the day

you acquired it. See the examples that

follow. Also, when counting the number

of days you held the stock, you can't

count certain days during which your

risk of loss was diminished. See Pub.

550 for more details.

• Dividends attributable to periods

totaling more than 366 days that you received on any share of preferred stock

held for less than 91 days during the

181-day period that began 90 days before the ex-dividend date. When counting the number of days you held the

stock, you can't count certain days during which your risk of loss was diminished. See Pub. 550 for more details.

Preferred dividends attributable to periods totaling less than 367 days are subject to the 61-day holding period rule

just described.

• Dividends on any share of stock to

the extent that you are under an obligation (including a short sale) to make related payments with respect to positions

in substantially similar or related property.

• Payments in lieu of dividends, but

only if you know or have reason to

know that the payments aren't qualified

dividends.

• Dividends from a corporation

which first became a surrogate foreign

corporation after December 22, 2017,

other than a foreign corporation which is

treated as a domestic corporation under

section 7874(b).

Example 1. You bought 5,000 shares

of XYZ Corp. common stock on July 8,

2018. XYZ Corp. paid a cash dividend

of 10 cents per share. The ex-dividend

date was July 16, 2018. Your Form

1099-DIV from XYZ Corp. shows $500

in box 1a (ordinary dividends) and in

box 1b (qualified dividends). However,

you sold the 5,000 shares on August 11,

2018. You held your shares of XYZ

Corp. for only 34 days of the 121-day

period (from July 9, 2018, through August 11, 2018). The 121-day period began on May 17, 2018 (60 days before

the ex-dividend date), and ended on

September 14, 2018. You have no qualified dividends from XYZ Corp. because

you held the XYZ stock for less than 61

days.

Example 2. The facts are the same as

in Example 1 except that you bought the

stock on July 15, 2018 (the day before

the ex-dividend date), and you sold the

stock on September 16, 2018. You held

the stock for 63 days (from July 16,

2018, through September 16, 2018). The

$500 of qualified dividends shown in

box 1b of Form 1099-DIV are all qualified dividends because you held the

stock for 61 days of the 121-day period

(from July 16, 2018, through September

14, 2018).

Example 3. You bought 10,000

shares of ABC Mutual Fund common

stock on July 8, 2018. ABC Mutual

Fund paid a cash dividend of 10 cents a

share. The ex-dividend date was July 16,

2018. The ABC Mutual Fund advises

you that the part of the dividend eligible

to be treated as qualified dividends

equals 2 cents a share. Your Form

1099-DIV from ABC Mutual Fund

shows total ordinary dividends of $1,000

and qualified dividends of $200. However, you sold the 10,000 shares on August 11, 2018. You have no qualified

dividends from ABC Mutual Fund be-

Need more information or forms? Visit IRS.gov.

-28-

cause you held the ABC Mutual Fund

stock for less than 61 days.

Use the Qualified Dividends

TIP and Capital Gain Tax Worksheet or the Schedule D Tax

Worksheet, whichever applies, to figure

your tax. See the instructions for

line 11a for details.

Line 3b

Ordinary Dividends

Each payer should send you a Form

1099-DIV. Enter your total ordinary dividends on line 3b. This amount should

be shown in box 1a of Form(s)

1099-DIV.

You must fill in and attach Schedule B if the total is over $1,500 or you

received, as a nominee, ordinary dividends that actually belong to someone

else.

Nondividend Distributions

Some distributions are a return of your

cost (or other basis). They won't be

taxed until you recover your cost (or

other basis). You must reduce your cost

(or other basis) by these distributions.

After you get back all of your cost (or

other basis), you must report these distributions as capital gains on Form 8949.

For details, see Pub. 550.

Dividends on insurance poli-

TIP cies are a partial return of the

premiums you paid. Don’t report them as dividends. Include them in

income on Schedule 1, line 21, only if

they exceed the total of all net premiums

you paid for the contract.

Lines 4a and 4b

IRAs, Pensions, and

Annuities

If you have IRA distributions

TIP and/or pension and annuity

payments, unlike in prior years

when you entered these amounts on different lines, this year they will be combined and reported on the same line.

2018 Form 1040—Lines 3a Through 4b

IRA Distributions

Special rules may apply if you

TIP received a distribution from

your IRA and your main home

was in one of the federally declared disaster areas eligible for these special

rules at any time during the incident period. Special rules may also apply if you

received a distribution to buy or construct a main home in one of the federally declared disaster areas eligible for

these special rules, but that home wasn't

bought or constructed because of the

disaster. See Pub. 590-B for details.

You should receive a Form 1099-R

showing the total amount of any distribution from your IRA before income tax

or other deductions were withheld. This

amount should be shown in box 1 of

Form 1099-R. Unless otherwise noted in

the line 4a and 4b instructions, an IRA

includes a traditional IRA, Roth IRA

(including a myRA), simplified employee pension (SEP) IRA, and a savings incentive match plan for employees (SIMPLE) IRA. Except as provided next,

leave line 4a blank and enter the total

distribution (from Form 1099-R, box 1)

on line 4b.

Exception 1. Enter the total distribution

on line 4a if you rolled over part or all of

the distribution from one:

• Roth IRA to another Roth IRA, or

• IRA (other than a Roth IRA) to a

qualified plan or another IRA (other

than a Roth IRA).

Also, enter “Rollover” next to

line 4b. If the total distribution was rolled over, enter -0- on line 4b. If the total

distribution wasn't rolled over, enter the

part not rolled over on line 4b unless Exception 2 applies to the part not rolled

over. Generally, a rollover must be made

within 60 days after the day you received the distribution. For more details

on rollovers, see Pub. 590-A and Pub.

590-B.

If you rolled over the distribution into

a qualified plan or you made the rollover

in 2019, include a statement explaining

what you did.

Exception 2. If any of the following apply, enter the total distribution on line 4a

and see Form 8606 and its instructions

to figure the amount to enter on line 4b.

1. You received a distribution from

an IRA (other than a Roth IRA) and you

made nondeductible contributions to any

of your traditional or SEP IRAs for 2018

or an earlier year. If you made nondeductible contributions to these IRAs for

2018, also see Pub. 590-A and Pub.

590-B.

2. You received a distribution from

a Roth IRA. But if either (a) or (b) below applies, enter -0- on line 4b; you

don’t have to see Form 8606 or its instructions.

a. Distribution code T is shown in

box 7 of Form 1099-R and you made a

contribution (including a conversion) to

a Roth IRA for 2013 or an earlier year.

b. Distribution code Q is shown in

box 7 of Form 1099-R.

3. You converted part or all of a traditional, SEP, or SIMPLE IRA to a Roth

IRA in 2018.

4. You had a 2017 or 2018 IRA contribution returned to you, with the related earnings or less any loss, by the due

date (including extensions) of your tax

return for that year.

5. You made excess contributions to

your IRA for an earlier year and had

them returned to you in 2018.

6. You recharacterized part or all of

a contribution to a Roth IRA as a contribution to another type of IRA, or vice

versa.

Exception 3. If all or part of the distribution is a qualified charitable distribution (QCD), enter the total distribution

on line 4a. If the total amount distributed

is a QCD, enter -0- on line 4b. If only

part of the distribution is a QCD, enter

the part that is not a QCD on line 4b unless Exception 2 applies to that part. Enter “QCD” next to line 4b.

A QCD is a distribution made directly by the trustee of your IRA (other than

an ongoing SEP or SIMPLE IRA) to an

organization eligible to receive tax-deductible contributions (with certain exceptions). You must have been at least

age 701/2 when the distribution was

made.

Generally, your total QCDs for the

year can't be more than $100,000. (On a

joint return, your spouse also can have a

QCD of up to $100,000.) The amount of

the QCD is limited to the amount that

-29-

would otherwise be included in your income. If your IRA includes nondeductible contributions, the distribution is first

considered to be paid out of otherwise

taxable income. See Pub. 590-A for details.

You can't claim a charitable

contribution deduction for any

CAUTION QCD not included in your income.

!

Exception 4. If all or part of the distribution is a health savings account (HSA)

funding distribution (HFD), enter the total distribution on line 4a. If the total

amount distributed is an HFD and you

elect to exclude it from income, enter -0on line 4b. If only part of the distribution is an HFD and you elect to exclude

that part from income, enter the part that

isn't an HFD on line 4b unless Exception

2 applies to that part. Enter “HFD” next

to line 4b.

An HFD is a distribution made directly by the trustee of your IRA (other

than an ongoing SEP or SIMPLE IRA)

to your HSA. If eligible, you generally

can elect to exclude an HFD from your

income once in your lifetime. You can't

exclude more than the limit on HSA

contributions or more than the amount

that would otherwise be included in your

income. If your IRA includes nondeductible contributions, the HFD is first considered to be paid out of otherwise taxable income. See Pub. 969 for details.

The amount of an HFD reduces

the amount you can contribute

CAUTION to your HSA for the year. If you

fail to maintain eligibility for an HSA

for the 12 months following the month of

the HFD, you may have to report the

HFD as income and pay an additional

tax. See Form 8889, Part III.

!

More than one exception applies. If

more than one exception applies, include

a statement showing the amount of each

exception, instead of making an entry

next to line 4b. For example: “Line 4b –

$1,000 Rollover and $500 HFD.” But

you do not need to attach a statement if

only Exception 2 and one other exception apply.

More than one distribution. If you (or

your spouse if filing jointly) received

more than one distribution, figure the

taxable amount of each distribution and

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Lines 4a and 4b

enter the total of the taxable amounts on

line 4b. Enter the total amount of those

distributions on line 4a.

You may have to pay an additional tax if (a) you received an

CAUTION early distribution from your

IRA and the total wasn't rolled over, or

(b) you were born before July 1, 1947,

and received less than the minimum required distribution from your traditional, SEP, and SIMPLE IRAs. See the instructions for Schedule 4, line 59, for

details.

!

More information. For more information about IRAs, see Pub. 590-A and

Pub. 590-B.

Pensions and Annuities

Special rules may apply if you

TIP received a distribution from a

profit-sharing plan or retirement plan and your main home was in

one of the federally declared disaster

areas eligible for these special rules at

any time during the incident period.

Special rules may also apply if you received a distribution on certain dates to

buy or construct a main home in one of

the federally declared disaster areas eligible for these special rules, but that

home wasn't bought or constructed because of the disaster. See Pub. 575 for

details.

You should receive a Form 1099-R

showing the total amount of your pension and annuity payments before income tax or other deductions were withheld. This amount should be shown in

box 1 of Form 1099-R. Pension and annuity payments include distributions

from 401(k), 403(b), and governmental

457(b) plans. Rollovers and lump-sum

distributions are explained later. Don’t

include the following payments on lines

4a and 4b. Instead, report them on

line 1.

• Disability pensions received before

you reach the minimum retirement age

set by your employer.

• Corrective distributions (including

any earnings) of excess elective deferrals or other excess contributions to retirement plans. The plan must advise

you of the year(s) the distributions are

includible in income.

Attach

Form(s)

1099-R

to

TIP Form 1040 if any federal income tax was withheld.

Fully Taxable Pensions and

Annuities

Your payments are fully taxable if (a)

you didn't contribute to the cost (see

Cost, later) of your pension or annuity,

or (b) you got your entire cost back tax

free before 2018. But see Insurance Premiums for Retired Public Safety Officers, later. If your pension or annuity is

fully taxable, enter the total pension or

annuity payments (from Form(s)

1099-R, box 1) on line 4b; don’t make

an entry on line 4a.

Fully taxable pensions and annuities

also include military retirement pay

shown on Form 1099-R. For details on

military disability pensions, see Pub.

525. If you received a Form

RRB-1099-R, see Pub. 575 to find out

how to report your benefits.

Partially Taxable Pensions and

Annuities

Enter the total pension or annuity payments (from Form 1099-R, box 1) on

line 4a. If your Form 1099-R doesn't

show the taxable amount, you must use

the General Rule explained in Pub. 939

to figure the taxable part to enter on

line 4b. But if your annuity starting date

(defined later) was after July 1, 1986,

see Simplified Method, later, to find out

if you must use that method to figure the

taxable part.

You can ask the IRS to figure the taxable part for you for a $1,000 fee. For

details, see Pub. 939.

If your Form 1099-R shows a taxable

amount, you can report that amount on

line 4b. But you may be able to report a

lower taxable amount by using the General Rule or the Simplified Method or if

the exclusion for retired public safety officers, discussed next, applies.

Insurance Premiums for Retired

Public Safety Officers

If you are an eligible retired public safety officer (law enforcement officer, firefighter, chaplain, or member of a rescue

squad or ambulance crew), you can elect

to exclude from income distributions

Need more information or forms? Visit IRS.gov.

-30-

made from your eligible retirement plan

that are used to pay the premiums for

coverage by an accident or health plan

or a long-term care insurance contract.

You can do this only if you retired because of disability or because you

reached normal retirement age. The premiums can be for coverage for you, your

spouse, or dependents. The distribution

must be from a plan maintained by the

employer from which you retired as a

public safety officer. Also, the distribution must be made directly from the plan

to the provider of the accident or health

plan or long-term care insurance contract. You can exclude from income the

smaller of the amount of the premiums

or $3,000. You can make this election

only for amounts that would otherwise

be included in your income.

An eligible retirement plan is a governmental plan that is a qualified trust or

a section 403(a), 403(b), or 457(b) plan.

If you make this election, reduce the

otherwise taxable amount of your pension or annuity by the amount excluded.

The amount shown in box 2a of Form

1099-R doesn't reflect the exclusion. Report your total distributions on line 4a

and the taxable amount on line 4b. Enter

“PSO” next to line 4b.

If you are retired on disability and reporting your disability pension on line 1,

include only the taxable amount on that

line and enter “PSO” and the amount excluded on the dotted line next to line 1.

Simplified Method

You must use the Simplified Method if

either of the following applies.

1. Your annuity starting date was after July 1, 1986, and you used this method last year to figure the taxable part.

2. Your annuity starting date was after November 18, 1996, and both of the

following apply.

a. The payments are from a qualified employee plan, a qualified employee annuity, or a tax-sheltered annuity.

b. On your annuity starting date, either you were under age 75 or the number of years of guaranteed payments was

fewer than 5. See Pub. 575 for the definition of guaranteed payments.

If you must use the Simplified Method, complete the Simplified Method

2018 Form 1040—Lines 4a and 4b

Keep for Your Records

Simplified Method Worksheet—Lines 4a and 4b

Before you begin:

If you are the beneficiary of a deceased employee or former employee who died before August 21, 1996, include

any death benefit exclusion that you are entitled to (up to $5,000) in the amount entered on line 2 below.

More than one pension or annuity. If you had more than one partially taxable pension or annuity, figure the taxable part of each separately. Enter

the total of the taxable parts on Form 1040, line 4b. Enter the total pension or annuity payments received in 2018 on Form 1040, line 4a.

1. Enter the total pension or annuity payments from Form 1099-R, box 1. Also, enter this amount on Form 1040,

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

line 4a

. .

1.

. . . . . .

8.

9. Taxable amount. Subtract line 8 from line 1. Enter the result, but not less than zero. Also, enter this amount on Form

1040, line 4b. If your Form 1099-R shows a larger amount, use the amount on this line instead of the amount from

Form 1099-R. If you are a retired public safety officer, see Insurance Premiums for Retired Public Safety Officers

before entering an amount on line 4b . . . . . . . . . . . . . . . . . . . . . . . . . .

9.

2. Enter your cost in the plan at the annuity starting date . . . . . . . . . . . . . 2.

Note. If you completed this worksheet last year, skip line 3 and enter the amount from line 4

of last year’s worksheet on line 4 below (even if the amount of your pension or annuity has

changed). Otherwise, go to line 3.

3. Enter the appropriate number from Table 1 below. But if your annuity starting date was after

1997 and the payments are for your life and that of your beneficiary, enter the appropriate

number from Table 2 below . . . . . . . . . . . . . . . . . . . . . 3.

4. Divide line 2 by the number on line 3 . . . . . . . . . . . . . . . . . . 4.

5. Multiply line 4 by the number of months for which this year’s payments were made. If your

annuity starting date was before 1987, skip lines 6 and 7 and enter this amount on line 8.

Otherwise, go to line 6 . . . . . . . . . . . . . . . . . . . . . . . 5.

6. Enter the amount, if any, recovered tax free in years after 1986. If you completed this

worksheet last year, enter the amount from line 10 of last year’s worksheet . . . . . . 6.

7. Subtract line 6 from line 2 . . . . . . . . . . . . . . . . . . . . . . 7.

8. Enter the smaller of line 5 or line 7 . . . . . . . . . . . . . . . . . . . . .

10. Was your annuity starting date before 1987?

Yes.

STOP

No.

Add lines 6 and 8. This is the amount you have recovered tax free through 2018. You will need this

number if you need to fill out this worksheet next year . . . . . . . . . . . . . . .

. . 10.

11. Balance of cost to be recovered. Subtract line 10 from line 2. If zero, you won’t have to complete this

worksheet next year. The payments you receive next year will generally be fully taxable . . . . . .

. . 11.

Do not complete the rest of this worksheet.

Table 1 for Line 3 Above

IF the age at annuity starting

date was . . .

55 or under

56–60

61–65

66–70

71 or older

AND your annuity starting date was—

before November 19, 1996,

after November 18, 1996,

enter on line 3 . . .

enter on line 3 . . .

300

360

260

310

240

260

170

210

120

160

Table 2 for Line 3 Above

IF the combined ages at annuity

starting date were . . .

110 or under

111–120

121–130

131–140

141 or older

THEN enter on line 3 . . .

410

360

310

260

210

-31-

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Lines 4b Through 8

Worksheet in these instructions to figure

the taxable part of your pension or annuity. For more details on the Simplified

Method, see Pub. 575 (or Pub. 721 for

U.S. Civil Service retirement benefits).

If you received U.S. Civil Service retirement benefits and you

CAUTION chose the alternative annuity

option, see Pub. 721 to figure the taxable part of your annuity. Do not use the

Simplified Method Worksheet in these

instructions.

!

Annuity Starting Date

Your annuity starting date is the later of

the first day of the first period for which

you received a payment or the date the

plan's obligations became fixed.

Age (or Combined Ages) at

Annuity Starting Date

If you are the retiree, use your age on

the annuity starting date. If you are the

survivor of a retiree, use the retiree's age

on his or her annuity starting date. But if

your annuity starting date was after 1997

and the payments are for your life and

that of your beneficiary, use your combined ages on the annuity starting date.

If you are the beneficiary of an employee who died, see Pub. 575. If there

is more than one beneficiary, see Pub.

575 or Pub. 721 to figure each beneficiary's taxable amount.

Cost

Your cost is generally your net investment in the plan as of the annuity starting date. It doesn't include pre-tax contributions. Your net investment may be

shown in box 9b of Form 1099-R.

Rollovers

Generally, a rollover is a tax-free distribution of cash or other assets from one

retirement plan that is contributed to another plan within 60 days of receiving

the distribution. However, a rollover to a

Roth IRA or a designated Roth account

is generally not a tax-free distribution.

Use lines 4a and 4b to report a rollover,

including a direct rollover, from one

qualified employer's plan to another or

to an IRA or SEP.

Enter on line 4a the distribution from

Form 1099-R, box 1. From this amount,

subtract any contributions (usually

shown in box 5) that were taxable to you

when made. From that result, subtract

the amount of the rollover. Enter the remaining amount on line 4b. If the remaining amount is zero and you have no

other distribution to report on line 4b,

enter -0- on line 4b. Also, enter "Rollover" next to line 4b.

See Pub. 575 for more details on rollovers, including special rules that apply

to rollovers from designated Roth accounts, partial rollovers of property, and

distributions under qualified domestic

relations orders.

Lump-Sum Distributions

If you received a lump-sum distribution

from a profit-sharing or retirement plan,

your Form 1099-R should have the "Total distribution" box in box 2b checked.

You may owe an additional tax if you

received an early distribution from a

qualified retirement plan and the total

amount wasn't rolled over. For details,

see the instructions for Schedule 4,

line 59.

Enter the total distribution on line 4a

and the taxable part on line 4b. For details, see Pub. 575.

If you or the plan participant

TIP was born before January 2,

1936, you could pay less tax on

the distribution. See Form 4972.

Lines 5a and 5b

Social Security Benefits

You should receive a Form SSA-1099

showing in box 3 the total social security benefits paid to you. Box 4 will show

the amount of any benefits you repaid in

2018. If you received railroad retirement

benefits treated as social security, you

should receive a Form RRB-1099.

Use the Social Security Benefits

Worksheet in these instructions to see if

any of your benefits are taxable.

Exception. Do not use the Social Security Benefits Worksheet in these instructions if any of the following applies.

• You made contributions to a traditional IRA for 2018 and you or your

spouse were covered by a retirement

plan at work or through self-employ-

Need more information or forms? Visit IRS.gov.

-32-

ment. Instead, use the worksheets in

Pub. 590-A to see if any of your social

security benefits are taxable and to figure your IRA deduction.

• You repaid any benefits in 2018

and your total repayments (box 4) were

more than your total benefits for 2018

(box 3). None of your benefits are taxable for 2018. Also, if your total repayments in 2018 exceed your total benefits

received in 2018 by more than $3,000,

you may be able to take an itemized deduction or a credit for part of the excess

repayments if they were for benefits you

included in income in an earlier year.

For more details, see Pub. 915.

• You file Form 2555, 2555-EZ,

4563, or 8815, or you exclude employer-provided adoption benefits or income

from sources within Puerto Rico. Instead, use the worksheet in Pub. 915.

Benefits for earlier year re-

TIP ceived in 2018? If any of your

benefits are taxable for 2018

and they include a lump-sum benefit

payment that was for an earlier year,

you may be able to reduce the taxable

amount. See Lump-Sum Election in

Pub. 915 for details.

Social security information. Social security beneficiaries can now get a variety of information from the SSA website

with a my Social Security account, including getting a replacement Form

SSA-1099 if needed. For more information and to set up an account, go to

SSA.gov/myaccount.

Form RRB-1099. If you need a replacement Form RRB-1099, call the

Railroad

Retirement

Board

at

1-877-772-5772 or go to www.rrb.gov.

See the instructions for Sched-

TIP ule 1, lines 21 through 36, for

information on additional items

of income and adjustments to income.

2018 Form 1040—Lines 5a and 5b

Social Security Benefits Worksheet—Lines 5a and 5b

Before you begin:

1.

2.

3.

4.

5.

6.

7.

Keep for Your Records

Figure any write-in adjustments to be entered on the dotted line next to Schedule 1, line 36 (see the

instructions for Schedule 1, line 36).

If you are married filing separately and you lived apart from your spouse for all of 2018, enter “D” to

the right of the word “benefits” on line 5a. If you don’t, you may get a math error notice from the IRS.

Be sure you have read the Exception in the line 5a and 5b instructions to see if you can use this

worksheet instead of a publication to find out if any of your benefits are taxable.

Enter the total amount from box 5 of all your Forms SSA-1099 and

Forms RRB-1099. Also, enter this amount on Form 1040, line 5a . . . . . 1.

Multiply line 1 by 50% (0.50) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Combine the amounts from Form 1040, lines 1, 2b, 3b, 4b, and Schedule 1, line 22 . . . . . . . . . . .

Enter the amount, if any, from Form 1040, line 2a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Combine lines 2, 3, and 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Enter the total of the amounts from Schedule 1, lines 23 through 32, plus any write-in

adjustments you entered on the dotted line next to Schedule 1, line 36 other than any amounts

identified as “DPAD” . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Is the amount on line 6 less than the amount on line 5?

No.

None of your social security benefits are taxable. Enter -0- on Form 1040,

STOP

line 5b.

Yes. Subtract line 6 from line 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

If you are:

• Married filing jointly, enter $32,000

• Single, head of household, qualifying widow(er), or married filing

separately and you lived apart from your spouse for all of 2018,

enter $25,000

...............

Married

filing

separately

and

you

lived

with

your

spouse

at

any

time

•

in 2018, skip lines 8 through 15; multiply line 7 by 85% (0.85) and

enter the result on line 16. Then, go to line 17

Is the amount on line 8 less than the amount on line 7?

No.

None of your social security benefits are taxable. Enter -0- on Form 1040,

STOP

line 5b. If you are married filing separately and you lived apart from your

spouse for all of 2018, be sure you entered “D” to the right of the word

“benefits” on line 5a.

Yes. Subtract line 8 from line 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.

3.

4.

5.

6.

7.

8.

9.

Enter: $12,000 if married filing jointly; $9,000 if single, head of household, qualifying

widow(er), or married filing separately and you lived apart from your spouse for all

of 2018 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.

Subtract line 10 from line 9. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.

Enter the smaller of line 9 or line 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12.

Enter one-half of line 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13.

Enter the smaller of line 2 or line 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.

Multiply line 11 by 85% (0.85). If line 11 is zero, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15.

Add lines 14 and 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16.

Multiply line 1 by 85% (0.85) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17.

Taxable social security benefits. Enter the smaller of line 16 or line 17. Also enter this amount

on Form 1040, line 5b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.

TIP

If any of your benefits are taxable for 2018 and they include a lump-sum benefit payment that was for an earlier

year, you may be able to reduce the taxable amount. See Lump-Sum Election in Pub. 915 for details.

-33-

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Lines 5a and 5b

Total Income and

Adjusted Gross

Income

Line 6

Total Income

Report any additional income on Schedule 1, lines 1 through 21. Enter the

amount from Schedule 1, line 22, in the

appropriate entry space. Add the amount

from Schedule 1, line 22, to the total of

any amounts from lines 1, 2b, 3b, 4b,

and 5b, and enter that amount on this

line.

Line 7

Adjusted Gross Income

If you have no adjustments to income,

enter the amount from line 6 on this line;

otherwise, complete Schedule 1 and subtract the amount on Schedule 1, line 36,

from Form 1040, line 6, and enter that

amount on this line.

Tax and Credits

Line 8

Itemized Deductions or

Standard Deduction

In most cases, your federal income tax

will be less if you take the larger of your

itemized deductions or standard deduction.

Itemized Deductions

To figure your itemized deductions, fill

in Schedule A.

Standard Deduction

Most people can find their standard deduction by looking at the amounts listed

to the left of line 8.

Exception

1—Dependent. If

you

checked the “Someone can claim you as

a dependent” box, or if you’re filing

jointly and you checked the “Someone

can claim your spouse as a dependent”

box, use the Standard Deduction Work-

sheet for Dependents to figure your

standard deduction.

Someone claims you or your

TIP spouse as a dependent if they

list your or your spouse's name

and SSN in the Dependents section of

their return.

Exception 2—Born before January 2,

1954, or blind. If you checked any of

the following boxes, figure your standard deduction using the Standard Deduction Chart for People Who Were Born

Before January 2, 1954, or Were Blind.

• You were born before January 2,

1954.

• You are blind.

• Spouse was born before January 2,

1954.

• Spouse is blind.

Exception 3—Separate return or dual-status alien. If you checked the box

labeled “Spouse itemizes on separate return or you were dual-status alien” on

the Spouse standard deduction line, your

standard deduction is zero, even if you

were born before January 2, 1954, or

were blind.

Exception 4—Increased standard deduction for net qualified disaster loss.

If you had a net qualified disaster loss

and you elect to increase your standard

deduction by the amount of your net

qualified disaster loss, use Schedule A

to figure your standard deduction. Qualified disaster loss refers to losses arising

from certain disasters occurring in 2016,

2017, or 2018. See the Instructions for

Form 4684 and Schedule A, line 16, for

more information.

Line 9

Qualified Business Income

Deduction (Section 199A

Deduction)

Generally, you are allowed a deduction

up to 20% of your net qualified business

income plus 20% of qualified real estate

investment trust (REIT) dividends and

publicly traded partnership (PTP) income.

Use the 2018 Qualified Business Income Deduction—Simplified Worksheet, later, to figure your qualified business income deduction if:

Need more information or forms? Visit IRS.gov.

-34-

• You have qualified business income, REIT dividends, or PTP income

(all defined later),

• Your 2018 taxable income before

the qualified business income deduction

is less than or equal to $157,500

($315,000 if married filing jointly), and

• You aren’t a patron in a specified

agricultural or horticultural cooperative.

If you don’t meet these requirements,

use the worksheet in Pub. 535 instead.

Determining Your Qualified

Trades or Businesses

Your qualified trades and businesses include your trades or businesses for

which you are allowed a deduction for

ordinary and necessary business expenses, except for trades or businesses conducted through a C corporation, wages

earned as an employee, and for taxpayers with taxable income, before the

qualified business income deduction,

above the threshold, specified service

trades or businesses.

For more information on what qualifies as a trade or business, see Determining your qualified trades or businesses

in Pub. 535.

For more information on whether you

are an employee or an independent contractor, see Pub. 15-A and Pub. 1779.

Specified Service Trade or

Business Excluded From Your

Qualified Trades or Businesses

Specified services trades or businesses

are generally excluded from the definition of qualified trade or business. A

specified service trade or business is any

trade or business providing services in

the fields of health, law, accounting, actuarial science, performing arts, consulting, athletics, financial services, brokerage services, or any other trade or business where the taxpayer receives fees,

compensation, or other income for endorsing products or services, for the use

of the taxpayer’s image, likeness, name,

signature, voice, trademark, or any other

symbols associated with the taxpayer’s

identity, or for appearing at an event or

on radio, television, or another media

format. In addition, the trades or businesses of investing and investment management, trading or dealing in securities,

2018 Form 1040—Line 8

Standard Deduction Worksheet for Dependents—Line 8

Keep for Your Records

Use this worksheet only if someone can claim you, or your spouse if filing jointly, as a dependent.

1.

Check if:

You were born before January 2, 1954

You are blind

Total number of boxes

1.

checked . . . . . . . . . . . . . . . . . .

Spouse was born before January 2, 1954

Spouse is blind

Is your earned income* more than $700?

2.

Yes. Add $350 to your earned income. Enter the total

. . . . . . . . . . . . . . . . . . . . . . . . . . 2.

No. Enter $1,050

3.

Enter the amount shown below for your filing status.

• Single or married filing separately—$12,000

. . . . . . . . . . . . . . . . . . . . . . . . . . 3.

• Married filing jointly—$24,000

• Head of household—$18,000

4.

Standard deduction.

a. Enter the smaller of line 2 or line 3. If born after January 1, 1954, and not blind, stop here and enter this

amount on Form 1040, line 8. Otherwise, go to line 4b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4a.

b. If born before January 2, 1954, or blind, multiply the number on line 1 by $1,300 ($1,600 if single or head of

household) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4b.

c. Add lines 4a and 4b. Enter the total here and on Form 1040, line 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4c.

* Earned income includes wages, salaries, tips, professional fees, and other compensation received for personal services you performed. It also includes any

taxable scholarship or fellowship grant. Generally, your earned income is the total of the amount(s) you reported on Form 1040, line 1, and Schedule 1, lines

12 and 18, minus the amount, if any, on Schedule 1, line 27.

Standard Deduction Chart for People Who Were Born Before January 2, 1954, or Were Blind

Don’t use this chart if someone can claim you, or your spouse if filing jointly, as a dependent. Instead, use the worksheet above.

You were born before January 2, 1954

You are blind

Spouse was born before January 2, 1954

Spouse is blind

Enter the total number of boxes checked . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

IF your filing

status is . . .

AND the number in

the box above is . . .

▶

THEN your standard

deduction is . . .

Single

1

2

$13,600

15,200

Married filing jointly

1

2

3

4

$25,300

26,600

27,900

29,200

Qualifying widow(er)

1

2

$25,300

26,600

Married filing separately

1

2

3

4

$13,300

14,600

15,900

17,200

Head of household

1

2

$19,600

21,200

-35-

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Lines 9 and 10

partnership interests, or commodities are

specified trades or businesses.

Exceptions: If your taxable income

before the qualified business income deduction is less than or equal to $157,500

($315,000 if married filing jointly), your

specified service trade or business is

treated as a qualified trade or business.

If your taxable income before the

qualified business interest deduction is

more than $157,500 but not $207,500

($315,000 and $415,000 if married filing jointly), an applicable percentage of

your specified service trade or business

is treated as a qualified trade or business. For more information, see Pub.

535.

Determining Your Qualified

Business Income

Your qualified business income includes

items of income, gain, deduction, and

loss from your trades or businesses that

are effectively connected with the conduct of a trade or business within the

Unites States. This includes income

from partnerships (other than PTPs), S

corporations, sole proprietorships, and

certain trusts that are included or allowed in determining your taxable income for the year. It also includes other

deductions attributable to the trade or

business including, but not limited to,

deductible tax on self-employment income, self-employed health insurance,

and contributions to qualified retirement

plans. Qualified business income

doesn’t include any of the following.

• Items that aren’t properly included

in income.

• Investment items such as capital

gains or losses, or dividends.

• Interest income not properly allocable to a trade or business.

• Wage income (except “Statutory

Employees” where box 13 of Form W-2

is checked).

• Income that is not effectively connected with the conduct of business

within the United States. (For more information, go to IRS.gov/ECI.)

• Commodities transactions or foreign currency gains or losses.

• Income, loss, or deductions from

notional principal contracts.

• Annuities (unless received in connection with the trade or business).

• Amounts received as reasonable

compensation from an S corporation.

• Amounts received as guaranteed

payments.

• Amounts received as payments received by a partner for services other

than in a capacity as a partner.

• Qualified REIT dividends.

• Qualified PTP income.

Note. Your qualified business income

doesn’t include any losses or deductions

disallowed under the basis, at-risk, passive loss or section 461(l) excess business loss limitations as they are not included or allowed in determining your

taxable income for the year. Instead,

these losses are taken into account in the

tax year they are included in determining your taxable income.

Determining Your Qualified REIT

Dividends and Qualified PTP

Income

Qualified REIT dividends include any

dividend you receive from a real estate

investment trust held for more than 45

days and for which the payment is not

obligated to someone else and that is not

a capital gain dividend or qualified dividend plus your qualified REIT dividends

received from a regulated investment

company. This amount is reported to

you on Form 1099-DIV, line 5.

Qualified PTP income includes your

share of qualified items of income, gain,

deduction, and loss from a publicly traded partnership. It may also include gain

or loss recognized on the disposition of

your partnership interest that isn’t treated as a capital gain or loss.

Note. PTP income generated by a

specified service trade or business may

be limited to the applicable percentage,

in which case you may be required to

complete the worksheet in Pub. 535. See

Pub. 535 for more information.

Instructions for the 2018 Qualified

Business Income

Deduction—Simplified Worksheet

Line 1. Qualified business income or

(loss) from the trade or business. Enter the amount of your qualified business

income or loss for each of your trades or

Need more information or forms? Visit IRS.gov.

-36-

businesses. See Determining Your

Qualified Business Income, earlier.

Enter on line 1(b), the employer identification number (EIN) that was issued

to you or your business on Form SS-4. If

you don’t have an EIN, enter your social

security number or individual taxpayer

identification number. If you are the sole

owner of an LLC that is not treated as a

separate entity for federal income tax

purposes, enter the EIN issued to the

LLC. If you do not have such an EIN,

enter the owner's name and tax identification number.

Line 2. Total qualified business income or (loss). Enter the total of lines

1(c) for all your trades or businesses on

line 2. If you have more than four trades

or businesses, keep a record of the name

and taxpayer identification number of

the trade(s) or business(es) and include

the income and loss from those other

trade(s) or business(es) in the total entered on line 2.

Line 3. Qualified business loss carryforward from prior year. Leave this

line blank. In future years, any loss carryforward will be entered on this line.

Line 4. Total qualified business income. If the total amount to be entered

on line 4 is less than zero, enter -0-. You

have a qualified business net loss for the

year and you don’t qualify for the qualified business income deduction unless

you have qualified REIT dividends or

qualified PTP income. Any negative

amount will be carried forward to next

year.

Line 6. Qualified REIT dividends and

PTP income or (loss). Enter your

qualified REIT dividends and qualified

PTP income or loss.

Line 7. Qualified REIT dividends and

PTP loss carryforward from prior

year. Leave this line blank. In future

years, any loss carryforward will be entered on this line.

Line 8. Total qualified REIT dividends and PTP income. If the total

amount to be entered on line 8 is less

than zero, enter -0-. Any negative

amount will be carried forward to next

year.

Line 11. Taxable income before qualified business income deduction. Enter

your taxable income figured before any

qualified business income deduction.

2018 Form 1040—Line 9

Adjusted gross income, Form 1040,

line 7, minus standard deduction or

itemized deductions from Form 1040,

line 8.

Line 12. Net capital gain. Enter your

qualified dividends from Form 1040,

line 3a, plus your net capital gain. If you

are not required to file Schedule D, your

net capital gain is the gain reported on

Schedule 1, line 13. If you file Schedule D, your net capital gain is the smaller of Schedule D, line 15 or 16, unless

line 15 or 16 is blank or a loss, in which

case your net capital gain is zero.

Line 15. Qualified business income deduction. Enter the amount from line 15

on Form 1040, line 9.

Line 16. Total qualified business loss

carryforward. Add lines 2 and 3. If the

amount is more than zero, enter -0-. This

is the amount to be carried forward to

next year.

Line 17. Total qualified REIT dividends and PTP loss carryforward.

Add lines 6 and 7. If the amount is more

than zero, enter -0-. Any amount reported on this line must be carried forward

to next year.

Line 10

Taxable Income

Subtract lines 8 and 9 from line 7. If

zero or less, enter -0-.

If you have a domestic production activities deduction passed

CAUTION through from an agricultural or

horticultural cooperative under section

199A(g), attach a statement to your return titled “DPAD 199A(g).” Reduce

the amount of taxable income you enter

on line 10 by the amount of your deduction. See Pub. 535 for more information.

!

Line 11a

The amount on line 11 should

include the total of the amount

CAUTION in the entry space on line 11a

plus any amount from Schedule 2.

!

Tax

Include in the total on the entry space on

line 11a all of the following taxes that

apply.

• Tax on your taxable income. Figure the tax using one of the methods described, later.

• Tax from Form(s) 8814 (relating to

the election to report child's interest or

dividends). Check the appropriate box.

• Tax from Form 4972 (relating to

lump-sum distributions). Check the appropriate box.

• Tax due to making a section 962

election (the election made by a domestic shareholder of a controlled foreign

corporation to be taxed at corporate

rates). See section 962 for details. Check

box 3 and enter the amount and “962” in

the space next to that box. Attach a

statement showing how you figured the

tax.

• Recapture of an education credit.

You may owe this tax if you claimed an

education credit in an earlier year, and

either tax-free educational assistance or

a refund of qualified expenses was received in 2018 for the student. See Form

8863 for more details. Check box 3 and

enter the amount and “ECR” in the

space next to that box.

• Any tax from Form 8621, line 16e,

relating to a section 1291 fund. Check

box 3 and enter the amount of the tax

and “1291TAX” in the space next to that

box.

• Repayment of any excess advance

payments of the health coverage tax

credit from Form 8885. Check box 3 and

enter the amount of the repayment and

“HCTC” in the space next to that box.

• Net tax liability deferred under

section 965(i). If you have a deferred net

965 tax liability under section 965(i),

check box 3 and enter (as a negative

number) the amount of the deferred net

965 tax liability and “965” on the line

next to that box.

• Triggering event under section

965(i). If you had a triggering event under section 965(i) during the year and

did not enter into a transfer agreement,

check box 3 and enter the amount of the

triggered deferred net 965 tax liability

and enter “965INC” on the line next to

the box.

Do you want the IRS to figure the

tax on your taxable income for you?

Yes. See chapter 29 of Pub. 17 for

details, including who is eligible and

what to do. If you have paid too much,

-37-

we will send you a refund. If you didn't

pay enough, we will send you a bill.

No. Use one of the following methods to figure your tax.

Tax Table or Tax Computation

Worksheet. If your taxable income is

less than $100,000, you must use the

Tax Table, later in these instructions, to

figure your tax. Be sure you use the correct column. If your taxable income is

$100,000 or more, use the Tax Computation Worksheet right after the Tax Table.

However, don’t use the Tax Table or

Tax Computation Worksheet to figure

your tax if any of the following applies.

Form 8615. Form 8615 generally must

be used to figure the tax on your unearned income over $2,100 if you are

under age 18, and in certain situations if

you are older.

You must file Form 8615 if you meet

all of the following conditions.

1. You had more than $2,100 of unearned income (such as taxable interest,

ordinary dividends, or capital gains (including capital gain distributions)).

2. You are required to file a tax return.

3. You were either:

a. Under age 18 at the end of 2018,

b. Age 18 at the end of 2018 and

didn't have earned income that was more

than half of your support, or

c. A full-time student at least age 19

but under age 24 at the end of 2018 and

didn't have earned income that was more

than half of your support.

4. At least one of your parents was

alive at the end of 2018.

5. You don’t file a joint return in

2018.

A child born on January 1, 2001, is

considered to be age 18 at the end of

2018; a child born on January 1, 2000, is

considered to be age 19 at the end of

2018; and a child born on January 1,

1995, is considered to be age 24 at the

end of 2018.

Schedule D Tax Worksheet. If you

have to file Schedule D, and line 18 or

19 of Schedule D is more than zero, use

the Schedule D Tax Worksheet in the

Instructions for Schedule D to figure the

amount to enter on Form 1040, line 11a.

Need more information or forms? Visit IRS.gov.

2018 Form 1040—Line 11a

2018 Qualified Business Income Deduction—Simplified

Worksheet

Keep for Your Records

Before you begin: This worksheet is for taxpayers who:

Have qualified business income, REIT dividends, or PTP income.

Are not a patron in a specified agricultural or horticultural cooperative.

Have taxable income of $157,500 or less ($315,000 or less if married filing jointly).

1.

(a)

Trade or business name

(b)

Employer

identification number

(c)

Qualified business income or

(loss)

i.

ii.

iii.

iv.

2.

3.

4.

Total qualified business income or (loss). Add the amounts in 1i through 1iv,

column 1(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.

Note. If reporting qualified business income or (loss) from more than four

trades or businesses, see the instructions for line 2 of this worksheet.

Qualified business loss carryforward from the prior year . . . . . . . . . . . . . . . . . . . 3.

5.

Total qualified business income. Combine lines 2 and 3. If zero or less,

enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.

Qualified business income component. Multiply line 4 by 20% (0.20) . . . . . . . . . . . . . . . . . . . . . . . . .

6.

Qualified REIT dividends and PTP income or (loss) . . . . . . . . . . . . . . . . . . . . . . . . 6.

7.

Qualified REIT dividends and PTP loss carryforward from the prior year . . . . . . . 7. (

8.

9.

Total qualified REIT dividends and PTP income. Add lines 6 and 7. If zero or

less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.

REIT and PTP component. Multiply line 8 by 20% (0.20) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

9.

10.

Qualified business income deduction before the income limitation. Add lines 5 and 9 . . . . . . . . . . . .

10.

11.

Taxable income before qualified business income deduction . . . . . . . . . . . . . . . . . 11.

12.

Net capital gain (see instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12.

13.

Subtract line 12 from line 11. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . 13.

14.

Income limitation. Multiply line 13 by 20% (0.20) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

14.

15.

Qualified business income deduction. Enter the smaller of line 10 or line 14 . . . . . . . . . . . . . . . . . . . .

15.

16.

Total qualified business loss carryforward. Add lines 2 and 3. If more than zero, enter -0- . . . . . . . . .

16. (

)

17.

Total qualified REIT dividends and PTP loss carryforward. Add lines 6 and 7. If more than zero,

enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

17. (

)

Need more information or forms? Visit IRS.gov.

-38-

5.

)

2018 Form 1040—Line 11a

But if you are filing Form 2555 or

2555-EZ, you must use the Foreign

Earned Income Tax Worksheet instead.

Qualified Dividends and Capital Gain

Tax Worksheet. Use the Qualified

Dividends and Capital Gain Tax Worksheet, later, to figure your tax if you

don’t have to use the Schedule D Tax

Worksheet and if any of the following

applies.

• You reported qualified dividends

on Form 1040, line 3a.

• You don’t have to file Schedule D

and you reported capital gain distributions on Schedule 1, line 13.

• You are filing Schedule D and

Schedule D, lines 15 and 16, are both

more than zero.

But if you are filing Form 2555 or

2555-EZ, you must use the Foreign

Earned Income Tax Worksheet instead.

Schedule J. If you had income from

farming or fishing (including certain

Foreign Earned Income Tax Worksheet—Line 11a

!

CAUTION

amounts received in connection with the

Exxon Valdez litigation), your tax may

be less if you choose to figure it using

income averaging on Schedule J.

Foreign Earned Income Tax Worksheet. If you claimed the foreign earned

income exclusion, housing exclusion, or

housing deduction on Form 2555 or

2555-EZ, you must figure your tax using

the Foreign Earned Income Tax Worksheet.

Keep for Your Records

If Form 1040, line 10, is zero, don’t complete this worksheet.

1. Enter the amount from Form 1040, line 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.

2a. Enter t

This text is long and has been trimmed here. Open the source document for the complete record.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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Including the instructions for (2018) | Frix