AICPA读书笔记REG之Items to Be Included in Gross Income

kevin

The more common items of gross income are listed below:

1. Compensation for services: including wages, salaries, bonuses, and tips.

Item	Income
Property received	FMV
Bargain purchases	FMV-Price Paid
Tips	· <$20/month: include in employee’s income · >$20/month: include in employee’s income and report to employer for withholding purposes
Life insurance premiums	Exception: Group-term life insurance coverage of $50,000 or less.

2. Gross income derived from business or profession

3. Distributive share of partnership or S corporation income

4. Gain from the sale or exchange of real estate, securities, or other property

5. Rents and royalties

6. Dividends

7. Interest

Taxable Interest Income	Tax Exempt Income
Interest from saving	State and local Government Bonds
Federal bonds	Bonds of a US Possession
Corporate Bonds	Series EE
Premiums received for opening a saving account	Veterans Administration Insurance
Part of the proceeds from an installment sale
Interest on tax refunds

注意：a. Interest on state and local obligations is tax free.       b. Qualified Series EE Saving Bonds            (1). Acquired after1989            (2). Taxpayer is over 24            (3). Used for higher education expenses of taxpayer, souse, or dependent

8. Alimony and separate maintenance payments

a. Alimony is included in the recipient’s gross income and is deductible toward AGI by the payor.

b. The payment must:

(1) Be made in cash

(2) Be required by divorce decree

(3) Terminate upon death of the recipient

(4) Periodically

注意：Property Settlements is nontaxable.

c. Alimony recapture may occur if payments sharply decline in the second or third years. This is accomplished by making the payer report the recaptured alimony from the first and second years as income (and allowing the payee to deduct the same amount) in the third year.

(1) Recapture for the second year occurs to the extent that the alimony paid in the second year exceeds the third-year alimony by more than $15,000.

(2) Recapture for the first year occurs to the extent that the alimony paid in the first year exceeds the average alimony paid in the second year (reduced by the recapture for that year) and third year by more than $15,000.

d. Any amounts specified as child support are not treated as alimony.

(1) Child support is not gross income to the payee and is not deductible by the payer.

(2) Payment applies first to child support.

9. Social security, pensions, annuities (other than excluded recovery of capital)

a. Up to 50% of social security retirement benefits may be included in gross income if the taxpayer’s provisional income (AGI + tax-exempt income + 50% of the social security benefits) exceeds a threshold that is $32,000 for a joint return, $0 for married taxpayers filing separately, and $25,000 for all other taxpayers. The amount to be included in gross income is the lesser of

注释：如果AGI + 免税收入+ 50% of the social security benefits>$32,000 MFJ/ $0 MFS/ $25,000其余，那么纳税人需要把最多可达50%的 SSR计入gross income。

(1) 50% of the social security benefits, or

(2) 50% of the excess of the taxpayer’s provisional income over the base amount.

b. Up to 85% of social security retirement benefits may be included in gross income for taxpayers with provisional income above a higher second threshold that is $44,000 for a joint return, $0 for married taxpayers filing separately, and $34,000 for all other taxpayers. The amount to be included in gross income is the lesser of

注释：如果AGI + 免税收入+ 50% of the social security benefits>$44,000 MFJ/ $0 MFS/ $34,000其余，那么纳税人需要把最多可达85%的SSR计入gross income。

(1) 85% of the taxpayer’s social security benefits, or

(2) The sum of

(a) 85% of the excess of the taxpayer’s provisional income above the applicable higher threshold amount plus

(b) the smaller of

(i) the amount of benefits included under a. above, or

(ii) $4,500 for single taxpayers or $6,000 for married taxpayers filing jointly.

c. Rule of thumb: Social security retirement benefits are fully excluded by low-income taxpayers (i.e., provisional income less than $25,000); 85% of benefits must be included in gross income by high-income taxpayers (i.e., provisional income greater than $60,000).

vicky0207

多谢分享

vivianm5168

非常感谢