Major Chgs for Form 1040-C (Instr)

IMPLEMENTATION PLAN for 1040C INST
Run by User PAPARI00

January 13, 2009

Page 2 of 2

P.L. 110-343, Tax Extenders and Alternative Minimum Tax Relief Act of 2008 (Division C)
Action
Number

Act
Section

IRC
Section

Description of Action

Date Type Effective Date Target Date Actual Date

65.00084

202

222

Revise product to reflect that the deduction for qualified tuition and
related expenses has been extended.

TYBA

31-DEC-2007 17-NOV-2008

65.00129

202

222

Revise product to reflect that the deduction for qualified tuition and
related expenses has expired.

TYBA

31-DEC-2007 17-NOV-2010

Total Action Items: 2

DESCRIPTION OF MAJOR CHANGES FOR INST FOR FORM 1040-C
What's New has been updated for 2009. Added items for new expatriation
rules (PL 110-245, sec 301; IRC 877A), earned income credit (RP 2008-66),
IRAs (IR-2008-118), sale of main home (PL 110-289, sec 3092(a); IRC 121
(b)(4), AMT (IRC 55(d)(1)), expiration of allowance of personal credits
against AMT (expiration of IRC 26(a)(2), and new $500 limit for personal
casualty and theft losses (PL 110-343, Div C, sec 706(c)).
Two paragraphs referring to the now defunct Question A and the
accompanying checkboxes have been removed. This revision is necessary to
reflect certain policy procedures that have been changed by a
multifunctional task force.
Instructions have been added and the Deduction for Exemptions Worksheet
on page 8 was revised to account for the special personal exemption rules for
individuals providing housing to Midwestern displaced individuals added by
PL 110-343, sec. 702.
Add instructions for the add'l standard deductions for real estate taxes and net
disaster loss to conform to Form 1040 instructions. PL 110-343, Div C,
sec 204 and sec 706(b)
Added instructions for recapture of an education credit under Lines 6 and 14 to
conform to Form 1040 instructions. Reg. 1.25A-5(f)(3).
The exemption amount and exemption phaseout minimum amount used for
Schedule D, line 4, and Schedule D, line 12, have been updated to reflect
Revenue Procedure 2008-66, sec. 3.19.
The itemized deduction phaseout minimum amount used for Schedule C,
line 2, has been updated to reflect Revenue Procedure 2008-66, sec. 3.11.
The tax rate schedules on page 9 have been updated per RP 2008-66, sec 3.01.