Page 93 - Individual Forms & Instructions Guide

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The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
for profit but were not in the business If you made a section 962 elec- ble payments, or you received nontaxa-
of renting such property. Also see the ! tion and have an income inclu- ble payments that you didn’t report on
instructions for line 24b, later. CAUTION sion under section 951 or line 1a, and choose to include nontaxa-
951A, do not report that income on ble amounts in earned income for purpo-
Line 8m line 8n or 8o, as applicable. Instead, re- ses of claiming a credit or other tax ben-
port the tax with respect to the section efit, report the amount on Form 1040 or
Olympic and Paralympic medals and 962 election on Form 1040 or 1040-SR, 1040-SR, line 1d. Then, on line 8s enter
USOC prize money. The value of line 16, and attach a statement showing the total amount of the nontaxable pay-
Olympic and Paralympic medals and the how you figured the tax that includes the ments reported on Form 1040 or
amount of United States Olympic Com- gross amounts of section 951 and sec- 1040-SR, line 1a or 1d, in the entry
mittee (USOC) prize money you receive tion 951A income. space in the preprinted parentheses (as a
on account of your participation in the negative number). For more information
Olympic or Paralympic Games may be about these payments, see Pub. 525.
nontaxable. These amounts should be re- Line 8p
ported to you in box 3 of Form 461(l) excess business loss adjustment. Line 8t
1099-MISC. To see if these amounts are Enter the amount of your excess busi-
nontaxable, first figure your adjusted ness loss from Form 461, line 16. Pension or annuity from a nonquali-
gross income, including the amount of fied deferred compensation plan or a
your medals and prize money. Line 8q nongovernmental section 457 plan.
If your adjusted gross income is not Enter the amount that you received as a
more than $1,000,000 ($500,000 if mar- Taxable distributions from an ABLE pension or annuity from a nonqualified
ried filing separately), these amounts are account. Distributions from this type of deferred compensation plan or a nongo-
nontaxable and you should include the account may be taxable if (a) they are vernmental 457 plan. This may be
amount in box 3 of Form 1099-MISC on more than the designated beneficiary's shown in box 11 of Form W-2. If you
line 8m, then subtract it by including it qualified disability expenses, and (b) received such an amount but box 11 is
on line 24c. they were not included in a qualified blank, contact your employer or the pay-
rollover. See Pub. 907 for more informa- er for the amount received.
Line 8n tion.
You may have to pay an addi- Line 8u
Section 951(a) inclusion. Section 951
generally requires that a U.S. sharehold- ! tional tax if you received a tax- Wages earned while incarcerated. En-
er of a controlled foreign corporation in- CAUTION able distribution from an ABLE ter the amount that you received for
clude in income its pro rata share of the account. See the Instructions for Form services performed while an inmate in a
corporation's subpart F income and its 5329. penal institution. You may receive
amount determined under section 956. Form(s) W-2 or Form(s) 1099.
Enter on line 8n from your Forms 5471 Line 8r
the sum of any amounts reported on Line 8z
Schedule I, lines 1a through h and line 2. Scholarship and fellowship grants not Other income. Use line 8z to report
Remember to attach copies of your reported on Form W-2. Enter the any taxable income not reported else-
Forms 5471 to your return. amount of scholarship and fellowship
grants not reported on Form W-2. How- where on your return or other schedules.
Line 8o ever, if you were a degree candidate, in- List the type and amount of income. If
clude on line 8r only the amounts you necessary, include a statement showing
Section 951A(a) inclusion. Section used for expenses other than tuition and the required information. For more de-
951A generally requires that a U.S. course-related expenses. For example, tails, see Miscellaneous Income in Pub.
shareholder of a controlled foreign cor- amounts used for room, board, and trav- 525.
poration include in income its global in- el must be reported on line 8r. If you received a Form 1099-K
tangible low-taxed income (GILTI). En- TIP for a personal item that you
ter on line 8o from your Forms 8992 the Line 8s sold at a gain, don’t report this
sum of any amounts reported on Part II, amount on line 8z, instead report it as
line 5. Remember to attach copies of Nontaxable amount of Medicaid waiv- you would report any other capital gain
your Forms 8992. er payments included on Form 1040, on Form 8949 and Schedule D.
line 1a or 1d. Certain Medicaid waiver
payments you received for caring for Examples of income to report on
someone living in your home with you line 8z include the following.
may be nontaxable. If nontaxable pay- • Reimbursements or other amounts
ments were reported to you in box 1 of received for items deducted in an earlier
Form(s) W-2, report the amount on year, such as medical expenses, real es-
Form 1040 or 1040-SR, line 1a. If you tate taxes, general sales taxes, or home
did not receive a Form W-2 for nontaxa- mortgage interest. See Recoveries in

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