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Individual Income Tax Guide
Line 13 – Capital Gain or Loss: Your total capital gains or losses are reported on this line. To determine the amount to report on line 13, you generally must complete and attach Form 8949, Sale and Other Dispositions of Capital Assets, and Schedule D, Capital Gains and Losses. However, there are two exceptions to this rule:
Exception 1. You do not have to file Form 8949 or Schedule D if both of the following apply.
Exception 2. You must file Schedule D, but generally do not have to file Form 8949, if Exception 1 does not apply and your only capital gains and losses are:
If Exception 1 applies, enter your total capital gain distributions (from box 2a of Form(s) 1099-
NOTE: If you do not have to file Schedule D, use the Qualified Dividends and Capital Gain Tax Worksheet to figure your tax.
Line 14 – Other Gains or Losses: Ordinary income from the sale of business assets is reported on this line. You calculate the amount reported on line 14 in Part II, Ordinary Gains and Losses, of Form 4797, Sales of Business Property. See the instructions to Form 4797 for more information about the reporting of the sales of business assets.
Line 15a & 15b – IRA Distributions (15a), Taxable Amount (15b): Distributions from IRAs (including, in general, traditional IRAs, Roth IRAs (including myRAs), Simplified Employee Pensions IRAs (SEPs or SEP IRAs), and Savings Incentive Match Plan for Employees IRAs (SIMPLE IRAs)) are included on line 15a and the taxable amounts of these distributions are included on line 15(b).
Distributions from IRAs should be reported to you on Form 1099-
If you have only one IRA distribution, and the entire amount is taxable, leave line 15a blank and enter the total distribution (from Form 1099-
Exception 1: Enter the total distribution on line 15a if you rolled over part or all of the distribution from one
Also, enter ”Rollover” next to line 15b. If the total distribution was rolled over in a qualified rollover, enter -
If you rolled over the distribution into a qualified plan other than an IRA or you made the rollover in 2017, include a statement explaining what you did.
Exception 2: If any of the following apply, enter the total distribution on line 15a and see Form 8606, Nondeductible IRAs, and its instructions to figure the amount to enter on line 15b.
Exception 3: If the distribution is a qualified charitable distribution (QCD), enter the total distribution on line 15a. If the total amount distributed is a QCD, enter -
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-
Exception 4: If the distribution is a health savings account (HSA) funding distribution (HFD), enter the total distribution on line 15a. If the total amount distributed is an HFD and you elect to exclude it from income, enter -
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 cannot 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 Publication 969, Health Savings Accounts and Other Tax-
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 15b. For example: “Line 15b – $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 you file married filing jointly) received more than one distribution, determine the taxable amount of each distribution and enter the total of the taxable amounts on line 15b. Enter the total amount of those distributions on line 15a.
CAUTION: You may have to pay an additional tax if (a) you received an early distribution from your IRA and the total was not rolled over, or (b) you were born before July 1, 1945, and received less than the minimum required distribution from your traditional, SEP, and SIMPLE IRAs. See the instructions for line 59 (Additional tax on IRAs, other qualified retirement plans, etc), for details.
Page 4: Form 1040, line 13 to line 15
Chapter 2 – Income