If you were born before January 2, 1939, or were blind at
the end of 2003, check the appropriate box(es) on line 36a.
If you were married and checked the box on line 6b of Form
1040 and your spouse was born before January 2, 1939, or was
blind at the end of 2003, also check the appropriate box(es)
for your spouse. Be sure to enter the total number of boxes
If you were partially blind as of December 31, 2003, you
must get a statement certified by your eye doctor or registered
- You cannot 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 is not likely to improve beyond the
conditions listed above, you can get a statement certified
by your eye doctor or registered optometrist to this effect
You must keep the statement for your records.
If your spouse itemizes deductions on a separate return or
if you were a dual-status alien, check the box on line 36b.
But if you were a dual-status alien and you file a joint return
with your spouse who was a U.S. citizen or resident at the
end of 2003 and you and your spouse agree to be taxed on your
combined worldwide income, do not check the box.
37 - 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.
If you checked the box
on line 36b, your standard deduction
To figure your itemized deductions, fill in Schedule
Most people can find their standard deduction by looking
at the amounts listed under “All others” to the
left of line 37 of Form 1040. But if you, or your spouse if
filing jointly, can be claimed as a dependent on someone's
2003 return or you checked any box on line 36a, use the worksheet
below or the chart on page 35, whichever applies, to figure
your standard deduction. Also, if you checked the box on line
36b, your standard deduction is zero, even if you were born
before January 2, 1939, or were blind.
Electing To Itemize for State Tax or Other Purposes
If you itemize even though your itemized deductions are less
than your standard deduction, enter “IE” on the
dotted line next to line 37.
Line 41 - Tax
Do you want the IRS to figure your tax for you?
Yes. See Pub. 967 for details,
including who is eligible and what to do. If you have paid
too much, we will send you a refund. If you did not pay enough,
we will send you a bill.
No. Use one of the following methods
to figure your tax. Also include in the total on line 41 any
of the following taxes.
- Tax from Forms 8814
and 4972. Be sure
to check the appropriate box(es).
- Tax from recapture of an education credit. You may owe
this tax if (a) you claimed an education credit in an earlier
year and (b) you, your spouse if filing jointly, or your
dependent received in 2003 either tax-free educational assistance
or a refund of qualified expenses. See Form
8863 for more details. If you owe this tax, enter the
amount and “ECR” on the dotted line next to
Tax Table or Tax Rate Schedules.
If your taxable income is less than $100,000, you must use
the Tax Table, that begins on page 62, to figure your tax.
Be sure you use the correct column. If your taxable income
is $100,000 or more, use the Tax
Rate Schedules on page 74.
Exception. Do not use the Tax Table or Tax Rate Schedules
to figure your tax if either of the following applies.
Form 8615. Form 8615 must generally be used to figure the tax for any child who was under age 14 at the end of 2003, and who had more than $1,500 of investment income, such as taxable interest, ordinary dividends, or capital gains (including capital gain distributions). But if neither of the child's parents was alive at the end of 2003, do not use Form 8615 to figure the child's tax. Also, a child born on January 1, 1990, is considered to be age 14 at the end of 2003. Do not use Form 8615 for such a child.
Schedule D. Use Part IV of Schedule
D to figure your tax if you are required to file Schedule
D and (a) you had a net capital gain (both lines 16 and 17a
of Schedule D are gains) or (b) you have qualified dividends
on Form 1040, line 9b.
Capital Gain Tax Worksheet. If
you received qualified dividends or capital gain distributions
but you are not required to file Schedule D, use the worksheet
on page 37 to figure your tax.
Schedule J. If you had income
from farming, your tax may be less if you choose to figure
it using income averaging on Schedule J.
42 - Alternative Minimum Tax
Use the worksheet
to see if you should fill in Form
Exception. Fill in Form
6251 instead of using the worksheet
below if you claimed or received any of the following items.
- Accelerated depreciation.
- Stock by exercising an incentive stock option and you
did not dispose of the stock in the same year.
- Tax-exempt interest from private activity bonds.
- Intangible drilling, circulation, research, experimental,
or mining costs.
- Amortization of pollution-control facilities or depletion.
- Income or (loss) from tax-shelter farm activities or
- Income from long-term contracts not figured using the
- Interest paid on a home mortgage not used to buy, build,
or substantially improve your home.
- Investment interest expense reported on Form
- Net operating loss deduction.
- Alternative minimum tax adjustments from an estate, trust,
electing large partnership, or cooperative.
- Section 1202 exclusion.
6251 should be filled in for a child who was under
age 14 at the end of 2003 if the child's adjusted gross
income from Form 1040, line 35, exceeds the child's
earned income by more than $5,600.
44 - Foreign Tax Credit
If you paid income tax to a foreign country, you may be able
to take this credit. Generally, you must complete and attach
Form 1116 to do so.
Exception. You do not have to
complete Form 1116
to take this credit if all five of the following apply.
- All of your gross foreign-source income is from interest
and dividends and all of that income and the foreign tax
paid on it is reported to you on Form
1099-INT or Form
1099-DIV (or substitute statement).
- If you have dividend income from shares of stock, you
held those shares for at least 16 days.
- You are not filing Form
4563 or excluding income from sources within Puerto
- The total of your foreign taxes is not more than $300
(not more than $600 if married filing jointly).
- All of your foreign taxes were:
- Legally owed and not eligible for a refund, and
- Paid to countries that are recognized by the United States
and do not support terrorism.
For more details on these requirements, see the Instructions
for Form 1116.
Do you meet all five requirements above?
Yes. Enter on line 44 the smaller
of your total foreign taxes or the amount on Form 1040, line
No. See Form
1116 to find out if you can take the credit and, if you
can, if you have to file Form
Line 45 - Credit for Child and Dependent Care Expenses
You may be able to take this credit if you paid someone to
care for your child under age 13 or your dependent or spouse
who could not care for himself or herself. For details, use
TeleTax Topic 602
(see page 11) or see Form
46 - Credit for the Elderly or the Disabled
You may be able to take this credit if by the end of 2003
(a) you were age 65 or older or (b) you retired on permanent
and total disability and you had taxable disability income.
But you usually cannot take the credit if the amount on Form
1040, line 35, is $17,500 or more ($20,000 or more if married
filing jointly and only one spouse is eligible for the credit;
$25,000 or more if married filing jointly and both spouses
are eligible; $12,500 or more if married filing separately).
See Schedule R
and its instructions for details.
Credit Figured by the IRS. If
you can take this credit and you want us to figure it for
you, see the Instructions for Schedule R.
47 - Education Credits
If you (or your dependent) paid qualified expenses in 2003 for yourself, your spouse, or your dependent to enroll in or attend an eligible educational institution, you may be able to take an education credit. See Form 8863 for details. However, you cannot take an education credit if any of the following apply:
- You are claimed as a dependent on someone's (such as your parent's) 2003 tax return.
- Your filing status is married filing separately.
- The amount on Form 1040, line 35, is $51,000 or more ($103,000 or more if married filing jointly).
- You are taking a deduction for tuition and fees on Form 1040, line 26, for the same student.
- You (or your spouse) were a nonresident alien for any part of 2003 unless your filing status is married filing jointly.
Line 48 - Retirement Savings Contributions Credit
You may be able to take this credit if you, or your spouse if filing jointly, made: (a) contributions to a traditional or Roth IRA, (b) elective deferrals to a 401(k), 403(b), 457, SEP, or SIMPLE plan, (c) voluntary contributions to a qualified retirement plan, or (d) voluntary contributions to a 501(c)(18) plan
However, you cannot take the credit if either of the following applies.
- The amount on Form 1040, line 35, is more than $25,000
($37,500 if head of household; $50,000 if married filing
- The person(s) who made the qualified contribution or
elective deferral (a) was born after January 1, 1986, (b)
is claimed as a dependent on someone else's 2003 tax return,
or (c) was a student (defined below).
You were a student if during any 5 months of 2003 you:
- Were 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 technical, trade, and mechanical schools.
It does not include on-the-job training courses, correspondence
schools, or night schools.
For more details,use TeleTax
topic 610 or see Form
Line 49 -
Child Tax Credit
What is the Child Tax Credit?
This credit is for people who have a qualifying child as
defined in the instructions for line
6c, column (4), on page 22. It is in addition to the credit
for child and dependent care expenses on Form 1040, line
45, and the earned income credit on Form 1040, Line
Four Steps To Take the Child Tax Credit!
- Make sure you have a qualifying child for the child tax
- Make sure you checked the box in column (4) of line 6c
on Form 1040 for each qualifying child.
- Make sure you know the amount of any advance child tax
credit payment you received (before offset) in 2003 (see
- Answer the questions on this page to see if you may use
the worksheet on page 41 to figure your credit or if you
must use Pub. 972, Child Tax Credit. If you need Pub.
972, see page 7.
Qualifying Child for Child Tax Credit
A qualifying child for purposes of the child tax credit is a child who:
- Is claimed as your dependent on line 6c, and
- Was under age 17 at the end of 2003, and
- Is your (a) son, daughter, adopted child, stepchild, or a descendant of any of them (for example, your grandchild); (b) brother, sister, stepbrother, stepsister, or a descendant of any of them (for example, your niece or nephew), whom you cared for as you would your own child; or (c) foster child (any child placed with you by an authorized placement agency whom you cared for as you would your own child), and
- Is a U.S. citizen or resident alien.
Note. The above requirements are not the same as the requirements to be a qualifying child for the earned income credit.
An adopted child is always treated as your own child. An adopted child includes a child placed with you by an authorized placement agency for legal adoption even if the adoption is not final. An authorized placement agency includes any person or court authorized by state law to place children for legal adoption.
Advance Child Tax Credit Payment
You must reduce your 2003 child tax credits by any advance child tax credit payment you received in 2003. Enter the amount of any advance payment you received (before offset) on line 2 of your Child Tax Credit Worksheet. The amount of your advance payment (before offset) is shown on Notice 1319. This notice was mailed to you in 2003. If you do not have this notice, you can check the amount of your advance payment (before offset) on the IRS website at www.irs.gov or call us at 1-800-829-1040. For details on offsets, see Refund Offset on page 56.
If you filed a joint return for 2002, but for 2003 you are not filing a joint return (or a joint return with the same spouse), you are considered to have received one-half of the advance payment.
Example 1. You filed a joint return for 2002 and received an advance child tax credit payment (before offset) of $800. You were divorced and are filing using head of household status for 2003. You are considered to have received an advance payment (before offset) of $400. When figuring your child tax credit for 2003, you would enter $400 on line 2 of your Child Tax Credit Worksheet.
Example 2. You filed a joint return for 2002 with your wife, Jane. You and Jane received an advance child tax credit payment (before offset) of $400. In 2003, you and Jane got divorced. After the divorce became final, you married Mary, with whom you are filing a joint return for 2003. Mary filed using head of household status for 2002 and received an advance child tax credit payment (before offset) of $400. When figuring your child tax credit for 2003, you and Mary would enter $600 (Mary's $400 advance payment plus your $200 advance payment) on line 2 of your Child Tax Credit Worksheet. You would include $600 on line 2 of the worksheet even if you are claiming only Mary's child.
If you received an advance payment but did not have a qualifying child for 2003, you do not have to pay back the amount you received. Do not enter the amount of your advance payment on your return.
50 - Adoption Credit
You may be able to take this credit if either of the following
- You paid expenses to adopt a child.
- You adopted a child with special needs and the adoption
became final in 2003.
See the Instructions for Form
8839 for details.
Include the following credits on line 51 and check the appropriate
box(es). To find out if you can take the credit, see the form
- Mortgage interest credit. If a state or local government
gave you a mortgage credit certificate, see Form
- District of Columbia first-time homebuyer credit. See
Line 52 -
Include the following credits on line 52 and check the
appropriate box(es). If box c is checked, also enter the
form number, if applicable. To find out if you can take
the credit, see the form or publication indicated.
- Credit for prior year minimum tax. If you paid alternative
minimum tax in a prior year, see Form
- Qualified electric vehicle credit.
If you placed a new electric vehicle in service in 2003,
see Form 8834.
- General business credit. This credit consists of a number
of credits that usually apply only to individuals who are
partners, shareholders in an S corporation, self-employed,
or who have rental property. See Form
3800 or Pub. 334.
- Empowerment zone and renewal community employment credit.
See Form 8834.
- New York Liberty Zone business employee credit. See Form
- Nonconventional source fuel credit. If you sold fuel produced
from a nonconventional source, see Internal Revenue Code
section 29 to find out if you can take this credit. Attach
a schedule showing how you figured the credit. Check box
c and enter
FNS” on the line to the right of box c.
- Qualified zone academy bond credit. This credit applies
only to S corporation shareholders. See Form
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