Looking for a Massachusetts Tax Forms And Templates? Download it for free!

2006 Form 1-NR/PY Instructions — Line by Line Instructions

14e. Enter in line 14e the total income from non-

Line 15. Amount Paid to Social

Taxpayers who received dependent care benefits

Massachusetts sources you received during the tax

should complete a pro forma U.S. Form 2441 or

Security

, Medicare,

(FICA)

year covered by this return. This is the additional

U.S. Form 1040A, Schedule 2. When completing

Railroad, U.S., Massachusetts

income that would have been reported by you if

this pro forma form taxpayers should enter $4,800

Retirement Systems

you had been a Massachusetts resident that you

(or $9,600 for two or more qualifying persons) in

Nonresidents, if as a condition of Massachusetts

received from non-Massachusetts sources. This

line 29 of U.S. Form 2441 or line 23 of U.S. Form

business or employment, you have paid into any

amount is often not the same as the difference be-

1040A, Schedule 2. The amount from this pro

of the retirement systems listed above during

tween your total U.S. income reported in line 3 and

forma Form 2441, line 33 or U.S. Form 1040A,

2006, you may deduct those contributions, up to

your Massachusetts source income reported in line

Schedule 2, line 27 should then be entered in line 1

a maximum of $2,000. Part-year residents may

14d, due to the differences between Massachu-

of the following worksheet.

deduct contributions attributable to business or

setts and federal tax laws.

Note: Same-sex joint filers should complete a pro

employment while a Massachusetts resident, up

Note: Be certain not to include any amounts already

forma U.S. Form 2441 or U.S. Form 1040A,

to a maximum of $2,000.

reported in line 14d.

Schedule 2. In addition to changing the maximum

Enter in lines 15a and 15b the amount you, and

amount of the deduction allowed on U.S. Form

To reconcile the two amounts, the following types

your spouse if filing jointly, paid to Social Security

2441 or U.S. Form 1040A, Schedule 2 (see pre-

of income included in the U.S. total income (Form

(FICA), Medicare or Railroad Retirement and the

ceding paragraph), same-sex spouses should pre-

1-NR/PY, line 3), but not taxable in Massachusetts

U.S. or Massachusetts Retirement Systems during

pare the pro forma federal forms as though they

should be subtracted from the U.S. total before

2006 as shown on your Form W-2 that is directly

were filing a joint federal return. See TIR 04-17

completing line 14e:

related to income taxable by Massachusetts in-

for more information.

◗ Social Security and Tier I Railroad Retirement

cluded in line 12, but not more than $2,000 each.

◗ If you choose to take a deduction in line 16, you

benefits;

Payment amounts may not be combined or trans-

◗ pensions from contributory retirement plans

may not take the deduction in line 17.

ferred from one spouse to the other. Add items 15a

of the U.S., or Massachusetts and its political

and 15b and enter the result in line 15. Be sure to

Line 16 Worksheet — Child Under 13 or

subdivisions;

add any amount of Medicare tax withheld as shown

◗ pension income from the U.S. military;

Disabled Dependent/Spouse Care Deduction

on Form W-2 and any amount of self-employment

◗ U.S. bond interest;

Use this worksheet to calculate your Massachu-

tax as reported on your U.S. Form 1040 to the

◗ state tax refunds; and

setts child under age 13 or disabled dependent/

amount of Social Security tax withheld, the total not

◗ Keogh and 403(b) distributions related to con-

spouse care deduction.

to exceed $2,000 per person.

tributions previously taxed by Massachusetts.

Part-year residents, enter amounts paid while

Note: Medicare premiums deducted from your

Income from the following categories which is not

a Massachusetts resident.

Social Security or retirement payments are not

included in U.S. total income (Form 1-NR/PY, line

1. Enter the amount of qualified expenses you

deductible.

3) must be added back to calculate the total in-

incurred and paid in 2006 for a qualifying per-

Payments to an IRA, Keogh, Simplified Employee

come that would be reported as Massachusetts in-

son(s). This amount may exceed the federal

Pension plan (SEP) or Savings Incentive Match

come had the taxpayer been a Massachusetts resi-

limit of $3,000 for one qualifying person or

Plan for Employees (SIMPLE) Account are not de-

dent in line 14e:

$6,000 for two or more persons. However, do

ductible for Massachusetts income tax purposes.

◗ bond interest from other states;

not enter more than $4,800 for one qualifying

◗ up to $80,000 in foreign-earned income;

person or $9,600 for two or more

Lines 16 and 17

◗ contributions to a pension plan by Massachu-

persons . . . . . . . . . . . . . . . . . . . . . .

Massachusetts law allows an option for deducting

2. Enter the amount from U.S. Form 2441,

setts state or local employees; and

expenses related to dependent children. Please

◗ net operating loss carryforward.

line 4, or U.S. Form 1040A, Schedule 2,

read instructions for both lines 16 and 17 to deter-

line 4 . . . . . . . . . . . . . . . . . . . . . . . .

mine if you qualify and to decide which deduction

14f. Add line 14d and line 14e. If your total in-

3. Enter the amount from U.S. Form 2441,

is better for you. You cannot claim a deduction in

come in line 3 exceeds the amount reported in line

line 5, or U.S. Form 1040A, Schedule 2,

both lines 16 and 17.

14f by more than 10%, you should enclose a state-

line 5 . . . . . . . . . . . . . . . . . . . . . . . .

ment explaining the reasons for the difference.

4. Enter the smallest of line 1, 2 or 3

Line 16. Child Under Age 13,

5. If you paid 2005 expenses in 2006, enter the

14g. Divide line 14d by line 14f. Carry this division

or Disabled Dependent/Spouse

amount of the allowed 2005 expenses used to

out to four decimal places. Failure to do so may

Care Expenses

compute the credit on U.S. Form 2441, line 9,

delay the processing of your return. Enter the result

or U.S. Form 1040A, Schedule 2, line 9.

Massachusetts generally allows the same ex-

in line 14g. This is your ratio for deductions and ex-

Otherwise, enter “0” . . . . . . . . . . . .

penses as the U.S. Government for employment-

emptions. It represents the relationship of your

6. Add lines 4 and 5. . . . . . . . . . . . .

related expenses for the care of a qualified child

Massachusetts source income to your total income.

7. Part-year residents, enter here the amount

under the age of 13, a disabled dependent or a dis-

from line 6 and in Form 1-NR/PY, line 16;

abled spouse. Complete the following worksheet in

Deductions

nonresidents, multiply line 6 by Form 1-NR/PY,

order to calculate your Massachusetts child or dis-

line 14g and enter the result here and

abled dependent/spouse care expense deduction.

Lines 15 through 19

in Form 1-NR/PY, line 16. . . . . . . . .

Note: You cannot claim this deduction if married

Massachusetts allowable deductions differ from

filing a separate return.

“Itemized Deductions” on Schedule A of U.S.

Form 1040. You may claim only the deductions

specified on Massachusetts Form 1-NR/PY, lines

15 through 18 and Schedule Y.

Instructions For Form 1-Nr/py - Massachusetts Nonresident Or Part-Year Resident Income Tax - 2006 Page 15

Related Articles

Related forms

Related Categories