Instructions For Form 4626 - 2003 Page 10
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11Line 7—Acquisition Expenses
Exception. Independent oil and gas
ensure that you are complying with
producers and royalty owners that
these laws and to allow us to figure and
of Life Insurance Companies
figured their regular tax depletion
collect the right amount of tax.
for Qualified Foreign Contracts
deduction under section 613A(c) do not
You are not required to provide the
For ACE, acquisition expenses of life
have an adjustment for ACE purposes.
information requested on a form that is
insurance companies for qualified
subject to the Paperwork Reduction Act
Line 9—Basis Adjustments in
foreign contracts (as defined in section
unless the form displays a valid OMB
Determining Gain or Loss From
807(e)(4) without regard to the
control number. Books or records
treatment of reinsurance contract rules
Sale or Exchange of Pre-1994
relating to a form or its instructions
of section 848(e)(5)) must be
Property
must be retained as long as their
capitalized and amortized by applying
If, during the tax year, the corporation
contents may become material in the
the treatment generally required under
disposed of property for which it is
administration of any Internal Revenue
generally accepted accounting
making (or previously made) any of the
law. Generally, tax returns and return
principles (and as if this rule applied to
section 56(g) ACE adjustments,
information are confidential, as required
such contracts for all applicable tax
refigure the property’s adjusted basis
by section 6103.
years).
for ACE. Then refigure the property’s
The time needed to complete and
Subtract the ACE expense (if any)
gain or loss.
file this form will vary depending on
from the regular tax expense and enter
Enter the difference between the
individual circumstances. The
the result on line 7. If the ACE expense
AMT gain or loss (used to figure line 2e
estimated average time is:
is more than the regular tax expense,
of Form 4626) and the ACE gain or
enter the result as a negative amount.
loss. Enter the difference as a negative
Recordkeeping . . . . . . . 17 hr., 13 min.
Line 8—Depletion
amount if:
Learning about the law
•
The ACE gain is less than the AMT
or the form . . . . . . . . . . 12 hr., 36 min.
When figuring ACE, the allowance for
gain,
Preparing and sending
depletion for any property placed in
•
The ACE loss is more than the AMT
the form to the IRS . . . . 13 hr., 27 min.
service in a tax year that began after
loss, or
1989 generally must be determined
•
If you have comments concerning
The corporation had an ACE loss
under the cost depletion method of
the accuracy of these time estimates or
and an AMT gain.
section 611.
suggestions for making this form
Subtract the ACE expense (if any)
simpler, we would be happy to hear
from the AMT expense (used to figure
Paperwork Reduction Act Notice.
from you. See the instructions for the
line 2l of Form 4626) and enter the
We ask for the information on this form
tax return with which this form is filed.
result on line 8 of the worksheet. If the
to carry out the Internal Revenue laws
ACE expense is more than the AMT
of the United States. You are required
amount, enter the result as a negative
to give us the information. We need it to
amount.
-10-
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial