Form Mo-1040c Instructions For The Missouri Itemized Deductions (Page 2 of 2) in pdf

Single

Married Filing A Combined Return

Line-by-Line Instructions for the

$4,300

$7,200

Missouri Itemized Deductions

But, if you or your spouse marked any of the boxes for 65 or older or blind, please see

your federal return for your standard deduction amount.

If you itemized on your federal return, you may want to itemize on your state return or

• You must enclose a copy of your Federal Form 1040 and Federal Schedule A with

take the standard deduction, whichever results in the higher deduction amount. How-

your Missouri return if you itemize your deductions.

ever, if you were required to itemize deductions on your federal return, you must also

• You cannot itemize your deductions if you took the standard deduction on your fed-

itemize deductions on your state return. To figure your itemized deductions, please fill out

eral return.

the schedule on the back of the return. If you itemize deductions on your federal

return, you must enclose a copy of Fed. Form 1040, pgs. 1 & 2, and Sched. A.

Line 1 — Federal Itemized Deductions

How do I figure my dependent deduction?

Enter the amount from Federal Form 1040, Line 36 on Line 1. Include on Line 1 your approved

Multiply $1,200 by the total number of people you claimed as dependents on your

cultural contributions (literary, musical, scholastic or artistic) to a tax exempt agency or institution

federal return. Do not include yourself or your spouse.

that is operated on a not-for-profit basis. Cash contributions do not qualify. Contact the

department at (573) 751-5746 to verify your contribution qualifies.

Multiply $1,000 by the total number of people age 65 or older you claimed on your

federal return. If dependents receive state funding or Medicaid, they do not qualify.

Lines 2 and 3 — Social Security Tax (FICA)

Do not include yourself or your spouse. Enclose a copy of your federal return

Enter in the first box on Line 2 the social security tax you paid in 1999, from the social security

(pages 1 and 2).

tax withheld box on your 1999 Form W-2(s), (not to exceed $4,501). Enter in the second box on

How do I figure my tax?

Line 2 the Medicare tax you paid in 1999, from the Medicare tax withheld box on your 1999

If your Missouri taxable income is less than $9,000, use the tax table located on the

Form W-2(s). Enter the total of these two boxes on Line 2. Repeat these steps using your

back of the tax form. If the Missouri taxable income is over $9,000, then subtract

spouse’s information and enter on Line 3.

$9,000 from your Missouri taxable income and multiply the difference by 6%. This

Lines 4 and 5 — Railroad Retirement Tax

figure should be added to $315 and placed on Line 14.

Enter in the first box on Line 4 the railroad retirement tax, Tier I and Tier II, which was withheld

If you have an amount due, you can pay by credit card, regardless of when you file your

from your wages during 1999 (not to exceed $7,132). This amount includes a Tier I maximum of

return. The department accepts Mastercard, Discover and American Express. Call toll-

$4,501 and Tier II maximum of $2,631. Enter in the second box on Line 4 the Medicare tax you

free 1-888-296-6509. A convenience fee will be added to your credit card account.

paid in 1999. Enter the total of these two boxes on Line 4. Repeat these steps using your

Should I take a credit or complete the Form MO-NRI?

spouse’s information and enter on Line 5.

You can only take a credit or complete the Form MO-NRI. The same taxpayer

Note: If a person has both FICA and railroad retirement tax, the maximum deduction allowed is

cannot do both. (Your spouse may still take a credit, if you complete Form MO-NRI.)

the amount withheld as shown on the Form W-2(s) less, either the amount entered on Federal

You should take a credit for taxes paid to other states, if you are a Missouri resident and

Form 1040, Line 62, or, if only one employer, the amount refunded by the employer.

had income from other states. (Complete Form MO-CR and enter the credit amount on

Form MO-1040C, Line 15.) If you or your spouse was a part-year resident or a nonresi-

Lines 6 and 7 — Self-employment Tax

dent, figure your Missouri income percentage by completing Form MO-NRI.

Enter in the first box on Line 6 the self-employment tax you paid in 1999 from the Federal Form

If you or your spouse did not have Missouri source income, enter “0” on Form MO-NRI,

1040, Line 50. Enter in the second box on Line 6, your portion of the amount of self-employ-

Part B, Line 1 and on Form MO-1040C, Line 16. If all of your income was from Missouri,

second box from the first box

ment tax deducted on Federal Form 1040, Line 27. Subtract the

enter 100% on Form MO-1040C, Line 16.

and enter the difference on Line 6. Repeat these steps using your spouse’s informa-

tion and enter on Line 7.

Note: Active duty military personnel should complete a Form MO-NRI & Form MO-1040C.

What are estimated tax payments?

Line 8 — Total

Estimated tax is a method used to pay tax on income that is not subject to withholding.

Add Lines 1 through 7. Enter the total on Line 8.

This includes income from self-employment, interest, dividends, alimony, rent, capital

Line 9 — State and Local Income Taxes

gains, prizes, awards and some pensions/annuities and Individual Retirement Accounts

Enter on Line 9 the amount from your Federal Form 1040, Schedule A, Line 5. However, if your

(IRAs). Quarterly estimated tax payments are due April 15, June 15, Sept. 15 and Jan. 15.

federal adjusted gross income from Federal Form 1040, Line 33 is more than $126,600 ($63,300

Can I still make a trust fund contribution even though I have a balance due?

if married filing separate) complete the Worksheet for Line 9.

Yes, but don’t forget to add the amounts contributed to the amount due and provide a

Note: The state and local tax you claim on your federal itemized deductions must be subtracted

separate check. Note: The minimum contribution to any trust fund is $2.00 per

from Missouri itemized deductions. Because at the federal level your itemized deductions are

taxpayer ($4.00 if married filing combined).

reduced if your income is greater than $126,600 ($63,300 if married filing separate), you need to

Why would I want to apply any or all of my refund to next year’s taxes?

complete this worksheet so you subtract only the amount of state and local tax you were allowed

You may reduce the amount of tax you may have to pay with next year’s Missouri return.

on your federal itemized deductions. Do not complete Lines 9 and 10. If you don’t complete

the worksheet (and you should complete it) your Missouri itemized deductions will be lower than

they should be, and you’ll pay too much tax!

Frequently Asked Questions of the

Worksheet, Line 9

Missouri Itemized Deductions

Included in the Federal Revenue Reconciliation Act of 1990 was a provision that required individ-

uals with federal adjusted gross income over certain income thresholds to reduce the amount

allowable for federal itemized deductions by 3% of the excess over that threshold (26 USC 68).

What can I include in my Missouri Itemized Deductions?

Certain deductions, such as medical expenses, investment interest and casualty, theft or

You may include the items that are in your federal itemized deductions, except state

wagering losses are not subject to this reduction. For 1999, the threshold is income over

income tax. You may also include one-half of your self-employment tax and your with-

$126,600 ($63,300 if married filing separate).

holdings for social security tax, Medicare tax and railroad retirement tax reported on

your Form W-2(s). However, if your withholding for social security and/or railroad

Line 10 — Earnings Taxes

retirement exceed the maximum, the excess amount may not be included. A cultural

Enter on Line 10 the amount of any Kansas City and St. Louis earnings taxes that are included in

contribution is provided for an approved literary, musical, scholarly or artistic composi-

Line 9.

tion. Monetary contributions do not qualify.

Line 11 — Net State Income Taxes

Why do I have to subtract my state taxes from my itemized deductions?

Subtract Line 10 from Line 9 and enter the result on Line 11 or if you completed the Worksheet for

The State of Missouri allows a deduction for the federal tax you pay. The state tax is

Line 9, enter the amount from Line 8 of the Worksheet.

included in your federal itemized deductions and it cannot be included in your Missouri

itemized deductions.

Line 12 — Missouri Itemized Deductions

Why should I complete this worksheet?

Subtract Line 11 from Line 8 and enter the result on Line 12, and on front of form, Line 8. If this

If your federal adjusted gross income is more than $126,600 ($63,300 if married filing

amount is less than the federal standard deduction (see federal income tax instructions for

separate), your federal itemized deductions were reduced. You should complete the

amount), then you should enter the standard deduction amount on front of form, Line 8, unless

worksheet to be sure you only subtract the amount of state and local tax you were

you were required to itemize your deductions on your federal return. If you were required to

allowed on your federal itemized deductions. Failure to complete the worksheet may

itemize your deductions on your federal return, you must itemize deductions on your Missouri

result in you paying too much tax.

return and enter the amount from Line 12 on the front of the form, Line 8.

Form Mo-1040c Instructions For The Missouri Itemized Deductions Page 2

Related Articles

Related forms

Related Categories