Instructions For Form 540 - California Resident Income Tax Return

e-file is fast, easy, and secure!

Instructions: Form 540

If your filing status is:

Is line 13 more than:

California Standard Deduction Worksheet for Dependents

Single or married/RDP filing separately . . . . . . . . . . . . . . . . . . . . . $172,615

Use this worksheet only if your parent, or someone else, can claim you (or

Married/RDP filing jointly or qualifying widow(er) . . . . . . . . . . . . . $345,235

your spouse/RDP) as a dependent on their return. Use whole dollars only.

Head of household . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $258,927

1. Enter your earned income from: line 1 of the

Yes Complete the AGI Limitation Worksheet below.

“Standard Deduction Worksheet for Dependents’’

Follow the instructions on Form 540, line 32.

in the instructions for federal Form 1040;

Form 1040A; or from line A of the worksheet

AGI Limitation Worksheet

on the back of Form 1040EZ. . . . . . . . . . . . . . . . . . . 1

Use whole dollars only.

2. Minimum standard deduction . . . . . . . . . . . . . . . . . . 2

$1,000.00

a Enter the amount from line 13. . . . . . . . . . . . . . . . . . . . . . . . . a______

3. Enter the larger of line 1 or line 2 here . . . . . . . . . . . 3

b Enter the amount for your filing status on line b:

4. Enter the amount shown for your filing status

• Single or married/RDP filing separately. . . . . $172,615

}

• Single or married/RDP filing separately,

• Married/RDP filing jointly or

}

enter $3,906. . . . . . . . . . . . . . . . . . . . . . . . . . . . .

qualifying widow(er) . . . . . . . . . . . . . . . . . . . $345,235

b______

• Married/RDP filing jointly, head of household,

4 ____________

• Head of household. . . . . . . . . . . . . . . . . . . . . $258,927

or qualifying widow(er), enter $7,812 . . . . . . . . . . .

c Subtract line b from line a . . . . . . . . . . . . . . . . . . . . . . . . . . . . c______

5. Standard deduction. Enter the smaller of

d Divide line c by $2,500 ($1,250 if married/RDP filing

line 3 or line 4 here and on Form 540, line 18. . . . . . . 5____________

separately). If the result is not a whole number, round it

to the next higher whole number. . . . . . . . . . . . . . . . . . . . . . . d______

Line 19 – Taxable Income

e Multiply line d by $6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . e______

Capital Construction Fund (CCF). If you claim a deduction on your federal

Add the numbers from the boxes on

Form 1040, line 43 for the contribution made to a capital construction fund

lines 7, 8, and 9 (not the dollar amounts) . . . . . . . . . . . . . . . . f______

set up under the Merchant Marine Act of 1936, reduce the amount you

g Multiply line e by line f . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . g______

would otherwise enter on line 19 by the amount of the deduction. Next to

h Add the total dollar amount from lines 7, 8, and 9 . . . . . . . . . h______

line 19, enter “CCF” and the amount of the deduction. For details, see federal

Subtract line g from line h. If zero or less, enter -0- . . . . . . . . i______

Publication 595, Capital Construction Fund for Commercial Fishermen.

Enter the number from the box on

line 10 (not the dollar amount) . . . . . . . . . . . . . . . . . . . . . . . . j______

Tax

k Multiply line e by line j. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . k______

Enter the dollar amount from line 10 . . . . . . . . . . . . . . . . . . . l______

When figuring your tax, use the correct filing status and taxable income

amount.

m Subtract line k from line l. If zero or less, enter -0- . . . . . . . . m______

n Add line i and line m. Enter the result here and on line 32. . . . n______

Line 31 – Tax

To figure your tax, use one of the following methods and check the matching

Line 34 – Tax from Schedule G-1 and Form FTB 5870A

box on line 31:

If you received a qualified lump-sum distribution in 2013 and you were

• Tax Table. If your taxable income on line 19 is $100,000 or less, use the

born before January 2, 1936, get Schedule G-1, to figure your tax by special

tax table beginning on page 59. Use the correct filing status column in

methods that may result in less tax.

the tax table.

If you received accumulation distributions from foreign trusts or from certain

• Tax Rate Schedules. If your taxable income on line 19 is over $100,000,

domestic trusts, get form FTB 5870A, Tax on Accumulation Distribution of

use the tax rate schedule for your filing status on page 64.

Trusts, to figure the additional tax.

• FTB 3800. Generally, use form FTB 3800, Tax Computation for Certain

To get these forms, see “Order Forms and Publications” on page 67.

Children with Investment Income, to figure the tax on a separate

Form 540 for your child who was 18 and under or a student under age 24

Special Credits and Nonrefundable Credits

on January 1, 2014, and who had more than $2,000 of investment

income. Attach form FTB 3800 to the child’s Form 540.

A variety of California tax credits are available to reduce your tax if you

• FTB 3803. If, as a parent, you elect to report your child’s interest and

qualify. To figure and claim most special credits, you must complete a

dividend income of $10,000 or less (but not less than $1,000) on your

separate form or schedule and attach it to your Form 540. The Credit Chart

tax return, complete form FTB 3803, Parents’ Election to Report Child’s

on page 22 describes the credits and provides the name, credit code, and

Interest and Dividends. File a separate form FTB 3803 for each child

number of the required form or schedule. Many credits are limited to a

whose income you elect to include on your Form 540. Add the amount

certain percentage or a certain dollar amount. In addition, the total amount

of tax, if any, from each form FTB 3803, line 9, to the amount of your tax

you may claim for all credits is limited by tentative minimum tax (TMT); go

from the tax table or tax rate schedules and enter the result on Form 540,

to Box A to see if your credits are limited.

line 31. Attach form(s) FTB 3803 to your tax return.

If you are not claiming any special credits go to line 40 and line 46 to see if

To prevent possible delays in processing your tax return or refund, enter the

you qualify for the nonrefundable child and dependent care expenses credit

correct tax amount on this line. To automatically figure your tax or to verify

or the nonrefundable renter’s credit.

your tax calculation, use our online tax calculator. Go to ftb.ca.gov and

search for tax calculator.

CalFile or e-file and you won’t have to do the math. Go to

✓

Tip

ftb.ca.gov and search for efile.

Line 32 – Exemption Credits

Exemption credits reduce your tax. If your federal adjusted gross income

(AGI) on line 13 is more than the amount shown below for your filing status,

your credits will be limited.

For purposes of computing limitations based upon AGI, RDPs, recalculate

their AGI using a federal pro forma or California RDP Adjustments Worksheet

(located in FTB Pub. 737). If your recalculated federal AGI is more than the

amount shown below for your filing status, your credits will be limited.

Personal Income Tax Booklet 2013 Page 9

Instructions For Form 540 - California Resident Income Tax Return - 2013 Page 3

Related Articles

Related forms

Related Categories