Fillable Form 8932 - Credit For Employer Differential Wage Payments (Page 2 of 2) in pdf

Form 8932 (Rev. 1-2016)

Page

Disallowance for Failure To Comply With

If the cooperative is subject to the passive activity

rules, include on line 3 any Form 8932 credit from passive

Employment or Reemployment Rights of

activities disallowed for prior years and carried forward to

Members of the Reserve Components of the

this year. Complete Form 8810, Corporate Passive

Armed Forces of the United States

Activity Loss and Credit Limitations, to determine the

allowed credit that must be allocated to patrons. For

No credit will be allowed to a taxpayer for:

details, see the Instructions for Form 8810.

• Any tax year beginning after June 17, 2008, in which the

Estates and trusts. Allocate the credit for employer

taxpayer is under a final order, judgment, or other

differential wage payments on line 4 between the estate

process issued or required by a district court of the

or trust and the beneficiaries in the same proportion as

United States under section 4323 of title 38 of the United

income was allocated and enter the beneficiaries' share

States Code with respect to a violation of chapter 43 of

on line 5.

title 38; and

• The two succeeding tax years.

If the estate or trust is subject to the passive activity

rules, include on line 3 any Form 8932 credit from passive

activities disallowed for prior years and carried forward to

Specific Instructions

this year. Complete Form 8582-CR, Passive Activity

Credit Limitations, to determine the allowed credit that

Line 1

must be allocated between the estate or trust and the

Enter the total amount of eligible differential wage

beneficiaries. For details, see the Instructions for Form

payments made to qualified employees during the tax

8582-CR.

year. Do not include more than $20,000 of payments for

any employee.

Paperwork Reduction Act Notice. We ask for the

Line 2

information on this form to carry out the Internal Revenue

laws of the United States. You are required to give us the

Generally, you must reduce your deduction for salaries

information. We need it to ensure that you are complying

and wages by the amount on line 2, even if you cannot

with these laws and to allow us to figure and collect the

take the full credit this year because of the tax liability

right amount of tax.

limit. If you capitalized any costs on which you figured the

credit, reduce the amount capitalized by the credit

You are not required to provide the information

attributable to these costs.

requested on a form that is subject to the Paperwork

Reduction Act unless the form displays a valid OMB

Line 3

control number. Books or records relating to a form or its

Enter total credits for employer differential wage

instructions must be retained as long as their contents

payments from:

may become material in the administration of any Internal

Revenue law. Generally, tax returns and return

• Schedule K-1 (Form 1065), Partner's Share of Income,

information are confidential, as required by section 6103.

Deductions, Credits, etc., box 15 (code P);

The time needed to complete and file this form will

• Schedule K-1 (Form 1120S), Shareholder's Share of

vary depending on individual circumstances. The

Income, Deductions, Credits, etc., box 13 (code P);

estimated burden for individual taxpayers filing this form

• Schedule K-1 (Form 1041), Beneficiary's Share of

is approved under OMB control number 1545-0074 and is

Income, Deductions, Credits, etc., box 13 (code Q); or

included in the estimates shown in the instructions for

• Form 1099-PATR, Taxable Distributions Received From

their individual income tax return. The estimated burden

Cooperatives, box 10, or other notice of credit allocation.

for all other taxpayers who file this form is shown below.

Partnerships, S corporations, cooperatives, estates,

Recordkeeping . . . . . . . . . . 1 hr., 54 min.

and trusts must always report the above credits on line 3.

Learning about the

All other filers figuring a separate credit on earlier lines

law or the form . . . . . . . . . . . .

30 min.

must also report the above credits on line 3. All others not

Preparing and sending the form

using earlier lines to figure a separate credit can report

to the IRS . . . . . . . . . . . . . .

33 min.

the above credits directly on Form 3800, Part III, line 1w.

If you have comments concerning the accuracy of

Line 5

these time estimates or suggestions for making this form

Cooperatives. A cooperative described in section

simpler, we would be happy to hear from you. See the

1381(a) must allocate to its patrons the credit in excess

instructions for the tax return with which this form is filed.

of its tax liability limit. Therefore, to figure the unused

amount of the credit allocated to patrons, the

cooperative must first figure its tax liability. While any

excess is allocated to patrons, any credit recapture

applies as if the cooperative had claimed the credit.

Form 8932 - Credit For Employer Differential Wage Payments Page 2

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