Form It-40 - Indiana Full-Year Resident Individual Income Tax Booklet - 2012 Page 54
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64Example. On Jan. 1, 2012, Jack and Diane lived in the same county,
Tax returns filed using the wrong rates will be adjusted. This may
and that county has a tax. They will enter their Form IT-40, line 7
result in a reduced refund or an increase in the amount you owe.
combined state taxable income in Column A.
Line 6
If you are filing a joint return and you and your spouse lived in differ-
Add the amounts from line 5, Columns A and B. If you were a Perry
ent counties on Jan. 1, 2012, or if Lake County adopted a tax and you
County resident and worked in the Kentucky counties of Breckinridge,
lived in different Lake County cities or towns on Jan. 1, 2012
, enter
1
Hancock or Meade, complete lines 7 and 8. Otherwise, enter the total
each person’s share of state taxable income from Form IT-40, line 7 in
here and on line 9.
the appropriate columns.
Line 7
Lake County residents should see the Special Instructions for Lake
1
Enter here the amount of income taxed by any of the Kentucky coun-
County Residents on page 55 for more information.
ties listed on line 6.
Example. Simon and Tina married in 2012 and are filing a joint return.
Line 9
On Jan. 1, 2012, Simon lived in Greene County and Tina lived in Clay
Subtract the amount on line 8 from the amount on line 6. Enter that
County. Their Form IT-40 line 7 income of $36,300 includes the fol-
amount here or, if there are no entries on those lines, enter the amount
lowing breakdown:
from line 6. Also, enter this amount on your IT-40, line 9.
Simon: $20,000 wages
County Tax Schedule CT-40
+
150 (1/2 joint interest income)
Section 2: Line-by-Line Instructions
- 1,000 exemption
$ 19,150 income for CT-40 Section 1, line 1, Column A
Complete Section 2 if, on Jan. 1, 2012, you were a resident of Lake
Tina:
$18,000 wages
County, Lake County did not adopt a tax, and you worked in an Indi-
+
150 (1/2 joint interest income)
ana county that does have a county tax.
- 1,000 exemption
$ 17,150 income for CT-40 Section 1, line 1, Column B
Line 1
Enter your principal employment income for the year. This includes
Example. The circumstances are the same as the example above except
income from wages, tips, salaries and commissions; net self-employ-
that Tina lived in Lake County, which does not have a county tax.
ment income from federal Schedule C/C-EZ; federal Form 1065,
Simon would still enter his $19,150 share of the Form IT-40 line 7
Schedule K-1; and/or net farm income from federal Schedule F. Do
amount on CT-40 Section 1, line 1, Column A. However, Column B
not include passive-source income like non-business interest and
will be left blank since Tina won’t owe a county tax.
dividends, pension, capital gains, farm rental, etc. Also, do not include
income from a part-time job if you hold it at the same time you have a
Line 2
full-time job.
If you claimed a non-Indiana locality earnings deduction on Sched-
ule 2, line 8, enter that amount on this line in Column A. If you are
Example. During 2012, Jake received income from the following
completing Column B instead, and your spouse is the one taking this
sources:
deduction, then enter it in Column B.
•
$15,000 from his full-time job (held for the entire year)
•
$1,850 from his part-time job
Line 4
•
$50 non-business interest income
Find your county on the County Income Tax Chart on the back of
•
$800 pension income
Schedule CT-40. Find the rate from the Resident Rate column and
enter it here.
Jake will enter his $15,000 principal employment income on line 1.
Important. Indiana counties were eligible to adopt or increase their
If you had more than one job at different times during the year (not
local income tax rates through Oct. 31, 2012. This publication was
including part-time employment), add the income from those jobs
finalized before that date. This means your county tax rate on the back
and enter it here.
of Schedule CT-40 may not be correct. We encourage you to contact
us in one of the following ways to get an updated list of the rates before
Example. Sarah had two full-time jobs during the year. She earned
filing. To get the updated list, you may:
$7,000 from her first job, which she held from January through April.
•
Log on to the Department’s website at:
She began a new job in May and worked through year’s end, earning
•
Call the form order request line at (317) 615-2581 to have one
$11,000. She should enter the $18,000 combined amount here.
mailed to you.
•
Call our main tax line at (317) 232-2240 Monday – Friday, 8 a.m.
If you worked two or more jobs at the same time, enter the portion you
to 4:30 p.m., and a representative will assist you.
earned from your main job.
Page 54
IT-40 Booklet 2012
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial