Select the links below to for more detailed information on each topic:
Forms 8082, 8821, 8275, 8594, 8857, 4810, 8938:
- Form 8082 - Notice of Inconsistent Treatment- Taxpayers who receive Schedule K-1's, Schedule Q's, or foreign trust statements are generally required to report items on their individual tax returns consistent with the way they are reported on each of these forms. There may be certain circumstances where the taxpayer will need to report these items differently than they were reported to the IRS. Form 8082 is used in conjunction with their tax return to notify the IRS of any inconsistencies between the way items were reported by the entity and how the taxpayer is choosing to report the information. This form can also be used to notify the IRS that the entity did not issue a Schedule K-1, Schedule Q, or foreign trust statement. If this form does not accompany the tax return and the IRS discovers discrepancies in the way items are reported, the taxpayer may be penalized for not reporting the information on their tax return properly.
Instructions for Form 8082, Notice of Inconsistent Treatment or Administrative Adjustment Request
- Form 8275 - Disclosure Statement (8275 & 8275-R)- Form 8275 is used by taxpayers and tax return preparers to disclose items or positions, except those taken contrary to a regulation, that are not otherwise adequately disclosed on a tax return to avoid certain penalties. It can also be used for disclosures relating to preparer penalties for understatements due to unreasonable positions or disregard of rules.
Instructions for Form 8275, Disclosure Statement
- Form 8275-R is used by taxpayers and tax return preparers to disclose positions taken on a tax return that are contrary to Treasury regulations. The form is filed to avoid the portions of the accuracy-related penalty due to disregard of regulations or to a substantial understatement of income tax for non-tax shelter items if the return position has a reasonable basis.
Instructions for Form 8275-R, Regulation Disclosure Statement
- Form 8821 - Tax Information Authorization- Form 8821 is used to designate an individual, corporation, firm, organization, or partnership to receive sensitive and confidential tax information on a taxpayer for the years or periods that they may specify. This form only allows these individuals to receive tax information on a taxpayer, they are not authorized to act on the taxpayer's behalf or to represent them before the IRS.
Instructions for Form 8821, Tax Information Authorization
- Form 8594 - Asset Acquisition Statement- When business assets are sold to another individual or company, each party must fill out Form 8594 to report how those items will be treated for tax purposes. The purchaser and the seller will both attach Form 8594 to their tax returns indicating which of 7 classes each asset is categorized in. The IRS is not specific on how each item is classified, as long as both the buyer and seller use the same method. This form should be the same as what is outlined in the sales agreement between the buyer and the seller. If there are inconsistencies, penalties and fees may be assessed if the IRS has to make adjustments.
Instructions for Form 8594, Asset Acquisition Statement
- Form 8857 - Request for Innocent Spouse Relief
- Form 4810 - Request for Prompt Assessment- When a taxpayer is deceased, their personal representative becomes responsible for the decedent's taxes. Any individual tax due, gift tax, estate tax, or any other remaining tax debt becomes the sole responsibility of the personal representative. To make sure that the IRS has completed assessment of the decedent's taxes and that all amounts due are paid or accounted for, the personal representative may file Form 4810. This shortens the length of time the IRS would ordinarily have for reviewing tax returns for accuracy and for assessing any additional taxes. Once the the IRS has completed their assessment, the personal representative may then distribute the assets of the decedent.
Instructions for Form 4810, Request for Prompt Assessment Under Internal Revenue Code Section 6501(d)
- Form 8938 - Statement of Specified Foreign Financial Assets- Any U.S. person holding foreign financial assets with an aggregate value in excess of specified amounts that are based upon their filing status or a amount at the end of the tax year, are required to report specific information regarding those assets to the IRS. This reporting requirement is met by completing, Form 8938.
IRC Section 6038D defines foreign financial assets as assets that are held in a financial account maintained by a foreign financial institution such as bank accounts; any stock or security issued by a person other than a U.S. person; any financial instrument or contract held for investment that has an issuer or counterparty that other than a U.S. person; and any interest in a foreign entity. Currently there is no guidance available on how to determine the value of any non-liquid foreign assets that are required to be reported on Form 8938. The chief counsel’s office noted that the guidance is in the processed of being developed and will be promulgated within the next few months.
The Form 8938 must be attached to the taxpayer’s annual tax return for assets held in tax years beginning on or after January 1, 2011.
Instructions for Form 8938, Statement of Specified Foreign Financial Assets