Form Schedule L Standard Deduction for Certain Filers

Form Schedule L Standard Deduction for Certain Filers

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INSTRUCTIONS: STANDARD DEDUCTION FOR CERTAIN FILERS SCHEDULE L

 

You should only file this form if you’re increasing your standard deduction by certain net disaster losses or new motor vehicle taxes paid in 2010 for certain vehicles you purchased in 2009.  You need to attach this form to Form 1040A or 1040. 

“Standard Deduction for Certain Filers Schedule L Step 1”

For line 3, your earned income includes wages, salaries, tips, professional fees, scholarships, and other personal compensation. 

Form 1040 filers can find this amount on lines 7, 12, and 18 minus the amount on 27.  Form 1040A filers can find this amount of line 7. 

“Standard Deduction for Certain Filers Schedule L Step 2”

For line 6, your standard deduction increases by a los form a disaster after 2007 but occurred before 2010 and you could not deduct in the year because you were not sure whether a part would be reimbursed.  This value is shown on Form 4684 on line 17. 

“Standard Deduction for Certain Filers Schedule L Step 3”

If you checked “Yes” on line 7, you may be able to include some or all of the state or local taxes you paid in 2010 for a new motor vehicle.  If the amount on Form 1040, line 38 is equal to or great than $135,000, you cannot include these taxes.  In states with no sales tax, you may be charged other taxes or fees on the purchase of a new motor vehicle that is similar to a sales tax.  See the specific instructions for more information.

“Standard Deduction for Certain Filers Schedule L Step 4”

On line 8, enter the cost of the new motor vehicle.  Do not include any state, local or excise taxes entered on line 7. 

“Standard Deduction for Certain Filers Schedule L Step 5”

If you checked “Yes” in line 9, the amount you can include for state, local or excise taxes is limited to the taxes imposed on the first $49,500 of the purchase price for each new vehicle.  To calculate line 9, you need to figure out the rates of tax that apply in the state or local district where you purchased the new vehicle(s). 

If the state or local district has a fixed rate, multiply the combined state and local rate by the smaller of $49,500 OR by the purchase price of the new motor vehicle. 


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