The Kentucky 740 form is the official document used by residents to report their individual income tax for the state of Kentucky. This form captures essential information such as income, deductions, and tax credits, allowing individuals to calculate their tax liability accurately. Completing the Kentucky 740 form is a crucial step in fulfilling state tax obligations, so be sure to fill it out by clicking the button below.
The Kentucky 740 form serves as the primary document for individuals filing their state income tax returns in Kentucky. Designed specifically for full-year residents, this form captures essential information such as the taxpayer's and spouse's Social Security numbers, names, and mailing addresses. It requires filers to indicate their filing status, which can range from single to married filing jointly or separately. The form also includes sections for reporting income, adjustments, and various tax credits, including the Family Size Tax Credit and Education Tuition Tax Credit. Taxpayers must calculate their total tax liability by combining their income, applicable deductions, and credits, ultimately determining whether they owe taxes or are due a refund. Additional details, such as contributions to political party funds and various business incentive credits, are also included. Completing the Kentucky 740 form accurately is crucial for ensuring compliance with state tax laws and maximizing potential refunds.
740
*1200030001*
INDIVIDUAL INCOME TAX RETURN
Department of Revenue
42A740
KENTUCKY
For calendar year or other taxable year beginning _________ , 2012, and ending ________ , 20____ .
Full-Year Residents Only
2012
A. Spouse’s Social Security Number
B. Your Social Security Number
Name—Last, First, Middle Initial (Joint or combined return, give both names and initials.)
Mailing Address (Number and Street including Apartment Number or P.O. Box)
City, Town or Post Office
State
ZIP Code
Attach Form W-2(s), Other Supporting Statement(s) and Payment Here—Staple to Top Page Only
FILING STATUS (see instructions)
POLITICAL PARTY FUND
1
Single
Designating $2 will not change your refund or tax due.
2
Married, filing separately on this combined return. (If both had income.)
A. Spouse
B. Yourself
3
Married, filing joint return.
Democratic
(1)
(4)
4
Married, filing separate returns. Enter spouse’s Social Security number above
Republican
(2)
(5)
and full name here.
No Designation
(3)
(6)
INCOME/TAX
A. Spouse (Use if
B.
Yourself
5
Enter amount from federal Form 1040, line 37; 1040A, line 21 or
Filing Status 2 is checked.)
(or Joint)
1040EZ, line 4. (If total of Columns A and B is $30,657 or less, you
•
00
may qualify for the Family Size Tax Credit. See instructions.)
6
Additions from Schedule M, line 8
7
Add lines 5 and 6
.............................................................
8
Subtractions from Schedule M, line 20
9
Subtract line 8 from line 7. This is your Kentucky Adjusted Gross Income
10
Itemizers: Enter itemized deductions from Kentucky Schedule A.
Nonitemizers: Enter $2,290 in Columns A and/or B
• 10
11
Subtract line 10 from line 9. This is your Taxable Income
• 11
12
Enter tax from Tax Table, Computation or Schedule J.
Check if from Schedule J
...........................................................................
13
Enter tax from Form 4972-K
; Schedule RC-R
• 13
14
Add lines 12 and 13 and enter total here
15
Enter amounts from page 3, Section A, lines 22A and 22B
16
Subtract line 15 from line 14. If line 15 is larger than line 14, enter zero
17
Enter personal tax credit amounts from page 3, Section B, lines 4A and 4B
• 17
18
Subtract line 17 from line 16. If line 17 is larger than line 16, enter zero
19
..............................................................................Add tax amount(s) in Columns A and B, line 18 and enter here
20
Check the box that represents your total family size (see instructions before completing lines 20 and 21)
• 20
21
Multiply line 19 by Family Size Tax Credit decimal amount __ . __ __ (__ __ __%) and enter here
• 21
22
Subtract line 21 from line 19
23
Enter the Education Tuition Tax Credit from Form 8863-K
• 23
24
Subtract line 23 from line 22
25Enter Child and Dependent Care Credit
from federal Form 2441, line 9 ➤
x 20% (.20)
• 25
26
Income Tax Liability. Subtract line 25 from line 24. If line 25 is larger than line 24, enter zero
27
Enter KENTUCKY USE TAX due on Internet, mail order, or other out-of-state purchases (see instructions)
• 27
28
Add lines 26 and 27. Enter here and on page 2, line 29
FORM 740 (2012)
*1200030002*
Page 2 of 3
REFUND/TAX PAYMENT SUMMARY
29 Enter amount from page 1, line 28. This is your Total Tax Liability
• 29
30(a) Enter Kentucky income tax withheld as shown on attached
2012 Form W-2(s) and other supporting statements
.......................................
30(a)
(b)
Enter 2012 Kentucky estimated tax payments
30(b)
(c)
Enter 2012 refundable certified rehabilitation credit
(KRS 141.382(1)(b))
30(c)
(d)
Enter 2012 film industry tax credit (KRS 141.383)
30(d)
31
Add lines 30(a) through 30(d)
32
If line 31 is larger than line 29, enter AMOUNT OVERPAID (see instructions)
Fund Contributions; See instructions.
➤ (ENTER AMOUNT(S) CHECKED)
33
Nature and Wildlife Fund
$10
$25
$50
Other
34
Child Victims’ Trust Fund
35
Veterans’ Program Trust Fund
36
Breast Cancer Research/Education Trust Fund
37
Add lines 33 through 36
38
Amount of line 32 to be CREDITED TO YOUR 2013 ESTIMATED TAX
• 38
39
Subtract lines 37 and 38 from line 32. Amount to be REFUNDED TO YOU
.................................
REFUND
• 39
40
If line 29 is larger than line 31, enter ADDITIONAL TAX DUE
• 40
41
(a)
Estimated tax penalty and/or interest.
...CHECK IF FORM 2210-K ATTACHED
41(a)
Interest
41(b)
Late payment penalty
41(c)
Late filing penalty
41(d)
42
Add lines 41(a) through 41(d). Enter here
• 42
43
Add lines 40 and 42 and enter here. This is the AMOUNT YOU OWE
OWE
l Make check payable to Kentucky State Treasurer or visit www.revenue.ky.gov for more options.
OFFICIAL USE ONLY
l Write your Social Security number and “KY Income Tax—2012” on the check.
PWR
SECTION A—BUSINESS INCENTIVE AND OTHER TAX CREDITS
A.
Spouse
Enter nonrefundable limited liability entity credit (KRS 141.0401(2))
Enter Kentucky small business investment credit
Enter skills training investment credit (attach copy(ies) of certification)
Enter nonrefundable certified rehabilitation credit (KRS 171.397(1)(a))
Enter credit for tax paid to another state (attach copy of other state’s return(s))
Enter unemployment credit (attach Schedule UTC)
Enter recycling and/or composting equipment credit (attach Schedule RC)
Enter Kentucky investment fund credit (attach copy(ies) of certification)
Enter coal incentive credit
Enter qualified research facility credit (attach Schedule QR)
Enter GED incentive credit (attach Form DAEL-31)
Enter voluntary environmental remediation credit (attach Schedule VERB)
Enter biodiesel and renewable diesel credit
Enter environmental stewardship credit
Enter clean coal incentive credit
Enter ethanol credit (attach Schedule ETH)
Enter cellulosic ethanol credit (attach Schedule CELL)
Enter energy efficiency products credit (attach Form 5695-K)
Continue to page 3 to complete Section A
*1200030040*
Page 3 of 3
SECTION A—BUSINESS INCENTIVE AND OTHER TAX CREDITS (continued)
Enter railroad maintenance and improvement credit (attach Schedule RR-I)
Enter Endow Kentucky credit (attach Schedule ENDOW)
.....................................
Enter New Markets Development Program credit
Add lines 1 through 21, Columns A and B. Enter here and on page 1, line 15 .
SECTION B—PERSONAL TAX CREDITS
Check Regular
Check both if 65 or over
Check both if blind
1 (a) Credits for yourself:
(b) Credits for spouse:
2 Dependents:
First name
Last name
Dependent’s
Social Security number
Dependent’s relationship to you
Check if qualifying
child for family size tax credit
3Add total number of credits claimed on lines 1 and 2.
If married filing separately on a combined return (Filing Status 2), each taxpayer must claim his or her own credits from line 1, divide the credits on line 2, and enter the totals in Boxes 3A and 3B. All other
filers enter the amount from line 3 in Box 3B
➤
4Multiply credits on line 3A by $20 and enter on line 4A. Multiply credits on line 3B by $20 and
enter on line 4B. Enter here and on page 1, line 17, Columns A and B ..................................................................
• 3A
• 3B
x $20
4A
4B
SECTION C—FAMILY SIZE TAX CREDIT (List the name and Social Security number of qualifying children that are not claimed as dependents in Section B.)
Attach a complete copy of federal Form 1040 if you received farm, business, or rental income or loss. If not required, check here.
I, the undersigned, declare under penalties of perjury that I have examined this return, including all accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct and complete. I also understand and agree that our election to file a combined return under the provisions of Regulation 103 KAR 17:020 will result in refunds being made payable to us jointly and in each of us being jointly and severally liable for all taxes accruing under this return.
(
)
Your Signature (If joint or combined return, both must sign.)
Spouse’s Signature
Date Signed
Telephone Number (daytime)
Typed or Printed Name of Preparer Other than Taxpayer
I.D. Number of Preparer
Date
Firm Name
EIN
Mail to:
REFUNDS
PAYMENTS
Kentucky Department of Revenue, Frankfort, KY 40618-0006.
Kentucky Department of Revenue, Frankfort, KY 40619-0008.
Filling out the Kentucky 740 form is an essential step for residents to report their income and calculate their tax obligations. After completing the form, it will be necessary to submit it to the Kentucky Department of Revenue along with any required attachments, such as W-2 forms. Follow the steps below to ensure that you fill out the form accurately and completely.
The Kentucky 740 form is the Individual Income Tax Return used by full-year residents of Kentucky to report their income and calculate their state tax liability. It is typically filed for the calendar year and includes information on income, deductions, credits, and tax payments.
Full-year residents of Kentucky who earn income during the tax year are required to file the Kentucky 740 form. This includes individuals who receive wages, self-employment income, rental income, or other taxable income sources. If you are married and filing jointly, both spouses must report their income on the same form.
To complete the Kentucky 740 form, you will need the following information:
The Kentucky 740 form provides several filing statuses:
Choosing the correct filing status is crucial as it can affect your tax rate and eligibility for certain credits.
The Kentucky 740 form allows taxpayers to claim various tax credits, including:
Each credit has specific eligibility requirements, so it is important to review the instructions carefully.
The completed Kentucky 740 form can be submitted by mail to the Kentucky Department of Revenue. Make sure to include all required attachments, such as W-2 forms and any supporting statements. The mailing addresses differ for refunds and payments, so double-check the instructions before sending your form.
If you owe taxes, the Kentucky 740 form will provide the total amount due. You can make your payment via check or online. If you are due a refund, it will be processed by the Kentucky Department of Revenue, and you can choose to have it directly deposited into your bank account or receive a check by mail. Ensure that all information is accurate to avoid delays in processing.
Incorrect Social Security Numbers: Failing to provide accurate Social Security numbers for both the taxpayer and spouse can lead to processing delays and potential penalties.
Omitting Required Attachments: Not attaching necessary forms such as W-2s or other supporting statements can result in incomplete submissions.
Choosing the Wrong Filing Status: Selecting an incorrect filing status may affect tax calculations and eligibility for credits.
Miscalculating Income: Errors in reporting income amounts from federal forms can lead to incorrect tax liabilities.
Ignoring Subtractions and Additions: Failing to account for additions or subtractions from income can skew the adjusted gross income calculation.
Incorrectly Calculating Tax Credits: Misunderstanding how to apply tax credits, such as the Family Size Tax Credit, can result in lost savings.
Not Signing the Return: A missing signature can invalidate the return, leading to delays in processing and potential penalties.
Failure to Double-Check Calculations: Simple arithmetic mistakes can lead to incorrect tax liabilities, affecting refunds or amounts owed.
Ignoring Deadline Requirements: Submitting the form after the deadline can incur penalties and interest on unpaid taxes.
When filing your Kentucky income tax return using the Kentucky 740 form, there are several other forms and documents that may also be required. Each of these documents serves a specific purpose and can help ensure your tax return is complete and accurate. Here’s a brief overview of some commonly used forms alongside the Kentucky 740.
Each of these forms plays a vital role in the tax filing process. By ensuring you have them ready when completing your Kentucky 740 form, you can streamline your filing experience and potentially maximize your tax benefits. Remember, keeping accurate records and understanding the requirements can make a significant difference during tax season.
The IRS Form 1040 is a federal income tax return form used by individual taxpayers to report their annual income. Similar to the Kentucky 740 form, it requires personal information, income details, and deductions. Both forms allow taxpayers to claim credits and report tax liabilities. The 1040 form serves as the foundation for calculating federal tax obligations, while the 740 form addresses state-specific requirements. Each form ultimately leads to the determination of tax owed or refund due.
The IRS Form 1040A is a simplified version of the 1040 form. It is designed for taxpayers with straightforward financial situations, such as those who do not itemize deductions. Like the Kentucky 740 form, it includes sections for income, tax credits, and calculations for tax liability. Both forms aim to streamline the filing process for individuals, ensuring that essential tax information is clearly presented and easily understood.
The IRS Form 1040EZ is the simplest federal tax return form available. It is intended for single or married taxpayers with no dependents and a limited income. Similar to the Kentucky 740 form, it requires basic personal information and income reporting. Both forms prioritize clarity and efficiency, making it easier for individuals to fulfill their tax obligations without unnecessary complications.
The IRS Schedule A allows taxpayers to itemize deductions instead of taking the standard deduction. This form is similar to the deductions section of the Kentucky 740 form, where taxpayers can report various deductions to reduce their taxable income. Both forms require detailed information about eligible expenses, ensuring that taxpayers can maximize their deductions and minimize their tax liabilities.
The IRS Form 8862 is used to claim the Earned Income Tax Credit after it has been disallowed in a previous year. This form parallels the credit sections found in the Kentucky 740 form, where taxpayers can claim various credits to reduce their tax liability. Both forms emphasize the importance of providing accurate information to qualify for these credits, which can significantly impact the final tax outcome.
The IRS Form 2441 is used to claim the Child and Dependent Care Credit. This form is similar to the corresponding credit section in the Kentucky 740 form, where taxpayers can report eligible expenses for child care. Both forms aim to provide financial relief to working families, allowing them to offset some of the costs associated with child care while they earn income.
The IRS Form 8863 is utilized to claim education credits, such as the American Opportunity Credit and the Lifetime Learning Credit. This form shares similarities with the education-related credits section in the Kentucky 740 form. Both forms require documentation of qualifying education expenses, ensuring that taxpayers can benefit from available tax relief for educational costs.
The IRS Form 4972 is used to report the tax on lump-sum distributions from retirement plans. It is similar to the tax liability calculations found in the Kentucky 740 form. Both forms require taxpayers to report specific income types and calculate the associated tax owed. This ensures that taxpayers are accurately accounting for their retirement distributions in their overall tax obligations.
The IRS Form 2210 is used to determine if a taxpayer owes a penalty for underpayment of estimated tax. This form is akin to the penalty sections in the Kentucky 740 form, where taxpayers report any penalties or interest owed. Both forms aim to ensure compliance with tax payment requirements, helping taxpayers avoid additional charges for underpayment.
When filling out the Kentucky 740 form, keep the following tips in mind to ensure accuracy and compliance.
Understanding the Kentucky 740 form is essential for residents filing their state income tax returns. However, several misconceptions can lead to confusion. Below are seven common misconceptions about the Kentucky 740 form, along with clarifications for each.
This is incorrect. All full-year residents with taxable income must file the Kentucky 740 form, regardless of their income level. Even individuals with minimal income may still have a filing requirement.
While filing jointly does mean both spouses are responsible for the tax due, it is important to note that each spouse is jointly and severally liable. This means that if one spouse does not pay, the other may be held responsible for the entire amount.
This is not true. Designating $2 to a political party fund does not change the amount of tax owed or the refund amount. It is simply a voluntary contribution.
This is misleading. Non-itemizers can also benefit from a standard deduction amount, which is set at $2,290 for the tax year in question. This deduction applies to both columns A and B of the form.
This is incorrect. Many tax credits, such as the Family Size Tax Credit or the Education Tuition Tax Credit, can reduce your tax liability and may even result in a refund, even if you do not owe taxes.
This is a common misunderstanding. The Kentucky 740 form is specifically for state income tax and has different rules and requirements compared to federal tax returns. It is important to complete both forms accurately and separately.
This is false. The Kentucky Department of Revenue requires that you attach your W-2 forms and any other supporting statements to the 740 form when filing. Failure to do so may delay processing or result in penalties.
The Kentucky 740 form is essential for filing individual income taxes for full-year residents of Kentucky. It serves as a comprehensive document to report income, deductions, and credits.
When completing the form, ensure that both your Social Security number and your spouse's (if applicable) are accurately entered. This information is crucial for processing your return.
Filing status is a significant aspect of the form. You can choose from options such as Single, Married Filing Jointly, or Married Filing Separately. Your choice affects your tax liability and potential credits.
Income is reported in two columns: one for you and one for your spouse. If you are filing jointly, combine your incomes to determine your total adjusted gross income.
Credits can significantly reduce your tax liability. Be sure to explore available credits, such as the Family Size Tax Credit, Education Tuition Tax Credit, and others that may apply to your situation.
Attach all necessary documentation, including W-2 forms and any supporting statements. This will help validate your income and deductions, making the processing of your return smoother.
Finally, double-check your calculations before submitting the form. Errors can lead to delays or additional taxes owed, so accuracy is key to a successful filing.