Get the free Form 8873

This form is used by taxpayers to claim an exclusion from gross receipts for foreign trading gross receipts and foreign sale and leasing income. It involves calculations and elections related to foreign

How to fill out form 8873

How to fill out Form 8873

1. Obtain Form 8873 from the IRS website or your tax preparation software.
2. Fill out your personal information including your name, Social Security number, and address.
3. Provide details about the activities that qualify for the credit according to the instructions provided with the form.
4. Calculate the amount of credit you are eligible for based on the qualifying activities.
5. Complete any additional schedules or parts of the form as necessary.
6. Review the form for accuracy and sign it.
7. Submit the completed form with your tax return.

Who needs Form 8873?

1. Form 8873 is needed by individuals or businesses claiming the credit for qualified electric vehicle chargers.
2. Any taxpayer who has incurred expenses related to the installation of qualified electric vehicle charging equipment should prepare this form.

People Also Ask about

What is the extra territorial income?

Extraterritorial income is the gross income of the taxpayer attributable to foreign trading gross receipts (defined below). The taxpayer reports all of its extraterritorial income on its tax return.

What is the meaning of extra territoriality?

noun. the privilege granted to some aliens, esp diplomats, of being exempt from the jurisdiction of the state in which they reside. the right or privilege of a state to exercise authority in certain circumstances beyond the limits of its territory.

Who files form 8873?

Form 8873 is attached to the taxpayers income tax return. Both corporate and non-corporate taxpayers who have qualifying transactions may now be required to file Form 8873. The exclusion reported on Form 8873 was created by the Foreign Sales Corporation (FSC) Repeal and Extraterritorial Income Exclusion Act of 2000.

What is the extraterritorial income?

Extraterritorial income is the gross income of the taxpayer attributable to foreign trading gross receipts. The taxpayer reported all of its extraterritorial income on its tax return. The taxpayer used Form 8873 to calculate its exclusion from income that is qualifying foreign trade income.

What is a territorial tax income?

Territorial taxation is a system that excludes foreign earnings from a country's domestic tax base. This is common throughout the world and is the opposite of worldwide taxation, where foreign earnings are included in the domestic tax base.

What is the extra territorial area?

If something is extraterritorial, it's beyond the boundaries or control of a particular country, state, or region. This adjective is mainly used in a legal context.

For pdfFiller’s FAQs

What is Form 8873?

Form 8873 is a tax form used to claim the District of Columbia First-Time Homebuyer Credit.

Who is required to file Form 8873?

Individuals who have purchased their first home in the District of Columbia and wish to claim the First-Time Homebuyer Credit must file Form 8873.

How to fill out Form 8873?

To fill out Form 8873, individuals must provide their personal information, details of the home purchased, and any applicable income information, then calculate the credit and submit the form with their tax return.

What is the purpose of Form 8873?

The purpose of Form 8873 is to enable eligible individuals to claim a tax credit for purchasing their first home in Washington, D.C.

What information must be reported on Form 8873?

Form 8873 requires reporting personal identification information, the address of the purchased home, purchase date, and other financial details related to the home purchase.