Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Income Workout

Introduction

Welcome

This is the first of several lessons covering the Income section of the taxpayer's return. A critical component of completing the taxpayer's return is distinguishing between taxable and nontaxable income and knowing where to report the different types of income on Form 1040, lines 7-21.

The income lessons follow the order of the Income section of Form 1040. This chart will help you select the appropriate topics for your certification course. Review the topics before going on.

  Certification Course

Form 1040

Topic
Basic
Basic
Advanced
Advanced
Military
Military
International
International
Line 7 Wages & Reported Tips bullet bullet    
Line 7 Unreported Tip Income   bullet    
Line 7 Scholarship and Fellowship Income bullet bullet    
Line 8 Interest Income bullet bullet    
Line 9 Dividend Income bullet bullet    
Line 10 Taxable Refunds bullet bullet    
Line 11 Alimony Received bullet bullet    
Line 12 Business Income   bullet    
Line 13 Capital Gain/Loss   bullet    
Line 14 Other Gains/Losses N/A N/A N/A N/A
Line 15 IRA Distributions* bullet bullet    
Line 16 Pensions/Annuities* bullet bullet    
Line 17 Rental Income     bullet  
Schedule K-1 Distributions   bullet    
Line 18 Farm Income N/A N/A N/A N/A
Line 19 Unemployment Compensation bullet bullet    
Line 20 Social Security Benefits bullet bullet    
Line 21 Other Income bullet bullet    
Line 21 Foreign Earned Income       bullet
Line 21 Military Income     bullet  
* Basic only if the taxable amount is already determined.