Instructions for Forms 1120 and 1120-A (2006)

A

Accounting methods, Accounting Methods
Accounting period (Tax Year), Accounting Period
Address change, Item E. Initial Return, Final Return, Name Change, or Address Change
Affiliated group, Affiliated group.
Amended return, Amended return.
Amortization, Business start-up and organizational costs.
Assembling the return, Assembling the Return
At-risk rules, At-risk rules.

B

Backup withholding, Backup withholding.
Bad debts, Line 15. Bad Debts
Balance sheets, Schedule L, Form 1120 (Part III, Form 1120-A)
Business startup expenses, Business start-up and organizational costs.

C

Capital construction fund:

Deduction for contributions, Capital construction fund.
Tax on nonqualified withdrawal, Other.

Closely held corporations, Closely held corporations.

Compensation of officers, Line 12. Compensation of Officers

Consolidated return, Item A. Identifying Information, Item 11 (Form 1120 Only)

Contributions to reduce debt held by the public, How To Make a Contribution To Reduce Debt Held by the Public

Contributions, charitable, Line 19. Charitable Contributions

Controlled group, Line 1 (Form 1120 Only)

Cost of goods sold, Line 2. Cost of Goods Sold, Schedule A, Form 1120 (Worksheet, Form 1120-A)

Credits against tax, Line 5a (Form 1120 Only)

D

Deductions, Deductions
Depletion, Line 21. Depletion (Form 1120 Only)
Depository methods of tax payment, Depository Methods of Tax Payment
Depreciation, Line 20. Depreciation
Direct deposit of refund, Direct Deposit of Refund, Line 36, Form 1120 (Line 32, Form 1120-A). Direct Deposit of Refund
Disclosure statement, Reportable transaction disclosure statement.
Dividend income, Line 4. Dividends
Dividends-received deduction, Schedule C (Form 1120 Only), Line 18, Column (c)
Dues, membership and other, Travel, meals, and entertainment.

E

Electronic Federal Tax Payment System (EFTPS), Electronic Deposit Requirement

Electronic filing, Electronic Filing (Form 1120 Only)

Employee benefit programs, Line 24. Employee Benefit Programs (Form 1120 Only)

Employer identification number (EIN), Item B. Employer Identification Number (EIN)

Estimated tax payments, Estimated Tax Payments

Estimated tax:

Penalty, Estimated tax penalty., Line 33, Form 1120 (Line 29, Form 1120-A). Estimated Tax Penalty

Extension of time to file, Extension of Time To File

Extraterritorial income, Income, Line 26, Form 1120 (Line 22, Form 1120-A). Other Deductions

F

Farming, corporations engaged in, Corporations engaged in farming.
Final return, Item E. Initial Return, Final Return, Name Change, or Address Change
Financial asset securitization investment trust (FASIT), Ownership interest in a Financial Asset Securitization Investment Trust (FASIT).
Foreign financial accounts, Question 6 (Form 1120-A Only)
Foreign person (defined), Question 7 (Form 1120 Only)
Foreign tax credit, Line 5a (Form 1120 Only)
Form 1120-A requirements, General Instructions
Forms and publications, how to get, How To Get Forms and Publications

G

General business credit, Line 5c, Form 1120 (Line 2, Form 1120-A)
Golden parachute payments, Golden parachute payments.
Gross receipts, Line 1. Gross Receipts or Sales

I

Income, Income

Installment sales, Installment sales.

Interest due:

Late payment of tax, Interest and Penalties
Look-back method, Line 9, Form 1120 (Line 4, Form 1120-A)

Interest expense, Line 18. Interest

Interest expense (relating to section 263A), Limitations on Deductions

Interest income:

Tax-exempt, Item 9, Form 1120 (Item 3, Form 1120-A), Line 7, Form 1120 (Line 6, Form 1120-A)
Taxable, Line 5. Interest

Inventory:

Section 263A uniform capitalization rules, Section 263A uniform capitalization rules., Line 7. Inventory at End of Year
Valuation methods, Lines 9a Through 9f. Inventory Valuation Methods

L

LIFO recapture:

Tax on, Line 10 (Form 1120 Only)
Where to report, Line 10. Other Income

Limitations on deductions, Limitations on Deductions, Limitation on deduction.

Lobbying expenses, nondeductibility, Lobbying expenses.

M

Minimum tax:

Alternative, Line 3 (Form 1120 Only)
Prior year, credit for, Line 5d (Form 1120 Only)

Mutual savings banks conducting life insurance business, Mutual savings bank conducting life insurance business.

Q

Qualified personal service corporation, Qualified personal service corporation.

R

Recapture taxes, Line 9, Form 1120 (Line 4, Form 1120-A)
Reconciliation of income, Line 5c, Form 1120 (Line 5, Form 1120-A)
Recordkeeping, Recordkeeping
Related party transactions, Transactions between related taxpayers.
Rents (expense), Line 16. Rents
Rents (income), Line 6. Gross Rents
Repairs and maintenance, Line 14. Repairs and Maintenance

S

Salaries and wages, Line 13. Salaries and Wages

Schedule:

A, Schedule A, Form 1120 (Worksheet, Form 1120-A)
C, Schedule C (Form 1120 Only)
J, Schedule J, Form 1120 (Part I, Form 1120-A)
K, Schedule K, Form 1120 (Part II, Form 1120-A)
L, Schedule L, Form 1120 (Part III, Form 1120-A)
M-1, Schedule M-1, Form 1120 (Part IV, Form 1120-A)
M-3, Schedule M-3 (Form 1120 Only), Schedule M-1, Form 1120 (Part IV, Form 1120-A)
O, Line 1 (Form 1120 Only), Line 2, Form 1120 (Line 1, Form 1120-A)

Section 263A costs, Section 263A uniform capitalization rules., Line 4. Additional Section 263A Costs

Shareholders' equity adjustments, Line 26, Form 1120 (Line 21, Form 1120-A)

Signature, Who Must Sign

Special returns for certain organizations, Special Returns for Certain Organizations

T

Tax issues, unresolved, Unresolved Tax Issues
Tax rate schedule, Line 2, Form 1120 (Line 1, Form 1120-A)
Tax-exempt securities, Line 5
Taxes and licenses, Line 17. Taxes and Licenses
Travel, meals, and entertainment, Travel, meals, and entertainment.

W

When to file, When To File

Where to file, Where To File

Who must file, Who Must File

Who must sign, Who Must Sign

Worksheets:, Line 2, Form 1120 (Line 1, Form 1120-A)

Cost of goods sold, Cost of Goods Sold Worksheet (Form 1120-A)
Schedule C, Worksheet for Schedule C, line 9

Index

A

B

C

D

E

F

G

I

L

M

N

O

P

Q

R

S

T

W