Forms Major Changes

Form

Form 1062
Form 3800

Description of Major Changes
New Form 1062 is being created to allow taxpayers to elect under section 1062 to defer the net income tax
attributable to the gain on the sale or exchange of qualified farmland property during the tax year. Form 1062
provides information to figure net 1062 tax liability.
New line B is added. Filers indicate if they are transferors or transferees of credits
under section 6418. If so, they complete and attach a transfer election statment. In Part IV. Carryovers of General
Business Credits (GBCs), IRS unshaded line 1q (Form 7218) and 1gg (Form 7211) to report carryonver of the credits.

Form 4562
IRS added multiple lines to increase compliance and awareness of reporting requirements.
* New line 19h to report 50-year property.
* New line 20e to report 50-year property.
* New line 23a to enter the portion of the basis attributable to capitalized interest costs under section 263A(f). New
line to enter all other Section 263A(f) costs other than the capitalized interest cost under under section 263A(f).
* new line 24c with checkboxes for taxpayers to report whether the aircraft is owned, leased, or chartered.
Form 5471

Form 6069
Form 7207

IRS updated address fields and added a new line 3b, Schedule G. The new line indicates that if the corporation is
required to file Form 8964. Filers also has to identify the number of Forms 8964 being attached.
IRS updated address fields and added direct deposit information fields to implement EO 14247.
Part II of Form 7207 has been updated to include new Line 6b for reporting the new critical mineral "metallurgical
coal," effective for tax years beginning after July 4, 2025.

Form 7220

Form 8050

Form 8864
Form 8865

Form 8933

Form 8949

Form 8964-ELE
Form 8964-TRA

New Form 7220, Prevailing Wage and Apprenticeship (PWA) Verification and Corrections. The purpose of the form
is to allow the IRS to verify that taxpayers meet the recordkeeping requirements for claiming the increase credits
under PWA. The form will also allow taxpayers to calculate PWA correction penalties.
IRS amended the title of the form and updated the intented audience to tax exempt or government entity instead
of a corporation. Updadated form and instructions now show it can be used with forms 990-PF, 990-T, 1120-POL or
4720.
Form 8864 was revised to incorporate the changes that restored the qualified agri-biodiesel production credit
according to P.L. 119-21, Section 70521(j). The qualified agri-biodiesel production credit was extended through
2026.
IRS updated address fields and added a new line 8b. The new line indicates that the owner of a qualified business
unit (QBU) with a functional currency different than its owner (including a foreign disregarded entity, foreign
branch, or foreign partnership) is required to file Form 8964 and related schedules. Filers also has to identify the
number of Forms 8964 being attached.
In Part III, IRS added new lines 3g and 3h after 3f for displacement factor (DF) consideration. Also added new lines
4, 5, and 6 for credit before reduction, credit reduction for tax-exempt
bonds, and credit after reduction.
Part I, IRS added boxes G, H, and I to indentify short-term transactions reported on Form 1099-DA. Box C will now
be used for short-tem transaction not reported on Form 1099-B or 1099-DA.
Part II, IRS added boxes J, K, and L to indentify long-term transactions reported on Form 1099-DA. Box F will now be
used for short-tem transaction not reported on Form 1099-B or 1099-DA.
New Form 8964-ELE, Section 987 Elections. IRS develop Form 8964-ELE to make or revoke elections under the
section 987 regulations.
New Form 8964-TRA, Section 987 Transition Information. Filers that are required to report a section 987 transition
information required under Regulations section 1.987-10(k) must attach Form 8964-TRA to their tax return.

Form 8990

Form 990-T

P.L. 119-21, section 70303(a) restored the deduction allowable for depreciation, amortization, or depletion
attributable to a trade or business as an addition to tentative taxable income in calculating adjusted taxable income
for purposes of the limitation on business interest expense under section 163(j). We are using line 11 (which was
previously reserved) to report the allowable deductions for depreciation, amortization, or depletion
IRS updated address fields and changes has been made to capture new Section 1062 net tax liability and its
payment. (1) IRS added a subline 26b to report section 1062 applicable net tax liability deferred on sale or exchange
of farmland from Form 1062. (2) added line 27i to capture section 1062 applicable net tax liability due this year,
from Form 1062.

Form

Sch A (Form 1062)
Sch A (Form 3800)

Sch A (Form 8825)
Sch K-1 (Form 8865)

Sch K-2 (Form 8865)
Sch K-3 (Form 8865)

Description of Major Changes
We are creating a new Schedule A (Form 1062) for taxpayers to file for each qualified sale or exchange of qualified
farmland for purposes of the section 1062 election.
New Schedule A (Form 3800), Transfer Election Statement is to be completed by transferors and transferees
making credit transfer elections under section 6418.

IRS develop new Schedule A (Form 8825), Rental Real Estate Other Deductions, with the purpose to decrease the
amount of white paper attachments and provide a standard reporting structure for taxpayers.
IRS is including a new reporting requirements under Box 20, code ZZ-Other which include information capital gains
from the sale of certain farmland under section 1062.
IRS added new line "B" for two check boxes:(1) [ ] Amended K-2 and (2) [ ] Reserved for future use.
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administrative adjustment request (AAR) process is updated.
In Part IV, added two new lines, 3a and 3b. Line 3a is to report the income and gain from the sale or other
disposition of section 367(d)(4) intangible property. Line 3b is to report the income and gain from the sale or
disposition of certain other property.