Changes to 2006 Form
Update to the 2006 Schedule D-1 Instructions – Sales of Business Property
The revised Internet version is available for download as of 03/04/2008
Revision Details: This revision corrects the Schedule CA (540 and 540NR) California Adjustments line reference instructions.
The same Schedule CA line reference revision was made to the 2004 – 2007 Schedule D-1"s.
- The Schedule D-1 line reference instructions to Schedule CA, (540 and 540NR) California Adjustments is incorrect.
Page 2, third column, Line 18a and page 729 of the Package X
enter the difference on Schedule CA (540 or 540NR), California Adjustments, line 39.
enter the difference on Schedule CA (540 or 540NR), California Adjustments, line 41.
The Schedule D-1 incorrectly instructs taxpayers to enter the California casualty and theft loss differences on the incorrect line of the Schedule CA. This could cause some taxpayers to increase their tax liability and others to decrease it.
2006 Update to Schedule D-1
Revision Date: 06/22/2007
Revision Details: This revision corrects the line number for reporting a gain on the disposition of Section 197 property.
Page 2, Schedule D-1 Instructions; page 729 of Package X
- Page 2 of the instructions, second column, second paragraph
It should read:
If you elected to recognize gain on the disposition of a Section 197 intangible and to pay the tax on the gain at the highest tax rate, report the additional tax on Form 540, line33 (or the appropriate line of other income tax returns).
Currently, taxpayers would report the additional tax on the California income tax withheld line, which would result in under reporting tax and over reporting payments.
The internet version is available for download.