2019 Iowa Alternate Tax Worksheet
https://tax.iowa.gov
41-145 (07/01/19)
You may owe less tax by completing the worksheet below. All filing statuses except filing status 1, Single, may qualify for
the alternate tax computation. Single taxpayers may be eligible for the Iowa income tax reduction; see Iowa Income Tax
Reduction Worksheet. A Net Operating Loss carryover must be added back to net income IA 1040, line 26.
Special instructions for filing status 3, Married Filing Separately on a Combined Return, and filing status 4, Married Filing
Separate Returns:
• The combined net incomes of both spouses must be used.
• The alternate tax between spouses must be prorated in the ratio of the net income of each spouse to the combined
net income of both spouses using lines 7-11.
• If you are married filing separately and one spouse has a net operating loss that will be carried back or forward,
then you cannot use the alternate tax computation. If the spouse with the net operating loss elects not to carry the
net operating loss back or forward, then you can use the alternate tax computation. A statement must be included
with the return saying that the spouse with the net operating loss will not carry it back or forward.
• If you are filing status 4 and do not provide the other spouse’s income on the IA 1040, step 2, you will not be
allowed the alternate tax calculation.
1. Enter: B. Spouse A. You or Joint
a. Net income from IA 1040, line 26 ................................................................ a. ______________ _______________
b. Pension exclusion from IA 1040, line 21 ..................................................... b. ______________ _______________
c. Reportable Social Security benefits from IA 1040, Step 4 .......................... c. ______________ _______________
d. Lump Sum distributions of taxable income reported on federal
form 4972, line 8 ......................................................................................... d. ______________ _______________
e. Add a, b, c, and d ....................................................................................... e. ______________ _______________
Total of columns A and B, line e ......................................................................................................... 1. ______________
2.
Enter $13,500 ($32,000 if you or your spouse was 65 or older on 12/31/19)
................................ 2. ______________
3.
Income subject
to
alternate
tax calculation.
Subtract line 2 from line
1 .....................................3. ______________
4.
Multiply line 3 by 8.53% (.0853) ...............................................................................................
4. ______________
5. Using the tax tables, determine the tax on the taxable income from IA 1040, line 38.
(
Status
3 and 4 filers: Calculate
tax
separately and combine the amounts) .................................
5. ______________
6. Compare the amounts on line 4 and line 5. Enter the smaller amount. If using filing statuses
2, 5, or 6 also enter on IA 1040, line 39. If using filing status 3 or 4 and line 4 is less than
line 5, continue to line 7. If using filing status 3 or 4 and line 5 is less than line 4 then
enter each spouse’s tax from the tax tables on IA 1040, line 39
..............................................
6. ______________
B. Spouse A. You
7. Net income of both spouses from line 1e above ............................................. 7b.
_____________
7a. ______________
8. Total adjusted Iowa net income, add lines 7a and 7b. ....................................................................... 8. ______________
9. Divide the amount on line 7a by the amount on line 8. Round to the nearest tenth of a percent ...... 9. ______________ %
10. Multiply line 6 by the percentage on line 9. Enter here and on IA 1040, line 39,
column A ................................................................................................................................ (You) 10. ______________
11. Subtract line 10 from line 6. Enter here and on IA 1040, line 39, column B. If you are
using filing status 4, enter this amount on line 39, column A of your spouse’s return ..... (Spouse) 11. ______________
