Instructions for Form 8907 (2014)

Nonconventional Source Fuel Credit

Section references are to the Internal Revenue Code unless otherwise noted.

2014


General Instructions

Future Developments

For the latest information about developments related to Form 8907 and its instructions, such as legislation enacted after they were published, go to www.irs.gov/form8907.

What's New

The nonconventional source fuel credit is not available for fuel sold after 2013.

Purpose of Form

Partnerships, S corporations, estates, and trusts use the 2014 Form 8907 to report any nonconventional source fuel credit they receive from a fiscal year partnership, S corporation, estate, or trust, whose tax year began in 2013 (when the credit was still available) and ends during their 2014 tax year. All other taxpayers report this credit directly on line 1o in Part III of Form 3800, General Business Credit.

Specific Instructions

Lines 1 Through 11

These lines are now shown as "Reserved." When any form, worksheet, or instruction refers to these lines, treat the amounts on these lines as zero.

Line 12

Enter total nonconventional source fuel credits from:

  • Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc., box 15 (code P);

  • Schedule K-1 (1120S), Shareholder's Share of Income, Deductions, Credits, etc., box 13 (code P); and

  • Schedule K-1 (Form 1041), Beneficiary's Share of Income, Deductions, Credits, etc., box 13 (code P).

Partnerships, S corporations, estates, and trusts must always report the above credits on line 12. All other taxpayers:

  • Report the above credits directly on Form 3800, Part lll, line 1o; and

  • Do not file Form 8907.

Line 14

Estates and trusts.

Allocate the nonconventional source fuel credit on line 13 between the estate or trust and the beneficiaries in the same proportion as income was allocated and enter the beneficiaries’ share on line 14.

If the estate or trust is subject to the passive activity rules, include on line 12 any Form 8907 credits from passive activities disallowed for prior years and carried forward to this year. Complete Form 8582-CR, Passive Activity Credit Limitations, to determine the allowed credit that must be allocated between the estate or trust and the beneficiaries. For details, see the Instructions for Form 8582-CR.



Instructions for Form 8907 - Notices

Paperwork Reduction Act Notice.

We ask for the information on this form to carry out the Internal Revenue laws of the United States. You are required to give us the information. We need it to ensure that you are complying with these laws and to allow us to figure and collect the right amount of tax.

You are not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the form displays a valid OMB control number. Books or records relating to a form or its instructions must be retained as long as their contents may become material in the administration of any Internal Revenue law. Generally, tax returns and return information are confidential, as required by section 6103.

The time needed to complete and file this form will vary depending on individual circumstances. The estimated burden for individual taxpayers filing this form is approved under OMB control number 1545-0074 and is included in the estimates shown in the instructions for their individual income tax return. The estimated burden for all other taxpayers who file this form is shown below.

Recordkeeping 6 hr., 27 min.
Learning about the law or the form 35 min.
Preparing and sending the form to the IRS 43 min.

If you have comments concerning the accuracy of these time estimates or suggestions for making this form simpler, we would be happy to hear from you. See the instructions for the tax return with which this form is filed.