Instructions for IRS Form 8990 Limitation on Business Interest Expense Under Section 163(J)

IRS Form 8990 Limitation on Business Interest Expense

This document contains official instructions for IRS Form 8990 , Limitation on Business Interest Expense Under Section 163(J) - a tax form released and collected by the Internal Revenue Service (IRS), a subdivision of the U.S. Department of the Treasury. An up-to-date fillable IRS Form 8990 is available for download through this link.

FAQ

Q: What is IRS Form 8990?
A: IRS Form 8990 is used to calculate and report the limitation on business interest expense under Section 163(J) of the tax code.

Q: What does Form 8990 calculate?
A: Form 8990 calculates the amount of business interest expense that can be deducted for tax purposes, based on the limitations set by Section 163(J).

Q: Who needs to file Form 8990?
A: Taxpayers who have business interest expense and meet certain criteria outlined in Section 163(J) are required to file Form 8990.

Q: What is the purpose of the limitation on business interest expense?
A: The limitation aims to prevent excessive interest deductions that could reduce tax revenue.