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Form 5471 (Schedule J) Bend Oregon: What You Should Know

How to Prepare Schedule J for E&P Calculation 1. To calculate Schedule J E&P under the “Current Year” reporting scenario, enter into each of the applicable income tax brackets of the “Current Year” schedule. 2. Enter E&P or deficit in income for current year under the “Current Year” section as shown on Form 5471. Do The Calculations: E&P or Deficit For Tax Year End (Form 5471) and End of Year (Form 5471E&P and Form 709) 3. On the schedule, enter the amount entered as E&P or deficit for tax year-end under the “Current Year” section as shown on Form 5471. (See illustration) 4. The total E&P or deficit for tax year-end is then added to the sum of the entries for tax years 2011, 2014, 2015, and 2016. Taxable Income For 2016, Enter Incoming Amount For Tax Year End Sep 27, 2025 — Tax year ends and report on this date. For 2016, enter the following amounts under the “Current Year” section of the Schedule J Form 5471: Net Income Enter the amount of taxable income for 2025 under the “Current Year” section. In addition, write in the total of the total of the foreign income, foreign losses (if any), foreign deductions (if any), and foreign credits (if any) for 2016. Enter total tax paid and tax withheld. Total Income Enter total income for 2016. Total Cost Enter the total expenses (except capitalized interest) for 2025 under “Current Year” section of the Schedule J Form 5471. Enter the total income amount as tax paid and tax withheld, net of any adjustments reported on line 34 (Form 709). This may be done directly on line 34 of your tax return (see examples.) How To Report E&P and Deficit for Tax Year End Sep 27, 2025 — Tax year ends and report on this date. For 2016, if E&P and deficit for tax year-end is entered under the “Current Year” section as shown on your Form 5471 Form 709, enter the total E&P and deficit. If you use a section-by-section method of entering it (as suggested for line 28), include the amount of deferred tax in the amount of total income, income amount, or net income.

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