1040 E-file: Examples of Election Formats

The examples below illustrate how elections can be formatted:

Election Not Containing Columnar Data Election data not containing columnar data must be reported using the IRS-defined schema for that election. If no schema has been defined, then the General Dependency schema must be used.

Regulation Reference IRC Section 172(b)(3)

Description Election to Forego Net Operating Loss Carryback

Attachment Information Pursuant to IRC Sec. 172(b)(3), taxpayer hereby elects to relinquish the entire carryback period with respect to the net operating loss incurred in this tax year ended December 31, 2020.

Election That Contains Columnar Data Elections that require columnar data may be attached as PDF files. Separate PDF files must be created for each election. Use the regulation reference to create the name of the PDF file.

PDF Details IRS Section 195(b) Election to Amortize Start-Up Expenditures

Taxpayer Name John Smith

Taxpayer ID Number 123-45-6789

Year-end December 31, 2020

In accordance with IRC Sec. 195, taxpayer hereby elects to amortize all start-up expenditures over a period of 60 months beginning with July 1, 2020, which is the month that the active trade or business began.

The start-up expenses incurred are:

Description of Expense	Date	Amount
Attorney Fees	02/01/2020	$321,654
Accounting Fees	03/17/2020	$34,908

Elections That Require Supporting Data Some disclosure statements and/or elections require supporting data that cannot be entered into the General Dependency schema (that is, meeting notes, etc.). The IRS allows this type of supporting data to be attached to the General Dependency schema as a PDF file. The actual disclosure statement and/or election must be entered into the required format, and only the supporting data may be submitted as a PDF file.

E-file/1040_ef_elections_2.htm/TY2020

Last Modified: 03/20/2020

Last System Build: 09/13/2021