FORM OF
CASH FLOW

WHERE ON
TAX RETURNS

CASE LAW
AUTHORITY

Advances – shareholder (corporate distributions)

Schedule K-1, lines 20-21

Spahr v. Spahr, 105 P.D.D.R.R. 57 (2005), Diament v. Diament, 816 A.2d 256 (Pa.Super.2003); Heisey v. Heisey, 633 A.2d 211 (Pa.Super.1993 )

Advances - partnership

Schedule K-1, lines 20-21

King v. King, 568 A.2d 627 (Pa.Super.1989)

Annuity income

Form W-2 or 1099

23 Pa.C.S. § 4302

Automobile expenses

Schedule C, line 10

Schedule E, line 6

S. Calabrese v. M. Calabrese , 682 A.2d 393 (Pa.Super.1996) ; Holland v. Holland, 663 A.2d 768 (Pa.Super.1995) ; Heisey v. Heisey, 633 A.2d 211 (Pa.Super. 1993) ; DeMasi v. DeMasi, 530 A.2d 871 (Pa.Super.1987)

Bonuses

Form W-2 or 1099

Woskob v. Woskob, 2004 WL 318566 (Pa.Super.2004); Blaisure v. Blaisure , 577 A.2d 640 (Pa.Super.1990) ; Fitchorn v. Fitchorn, 533 A.2d 1388 (Pa.Super.1987)

Capital gains

Schedule D, lines 8, 14

23 Pa.C.S. § 4302; Riley v. Foley, 783 A.2d 807 (Pa.Super.2001) ; Coffey v. Coffey, 575 A.2d 587 (Pa.Super.1990) ; Ramsey v. Ramsey, 48 Chester Co. L.Rep. 338 (2000) .

Charitable or political contributions

Schedule K-1, line 7

Coffey v. Coffey , 575 A.2d 587 (Pa.Super.1990)

Commissions

Form 1099

23 Pa.C.S. § 4302

Depreciation

Schedule C, line 13

Schedule E, line 21

Schedule K-1, line 8

Form 4562

Labar v. Labar , 557 Pa. 54, 731 A.2d 1252 (1999) , Labar v. Labar, 644 A.2d 777 (Pa.Super.1994) ; S. Calabrese v. M. Calabrese, 682 A.2d 393 (Pa.Super.1996) ; Holland v. Holland, 663 A.2d 768 (Pa.Super.1995) ; McAuliffe v. McAuliffe, 613 A.2d 20 (Pa.Super.1992)

Disability income

23 Pa.C.S. §4302; Parker v. Parker, 335 Pa.Super. 348, 484 A.2d 168 (1984)

Dividend income

Schedule B, line 5

23 Pa.C.S. § 4302

Earning capacity

Baehr v. Baehr, 106 P.D.D.R.R. 28 (2005); Portugal v. Portugal, 798 A.2d 246 (Pa.Super.2002) ; Myers v. Myers, 592 A.2d 339 (Pa.Super.1991) ; Rock v. Rock, 560 A.2d 199 (Pa.Super.1989)

Entertainment/meals

Schedule C, line 24

DeMasi v. DeMasi , 530 A.2d 871 (Pa.Super.1987)

Gift income

Jacobs v. Jacobs , 884 a.2D 301 (Pa.Super.2005); Singleton v. Waites, 616 A.2d 644 (Pa.Super.1992)

Inheritance

23 Pa.C.S. § 4302;Maher v. Maher, 575 Pa. 181, 835 A.2d 1281 (2003); Fitzgerald v. Kempf, 805 A.2d 529 (Pa.Super.2003); Humphreys v. DeRoss, 567 Pa. 614, 790 A.2d 281 (2001)

Insurance premiums - life

Schedule C, line 15

Schedule E, line 9

Heisey v. Heisey , 633 A.2d 211 (Pa.Super.1993) ; DeMasi v. DeMasi, 530 A.2d 871 (Pa.Super.1987) ; Pearson v. Pearson, 49 Chest.Co. L.Rep. 83 (2000)

Insurance premiums - malpractice

Schedule C, line 15

Schedule E, line 9

Holland v. Holland , 663 A.2d 768 (Pa.Super.1995)

Insurance proceeds

23 Pa.C.S. §4302

Interest income

Schedule B, line 1

23 Pa.C.S. §4302; S. Calabrese v. M. Calabrese, 682 A.2d 393 (Pa.Super. 1996) ; Kessler v. Helmick, 672 A.2d 1380 (Pa.Super.1996)

Loan payments

See interest deductions on Schedules A, C & E

Jayne v. Jayne , 663 A.2d 169 (Pa.Super.1995) ; Lehman v. Lehman, 636 A.2d 1172 (Pa.Super.1994)

Loans, proceeds of

Fitzgerald v. Kempf, 805 A.2d 529 (Pa.Super.2003)

Marital property - sale of

Donnelly v. Donnelly , 463 A.2d 1182 (Pa.Super.1983) ; Buehler v. Buehler, 431 A.2d 1059 (Pa.Super.1981)

Military housing allotment

Alexander v. Armstrong , 609 A.2d 183 (Pa.Super.1992) ; Bennethum v. Grundza, 93 Berks Co.Leg.J. 109 (2000 )

Pension benefits

Form 1040, lines 15-16

23 Pa.C. S. § 4302

Pension contributions - employer and employee

Form 1040, line 23

Form W-2, line 17

Kessler v. Helmick , 672 A.2d 1380 (Pa.Super.1996) ; DeMasi v. DeMasi, 530 A.2d 871 (Pa.Super.1987) (employer contribution), Szafran v. Szafran, 344 A.2d 612 (Pa.Super. 1975)

Perquisites - see also auto, entertainment, insurance

Arbet v. Arbet, 105 P.D.D.R.R. 16 (2005); Diament v. Diament, 816 A.2d 256 (Pa.Super.2003); Mascaro v. Mascaro, 764 A.2d 1085 (Pa.Super.2000) , reversed in part, 803 A.2d 1186 (Pa.2002) .

Personal injury lawsuit proceeds

Diament v. Diament, 816 A.2d 256 (Pa.Super.2003); Darby v. Darby, 686 A.2d 1346 (Pa.Super.1996) ; Butler v. Butler, 488 A.2d 1141 (Pa.Super.1985)

Rental income

Schedule E, line 24

23 Pa.C. S. § 4302; S. Calabrese v. M. Calabrese, 682 A.2d 393 (Pa.Super. 1996) ; Farabaugh v. Killen, 648 A.2d 60 (Pa.Super.1994) ; Leonard v. Leonard, 510 A.2d 827 (Pa.Super.1986) ; Francis v. Francis, 517 A.2d 997 (Pa.Super.1986)

Severance pay

Form W-2 or 1099

Hinkle v. Hinkle , 685 A.2d 175 (Pa.Super.1996)

Retained earnings

Schedule K-1, line 1

Fennell v. Fennell, 753 A.2d 866 (Pa. Super.2000) ; Hoag v. Hoag , 646 A.2d 578 (Pa.Super.1994), affirmed, 541 Pa. 621, 664 A.2d 1354 (1995) ; Blaisure v. Blaisure, 577 A.2d 640 (Pa.Super. 1990) ; King v. King, 568 A.2d 627 (Pa.Super.1989)

Social Security

Form 1040, line 20a

23 Pa.C. S. § 4302; Preston v. Preston, 646 A.2d 1186 (Pa.Super. 1994) ; CYS v. Chorgo, 491 A.2d 1374 (Pa.Super.1985)

Social Security disability

23 Pa.C. S. § 4302; Pa.R.C.P. 1910.16-2(b)(2); Maddas v. Dehass, 816 A.2d 234 (Pa.Super.2003); Bernstein v. Bernstein, 457 A.2d 1316 (Pa.Super. 1983)

Stock options

Mackinley v. Messerschmidt, 814 A.2d 680 (Pa.Super.2003).

SSI (Supplemental Security Income)

Whitmore v. Kenney , 626 A.2d 1180 (Pa.Super.1993) ; Landis v. Landis, 691 A.2d 939 (Pa.Super.1997) , but see Rodrigues v. Rodrigues, FD86‑0293 (Ally. Cy. 1997) .

Tax refunds

Form 1040, lines 10 and 60a

Young v. Muthersbaugh , 609 A.2d 1381 (Pa.Super.1992) ; Farabaugh v. Killen, 648 A.2d 60 (Pa.Super.1994) ; O’Connell v. O’Connell, 597 A.2d 643 (Pa.Super.1991) ; Parkinson v. Parkinson, 512 A.2d 20 (Pa.Super.1986) ; Reisinger v. Reisinger, 471 A.2d 544 (Pa.Super.1984)

Trust income

Schedule E, line 32

23 Pa.C. S. § 4302; Butcher v. Butcher, 769 A.2d 1218 (Pa.Super. 2001) ; Green v. Green, 783 A.2d 788 (Pa.Super.2001) ; Hoag v. Hoag, 646 A.2d 578 (Pa.Super.1994), affirmed, 541 Pa. 621, 664 A.2d 1354 (1995) ; Abarbanel v. Weber, 490 A.2d 877 (Pa.Super. 1985) ; Hillman v. Hillman, 140 P.L.J. 475 (1992)

Unemployment compensation

Form 1040, line 19

23 Pa.C.S. § 4302

Unreimbursed Employee Expenses (deduction from income)

Berry v. Berry , 898 A.2d 1100 (Pa.Super.2005)

Workers compensation

23 Pa.C. S. § 4302; Darby v. Darby, 686 A.2d 1346 (Pa.Super.1996) ; Babish v. Babish, 521 A.2d 955 (Pa. Super.1987) ; Witherow v. Witherow, 432 A.2d 634 (Pa.Super.1981) .