IRS Form 1040 is the basic tax form many Americans will use. However, it also recently received an overhaul.
The new Form 1040 will now be the size of a postcard with 1040EZ and 1040-A removed from circulation entirely. However, there are a variety of new schedules, so you need to be aware that you don’t need to give less information; they’ve just been moved to other forms.
So, let’s look at where you can find IRS Form 1040 and instructions.… Read the rest
The new Form 1040 is different from the old one. This new draft may seem confusing, but we are going to help you understand it. Here are the five things all Americans should know about the new IRS Form 1040.
The New 1040 Form is the Size of a Postcard
One of the main promises Donald Trump made during the 2016 presidential campaign is he wanted to change the tax code to make it simpler. He said that he wanted the average American to be able to file their taxes on something the size of a postcard.… Read the rest
If you are planning to paper file, you should know that the IRS no longer sends your paper tax packages in the mail.
If you file your taxes online, you will find that it is super easy when it comes to getting the right tax form.
This is because the online tax software automatically selects the form that is the best fit for your unique tax situation.
Alternatively, you can order the forms and have them sent to you in the mail by calling the IRS, 1-800-TAX-FORM.… Read the rest
Do you want to reduce your tax bill this year? You can maximize your tax savings by checking to see if you’re eligible to claim any of the new expanded tax credits.
The difference between a tax credit and a deduction is a deduction reduces your taxable income, whereas credits reduce the amount of tax you pay directly. Refundable credits are even better because they can reduce your tax bill even if the credit is worth more than you owe. Non-refundable credits are only valid up to the amount you owe.… Read the rest
Form 1040A is one of the forms that can be used when filing federal taxes in the US. This form is shorter than the original 1040 form; however, it is more complex than the 1040EZ form. All taxpayers can use form 1040, yet there are restrictions as to which taxpayers can use Form 1040A.
For example, you have to have a taxable income of less than $100,000; you have to take the standard deduction instead of itemizing your deductions.
Filing Status & Exemptions
When preparing this form, you have to list your exemptions and select a filing status before you start reporting your income.… Read the rest