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The New 1040a Tax Form is Here: How It Works

The form 1040a has been around for decades, but the IRS is taking major steps to make it easier to file your taxes. With changes like eliminating form 1040a and making form 1040a schedule A that’s attached, filing your taxes will be simpler than ever before. You can also do your taxes online without worrying about new forms or instructions because they are automatically supplied by the system!

The IRS form 1040A is one of the three forms you can use to submit your taxes to the IRS. While it’s a little more difficult to navigate than form 1040a EZ, it’s also shorter and less complex.

If you are filing a federal income tax return, you must not have a taxable income of more than $100,000 and cannot itemize your deductions.

Before you can report your income, you must first list out your exemptions and pick your filing status. This is because each filing status has a different tax bracket for calculating your income.

The good news is that your filing status has no bearing on the amount of exemption you qualify for yourself and your dependents. Exemptions function similarly to deductions, which mean they lower your taxable income.

As a result, the more exemptions you claim, the less your taxable income is affected, resulting in a lower tax liability. The top portion of the form includes a section where you may record the names, social security numbers, and connections of all of the dependents you are claiming on the form.

Only certain kinds of revenue are permitted to be reported on this tax form. You can only certify taxable wages, salaries, and tips, interest and dividend income, capital gains, IRS payments, pensions and annuities distributions, unemployment compensation, Alaska permanent fund dividends, and social security benefits on this form. Self-employed earnings must also be declared but must be submitted on the long form 1040a.

After you’ve reported all of your revenue, you’ll be able to take advantage of specific deductions to reach your adjusted gross income (AGI). Educator expenses, IRA contributions, student loan interest, and tuition payments are just a few of the deductions that may be taken.

The form also has a section for claiming credits, such as the retirement savings contributions credit and child tax credit.

When you’re done filling out your form, don’t forget to sign it! You may either print or type your name where indicated on the form itself before submitting it to get an accurate assessment of how much you owe in taxes.

When you file your taxes online, form or schedule type doesn’t matter because the system automatically supplies all of them for you! The form is a little more difficult to navigate than form, but it’s less complex.

If you file your taxes online, form and schedule type doesn’t matter because the system automatically supplies all of them for you! Exemptions function similarly to deductions which lower taxable income. The filing status has no bearing on the amount of exemption you qualify for yourself and dependents. Educator expenses, IRA contributions, student loan interest or tuition payments are just a few of the deductions that may be taken .When done filling out your form don’t forget to sign it! You can print or type name where indicated before submitting it for an accurate assessment how much owe in taxes.

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