Individual Forms

If there is one thing that bureaucracies are good at, it's creating long streams of paperwork, and the IRS is the king, especially when it comes to tax forms. Most of the paperwork that is required to file your tax returns can be completed and submitted electronically, but you’ll need to acquire some forms to get the job done. However, if you are not familiar with the difference between 1040, 1040A, and 1040EZ, then you're not alone. There are many forms that are used to file individual returns and using the correct form can prevent you from making an erroneous mistake.

In this respect, the U.S. individual tax return form is the basic starting point for the majority of U.S. taxpayers. Here we will focus on forms like 1040, 1040A, and 1040EZ. If you happen to earn more than $100,000 per year, are filing self-employment claims, or are reporting income that you have earned from a sale of property, then you will most likely need to use form 1040. On the other hand, the 1040A form is filed for the purpose of a federal tax refund and consists of the same points as 1040, but directly refers to U.S. applicants and their federal payments.

Meanwhile, the 1040EZ is a basic tax form that is often utilized by those who are either single or married and have no dependents. It essentially bypasses the long complexities of the 1040 and whittles everything down to the basic essentials. In other words, it is less tedious and stressful to fill out your individual returns using this form. Nevertheless, there are some conditions that must be met before you can use it, some of which include having an annual income that is under $100,000, being either single or married filing jointly, and having an interest income that is either $1,500 or lower.