Which form should you use to file your federal income taxes? Today, most people use a computer or CPA firm to prepare federal income tax forms. But if you decide to paper you’re your form, here are some tips on how to choose the best form for your situation. The following guidelines are taken from the irs.gov site.
The 1040EZ if:
- Your taxable income is below $100,000;
- Your filing status is single or married filing jointly;
- You are not claiming any dependents; and
- Your interest income is $1,500 or less.
The 1040A may be best if:
- Your taxable income is below $100,000;
- You have capital gain distributions;
- You claim certain tax credits; and
- You claim adjustments to income for IRA contributions and student loan interest.
You must use the 1040 if:
- Your taxable income is $100,000 or more;
- You claim itemized deductions;
- You are reporting self-employment income; or
- You are reporting income from sale of a property.
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