That time again which millions of taxpayers have to answer the question which 1040 tax return should I use?
Below you will find a good summary to help you make a decision.
You can also make a better decision by using fresh start tax and having former IRS agents and managers prepare your tax return to help audit proof your return and make sure you are paying the lowest amount allowed by law.
Which 1040 Tax Form is Best for You?
Filing electronically is the easiest way to file a complete and accurate return.
Here are some tips to help you choose the right forms:
You can generally use Form 1040EZ if:
• Your taxable income is below $100,000;
• Your filing status is single or married filing jointly;
• You don’t claim dependents; and
• Your interest income is $1,500 or less.
Note: You can’t use Form 1040EZ to claim the Premium Tax Credit. Nor can you use this form if you received advance payments of the premium tax credit in 2015.
Form 1040A may be best for you 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 Form 1040 if:
• Your taxable income is $100,000 or more;
• You claim itemized deductions;
• You report self-employment income; or
• You report income from sale of a property.
Remember, if you e-file you don’t need any paper forms to mail to the IRS.
