Filing taxes is generally no easy feat. You hire a tax preparer to do them if you’re unsure of how to fi yourself. If you have a book-keeper or accountant, then you can rely on them to file for you. You may even have a program that walks you through the steps if you’re filing from home. However you file, you have to make sure that you use the right form to file your taxes with.
The most common form that households use to file their federal taxes with is Federal Tax Form 1040. This is known as the long form, as there is a shorter version available that does not provide spaces for all of the deductions and other places for write offs known as Form 1040A, as well as a form that is provided for those that have no dependents, Form 1040EZ.
Why Use Federal Tax Form 1040
People prefer this form over the other options, especially if they have dependents to claim and if they want more options for deductions. This form is used to report all income from services, goods, property and other payments.
The form allows the user to claim numerous deductions in many areas such as earned incomes, credits, interest payments, student loans, donations and more. This form has many areas where the individual may be able to qualify for a tax break depending on their particular situation.
Even though this form takes longer for the person to complete, it is thought to be worth it since they’re able to find deeper tax cuts then on the other options. This helps them save a bit more money on how much they have to pay to the IRS, since not everyone gets tax refunds when filing their taxes. It is best to look for tax cuts they may be able to receive to help them cut back on how much they have to pay by the deadline.
What is Needed for Form 1040
There are items that are needed before you decide to file this form with the IRS. Depending on how you are filing, the information can be provided in a few different ways. Have these items handy:
Filing the Form
When the time comes to file once the form is completed, it is important to remember that your taxes need to be filed no later than April 15. An extension can be granted to those that wish to have more time if they have a circumstance that warrants that, but a new form (Form 4868) needs to be filed.
Many choose to file their Form 1040 online since this is a quicker, easier and much safer way to file their taxes. Choosing direct deposit for taxes is also a quicker and safer way to choose to receive any returns that may be awarded.
Some people do not know which form to file when it comes to doing their taxes. That is alright, but the IRS states that if you are in doubt, then the person should file the Form 1040 over the others if they are unsure of whether or not they need to use other ones. This is the most universally form used and can provide the IRS with the information needed. Chances are, if you have dependents, have taxable income and need to file taxes then this is the form you’re going to need to use to file with.
It is highly recommended that those that need to file, but are unsure of how to go about doing so hire a professional tax preparer to do the taxes for them. Not many people use accountants or book-keepers, so having someone knowledgeable about filing taxes and what forms are required can ensure that you have your taxes filed the correct way.
Find a tax preparer near you today, the deadline is coming up sooner than you think!
