What is Form 1040?

Form 1040, formally known as the “U.S. Individual Income Tax Return”, is the go-to tax form that describes the IRS’s standards for calculating individual income tax, credits, and deductions, and calculating tax refunds and tax bills.

Form 1040 is one of the most commonly filled-out tax forms within the United States tax system. A lot of individuals must fill it out on an annual basis, so it’s vital upon knowing the various versions and instructions of IRS Form 1040. Learn more about IRS Form 1040!

U.S. Individual Income TaxU.S. Individual Income TaxU.S. Individual Income TaxU.S. Individual Income Tax

New IRS Form 1040 Instructions

The IRS has recently released 1040 form instructions adjusted to the most recent version as of 2019. Now, the new three schedules numbered have been added to the existing schedules including Schedule A. Despite any additional deductions or credits that you claim, however, complex your return is (for instance, claiming certain deductions or recording credits or owing additional taxes), the schedules will contain supplementary lines that will require additional completion. If you use the software to e-file your taxes, it will usually automatically request the right schedules and you will not notice much of a change when you submit your return.

Which Form 1040 Schedules Should I Use?

All kinds of taxpayers typically use regular Form 1040, but Some people might not have to use any of these schedules:

Schedule 1: Additional income and adjustments to income

File this if you had any of these:
  • Alimony income or payments.
  • Business income (you probably also need to file a Schedule C).
  • Rental income (you may also need to file a Schedule E).
  • Farm income.
  • Unemployment income.
  • Educator expenses.
  • Deductible moving expenses.
  • The health savings account deduction.
  • Deductible health insurance expenses.
  • Student loan interest.
  • Deductible retirement contributions.

Schedule 2: Additional taxes

File this if you owe any of these:
  • Alternative minimum tax.
  • Excess advance premium tax credit repayment.
  • Self-employment tax.
  • Additional taxes on IRAs, retirement plans, or other tax-favored accounts.
  • Household employment taxes.
  • Repayment of the first-time homebuyer credit.
  • Additional Medicare tax.
  • Net investment income tax.

Schedule 3: Additional credits and payments

File this if you want to claim any of these:
  • Foreign tax credit.
  • Credit for child and dependent care expenses.
  • Education credits.
  • Retirement savings contributions credit (the saver’s credit).
  • Residential energy credit.
  • General business credit.

Other Types Of 1040 Forms

More IRS 1040 Tax Form Help

With SDG Accountant’s tax assistance options, you’ll have more 1040 form guidances to choose from, based on your tax situation. Call us to schedule an appointment with one of our knowledgeable tax professionals. SDG Accountants will assist you with your Form 1040.