If you are a taxpayer, then you will have to file either a 1040 or 1040EZ form with the IRS. These two forms are very different, and it is important that you understand which one is right for you. This blog post will explain the differences between these two forms.
What is 1040?
- 1040 is a form used for filing federal income taxes in the United States. The 1040 form is the most basic and commonly used form, and it is used to report an individual’s gross income, taxable income, and tax liability.
- The 1040 form can be filed electronically or by paper. For electronic filing, the 1040 form must be accompanied by a completed 1040-EZ or 1040-A form. The 1040-EZ form is the simplest of the three forms, and it is generally used by taxpayers who have no dependents and who do not itemize deductions.
- The 1040-A form is slightly more complicated, and it is generally used by taxpayers who have dependents and who itemize deductions. The 1040 form is the most complicated of the three forms, and it is generally used by taxpayers who have complex tax situations. All three forms are available on the IRS website.
What is 1040EZ?
- 1040EZ is a tax form used by the IRS for taxpayers who meet certain requirements. The 1040EZ is the simplest form to file, and it can be completed by anyone with a taxable income of less than $100,000.
- To qualify for 1040EZ, you must also be single or married filing jointly, and you cannot have any dependents. If you meet these requirements, you can use 1040EZ to file your taxes. 1040EZ is a great option for anyone who wants to file their taxes quickly and easily.
- However, it’s important to note that 1040EZ does not allow taxpayers to claim any deductions or credits. As a result, you may end up paying more in taxes than you would if you filed a different tax form.
Difference Between 1040 and 1040EZ
1040 and 1040EZ are two IRS tax return forms. 1040 is the long form, and 1040EZ is the short form.
- 1040EZ is for taxpayers who have a relatively simple tax return. 1040 is for taxpayers with a more complex tax return.
- 1040EZ cannot be used by taxpayers who have dependents, itemized deductions, or certain types of income.
- 1040 can be used by all taxpayers. 1040EZ is shorter and easier to fill out than 1040, but it may not provide the best results for all taxpayers.
Some taxpayers who use 1040EZ end up owing money to the IRS, while others could get a bigger refund by using 1040. Talk to a tax professional to determine which form is right for you.
Conclusion
Conclusion paragraph: The 1040EZ is a simplified tax form that can be used by taxpayers who have taxable income of $100,000 or less and meet other requirements. If you don’t qualify to use the 1040EZ, you will need to file the more complex 1040 form. In most cases, the 1040 form will result in a larger refund than the 1040EZ.
However, if you have relatively simple finances and don’t mind giving up some potential refunds, using the 1040EZ could save you time and hassle during tax season. Have you determined which tax form is best for your situation? Use our handy calculator to help make your decision.
