tax forms

How To Choose the Right Tax Form

Still doing taxes the old fashioned way by filing a paper return?

The IRS reminds you that it no longer mails out paper tax packages, a step the agency took after continued growth in electronic filing, the availability of free options and as a way to reduce costs. If you’re e-filing, the software will choose the best form for you, but if you’re taking pencil to paper, make it as simple as possible by choosing the simplest tax form for your situation.

The quickest way to get forms and instructions is the IRS website at www.irs.gov. Taxpayers can also get them from a local IRS office, a participating community outlet like many libraries and post offices, or from the IRS’s automated forms line at 1-800-TAX-FORM.

 

Here are some general rules to consider when deciding which paper tax form to file.

Use 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
  • Your interest income is $1,500 or less

Use the 1040A if:

  • Your taxable income is below $100,000
  • You have capital gain distributions
  • You claim certain tax credits
  • You claim adjustments to income for IRA contributions and student loan interest

 

How To Choose the Right Tax Form

If you cannot use the 1040EZ or the 1040A, you’ll probably need to file using the 1040. Among the reasons you must use the 1040 are:

  • Your taxable income is $100,000 or more
  • You claim itemized deductions
  • You are reporting self-employment income
  • You are reporting income from sale of property

You can gain quick and easy access to IRS forms and instructions or find out more about e-file by visiting www.irs.gov. Tax products are available 24 hours a day, seven days a week and often appear online well before they are available on paper. To view and download tax products, visit the IRS website and select Forms and Publications.

Form 1040EZ, Individual Income Tax Return Form 1040EZ
Form 1040A, Individual Income Tax Return Form 1040A
Form 1040, Individual Income Tax Return Form 1040
Publication 17, Your Federal Income Tax
1040 Central

Welcome to Tax Season 2009

It is now official, the IRS is now excepting tax returns for 2008!

80 million people used e-file in 2007 (almost 58 percent of all tax returns).
e-file or electronic tax filing has many benefits like:

  • Faster Refunds
  • Greater Accuracy
  • Secure and confidential submission
  • No paper return to mail
  • File now, pay later
  • Quick confirmation

“These are tough times, and e-file is the best way for people to get cash in their pocket quickly,” said IRS Commissioner Doug Shulman. “Filing electronically with direct deposit can get refunds to taxpayers in as few as 10 days.”

IRS e-file meets the needs of nearly all taxpayers, no matter how complicated or simple their returns are. E-file helps taxpayers take advantage of the tax credits available to them to maximize their refunds during these tough economic times.

E-filed tax return information is protected through encryption. Also, taxpayers receive an acknowledgement usually within 48 hours that the IRS has accepted their return.

Click either the Basic return link at the top of the page to start your 1040EZ form or Click on the Start a Regular Tax Return link if you won’t qualify for a 1040 EZ.

Not sure? Then start with the Basic 1040EZ form, if you need to upgrade to the Regular form we will let you know. Please keep in mind if you start with the Regular form you can not downgrade to the Basic.

In general if you are Single or Married with NO children you should start with the Basic 1040EZ.

2007 Federal Tax Rate Schedules

 2007 Federal Tax Rate Schedules

Note: These tax rate schedules are provided so that you can compute your federal estimated income tax for 2007. To compute your actual income tax, please see the instructions for 2007 Form 1040, 1040A, or 1040EZ as appropriate when they are available.

Schedule X — Single

If taxable income is  over–But not over–The tax is:

$0 $7,825 10% of the amount over $0
$7,825 $31,850 $782.50 plus 15% of the amount over 7,825
$31,850 $77,100 $4,386.25 plus 25% of the amount over 31,850
$77,100 $160,850 $15,698.75 plus 28% of the amount over 77,100
$160,850 $349,700 $39,148.75 plus 33% of the amount over 160,850
$349,700 no limit $101,469.25 plus 35% of the amount over 349,700

Schedule Y-1 — Married Filing Jointly or Qualifying Widow(er)

If taxable income is over–But not over–The tax is:

$0 $15,650 10% of the amount over $0
$15,650 $63,700 $1,565.00 plus 15% of the amount over 15,650
$63,700 $128,500 $8,772.50 plus 25% of the amount over 63,700
$128,500 $195,850 $24,972.50 plus 28% of the amount over 128,500
$195,850 $349,700 $43,830.50 plus 33% of the amount over 195,850
$349,700 no limit $94,601.00 plus 35% of the amount over 349,700

Schedule Y-2 — Married Filing Separately

If taxable income is over–But not over–The tax is:

$0 $7,825 10% of the amount over $0
$7,825 $31,850 $782.50 plus 15% of the amount over 7,825
$31,850 $64,250 $4,386.25 plus 25% of the amount over 31,850
$64,250 $97,925 $12,486.25 plus 28% of the amount over 64,250
$97,925 $174,850 $21,915.25 plus 33% of the amount over 97,925
$174,850 no limit $47,300.50 plus 35% of the amount over 174,850

Schedule Z — Head of Household

If taxable income is over–But not over–The tax is:

$0 $11,200 10% of the amount over $0
$11,200 $42,650 $1,120.00 plus 15% of the amount over 11,200
$42,650 $110,100 $5,837.50 plus 25% of the amount over 42,650
$110,100 $178,350 $22,700.00 plus 28% of the amount over 110,100
$178,350 $349,700 $41,810.00 plus 33% of the amount over 178,350
$349,700 no limit $98,355.50 plus 35% of the amount over 349,700