For Tax Year 2018, you will no longer use Form 1040A or Form 1040EZ, but instead will use the redesigned Form 1040. Many people will only need to file Form 1040 and no schedules.
This is the "postcard size" form you may have heard of: Form 1040, and the instructions. The return is two half-pages, and the signature section is the bottom of the first page. Form(s) W-2 are now attached on the left margin of page two.
However, if your return is more complicated (for example you claim certain deductions or credits, or owe additional taxes) you will need to complete one or more of the new Form 1040 Schedules. Below is a general guide to what Schedule(s) you will need to file, based on your circumstances. See the instructions for the Schedules for more information.
If you have additional income, such as capital gains, unemployment compensation, prize or award money, gambling winnings.
If you Have certain deductions to claim, such as student loan interest deduction, self-employment tax, educator expenses.
If you owe AMT or need to make an excess advance premium tax credit repayment (calculated on Form 8962).
If you can claim a nonrefundable credit other than the child tax credit or the credit for other dependents, such as the foreign tax credit, education credits, general business credit.
If you owe other taxes, such as self-employment tax, household employment taxes, additional tax on IRAs or other qualified retirement plans and tax-favored accounts.
If you can claim a refundable credit other than the earned income credit, American opportunity credit, or additional child tax credit. If you have other payments, such as an amount paid with a request for an extension to file or excess social security tax withheld.
If you have a foreign address, or a third party designee other than your paid preparer.
Here's an example:
A couple files a married filing joint return with no children, where one spouse works for wages and the other spouse is self employed. They claim the standard deduction, and the self employed spouse made estimated tax payments, because it's a pay-as-you-earn system.
This couple will file the Form 1040, Schedule 1 (for the self employment income and the self employment tax deduction), Schedule 4 (for the self employment tax), and Schedule 5 (to claim the estimated tax payments). These new Schedules are in addition to the Schedules C and SE the spouse would need to compute the business profit and self employment tax. If the Taxpayer want's their mom to be able to contact IRS on their behalf, they could list mom as the third party designee, and add Schedule 6.
If they are filing this return by mail, they must remember to sign the return on page one and attach the W-2 on page 2 of the 1040. Then they attach Schedules 1, 4, 5, and 6, and then Schedules C and SE. Each IRS supporting form or schedule has a sequence number in the upper-right corner. These are supposed to be attached in the appropriate sequence number order.
Individuals who filed their federal tax return electronically last year may not notice any changes, as the tax return preparation software will automatically use their answers to the tax questions to complete the Form 1040 and any needed schedules.
If you are electronically filing your return, these mechanical changes should be invisible to you. Carefully review the finished product and, as always, when you are done preparing and filing your return, make digital and physical copies for your records.
Tl;Dr: Here's the new and improved tax return, and new schedules, for 2018. Forms 1040A and 1040EZ won't be used this filing season. I just want to say good luck. We're all counting on you.
Submitted December 26, 2018 at 07:43PM by these-things-happen http://bit.ly/2EOMwTW
