Form 1040, U.S. Individual Income Tax Return, is used by U.S. taxpayers to file an annual income tax return.
Form 1040, U.S. Individual Income Tax Return, is an Internal Revenue Service (IRS) tax form that U.S. taxpayers use to file their income tax returns. It is used to calculate and report gross income and tax liabilities to help an individual determine if he or she owes the government taxes or has a refund.
The deadline to file Form 1040 is April 15th of every year. In the U.S., the day is called Tax Day. When the deadline falls on a weekday or a holiday, the next business day becomes the new due date.
To know if you need to file Form 1040, here are the conditions:
Your filing status is...
At the end of 2020, you were...
And your gross income was at least...
65 or older
Married filing jointly
Under 65 (both spouses)
65 or older (one spouse)
65 or older (both spouses)
Married filing separately
Head of household
65 or older
65 or older
If you are self-employed, an independent contractor, or freelance, if you received a net earning of at least $400, you need to file Form 1040.
Form 1040 is a two-page tax form. Make sure to compute and provide information accurately to avoid problems with the federal tax agency.
For your convenience, make sure to gather all your tax documents, including your Form W-2, Wage and Tax Statement, and applicable 1099 forms.
Answer the following fields:
Check the box to determine your filing status. The options are:
Then, provide the applicable information:
If you or your spouse — if filing jointly — wants $3 to go to the Presidential Election Campaign, mark the applicable checkbox.
If at any time during 2020, you received, sold, sent, exchanged, or acquired any financial interest in any virtual currency, mark the appropriate Yes box; otherwise, mark No.
Mark the appropriate box if someone can claim:
If you were a dual-status citizen, check the box that says “Spouse itemizes on a separate return or you were a dual-status alien.”
For the Age/Blindness field, mark the applicable boxes to determine your or your spouse’s age or if you or your spouse is blind.
If you have dependents, enter their:
Then, mark the applicable box if the dependents qualify for child tax credit or credit for other dependents.
Provide the following information about your income:
Enter your wages, salaries, tips, and other income amounts. Then, attach Form W-2.
Enter tax-exempt interest amount.
Enter taxable interest amount.
Enter qualified dividends amount.
Enter ordinary dividends amount.
Enter IRA distributions amount.
Enter IRA distributions taxable amount.
Enter pension and annuities amount.
Enter pension and annuities taxable amount.
Enter social security benefits amount.
Enter social security benefits taxable amount.
Enter capital gain or loss amount. Then attach Schedule D, if required. Otherwise, mark the box.
Enter other income amounts from Schedule 1, Line 9.
Enter the total income when you add Lines 1, 2b, 3b, 4b, 5b, 6b, 7, and 8.
Enter adjustments to income:
a. From Schedule 1, Line 22
b. Charitable contributions if you take the standard deduction.
c. Total adjustments to income. To get this, add Lines 10a and 10b.
Enter adjusted gross income. To get this, subtract Line 10c from Line 9.
Enter standard deduction or itemized deductions (from Schedule A).
Enter qualified business income deduction amount. Then, attach Form 8995 or Form 8995-A.
Enter the sum of Lines 12 and 13.
Enter the taxable income amount.
Enter tax amount. Then, check if any from Forms 8814, 4972, or another form that you need to specify.
Enter the amount from Schedule 2, Line 3.
Enter the sum of lines 16 and 17.
Enter child tax credit or credit from other dependents amount.
Enter the amount from Schedule 3, Line 7.
Enter the sum of Lines 19 and 20.
Enter the difference when you subtract Line 21 from Line 18. If zero or less, enter 0.
Enter other taxes amount.
Enter the sum of Lines 22 and 23.
Enter federal income tax withheld from:
a. Form(s) W-2
b. Form(s) 1099
c. Other forms
d. Sum of Lines 25a through 25c
Enter 2020 estimated tax payments and amount applied from 2019 return.
Enter earned income credit (EIC) amount.
Enter additional child tax credit amount. Then, attach Schedule 8812.
Enter American opportunity credit from Form 8863, Line 8.
Enter recovery rebate credit amount.
Enter the amount from Schedule 3, Line 13.
Enter the total other payments and refundable credits amount. To get this, add Lines 27 through 31.
Enter total payments amount. To get this, add Lines 25d, 26, and 32.
Enter overpaid amount. This is when Line 33 is more than Line 24. To get the amount, subtract Line 24 from Line 33.
The amount of Line 34 you want to be refunded to you. Mark the box if Form 8888 is attached. Then provide the following:
b. Routing number
c. Type. Mark if Checking or Savings
d. Account number
Enter the amount of Line 34 you want to be applied to your 2021 estimated tax
Amount You Owe
Enter the total amount you owe. To get this, subtract Line 33 from Line 24.
Enter the estimated tax penalty amount.
Third Party Designee
Mark the box if you want to allow another person to discuss your Form 1040 with the IRS. Then, provide the following designee’s information:
Provide the following:
If filing a joint return, provide the following:
Paid Preparer Use Only
Provide the following information if you used a preparer:
The address to send your Form 1040 depends on your location. Refer to the instructions pages of the form to see the list of addresses.
No, 1040 forms are not the same. They vary depending on their purpose.
There are several 1040 forms, but most 1040 filers use the following:
There are also schedules that are used as an extension of specific 1040 forms, such as:
No, not everyone is required to file Form 1040. There is a certain threshold for an individual to file an income tax return. Specifically, you are not required to file Form 1040 if:
However, you may file Form 1040 even if you are not required to do so. In fact, zero tax filers or individuals who file tax returns without income can file Form 1040 to claim refunds or credits from the government.
Another determining factor to know if you need to file Form 1040 is the amount of your standard deductions. You will not have to file Form 1040 if your income is less than your standard deduction.
The standard deduction is a flat amount usually deducted from your taxable income to reduce your tax. The amount of your standard deduction depends on your type of income, age, filing status, or whether you are disabled or claimed as a dependent on another taxpayer's tax return.
The Internal Revenue Service grants taxpayers the standard deduction if they do not itemize their tax deductions using Schedule A (Form 1040).
The standard deduction applies to individuals earning a salary or pension income. However, not all taxpayers are qualified for the standard deduction. According to the Internal Revenue Service, the following may not take the standard deduction:
The U.S. government sets the amount for the standard deduction for a specific tax year. As of 2021, the standard deduction is:
No, Form 1040 is different from Form W-2, Wage and Tax Statement.
You use Form 1040 to file with the Internal Revenue Service your income tax returns. It serves as the master sheet that contains details from your tax forms or returns. Form W-2, on the other hand, is a document your employer gives you to report your wages and withholding.
To file your Form 1040, you need to gather all your tax returns, including your Form W-2, to determine the information or records you need to input.
While there are several types of 1099 forms, all are designed to report your self-employment income or the income you gain outside your salary or wage.
The amount reported on your 1099 forms will be used to determine the amount you need to enter on your Form 1040.
Yes, you can print Form 1040 that you downloaded online or from the Internal Revenue Service (IRS) website.
Although, other online IRS forms must not be printed for scanning purposes, such as Copy A of Form W-2 and 1099 forms and other IRS forms printed in red ink.
You need Form 1040 to report your income, calculate the amount of taxes you owe to the federal government, and file your tax return.
If you do not have to file a tax return and do not have to make estimated tax payments, you do not have to file Form 1040.
Your annual income is the total amount of money you earned during a year.
To determine if you need to file Form 1040, add your taxable income and all nontaxable income in a year. If the total is within your standard deduction limit, then you do not have to file Form 1040.
A taxable income is an amount that remains after reducing your gross or total income by any adjustments, deductions, exemptions, and tax credits that you qualify for to determine the final sum of money on which you must pay taxes.
To find out your gross annual income on Form 1040, look for line 7.
Yes, Form 1040-EZ is a short Form 1040 with limited income reporting.
Form 1040-EZ can be used by taxpayers who:
No, if you are qualified to file Form 1040-EZ, you do not need to complete Form 1040.
If your income is below $5,000, you do not need to file taxes. However, you may need to file a tax return to claim a refund on taxes you have already paid.
Yes, 1099 employees file Form 1040 if they have enough income to qualify to file Form 1040. Instead of Form 1040, they may use Schedule C (Form 1040) to report their income. They may also use Schedule SE (Form 1040) if their net earnings from self-employment are $400 or more.
1099 employees or workers are independent contractors, freelancers, or self-employed individuals. They are individuals who work for certain employers but are not considered employees. Instead of receiving Form W-2, they receive 1099 forms from their employers as proof of their earnings.
Your adjusted gross income (AGI) is listed on line 37 of your Form 1040.
Additionally, if you are using:
The Adjusted Gross Income (AGI) is your total income minus certain adjustments like contributions to a traditional individual retirement account (IRA), moving expenses, and student loan interests.
The documents you need to file with your Form 1040 with the Internal Revenue Service depend on your tax situation. You may need to attach:
Yes. You may attach Form W-2 to the front of your Form 1040.
Single or unmarried individuals must file an income return if their gross income is at least $12,400 or $14,050.
You are considered a single filer if:
Yes. Although you are not obligated to file tax returns if you have no income, the Internal Revenue Service (IRS) encourages you to do so.
Filing tax returns with zero income may have a beneficial effect on your future eligibility for government benefits. You may also get a refund for some federal income tax you paid to the IRS.
Form 1040 is more detailed and comprehensive than Form 1040-EZ. Form 1040 is used by individuals who owe tax, need to report itemized deductions, or have self-employment income. While Form 1040-EZ is only used by those with simple tax situations.
If your tax situation is simple enough, you may use Form 1040-EZ. It has fewer allowances, which means less paperwork and lower taxes.
If you want to file Form 1040 with no income, you may enter "0" on line 7 of your Form 1040. Then, follow the same procedure when filing Form 1040 with income.
Yes, homeowners are required to file Form 1040 or Form 1040-SR to deduct expenses of owning a home and itemize their deductions on Schedule A (Form 1040). They can also claim a deduction for interest on a home mortgage, as well as credit for any real estate taxes they paid.
A home is any structure with sleeping space and toilet and cooking facilities, whether a house, condominium, cooperative apartment, mobile home, houseboat, or house trailer.
Yes, renters can file Schedule E (Form 1040) to report their rental income or loss.
Schedule E (Form 1040) is a document used to report income, losses, expenses, and other information on rental property.
To deduct your mortgage interest on Form 1040, you need to complete Schedule A (Form 1040) to itemize your deductions.
When filling out Schedule A (Form 1040), you need to include all of your deductible expenses. You may include your home mortgage interest, charitable contributions, medical expenses, real estate taxes, and casualty or theft losses.
If you choose to itemize your deductions, you cannot claim the standard deduction. You may only choose one method to claim deductions.
Itemized deductions are the list of personal deductions that can be deducted from an individual’s gross income. They reduce the amount of taxable income and are beneficial for those who live in states with high tax rates or have a large amount of self-employment income.
Examples of itemized deductions include:
By itemizing your deductions, you may claim a larger deduction total than if you chose to claim the standard deduction.
Compared to the standard deduction, itemized deductions allow you to claim a larger deduction total. However, the standard deduction will likely result in paying less in taxes because it is based on your adjusted gross income.
Yes, capital gains from the sale of taxable assets are considered part of your gross income. The Internal Revenue Service also taxes them at a special rate. So, when you file Schedule D (Form 1040), Capital Gains and Losses, be sure to include it in your net capital gain to maximize your benefits.
Moreover, short-term capital gains are taxed at the same rate as ordinary income, while long-term capital gains are taxed up to 20%.
You can deduct all of your home mortgage interests. However, the amount of deduction depends on the mortgage date, amount, and your mortgage proceeds usage.
If you used the home mortgage proceeds to purchase, build, or improve your home, you can deduct all of your mortgage interest.
You can claim all of your medical expenses as itemized deductions under Schedule A (Form 1040), so you can deduct the cost of surgeries, prescription drugs, and other medical expenses.
Typically, you can claim your medical expenses as itemized deductions if you have unreimbursed expenses that are more than 10% of your adjusted gross income (AGI).
Keywords: 2020 form 1040 form 1040 fillable 1040 form template 2020 form 1040 blank template 2020 form 1040 pdf