When Is It the Appropriate Time to Submit a 1040 Form?
IRS Tax Form 1040, also called the U.S. Individual Income Tax Return, is used to report gross income as an individual. You must generally file a 1040 Form by April 15th unless you get an automatic extension. Read below to learn more details about when you should use Form 1040 for taxes.
When to File Form 1040
Some of the requirements for submitting a 1040 Form are:
- You have income of at least $400
- You have taxable income of at least $100,000
- You submitted quarterly estimated tax payments
- You have income tax taken out of paychecks
- You sold stocks, bonds, property, or mutual funds
- You have payments that qualify as itemized deductions, such as charitable contributions or mortgage payments
You can obtain a Form 1040 online or from your local post office.
Form 1040A and 1040EZ
Were you aware that there are other individual income tax return forms besides Form 1040? Here’s what the other ones are and when you may want to consider using them:
- Form 1040EZ: This is the briefest form, but it doesn’t allow you to claim deductions or credits besides the Earned Income Tax Credit. If you don’t have tax breaks to claim, you may want to use this quick shortcut form.
- Form 1040A: If you want to claim tax credits but don’t care about itemizing deductions, you may want to use the 1040A. However, credits and deductions are still limited compared to the standard 1040 form.
Basically, if you want to get the most tax breaks, use the standard Form 1040. Otherwise, you may want to opt for one of these shorter forms.
If you have a sole proprietorship with employees, you’ll need an EIN to fill out your Form 1040. IRS-EIN-Tax-ID has a quick EIN application process online. You can also easily get an EIN number for an estate or any other purpose if you need to.