With only 5 days left until tax day, the countdown to finish all your tax forms is on. To do so correctly, it's important that you're familiar with the different types of tax forms. After all, proper knowledge of these forms will prevent you from filling out unneeded forms and doing extra work while filing. One of the quickest and easiest tax forms to submit is the 1040EZ. Many people are eligible to file a 1040EZ tax form, but unfortunately very few know the basics of what a 1040EZ is.
1.) The 1040EZ tax is typically the first form you will fill out
This form is the most simple type of tax form, and should be used in any events in which you need a straightforward tax form. If you have regular income, no children, no estate to claim, no foreign income and no tax shelter costs, the 1040EZ is perfect for you. Using the 1040EZ tax form is most appropriate when only the basic information is needed in order to determine the amount of money that will be owed or given back during the tax season.
2.)The 1040EZ tax is considered to be an alternative to the 1040
In order to be able to use a 1040EZ, you need to meet certain stipulations. These stipulations include: having an income of less than $100,000 that is taxable, interest income of $1,500 or less, and having no dependents. An easy way to differentiate between the two forms is to look at the end of the form. After all, the EZ at the end of the 1040EZ form was put there in order to signify the ease with which you can complete it.
3.) The simplicity of the form makes it simple for you to fill out individually
A 1040EZ requires very limited information, such as a your social security number and gross income. Once you begin to add more stipulations, such as a child or getting married, you will need to switch from the 1040EZ and begin using a tax form called the 1040 or 1040A, as they allow for more information when filing your taxes.
By taking to an experienced agent at Red Gorman Insurance, it is much easier to determine exactly which form would work best for you. Our Texas Tax Preparation Department is ready to help you with your taxes. Give us a call us today at 214-347-9997 for more information on which form can best benefit you.