Major IRS Tax Forms You Need to Know About

Major IRS Tax Forms You Need to Know About

For many people, tax season can be a panic-inducing time as they prepare to navigate the often-confusing and complicated filing process. With over 1,000 IRS tax forms used to report income, expenses, and financial data, it can be like trying to understand a foreign language that changes every couple of years.

That’s why you need the experienced and skilled help of a professional CPA. For help filing your income taxes and understanding the different types of tax forms, contact your McAllen CPA at Abigail Y. Murray, CPA, LLC today by calling 956-800-5600.

Forms 1040, 1040EZ and 1040A

Most people’s taxes require 1040, 1040EZ, or 1040A tax forms. These forms are the nucleus of your tax return, and the specific one you use will depend on your income level.

The 1040 tax form is known as “long form” because it is relatively extensive. This tax form is for individuals who make over $100,000, need to itemize deductions, have any self-employment income to report, or are reporting income from the sale of a property.

Form 1040EZ, like the name suggests, is a simpler version of a 1040 and is commonly used by single and married people with no dependents, are younger than 65, earn less than $100,000 and don’t need to itemize deductions.

The final 1040-related form is 1040A and is in the middle of the other two. You can use this form if you make less than $100,000 a year, but unlike 1040EZ, form 1040A lets you claim child tax credits, student loan interest deductions, retirement savings contributions, and other credits without the need to itemize deductions.

You’ve Got Mail…Box Tax Forms

While you won’t receive any tax forms directly from the IRS, you will typically receive forms by mail from your employer reporting the details of your income. This includes the following:

  • Form W-2 – Known as Wage and Tax Statement, this is completed and sent to you by your employer detailing your salary and earnings for the year. It is required for any business that has paid an individual at least $600 for the year and any employee who’s had income, Social Security or Medicare taxes withheld.
  • Form W-4 – This is the form you fill out before beginning your job telling your employer how much tax to withhold for each paycheck. Those receiving pension or annuity will also fill out a W-4P.
  • Form 1098 – This form is provided to individuals who have paid at least $600 interest on mortgage payments over the year, or those who paid interest on student loan payments, college tuition or donated to a motor vehicle charity.
  • Form 1099 Series – This group of forms is to report all income that doesn’t come from your salary, wages, or tips. It includes 1099-DIV (dividends, distributions, capital gains, and taxes withheld from investment), 1099-INT (interest income on investments), and 1099-OID. Additionally, freelancers, those who are self-employed or earn money from royalties, commissions, rents, and all non-employee
    income not from investments will receive a Form 1099-MISC.

Tax Day is less than a month away. Don’t wait until the last moment. Contact your McAllen CPA at Abigail Y. Murray CPA, LLC today.

Filing your taxes can be intimidating. But by consulting with an experienced CPA, you can make sure your tax forms are completed properly and your return is correct. Contact a trusted McAllen CPA at Abigail Y. Murray, CPA, LLC today by calling 956-800-5600 and let us help you this tax season.