IRS releases new 1040 form for 2019 tax season.
Next year, Americans will file their individual tax returns on a postcard. Well not quite, but the IRS did recently release a new postcard sized Form 1040 that will replace the old 1040, 1040A, and 1040-EZ forms. While it will be easier for some to file tax returns, the form consolidation also streamlines IRS processing, as all 150 million taxpayers will use the same base tax form.
The new Form 1040 is a follow-up to the 2018 Tax Cut and Jobs Act. Per the IRS, the Form 1040 is part of a new “building block” approach, with the base form supplemented by additional schedules required to determine tax liability, credits, and breaks for more complicated returns. While many more Americans will be claiming the standard deduction vs. itemizing deductions, additional schedules may still be required for things like interest expense, business income, and estimated tax payments.
Still have questions about the Trump tax cuts?
For those of you with questions about how 2018 tax reform will impact your taxes, I wrote earlier this year about the 2018 Tax Cut and Jobs Act (Trump tax cuts) as well as the new Georgia tax reform law. You can also click here to read a summary of answers to tax reform related questions that we received from clients over the last year. Or just give us a call!
Holiday shipping is still available!
I feel like a holiday sales advertisement, but there’s still a little time left to meet with your CPA, run a 2018 tax projection, and look for options to adjust income and expenses before year-end. As we like to say, it’s tough to impact your 2018 taxes in 2019.
Neal Bach, CPA