Last year, 53 million taxpayers filed their taxes online. That includes millions who were eligible to use form 1040EZ. If you're wondering whether you can go this really simple route, all you have to do is to meet two criteria. You must be single or married with no dependents, and your income on line 6 must not exceed $50,000.
The main advantage to filing the 1040EZ is, of course, how incredibly simple it is and how much time you can save. When you file your taxes online, prices are generally related to how complex the form is. This means that the EZ is often the least expensive way to go.
One thing you cannot do with the simplest form is to claim any dependents or education deductions. Neither can you claim any retirement savings credits. You can only use the form if you had only wages, salaries, tips, taxable scholarship or fellowship grants, unemployment compensation, or Alaska Permanent Fund dividends. Some tips can make you ineligible to use this form. You should definitely check with your online tax filing authority to determine if you can use the 1040EZ.
If you can use the form 1040EZ, you'll be in for a pleasant surprise at how little time it will take and how reasonable the cost will be. One of the best features of filing online is that, if you have a refund coming, you will be able to elect the direct deposit option. This will allow you to get your refund within just a few days rather than having to wait for weeks just to find out if the IRS got your return.
Labels: Form 1040ez - Free Simple Tax Return Form
