The IRS and the Treasury Department have unveiled a new postcard-sized version of the Form 1040, planning to replace the current 1040, 1040A and 1040EZ for the next tax season. According to the Internal Revenue Service they removed everything except for the strictly necessary information, and placed it on supplemental schedules.
The new 1040 is postcard-sized, but will still need to be mailed inside of an envelope due to the personal information on the card such as your Social Security number.
The back of the postcard is used for reporting income and calculating the taxpayer’s refund.
Additional forms will be used for additional information as follows:
Schedule 1: Additional Income and Adjustments to Income
Schedule 2: Tax
Schedule 3: Nonrefundable Credits
Schedule 4: Other Taxes
Schedule 5: Other Payments and Refundable Credits
Schedule 6: Foreign Address and Third Party Designee
While all of these changes can seem confusing, Perfect Balance Accounting Employees will be required to take training on the new 1040 Forms and Schedules. We will be ready to accurately and efficiently prepare your taxes with the new Forms.
If you have any questions please feel free to give us a call at 262-554-8104.