How to Complete IRS Tax Form 1040EZ

Preparing your taxes can be stressful but Form 1040EZ is easy.

Form 1040EZ is a form commonly used by lower income taxpayers who do not have children or dependents. Form 1040EZ, also known as the "easy form," is significantly shorter than the traditional 1040 series but allows taxpayers to take advantage of the standard deductions and credits. Form 1040EZ and its instructions can be obtained through the IRS website, from your local Post Office, or by contacting the IRS and requesting the forms be mailed directly to your home.

Instructions

Label

1. Enter your personal information into the label portion of Form 1040EZ. Make sure that this information is entered using blue or black ink and is legible. If your receive form 1040EZ directly from the IRS, it includes a peel-off sticker that contains all of your information. Place this sticker on the "Label Here" section of Form 1040EZ. If the label contains any incorrect information, make changes directly to the label. If your form did not include a label, you must enter the information yourself.

2. Enter your and your spouse's Social Security numbers to the left of the label section. Regardless of your filing status, you must enter your spouse's information into the label section (if you are married).

3. Check the boxes at the bottom of the label section if you would like to donate $3 to the presidential election campaign. You will deduct this amount from your taxes after completing this form.

Income

1. Add all income from each Form W-2 and enter the total amount into line 1. Locate this information in box 1 of your Form(s) W-2. A W-2 is a form created by the IRS to report money earned and taxes paid. Employers enter the employee's wages and taxes into the form and send copies to the Social Security Administration and the employee at the end of each tax year.

2. Enter the amount of taxable interest received into line 2. This information is located on Form 1099-INT, box 1. If the amount is more than $1,500, you cannot use Form 1040EZ. Form 1099-INT reports the amount of interest the taxpayer earns from banks throughout the tax year. Banks report the interest on Form 1099-INT and send it to the IRS and the taxpayer.

3. Add all unemployment compensation and Alaska Permanent Fund dividends, from Form 1099-G, and enter the amount into line 3. The amount of unemployment compensation should reflect anything more than $2,400 per person. The IRS gives credit to the first $2,400 of unemployment received each year. If you have any questions, refer to page 11 of Form 1040EZ instructions.

4. Add lines 1 through 3 and enter the total on line 4. This is your adjusted gross income.

5. Check either box on line 6 if someone else can claim you or your spouse as a dependent. Use the worksheet on the back of the form to determine the amount to enter into line 5. If no one can claim you or your spouse as a dependent, enter the amount listed on line 5 for your current filing status.

6. Subtract the amount of line 5 from line 4. Enter this amount on line 6. If the amount of line 5 is more than line 4, enter zero. This amount is your taxable income.

Payments, Credits, and Tax

1. Enter all Federal tax withheld into line 7. Locate this amount in box 2 of Form W-2 and box 4 of any 1099 forms.

2. Use the worksheet on the back of Form 1040EZ to determine the amount of your Making Work Pay credit. Enter the amount on line 8.

3. Check Form 1040EZ instructions to determine the amount of your Earned Income Credit. Place this amount into line 9a. Earned Income Credit is only claimable by taxpayers older than age 25 who earn less than certain income criteria. This credit is refundable and may reduce or eliminate the tax you owe the IRS.

4. Enter any nontaxable combat pay election into line 9b.

5. Add lines 7, 8, and 9a and enter the total amount into line 10. These are your total credits and payments.

6. Use the amount on line 6 and compare it to the tax table in the Form 1040EZ instructions. Determine your tax and enter the amount on line 11.

Refund, Amount You Owe and Signing Your Return

1. Compare lines 10 and 11. If line 10 is larger than 11, you are owed a refund. If line 11 is larger, skip to step 3. Subtract line 11 from 10 and enter the amount into line 12a. This is the amount of your refund.

2. Complete line 12b through 12d. If you would like to have your return refunded by direct deposit, enter your routing and bank account number. If you would rather receive a check, continue to sign your return. Receiving your refund by direct deposit will take about seven business days. Mailed refunds can take as long as four weeks.

3. If line 11 is larger than line 10, subtract line 10 from line 11 and enter the amount into line 13. This is the amount you owe the IRS. Refer to Form 1040EZ instructions for information on how to pay.

4. Sign and date your return. Enter your occupation and daytime phone number. If married, have your spouse sign, date, and enter his or her occupation.

5. Check the Form 1040EZ instructions to determine where to send your tax return. Tax centers only serve specific states.

Tips & Warnings

• You do not need to complete the section labeled "Paid Preparer's Use Only" for you self-prepared your income taxes. This section is only for professional tax preparers.

References

• IRS.gov: 1040EZ Form
• IRS.gov: 1040EZ Instructions

Resources

• IRS Contact Page: Order Tax Forms