Reporting Your Income: Form 1040
The IRS 1040 form is the most common form filled out by American tax payers. The 1040 form is where you’ll calculate and report your “Adjusted Gross Income” or AGI. You’ll include all the money you earned (in all its different forms) throughout the year, such as wages and salary, tips, interest, dividends, taxable state and local tax refunds, alimony, business income, capital gains, IRA and pension distributions, farm income, unemployment income and Social Security benefits. There’s also a spot listed as “other income,” just in case you received other money that doesn’t fit into any of the already listed categories.
You must report all income you receive, regardless of where it comes from, unless it’s tax-exempt. Depending on the types of income you received, and the different sections of the 1040 form you fill out, Form 1040 will to determine the total amount of tax you owe for the year, or the refund you can expect to get back.
Skip the trip to post office, and click here to start filling out your 1040 form now.
Not sure where to start? This video should get you going: