The 1040-SR Form is a digital version of the regular Form 1040. It does the same job as the standard Form 1040 but is specifically issued by the IRS for seniors. However, there are some key differences between the two forms. Form 1040-SR was enacted by the Bipartisan Budget Act of 2018. This act required the IRS to create a new tax form for seniors. Unlike the old Form 1040-EZ, which didn’t take into account the average income of a senior, the new 1040-SR Form is made with senior taxpayers in mind.
While the IRS tax form 1040-SR is available for all taxpayers, its main purpose is for senior citizens. The Form is designed to be easy to fill out for seniors who aren’t adept at using computers or have poor eyesight. To use the 1040-SR Form, at least one taxpayer must be 65 or older. If the taxpayer is married, only one of them is required to be 65. However, a spouse can file an itemized deduction.
What are the differences between Form 1040 and Form 1040-SR?
- One of the most significant changes to the 1040-SR Form is that the font has been enhanced. This has made the Form easier to read and understand. A standard deduction chart is now displayed on page four of the Form.
- As a result of these changes, the 1040-SR Form will have a slightly different color scheme. It has fewer shades of gray. Line numbers are also similar.
- In addition to the standard deduction, there are several other tax benefits for seniors. These include the Earned Income Credit, Social Security and Pension/Annuity income, and the Child Tax Credit.
- Another change is that the amount of money allowed on the Form has been increased. These changes are intended to make the tax return simpler for seniors. Unlike the previous version, the 1040-SR does not limit capital gains and dividends this year.
- The Form also has a section that asks you to indicate your dependents.
- Depending on the number of items you’re filing, you may also need to fill out additional schedules. For example, you may need to report income from a business, annuity, and unemployment compensation.
- Schedules are available in both lettered and unlettered versions. These Schedules are Schedules 1, 2, and 3. All of them will help you report additional information on your 1040-SR Form.
Even though the IRS 1040-SR Form is mostly for seniors, they are not the only ones who can use it. Many people file their taxes using this form because it is easy to fill out. Most of these taxpayers fill out the form by hand.
Because of the size of the form, it is a good idea to download and print a copy of the form before you begin. It is also recommended to use an online tool for filing. Alternatively, you can fill out the form and send it to the IRS office.
