It depends; no one form fits all taxpayers.  There are several 1040 tax forms; one will be right for you.  Factors to consider include your filing status, your personal and dependent exemptions, etc.  The forms we have to choose from are the Form 1040EZ, the Form 1040A, and the Form 1040.

 

The Form 1040EZ is the most simple and easy (hence the EZ on the end).  To complete this form, a taxpayer just inserts on the proper line his or her name, address, occupation, Social Security number, wages, unemployment compensation, and taxable interest.  Unfortunately, the Form 1040EZ isn’t appropriate for everyone.  You can use it IF you meet the following conditions:  you are single or married filing jointly and claim no dependents; you (and your spouse, if married filing jointly) are younger than 65 on December 31, 2007; aren’t blind (which entitles you to increase your standard deduction); have income from only wages, salaries, tips, taxable scholarships or grants, unemployment compensation, dividends from the Alaska Permanent Fund, qualified state tuition program earnings; not more than $1,500 of taxable interest income; your taxable income is less than $100,000; you aren’t receiving any advanced earned income credit (EIC) payments; you aren’t itemizing deductions; or you aren’t claiming any adjustments to income.

 

The Form 1040A is know as the “short form” and is appropriate for taxpayers whose returns are a bit more complex and complicated than those eligible to use the Form 1040EZ.  Surprisingly, fewer conditions apply to the From 1040A: you have income only from wages salaries, tips, taxable scholarships or fellowships, pensions or annuities, taxable Social Security benefits, withdrawals form IRAs, unemployment compensation, interest and dividends; your taxable income is less than $100,000; and you aren’t itemizing deductions.

 

All other taxpayers should plan on using the Form 1040, also know as the long form.

 

It you are still confused about the correct form, any tax professional can help you identify the right choice.  You can also get help and guidance from the IRS at www.irs.gov and 1-800-829-1040.