Tax returns in the United States are reports filed with the Internal Revenue
Service or with the state or local tax collection agency containing information
used to calculate income tax or other taxes. Tax returns are generally
prepared using forms prescribed by the IRS or other applicable taxing
authority. In 2014 taxes and healthcare became
complexly intertwined in the United States due to provisions of the
Affordable Care Act that implemented a system of government subsidies for many
individuals to purchase private health insurance.
History = 2014 =
To help lower-income families and individuals pay for coverage, the United
States government started offering financial support in the form of
subsidies, to offset the cost of monthly healthcare insurance premiums and
out-of-pocket costs. Premium tax credits are available, depending on 2015
household size and income, and insurance status should be reported when filing a
tax return. Federal returns
Under the Internal Revenue Code returns can be classified as either tax returns
or information returns, although the term "tax return" is sometimes used to
describe both kinds of returns in a broad sense. Tax returns, in the more
narrow sense, are reports of tax liabilities and payments, often
including financial information used to compute the tax. A very common federal
tax form is IRS Form 1040. A tax return provides information so
that the taxation authority can check on the taxpayer's calculations, or can
determine the amount of tax owed if the taxpayer is not required to calculate
that amount. In contrast, an information return is a declaration by some person,
such as a third party, providing economic information about one or more
potential taxpayers. Information returns are reports used to
transmit information about income, receipts or other matters that may
affect tax liabilities. For example, Form W-2 and Form 1099 are used to
report on the amount of income that an employer, independent contractor,
broker, or other payer pays to a taxpayer. A company, employer, or party
which has paid income to a taxpayer is required to file the applicable
information return directly with the IRS. A copy of the information return is
also sent directly to the payee. These procedures enable the IRS to make
reasonably sure that taxpayers report income correctly.
= Amended return = In the United States, taxpayers may file
an amended return with the Internal Revenue Service to correct errors
reported on a previous income tax return. Typically a taxpayer does not
need to file an amended return if he or she has math errors as the IRS will make
the necessary corrections. For individuals, amended returns are filed
using Form 1040X, Amended U.S. Individual Income Tax Return.
= Federal income taxes = The IRS has power to require people to
file Federal tax returns under 26 U.S.C. § 6011. Persons required to file Federal
income tax are identified by 26 U.S.C. § 6012. People who receive more than the
statutory minimum amount of gross income must file.
The standard U.S. individual tax return is Form 1040. There are several
variations of this form, such as the 1040EZ and the 1040A, as well as many
supplemental forms. U.S. citizens and residents who realize
gross income in excess of a specified amount are required by law to file
Federal income tax returns. Gross income includes most kinds of
income regardless of whether the income arises from legitimate businesses.
Income from the sale of illegal drugs, for example, is taxable. Many criminals,
such as Al Capone, are indicted not for their non-tax crimes, but for failure to
file Federal income tax returns on their income.
The IRS occasionally has seen "Fifth Amendment" returns from people who
accurately report their annual income and tax liability but refuse to reveal
the source of the funds on the grounds that such a statement would tend to
incriminate the individual. Many Americans find the process of
filling out the tax forms more onerous than paying the taxes themselves. Many
companies offer free and paid options for reducing the tedious labor involved
in preparing one's tax return. A taxpayer who finds a mistake on a
previously filed individual income tax return can file corrections with Form
1040X. Deadline
The annual deadline to file one's Federal individual income tax return is
April 15. The IRS lists scenarios for which Tax Day does not follow this
standard deadline. = Proof of timely filing =
1. A return that is mailed to the IRS is timely filed if it is delivered on or
before its due date, that is April 15. A return with a U.S. postmark, which is
delivered after its due date, is considered timely filed if: - the date
of the postmark is no later than the due date; - the return was properly
addressed; - the return had proper postage. The timely filing, timely
mailing rule requires that the return be postmarked within the prescribed filing
period. Thus, an individual return postmarked April 16 and received on
April 20 is considered filed on April 20.
2. A return delivered by a designated private carrier is timely if the carrier
marks or records the return no later than the due date of the return. The IRS
can designate a private carrier if the carrier: - is available to the general
public; - is as timely and reliable as U.S. first class mail; - records the
date on which the package was given to it for delivery; - satisfies other
conditions. The IRS has identified DHL Express, Federal Express, and United
Parcel Service as designated carriers. 3. A return delivered by other means
than the U.S. mail or a designated private carrier must be delivered to the
appropriate IRS office on or before its due date to be timely.
4. An electronically-filed return with a timely electronic postmark is timely
filed, provided that the return is filed in the manner prescribed for electronic
returns. An electronic postmark is a record of the date and time, in the
taxpayer’s time zone, that an authorized electronic return transmitter receives
the e-filed document on its host system. Privacy and public disclosure
Tax return laws generally prohibit disclosure of any information gathered
on a state tax return. Likewise, the federal government may not disclose tax
return information without the filer's permission, and each federal agency is
also limited in how it can share such information with other federal agencies.
Occasionally there have been efforts in Congress to require tax returns to be
open to public inspection. For example, Senators Robert M. La Follette and
George W. Norris supported such legislation, applicable to both
individual and corporate returns, and public disclosure for wealthy taxpayers
was required from 1923-1926. Presidential candidates have sometimes
voluntarily released their tax returns. Preparation
Popular tax preparation software includes TaxSlayer, TaxACT, H&R Block at
Home, and TurboTax. In some countries, the tax agency
provides a prefilled return to streamline the process, but the United
States has failed to adopt these technologies as of 2015.
List of common forms Examples of common Federal tax returns
include: Transfer taxes
Form 706, U.S. Estate Tax Return; Form 709, U.S. Gift Tax Return;
Statutory excise taxes Form 720, Quarterly Federal Excise Tax
Return; Form 2290, Heavy Vehicle Use Tax Return;
Form 5330, Return of Excise Taxes Related to Employee Benefit Plans;
Employment taxes Form 940, Employer’s Annual Federal
Unemployment Tax Return; Form 941, Employer’s Quarterly Federal
Tax Return; Income taxes
Form 1040, U.S. Individual Income Tax Return;
Form 1040A, U.S. Individual Income Tax Return;
Form 1040EZ, Income Tax Return for Single and Joint Filers with No
Dependents; Form 1041, U.S. Income Tax Return for
Estates and Trusts; Form 1065, U.S. Return of Partnership
Income; Form 1099 series;
Form W-2; Form 1120, U.S. Corporation Income Tax
Return; Form 1120S, U.S. Income Tax Return for
an S Corporation; See also
Affordable Care Act tax provisions Taxation in the United States
Tax return Tax return
Tax return References