Earning Online from Panama

If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!

April 17th is looming on the horizon, it is a deadline that most Americans dread. Don’t stress! Consider using the 1040A to complete your taxes easily, on time and with little effort.

Yes, taxes are a “chore” however, the 1040A can make filing rather painless. For the average person, filing often results in a decent cash refund. Generally is it is the fear of the unknown regarding your taxes, that have people running scared.

Now, while I truly understand not wanting to do your taxes, there is the potential for the average Joe or Jane to get sizeable cash refund. A couple hours of work and you just might get some of the money you’ve paid all year back in your pocket. As incentives go, getting money back from the government goes a long, long way.

For those that are afraid they are going to have to pay, listen up, the interest that is charged on what you owe on back taxes can be scary. There are arrangements you can make with the IRS regarding payment plans.

The IRS produced a very straightforward form called the 1040A. It has a bit more flexibility in relation to credits than the 1040EZ. It is all of two pages long, although you may have to complete a schedule for certain deductions. This little form is much easier to complete then the full meal deal. Dont think you are missing out on potential deductions just because it is not complicated. To see if you can use this form, take a look at the points below.

You are allowed to use the 1040A if:

Your taxable income is less than $100,000 (subtract your total deduction from your total income).

You did not exercise incentive stock options.

Your income comes from:

Capital gains,

Grants and/or scholarships,

Interest and dividends,

Pensions, annuities, IRA distributions,

Social Security benefits,

Unemployment,

Employment Wages

Your deductions are standard:

Classroom expenses

Student loan interest

Tuition and fees

You are claiming the standard tax credits which are:

Retirement savings contributions

Elderly and disabled credit

Child and dependent care expenses

Earned income credit

Child tax credit

Additional child tax credit

Lifetime Learning and Hope education credits

Are you ready to complete your 1040A? If so, you may need to complete a couple of the schedules. Click on the following links to download the forms:

2008 Form 1040A Instructions (http://www.irs.gov/pub/irs-pdf/f1040a.pdf)

1040A Form (http://www.irs.gov/pub/irs-pdf/f1040a.pdf)

Schedule 1 - Interest and Ordinary Dividends (http://www.irs.gov/pub/irs-pdf/f1040as1.pdf)

Schedule 2 ” Child and Dependent Care Expenses (http://www.irs.gov/pub/irs-pdf/f1040as2.pdf)

Instructions for Schedule 2 ” (http://www.irs.gov/pub/irs-pdf/i1040as2.pdf)

Schedule 3 ” Credit for Elderly and the Disabled (http://www.irs.gov/pub/irs-pdf/f1040as3.pdf)

Instructions for Schedule 3 (http://www.irs.gov/pub/irs-pdf/i1040as3.pdf)