Tax Reform IRS Announces They Are Working on a New 1040 Tax Form: Intuit TurboTax Has Got You Covered Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by TurboTaxLisa Published Jun 29, 2018 - [Updated Sep 25, 2018] 2 min read Today the IRS announced they are working on changes to the 1040 tax forms. The IRS said that “this new approach will simplify the 1040 so that all 150 million taxpayers can use the same form. The new form consolidates the three versions of the 1040 into one simple form.” In addition to shortening Form 1040 to a postcard-sized return, the changes eliminate Forms 1040EZ and 1040A and increase the number of tax schedules supporting Form 1040 by six additional forms. The 1040 forms (1040, 1040A, 1040EZ) are the most common tax forms. The announcement today is the first major change to 1040 tax forms in decades. But don’t worry, TurboTax has you covered. Our teams are working with the IRS and Treasury and our products will be up to date for next tax season, so you can file with complete confidence. As you know, tax time is one time of the year many get a full snapshot of their financial picture. Taxpayers’ active participation in tax preparation is the backbone of the American tax system, giving them a better understanding of their true financial picture. Who will be able to file with the new Form 1040? If you have a straightforward tax situation and claim the standard deduction you will probably be able to file your taxes using the new Form 1040. If you have itemized deductions, your tax deductions will still be included on Schedule A. Itemized deductions include deductions for homeowners like home mortgage interest, property taxes, and interest paid on a home equity line of credit used to improve your home. Don’t worry about knowing the new tax laws and forms changes. TurboTax will make sure our products are up to date at tax time and that your tax filing process is as easy and understandable as possible. If you still have questions at tax time about how tax reform and forms changes impact you, you can connect live via one-way video to a TurboTax Live CPA or Enrolled Agent to get your tax questions answered. Check back with the TurboTax Blog Tax Reform Hub and the TurboTax Tax Reform Center for updates on 1040 tax form changes. Previous Post Tax Reform 101: Will Getting Married Change My Tax Situation? Next Post Tax Reform 101: How the New Tax Reform Law Changed… Written by Lisa Greene-Lewis Lisa has over 20 years of experience in tax preparation. Her success is attributed to being able to interpret tax laws and help clients better understand them. She has held positions as a public auditor, controller, and operations manager. Lisa has appeared on the Steve Harvey Show, the Ellen Show, and major news broadcast to break down tax laws and help taxpayers understand what tax laws mean to them. For Lisa, getting timely and accurate information out to taxpayers to help them keep more of their money is paramount. More from Lisa Greene-Lewis Follow Lisa Greene-Lewis on Twitter. 841 responses to “IRS Announces They Are Working on a New 1040 Tax Form: Intuit TurboTax Has Got You Covered” « Older Comments Newer Comments » if my total itemized deductions were up to 28k including 14k in property taxes, what will be my limit? Reply In all of the questions/replies there is no mention of medical expense deductions? For many seniors this would be one of the top questions I think. And one of the bigger expenses. Reply Hi, do the new laws prohibit claiming a travel trailer as a second home? I heard they added it back for other types of RVs, boats, etc., but travel trailers were for some reason left out. I’m not sure where that was left. Reply With the personal exemption of $4050 gone and the standard deduction increased to $24,000. It appears to me than any family filing jointly with more than three children are paying more taxes Large families 5 or 6 children or more are paying more taxes. Am l correct? Reply Is there a way to use TurboTax to estimate taxes using the new tax law to check if withholdings are on target? Reply As a teacher, there were several expenses I once was allowed to deduct. Is it possible to consider some of these expenses as donations to my classroom? Also, how do I determine if I need to change the number of exemptions on my W2 so that I won’t owe money to the government in April? Reply It is my understanding the Interest paid on Line of Credit Loans secured by your residence are no longer deductible. Does this apply to all LOC loans are just the originated in 2018 or later? Reply Will we still be able to deduct interest from 2nd mortgage/line of credit? Reply Are gambling losses still deductible? Reply in 2018 can Investment Advisory Fees still be deducted on Schedule A? Reply I have lottery winnings and losing tickets to cover my winnings, what Turbo tax would I use and that all I have being single and no other deductions Reply Will there still be form 2106, for employee expenses? Thanks Ralph Reply Will we be able to itemize and deduct medical expenses on the new tax forms? Reply If you have a small business are the tax deductions still the same as lest year. Reply We own a ranch. What changes are there to the farm & ranch form and deductions for expenses? Thanks. Reply Which version of Turbo tax will I need to claim cattle breeding profit and loss? Reply It was my understanding that interest on a home equity loan was not going to be deductible with the law change. Is that not correct? Reply What about itemized deductions for DOT/transportation employees. Is there still a deduction for per diem expenses, away from home meals, etc? Reply i tried the tax caster but did not finish. Is there a way for taxcaster to read in my turbo tax info from the 2017 turbotax file so i donot have to work thru it? I feel like I am re-entering all the same info that is available already. Reply I understand that you may still deduct interest paid on equity loans provided the money is use solely to upgrade the home and property. Reply Will TurboTax finally be able to handle 2 primary residences? Reply Can you still deduct expenses for children under the age of 18? expenses like day care. Reply I itemize and I’m a W2 employee. Normally I have ~ $12000 in charitable deductions and $15000 in non-reimbursable business deductions. I have no mortgage expenses but do have property taxes. Will I still be able to claim these deductions or will the higher standard deduction eliminate theses deductions? Single and AGi ~ $200,000 Reply Is there any computer software upgrades for Mac users running OS X El Capitan ver: 10.11.6 To use the new Turbo Tax software? Reply I thought Equity interest was no longer deductible, but it is specifically referenced in the article. Can you clarify? Reply When will I be able to buy Turbo Tax early enough in the year to enter data as the year progresses? This is something that would be very valuable, a capability always ignored by your company. Instead of loading spyware into our computers as your software wizzards did in the past, please provide the option for a much more valuable product that can be used in real time to Reply Will the EITC be handled with the new tax forms the same as before? Reply Does the new tax law do away with the miscellaneous itemized deductions subject to 2% of AGI such as investment fee expenses? Reply assuming you do not have enough deductions to itemize, what other deductions or credits will be available that are not included in the new 24,000 standard deduction? Reply I am married and have very much more income than my wife. From my income i have a lot more decoctions than the $12,000 for a person filling individually. My wife has very few deductions from her income, although our combined deductions are less than the $24000 for married filing jointly. Can we each file individually and each claim our own deductions rather than filling jointly? I think if we can we can possibly pay less taxes. Reply Will you still be able to deduct employee expenses such as union dues, tools or equipment? Reply Will the child tax credit be limited to three kids? Reply Have you developed a tool where we can enter our (2018) estimated income by category and deductions so that we can see whether we will be itemizing or not come early next year. I am keeping all the normal records this year but don’t know if that is a waste of time for the deductions given the new standard deduction and changes. Thanks Reply Very helpful; didn’t realize TaxCaster existed. Reply Any change in Taxes on LTCG or Qualified Dividends? Reply I’m 82 and my wife is 79. Under the new tax plan will a portion of our social security payments continue to be taxed? Reply What about the over 65 standard deduction. Did the extra amount go away? Reply What is the tax for people who are on Social Security? Is Social Security stilltaxed at 80 percent? Reply My spouse passed away last month. I assume I will still file a “Married, Filing Jointly” return? How will his death affect the standard deduction if that’s the way I decide to go? Reply Is there an additional deduction allowed for senior citizens besides the standard deduction? Reply After you’ve entered your deductions, I assume taxcaster will use the greater of either the itemized number or the standard deduction. Will there be a tax Caster that take state taxes into account? If standard deduction is used on the federal return then the standard deduction must also be used on the state return. This may cause state taxes to be a lot more. Taxcaster needs to show results of total federal and state tax under various scenarios. Reply Are medical expenses still an itemized deduction? Reply I noticed that you did not answer the question about deducting charitable donations. Please answer. Reply I will have online business start-up costs and little to no profit for 2018. I didn’t see any mention of Schedule C. Have there been any changes I need to be aware of? Reply Any changes for couples with a rental property? Reply What about the child tax credit, did that go up? Reply any changes with 2106 expenses? Reply Lisa, did they get rid of the working away from home deductions/ travel expenses incurred with a temporary work assignment away from home? Reply What all previous deductions are being done away with under this new tax law? Are there any new ones being added? Reply on the property tax subject this only applies to the home i have four commercial investment buildings the pro tax would still be deductible as an expence like interest on the loans Reply « Older Comments Newer Comments » Leave a ReplyCancel reply Browse Related Articles Crypto Understanding Crypto and Capital Gains Work 7 Things You Need to Know About the New Business Report… Work Using Form 8829 to Write-Off Business Use of Your Home Tax Tips Roth 403(b) vs. Roth IRA: Which Should You Invest In? 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if my total itemized deductions were up to 28k including 14k in property taxes, what will be my limit? Reply
In all of the questions/replies there is no mention of medical expense deductions? For many seniors this would be one of the top questions I think. And one of the bigger expenses. Reply
Hi, do the new laws prohibit claiming a travel trailer as a second home? I heard they added it back for other types of RVs, boats, etc., but travel trailers were for some reason left out. I’m not sure where that was left. Reply
With the personal exemption of $4050 gone and the standard deduction increased to $24,000. It appears to me than any family filing jointly with more than three children are paying more taxes Large families 5 or 6 children or more are paying more taxes. Am l correct? Reply
Is there a way to use TurboTax to estimate taxes using the new tax law to check if withholdings are on target? Reply
As a teacher, there were several expenses I once was allowed to deduct. Is it possible to consider some of these expenses as donations to my classroom? Also, how do I determine if I need to change the number of exemptions on my W2 so that I won’t owe money to the government in April? Reply
It is my understanding the Interest paid on Line of Credit Loans secured by your residence are no longer deductible. Does this apply to all LOC loans are just the originated in 2018 or later? Reply
I have lottery winnings and losing tickets to cover my winnings, what Turbo tax would I use and that all I have being single and no other deductions Reply
We own a ranch. What changes are there to the farm & ranch form and deductions for expenses? Thanks. Reply
It was my understanding that interest on a home equity loan was not going to be deductible with the law change. Is that not correct? Reply
What about itemized deductions for DOT/transportation employees. Is there still a deduction for per diem expenses, away from home meals, etc? Reply
i tried the tax caster but did not finish. Is there a way for taxcaster to read in my turbo tax info from the 2017 turbotax file so i donot have to work thru it? I feel like I am re-entering all the same info that is available already. Reply
I understand that you may still deduct interest paid on equity loans provided the money is use solely to upgrade the home and property. Reply
I itemize and I’m a W2 employee. Normally I have ~ $12000 in charitable deductions and $15000 in non-reimbursable business deductions. I have no mortgage expenses but do have property taxes. Will I still be able to claim these deductions or will the higher standard deduction eliminate theses deductions? Single and AGi ~ $200,000 Reply
Is there any computer software upgrades for Mac users running OS X El Capitan ver: 10.11.6 To use the new Turbo Tax software? Reply
I thought Equity interest was no longer deductible, but it is specifically referenced in the article. Can you clarify? Reply
When will I be able to buy Turbo Tax early enough in the year to enter data as the year progresses? This is something that would be very valuable, a capability always ignored by your company. Instead of loading spyware into our computers as your software wizzards did in the past, please provide the option for a much more valuable product that can be used in real time to Reply
Does the new tax law do away with the miscellaneous itemized deductions subject to 2% of AGI such as investment fee expenses? Reply
assuming you do not have enough deductions to itemize, what other deductions or credits will be available that are not included in the new 24,000 standard deduction? Reply
I am married and have very much more income than my wife. From my income i have a lot more decoctions than the $12,000 for a person filling individually. My wife has very few deductions from her income, although our combined deductions are less than the $24000 for married filing jointly. Can we each file individually and each claim our own deductions rather than filling jointly? I think if we can we can possibly pay less taxes. Reply
Have you developed a tool where we can enter our (2018) estimated income by category and deductions so that we can see whether we will be itemizing or not come early next year. I am keeping all the normal records this year but don’t know if that is a waste of time for the deductions given the new standard deduction and changes. Thanks Reply
I’m 82 and my wife is 79. Under the new tax plan will a portion of our social security payments continue to be taxed? Reply
What is the tax for people who are on Social Security? Is Social Security stilltaxed at 80 percent? Reply
My spouse passed away last month. I assume I will still file a “Married, Filing Jointly” return? How will his death affect the standard deduction if that’s the way I decide to go? Reply
After you’ve entered your deductions, I assume taxcaster will use the greater of either the itemized number or the standard deduction. Will there be a tax Caster that take state taxes into account? If standard deduction is used on the federal return then the standard deduction must also be used on the state return. This may cause state taxes to be a lot more. Taxcaster needs to show results of total federal and state tax under various scenarios. Reply
I noticed that you did not answer the question about deducting charitable donations. Please answer. Reply
I will have online business start-up costs and little to no profit for 2018. I didn’t see any mention of Schedule C. Have there been any changes I need to be aware of? Reply
Lisa, did they get rid of the working away from home deductions/ travel expenses incurred with a temporary work assignment away from home? Reply
What all previous deductions are being done away with under this new tax law? Are there any new ones being added? Reply
on the property tax subject this only applies to the home i have four commercial investment buildings the pro tax would still be deductible as an expence like interest on the loans Reply