Episode 134: Form 1040 Basics, Part 2

The tax season now starts February 12!

 

In looking at a crash course in taxes, I decided the easiest way to talk with someone about several concepts was to review the form 1040. In part two, I go through the second page of form 1040. It introduces the concepts of the tax due after finding taxable income, nonrefundable credits, other taxes (including self-employment tax), withholding, estimated tax payments, refundable credits and other total payments, leading to the refund or amount owed.

 

Going through this series of concepts is a great way to introduce several basic topics that are easily expanded upon to talk about for tax controversy case work. For students or others who are new to tax, digging into Form 1040 and moving next to Publication 17 are great places to explore.