Plain-English answers for every line on every major IRS form. No jargon. No IRS-speak.
Your forms, explained
Individual
Form 1040U.S. Individual Income Tax ReturnThe primary form filed by most individual U.S. taxpayers. Form 1040 covers wages, interest, dividends, capital gains, deductions, credits, and tax owed or refunded.
Schedule 8812Credits for Qualifying Children and Other DependentsUsed to calculate the Child Tax Credit, the Credit for Other Dependents, and the Additional Child Tax Credit. Schedule 8812 determines whether you qualify, calculates the credit amount based on your modified AGI, and computes the refundable portion if your credit exceeds your tax liability.
Schedule AItemized DeductionsUsed to claim itemized deductions instead of the standard deduction. Schedule A covers medical expenses, state and local taxes, mortgage interest, charitable contributions, and other deductions. You itemize only if the total exceeds your standard deduction amount.
Schedule DCapital Gains and LossesUsed to report the sale or exchange of capital assets such as stocks, bonds, real estate, and cryptocurrency. Schedule D calculates your net capital gain or loss, which flows to Form 1040 line 7.
Schedule CProfit or Loss From Business (Sole Proprietorship)Used by sole proprietors to report income and expenses from a business. Schedule C calculates net profit or loss, which flows to Form 1040 as self-employment income.
1099-NECNonemployee CompensationAn information return used by businesses to report payments of $600 or more to nonemployees such as freelancers, independent contractors, and gig workers. The recipient uses this form to report self-employment income on their tax return.
Form W-2Wage and Tax StatementThe form your employer sends you each year showing your total wages, tips, and other compensation along with all taxes withheld. You need this form to file your federal and state tax returns.