The 1040A is the form of choice for millions of taxpayers. Taxable income is limited to $100,000, but, unlike the even simpler 1040EZ form, in addition to wages it can include any amount of interest, ordinary dividends, unemployment compensation, pension and annuity income, IRA distributions, Social Security benefits, and Alaska Permanent Fund dividends. And, if your only capital gains are from mutual fund distributions, you can report those capital gains distributions on the 1040A. You can also use this form to claim dependents, educator expenses, IRA deduction, student loan interest deduction, tuition and fees deduction, child tax credit, additional child tax credit, education credits, earned income credit, credit for child and dependent care expenses, credit for the elderly or the disabled, adoption credit, and retirement savings contributions credit. But you can't use it if you have any alimony to report.
Never pass up a tax break simply to avoid using the long form. TaxCut will determine the right form for you; if the longer 1040 is needed, we'll complete it for you.
Don't feel cheated if you claim the standard deduction. After all, it saves you the hassle of itemizing your deductions. And, besides saving you time, the standard deduction saves you money. The reason to use it is that your qualifying expenses for the year are less than the standard deduction for your filing status. In other words, you're getting credit for more than you actually spent on deductible expenses. About two-thirds of all returns filed claim the standard deduction.