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What Is Form 1040-SR: U.S. Tax Return for Seniors?
Form 1040-SR is an option for taxpayers aged 65 and older to file their taxes, designed to be easier to read and fill out than the standard Form 1040. Although it’s identical to Form 1040, it features larger print and highlights specific benefits for seniors, like the additional standard deduction.
Introduced by the Bipartisan Budget Act of 2018, Form 1040-SR replaced Form 1040EZ and Form 1040A. Form 1040 and Form 1040-SR are the standard forms taxpayers yse regardless of whether they itemize deductions.
Key Takeaways
- Form 1040-SR is a variation of the standard Form 1040 used by most taxpayers.
- Taxpayers at least 65 as of the last day of the tax year can use either Form 1040 or 1040-SR, regardless of whether they itemize deductions.
- Form 1040-SR uses a larger type and emphasizes tax benefits for those over age 65, particularly the additional standard deduction.
- Taxpayers over age 65 receive a higher standard deduction, but they don’t necessarily have to use Form 1040-SR to claim it.
Understanding Form 1040-SR
Form 1040-SR is designed to be easier on the eyes and to give greater prominence to tax benefits specific to taxpayers over age 65.
Form 1040-SR allows seniors to take advantage of a higher standard deduction without needing to itemize. For the 2024 tax year, single filers can add $2,000 to their standard deduction, while joint filers can add $1,600.
Unlike the old Form 1040EZ, which limited income reporting, Form 1040-SR accommodates a broader range of income types, including wages, Social Security benefits, and distributions from retirement plans.
Who Can File Form 1040-SR?
Several differences exist between the old Form 1040EZ and 1040-SR, including age requirements and total income allowed.
Ages 65 and Older
One major difference between Forms 1040EZ and 1040-SR has to do with your age. Form 1040EZ was available to any taxpayer under the age of 65 who otherwise met income and filing requirements. You must have turned 65 or older by the end of the tax year you’re filing to use Form 1040-SR. You can use Form 1040-SR when you file your 2024 tax return in 2025 if you were born on or before Jan. 2, 1960.
You don’t have to be retired. If you’re still working at age 65 and otherwise qualify to file Form 1040-SR, you may do so. Early retirees who are younger than 65 can’t use this tax return.
No Income Limit
Form 1040EZ limited interest income to $1,500 and total income to $100,000 or less. Form 1040-SR has no limit on the amount of your total income for a given tax year.
Expanded Income Categories
IRS Form 1040-SR allows you to report several types of income in addition to those allowed by Form 1040EZ, including:
What About Tax Deductions?
Form 1040-SR can be used regardless of whether you want to take the standard deduction or itemize your deductions.
Most Americans take the standard deduction because they virtually doubled with the Tax Cuts and Jobs Act of 2018. The additional standard deduction for taxpayers over 65 is another incentive to avoid itemizing.
Form 1040-SR is available on the IRS website.
History of Form 1040-SR
The creation of Form 1040-SR began with the Seniors Tax Simplification Act in 2013, introduced by Senators Marco Rubio (R-FL) and Bill Nelson (D-FL), along with Senator Mike Lee (R-UT). Although the bill faced several hurdles, it was eventually adopted in 2018.
What’s the Difference Between Form 1040 and Form 1040-SR?
Tax forms 1040 and 1040-SR are nearly identical. The main advantage of using Form 1040-SR is that it has a larger type, making it easier to read if you’re doing your taxes by hand. It also emphasizes some specific tax benefits for those over age 65, although these benefits are also included in Form 1040.
What Is the Advantage of Filing Form 1040-SR?
Form 1040-SR includes a table for standard deductions, simplifying the process for seniors who are not itemizing deductions.
What Is the Additional Standard Deduction for Taxpayers Over 65?
Taxpayers who are age 65 or older can take an additional standard deduction of $2,000 for single or head of household filing statuses in 2024, or $1,600 for married filing jointly or qualifying widow(er) filers. This is the return you file in 2025.
The Bottom Line
Form 1040-SR simplifies tax filing requirements for seniors who are 65 and older, ensuring they can easily access the benefits available to them. You can’t use Form 1040-SR if you’re a retiree under the age of 65, even if your income sources include Social Security, pensions, and investment income. You must use Form 1040.
Despite this drawback, the introduction of Form 1040-SR and the revised Form 1040 are steps in the right direction when it comes to simplifying tax filing requirements.