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Chula Vista California online 2025 IRS 1040-A: What You Should Know
This form can be used to report the following income information— Taxable income—This section describes how much you expect to pay in federal income tax and the deduction and credit for which you are eligible. Allowable deductions—This section describes some deductions and credits, such as the following— Standard deduction—For tax year 2017, the standard deduction is 6,350. However, this amount is limited to a maximum of 18,350 for people with adjusted gross income (AGI) up to 96,650 (190,900 for married taxpayers filing jointly). Favorable tax treatment—This section discusses what types of income you should include in a return for tax year 2017. Excise taxes—Use this section if you have an additional income tax in addition to your Social Security, Medicare, income taxes, or Railroad Retirement tax. Interest and dividends—Use this section if you or your spouse receives earnings and capital gains from short-term capital investment activities, the sale of a stock or bond investment in a company, and from any other source for which you are assessed no federal income tax. Qualified dividend income—This section describes amounts of compensation or wages from qualified retirement plans, employee stock purchase plans, and pension or profit-sharing plans as well as from any other source. These amounts are not subject to income tax at the personal income tax rates in effect on the date of your original return. However, some investors are subject to special rules that can affect the amount of taxable dividends they could recognize on their tax return. For details, see Pub. 946. Taxable foreign income—This section describes income that is subject to tax at the federal rate in your jurisdiction and that is not subject to self-employment tax or Medicare tax. Additional income and adjustments to income—Included in your income on Form 1040 is your gain from the sale of property—for example, from a real estate investment trust (REIT, or LLC)—that you held more than one year. You must include this gain in your income for the year you sold the property. You also include capital gain when you sell or exchange real estate property (other than land) if your investment in the REIT was a qualified rental asset within the meaning of section 1222 of the Internal Revenue Code. Exceptions and circumstances—In certain cases, you may be able to exclude from income an amount you include on Form 1040. You can get help to understand these exceptions and circumstances from an IRS tax professional.
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