How to Calculate Federal Tax Return
- 1). Gather all of your tax forms, including all income documentation. Separate your tax documents into W-2s, 1099 forms and other types of documents. This will make it easier to enter each form of income on the appropriate line.
- 2). Download a copy of the 1040 form from the IRS website. You can also obtain tax forms and instruction booklets at your local library or from your legislator.
- 3). Enter your wage information from the W-2 forms you received. If you held more than one job during the year, add the amounts on each W-2 form and enter the total wages for the year.
- 4). Add up your interest from the 1099 forms you received and enter the total on the interest line of the 1040 form. Add your dividend income as well and enter it on the appropriate line.
- 5). Add up all of the income listed on your tax return to get your total income. Subtract the amount of your standard exemptions, as well as your standard or itemized deductions. Deduct these figures from your income.
- 6). Use the tax table in the 1040 instruction booklet to determine the tax you owe based on your adjusted income. Compare that amount to what was withheld from your paycheck throughout the year. Use those two figures to calculate your refund or the amount you owe.
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