U.S. taxpayers ages 65 and older may get to use a new form, the Form 1040SR, to file their federal income tax returns for 2019 and later years.
Section 41106 of the new Bipartisan Budget Act of 2018 (BBA) calls for the Internal Revenue Service to make the 1040SR available for taxable years beginning after the date of the enactment of the BBA.
The new form is supposed to resemble the Form 1040EZ, a simplified tax form aimed at individuals with straightforward finances.
The new 1040SR will be available “only to individuals who have attained age 65 as of the close of the taxable year,” according to the BBA text.
Taxpayers ages 65 and older will be able to use the new form even if they have to report Social Security benefits, distributions from annuities or retirement plans, interest or dividend payments, or capital gains and losses, according to the BBA text.
“The form shall be available without regard to the amount of any item of taxable income or the total amount of taxable income for the taxable year,” according to the BBA text.
The BBA does not appear to make the Form 1040SR available to retirees ages 64 and younger.
The Bipartisan Budget Act of 2018
BBA Section 41106 was part of the emergency spending bill that President Trump signed into law early today.
The House and the Senate rushed to draft and approve the BBA legislation in an effort to keep the federal government from shutting down.
President Donald Trump (Photo: White House)
The federal government’s previous authorization to spend money on its operations expired at midnight Thursday.