What Is IRS? A Comprehensive Guide For Everyone

The IRS, or Internal Revenue Service, is the government agency responsible for tax collection and tax law enforcement. At WHAT.EDU.VN, we aim to provide you with clear and accessible information about the IRS, its functions, and how it impacts your financial life. Understanding the IRS is crucial for tax compliance, avoiding penalties, and maximizing potential tax benefits.

1. What Is IRS and Its Core Functions?

The Internal Revenue Service (IRS) is the revenue service of the United States federal government. It operates under the Department of the Treasury and is responsible for collecting taxes and administering the Internal Revenue Code, the main body of federal statutory tax law. Simply put, the IRS is the agency that ensures the government receives the funds necessary to operate.

1.1. Key Responsibilities of the IRS

The IRS has several key responsibilities:

Tax Collection: This is the primary function of the IRS. It collects income taxes, employment taxes, excise taxes, estate taxes, and other taxes from individuals and businesses.
Tax Law Enforcement: The IRS is responsible for enforcing tax laws. This includes auditing tax returns, investigating tax fraud, and pursuing legal action against those who violate tax laws.
Taxpayer Assistance: The IRS provides assistance to taxpayers to help them understand their tax obligations and comply with tax laws. This includes providing information through its website, publications, and toll-free telephone lines.
Tax Form and Publication Development: The IRS develops and publishes tax forms and publications to help taxpayers understand and comply with tax laws.
Managing Retirement Plans: The IRS has oversight over various retirement plans, ensuring they comply with regulations and offer tax benefits as intended.
Issuing Rulings and Guidance: The IRS issues rulings and guidance to clarify tax laws and provide direction to taxpayers and tax professionals.

1.2. Organizational Structure of the IRS

The IRS is organized into several operating divisions, each with specific responsibilities:

Wage and Investment (W&I): Serves taxpayers with wage and investment income.
Small Business/Self-Employed (SB/SE): Serves small businesses and self-employed individuals.
Large Business and International (LB&I): Serves large businesses and international taxpayers.
Tax Exempt and Government Entities (TE/GE): Oversees tax-exempt organizations and government entities.
Criminal Investigation (CI): Investigates tax fraud and other financial crimes.

1.3. Impact of the IRS on Individuals and Businesses

The IRS touches the financial lives of nearly every individual and business in the United States. It affects everything from how much income tax you pay to how you structure your business. Understanding your obligations under the tax law and how the IRS operates is crucial for financial success.

The IRS headquarters building in Washington D.C., reflecting its critical role in the U.S. financial system.

2. What Is IRS Tax Compliance?

Tax compliance refers to adhering to the tax laws and regulations set forth by the IRS. It includes filing accurate tax returns on time, paying the correct amount of taxes, and maintaining proper records. Compliance is crucial to avoid penalties and legal issues.

2.1. Key Components of Tax Compliance

Several key components make up tax compliance:

Accurate Record Keeping: Maintaining detailed and organized records of income, expenses, and other relevant financial information is crucial. This includes receipts, invoices, bank statements, and other documentation that supports your tax return.
Filing Tax Returns on Time: Tax returns must be filed by the due date, which is generally April 15th for individual income tax returns. Extensions are available, but they only extend the filing deadline, not the payment deadline.
Paying Taxes on Time: Taxes must be paid by the due date to avoid penalties and interest. The IRS offers various payment options, including online payments, electronic funds withdrawal, and checks or money orders.
Understanding Tax Laws: Tax laws can be complex and ever-changing. Staying informed about current tax laws and regulations is essential for compliance.
Reporting All Income: All sources of income, including wages, self-employment income, investment income, and other income, must be reported on your tax return.
Claiming Allowable Deductions and Credits: Taking advantage of all allowable deductions and credits can reduce your tax liability. This includes deductions for expenses such as business expenses, student loan interest, and charitable contributions, as well as credits for things like child care expenses and education expenses.

2.2. Consequences of Non-Compliance

Failure to comply with tax laws can result in significant penalties:

Financial Penalties: The IRS can impose financial penalties for various reasons, including failure to file, failure to pay, and accuracy-related penalties. These penalties can be substantial and can add up quickly.
Interest Charges: Interest is charged on underpayments of tax from the due date until the tax is paid. The interest rate can vary and is generally based on the federal short-term rate plus 3 percentage points.
Legal Action: In serious cases of tax fraud or evasion, the IRS can pursue legal action, which can result in criminal charges, fines, and imprisonment.
Liens and Levies: The IRS can place a lien on your property if you owe taxes. A lien is a legal claim against your property that gives the IRS the right to seize and sell your property to satisfy the tax debt. The IRS can also levy your wages, bank accounts, or other assets to collect unpaid taxes.

2.3. Resources for Tax Compliance

The IRS offers numerous resources to help taxpayers comply with tax laws:

IRS Website: The IRS website (www.irs.gov) is a comprehensive resource for tax information. It includes tax forms, publications, FAQs, and other helpful resources.
IRS Publications: The IRS publishes numerous publications on various tax topics. These publications provide detailed explanations of tax laws and regulations.
Toll-Free Telephone Lines: The IRS operates toll-free telephone lines where taxpayers can call to get answers to their tax questions.
Taxpayer Assistance Centers: The IRS operates Taxpayer Assistance Centers (TACs) throughout the country where taxpayers can get face-to-face assistance with their tax issues.
Tax Professionals: Tax professionals, such as accountants and tax attorneys, can provide expert advice and assistance with tax compliance.

3. What Is IRS Form 1040?

Form 1040, officially titled “U.S. Individual Income Tax Return,” is the form used by U.S. taxpayers to file their annual income tax return. It is used to report income, deductions, and credits, and to calculate the amount of tax owed or the amount of refund due.

3.1. Sections of Form 1040

Form 1040 is divided into several sections:

Identification Section: This section includes your name, address, Social Security number, and filing status.
Income Section: This section is where you report all sources of income, including wages, salaries, tips, interest, dividends, business income, and other income.
Adjustments to Income Section: This section is where you report certain deductions that reduce your total income, such as student loan interest, IRA contributions, and self-employment tax.
Tax and Credits Section: This section is where you calculate your tax liability and claim any tax credits you are eligible for.
Payments Section: This section is where you report any tax payments you have already made, such as estimated tax payments or withholding from wages.
Refund or Amount You Owe Section: This section is where you calculate the amount of your refund or the amount of tax you owe.
Sign and Date Section: This section is where you sign and date your tax return.

3.2. Schedules Associated with Form 1040

Several schedules may need to be attached to Form 1040, depending on your specific tax situation:

Schedule 1 (Additional Income and Adjustments to Income): Used to report additional income and adjustments to income that are not directly reported on Form 1040.
Schedule A (Itemized Deductions): Used to itemize deductions such as medical expenses, state and local taxes, and charitable contributions.
Schedule B (Interest and Ordinary Dividends): Used to report interest and ordinary dividends.
Schedule C (Profit or Loss From Business): Used to report income and expenses from a business you operate as a sole proprietor.
Schedule D (Capital Gains and Losses): Used to report capital gains and losses from the sale of stocks, bonds, and other capital assets.
Schedule E (Supplemental Income and Loss): Used to report income and losses from rental real estate, royalties, partnerships, S corporations, and estates and trusts.
Schedule SE (Self-Employment Tax): Used to calculate self-employment tax.

3.3. How to Fill Out Form 1040

Filling out Form 1040 can be complex, but here are some general tips:

Gather All Necessary Documents: Before you start, gather all necessary documents, such as W-2s, 1099s, and other income statements, as well as records of deductions and credits.
Read the Instructions Carefully: The IRS provides detailed instructions for Form 1040 and its schedules. Read the instructions carefully to understand how to complete the form correctly.
Use Tax Software or a Tax Professional: Tax software can help you fill out Form 1040 accurately and efficiently. Tax professionals can provide expert advice and assistance.
Double-Check Your Work: Before you file your tax return, double-check your work to ensure that all information is accurate and complete.
File on Time: File your tax return by the due date to avoid penalties and interest.

A sample of IRS Form 1040, the primary form for individual income tax filing in the United States.

4. What Is IRS Tax Deductions and Credits?

Tax deductions and credits are provisions in the tax law that can reduce your tax liability. Deductions reduce your taxable income, while credits reduce your tax liability dollar for dollar.

4.1. Common Tax Deductions

Here are some common tax deductions:

Standard Deduction: A set amount that taxpayers can deduct from their income, depending on their filing status. For 2023, the standard deduction for single filers is $13,850, for married filing jointly it’s $27,700, and for head of household it’s $20,800.
Itemized Deductions: Taxpayers can choose to itemize deductions instead of taking the standard deduction if their itemized deductions exceed the standard deduction. Common itemized deductions include:
- Medical Expenses: Expenses for medical care that exceed 7.5% of your adjusted gross income (AGI).
- State and Local Taxes (SALT): Limited to $10,000 per household.
- Home Mortgage Interest: Interest paid on a home mortgage.
- Charitable Contributions: Donations to qualified charitable organizations.
Qualified Business Income (QBI) Deduction: Allows eligible self-employed individuals and small business owners to deduct up to 20% of their qualified business income.
Student Loan Interest Deduction: Allows taxpayers to deduct the interest they paid on student loans, up to $2,500.
IRA Contributions: Contributions to a traditional IRA may be tax-deductible, depending on your income and whether you are covered by a retirement plan at work.
Health Savings Account (HSA) Deduction: Contributions to an HSA are tax-deductible.
Educator Expenses: Eligible educators can deduct up to $300 of unreimbursed educator expenses.

4.2. Common Tax Credits

Here are some common tax credits:

Child Tax Credit: A credit for each qualifying child under age 17. The maximum credit amount is $2,000 per child.
Child and Dependent Care Credit: A credit for expenses you pay for the care of a qualifying child or other dependent so that you can work or look for work.
Earned Income Tax Credit (EITC): A credit for low-to-moderate income workers and families.
American Opportunity Tax Credit (AOTC): A credit for qualified education expenses paid for the first four years of higher education.
Lifetime Learning Credit (LLC): A credit for qualified education expenses paid for any course of study at an eligible educational institution.
Saver’s Credit: A credit for low-to-moderate income taxpayers who contribute to a retirement plan.
Clean Vehicle Credits: Tax credits for purchasing new or used clean vehicles, including electric and fuel cell vehicles.

4.3. How to Claim Deductions and Credits

To claim deductions and credits, you must complete the appropriate forms and schedules and attach them to your tax return. It is important to keep accurate records of all expenses and contributions that you plan to deduct or claim as a credit.

5. What Is IRS Audits and How to Handle Them?

An IRS audit is an examination of your tax return to verify that you have reported your income, deductions, and credits accurately and complied with tax laws. Audits can be conducted through the mail or in person.

5.1. Reasons for an IRS Audit

There are several reasons why your tax return might be selected for an audit:

Random Selection: The IRS selects a certain number of returns at random for audit to ensure compliance with tax laws.
Statistical Norms: The IRS uses statistical norms to identify returns that are likely to contain errors or discrepancies.
Information Matching: The IRS compares the information reported on your tax return with information reported by third parties, such as employers and financial institutions. Discrepancies can trigger an audit.
Related Party Audits: If a business partner or other related party is being audited, your tax return may also be selected for audit.

5.2. Types of IRS Audits

There are two main types of IRS audits:

Correspondence Audit: This type of audit is conducted through the mail. The IRS will send you a letter requesting additional information or documentation to support certain items on your tax return.
Field Audit: This type of audit is conducted in person. The IRS will schedule a meeting with you at your home, place of business, or an IRS office.

5.3. How to Prepare for an IRS Audit

If you receive a notice that your tax return has been selected for audit, it is important to take the following steps:

Stay Calm: Receiving an audit notice can be stressful, but it is important to stay calm and not panic.
Review Your Tax Return: Review your tax return and the supporting documentation to ensure that you have accurately reported your income, deductions, and credits.
Gather Documentation: Gather all documentation that supports the items on your tax return. This includes receipts, invoices, bank statements, and other records.
Consult with a Tax Professional: Consider consulting with a tax professional, such as an accountant or tax attorney. They can help you prepare for the audit and represent you before the IRS.
Respond to the IRS Promptly: Respond to the IRS promptly and provide the requested information and documentation.

5.4. Your Rights During an IRS Audit

As a taxpayer, you have certain rights during an IRS audit:

The Right to Representation: You have the right to be represented by an attorney, accountant, or other tax professional.
The Right to Privacy: You have the right to have your audit conducted in a private and confidential manner.
The Right to Record the Audit: You have the right to record the audit, provided that you notify the IRS in advance.
The Right to Appeal: If you disagree with the results of the audit, you have the right to appeal the decision.

5.5. Resolving an IRS Audit

If the IRS determines that you owe additional taxes as a result of the audit, you have several options for resolving the issue:

Agree with the Findings: If you agree with the IRS’s findings, you can pay the additional taxes, penalties, and interest.
Request an Installment Agreement: If you cannot afford to pay the full amount of taxes owed, you can request an installment agreement, which allows you to pay the taxes over time.
Offer in Compromise (OIC): If you cannot afford to pay the full amount of taxes owed, you can submit an Offer in Compromise (OIC), which allows you to settle your tax debt for a lower amount.
Appeal the Decision: If you disagree with the IRS’s findings, you can appeal the decision.

6. What Is IRS and Small Businesses?

The IRS plays a significant role in the operations of small businesses. Small business owners need to understand their tax obligations and comply with tax laws to avoid penalties and legal issues.

6.1. Tax Obligations for Small Businesses

Small businesses have several tax obligations:

Income Tax: Small businesses must pay income tax on their profits. The tax rate depends on the business’s legal structure.
Self-Employment Tax: Self-employed individuals must pay self-employment tax, which is the equivalent of Social Security and Medicare taxes for employees.
Employment Taxes: Businesses that employ workers must withhold and pay employment taxes, including Social Security, Medicare, and federal income tax.
Excise Taxes: Certain businesses may be subject to excise taxes on specific goods or services.

6.2. Choosing a Business Structure

The legal structure of your business can have a significant impact on your tax obligations:

Sole Proprietorship: A business owned and run by one person. The business’s profits are taxed as the owner’s personal income.
Partnership: A business owned and run by two or more people. The partners share in the business’s profits and losses, which are taxed as their personal income.
Limited Liability Company (LLC): A business structure that provides limited liability protection for its owners. LLCs can be taxed as sole proprietorships, partnerships, or corporations.
Corporation: A business structure that is legally separate from its owners. Corporations are subject to corporate income tax. S corporations are pass-through entities, meaning that their profits and losses are passed through to the owners and taxed as their personal income.

6.3. Deductions and Credits for Small Businesses

Small businesses can take advantage of several deductions and credits to reduce their tax liability:

Business Expenses: Businesses can deduct ordinary and necessary business expenses, such as rent, utilities, and advertising.
Home Office Deduction: Self-employed individuals can deduct expenses related to the business use of their home.
Qualified Business Income (QBI) Deduction: Allows eligible self-employed individuals and small business owners to deduct up to 20% of their qualified business income.
Self-Employment Tax Deduction: Self-employed individuals can deduct one-half of their self-employment tax.
Health Insurance Deduction: Self-employed individuals can deduct the premiums they pay for health insurance.
Retirement Plan Contributions: Businesses can deduct contributions to retirement plans for their employees and themselves.

6.4. Record Keeping for Small Businesses

Accurate and organized record keeping is crucial for small businesses:

Keep Detailed Records of Income and Expenses: Maintain detailed records of all income and expenses, including receipts, invoices, bank statements, and other documentation.
Use Accounting Software: Consider using accounting software to track your income and expenses and generate financial reports.
Consult with a Tax Professional: Consult with a tax professional to ensure that you are complying with tax laws and taking advantage of all available deductions and credits.

7. What Is IRS and International Taxpayers?

The IRS has specific rules and regulations for international taxpayers, including U.S. citizens living abroad, foreign citizens living in the United States, and businesses operating internationally.

7.1. U.S. Citizens Living Abroad

U.S. citizens living abroad are generally required to file U.S. tax returns and pay U.S. income tax on their worldwide income, regardless of where they live or work. However, they may be eligible for certain tax benefits:

Foreign Earned Income Exclusion: Allows U.S. citizens living abroad to exclude a certain amount of their foreign earned income from U.S. income tax. For 2023, the maximum exclusion amount is $112,000.
Foreign Tax Credit: Allows U.S. citizens living abroad to claim a credit for foreign taxes they have paid on their foreign income.
Housing Exclusion/Deduction: Allows U.S. citizens living abroad to exclude or deduct certain housing expenses.

7.2. Foreign Citizens Living in the United States

Foreign citizens living in the United States are generally required to file U.S. tax returns and pay U.S. income tax on their U.S. source income. The tax rules for foreign citizens depend on their residency status:

Resident Alien: A foreign citizen who meets either the green card test or the substantial presence test is considered a resident alien for U.S. tax purposes. Resident aliens are taxed on their worldwide income.
Nonresident Alien: A foreign citizen who does not meet either the green card test or the substantial presence test is considered a nonresident alien for U.S. tax purposes. Nonresident aliens are taxed only on their U.S. source income.

7.3. International Businesses

Businesses operating internationally have complex tax obligations:

Transfer Pricing: The IRS scrutinizes transfer pricing arrangements between related entities to ensure that they are arm’s length.
Foreign Tax Credit: U.S. businesses can claim a foreign tax credit for foreign taxes they have paid on their foreign income.
Controlled Foreign Corporations (CFCs): The IRS has specific rules for Controlled Foreign Corporations (CFCs), which are foreign corporations that are controlled by U.S. shareholders.
Treaty Benefits: The United States has tax treaties with many countries that provide reduced tax rates and other benefits for international taxpayers.

7.4. Reporting Foreign Assets

U.S. taxpayers are required to report certain foreign assets to the IRS:

Report of Foreign Bank and Financial Accounts (FBAR): U.S. taxpayers with financial accounts in foreign countries must file a Report of Foreign Bank and Financial Accounts (FBAR) if the aggregate value of their accounts exceeds $10,000 at any time during the year.
Foreign Account Tax Compliance Act (FATCA): The Foreign Account Tax Compliance Act (FATCA) requires foreign financial institutions to report information about U.S. taxpayers’ accounts to the IRS.
Form 8938 (Statement of Specified Foreign Financial Assets): U.S. taxpayers with specified foreign financial assets must file Form 8938 if the aggregate value of their assets exceeds certain thresholds.

8. What Is IRS and Tax Fraud?

Tax fraud is the intentional evasion of taxes. It is a serious crime that can result in criminal charges, fines, and imprisonment.

8.1. Types of Tax Fraud

There are several types of tax fraud:

Underreporting Income: Failing to report all income on your tax return.
Claiming False Deductions or Credits: Claiming deductions or credits that you are not entitled to.
Hiding Assets: Concealing assets from the IRS.
Filing False Tax Returns: Filing tax returns with false or fraudulent information.
Tax Evasion: Taking steps to avoid paying taxes, such as hiding income or assets.

8.2. Penalties for Tax Fraud

The penalties for tax fraud can be severe:

Criminal Charges: Tax fraud can result in criminal charges, which can lead to fines and imprisonment.
Civil Penalties: The IRS can impose civil penalties for tax fraud, including accuracy-related penalties and fraud penalties.
Interest Charges: Interest is charged on underpayments of tax from the due date until the tax is paid.

8.3. How to Avoid Tax Fraud

To avoid tax fraud, it is important to:

Keep Accurate Records: Maintain detailed and organized records of your income, expenses, and other financial information.
Report All Income: Report all sources of income on your tax return.
Claim Only Legitimate Deductions and Credits: Claim only deductions and credits that you are entitled to.
File Tax Returns Honestly and Accurately: File your tax returns honestly and accurately.
Consult with a Tax Professional: Consult with a tax professional to ensure that you are complying with tax laws.

8.4. Reporting Tax Fraud

If you suspect someone of committing tax fraud, you can report it to the IRS:

IRS Form 3949-A (Information Referral): Use IRS Form 3949-A to report suspected tax fraud to the IRS.
Whistleblower Program: The IRS has a whistleblower program that pays rewards to individuals who provide information that leads to the recovery of taxes, penalties, and interest.

9. What Is IRS Resources and Assistance?

The IRS offers numerous resources and assistance to taxpayers to help them understand their tax obligations and comply with tax laws.

9.1. IRS Website

The IRS website (www.irs.gov) is a comprehensive resource for tax information. It includes:

Tax Forms and Publications: Download tax forms and publications.
FAQs: Get answers to frequently asked questions about tax topics.
Tax Law and Regulations: Access tax laws and regulations.
Online Tools: Use online tools to estimate your taxes, check the status of your refund, and make payments.
News and Updates: Stay informed about the latest tax news and updates.

9.2. IRS Publications

The IRS publishes numerous publications on various tax topics. These publications provide detailed explanations of tax laws and regulations. Some popular publications include:

Publication 17 (Your Federal Income Tax): A comprehensive guide to federal income tax.
Publication 505 (Tax Withholding and Estimated Tax): Information about tax withholding and estimated tax payments.
Publication 525 (Taxable and Nontaxable Income): Information about taxable and nontaxable income.
Publication 530 (Tax Information for Homeowners): Information about tax deductions and credits for homeowners.
Publication 590-A (Contributions to Individual Retirement Arrangements (IRAs)): Information about contributions to IRAs.

9.3. Toll-Free Telephone Lines

The IRS operates toll-free telephone lines where taxpayers can call to get answers to their tax questions. The IRS phone numbers are:

Individual Tax Returns: 1-800-829-1040
Business Tax Returns: 1-800-829-4933

9.4. Taxpayer Assistance Centers

The IRS operates Taxpayer Assistance Centers (TACs) throughout the country where taxpayers can get face-to-face assistance with their tax issues.

9.5. Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE)

The IRS sponsors two volunteer programs that provide free tax assistance to taxpayers:

Volunteer Income Tax Assistance (VITA): VITA provides free tax assistance to low-to-moderate income taxpayers, people with disabilities, and limited English proficiency taxpayers.
Tax Counseling for the Elderly (TCE): TCE provides free tax assistance to taxpayers age 60 and older.

9.6. Tax Professionals

Tax professionals, such as accountants and tax attorneys, can provide expert advice and assistance with tax compliance.

10. What Is IRS Future Trends?

The IRS is constantly evolving to meet the challenges of a changing tax landscape. Here are some future trends:

10.1. Increased Use of Technology

The IRS is increasingly using technology to improve its operations and provide better service to taxpayers. This includes:

Online Filing: Encouraging taxpayers to file their tax returns online.
Online Payment Options: Offering more online payment options.
Data Analytics: Using data analytics to identify tax fraud and improve compliance.
Artificial Intelligence (AI): Exploring the use of AI to automate tasks and improve customer service.

10.2. Focus on Taxpayer Service

The IRS is focusing on improving taxpayer service:

Improved Website: Improving the IRS website to make it more user-friendly.
Expanded Customer Service Hours: Expanding customer service hours.
Better Training for IRS Employees: Providing better training for IRS employees.

10.3. Addressing Tax Gap

The IRS is working to address the tax gap, which is the difference between the amount of taxes that are owed and the amount that is actually paid. This includes:

Increased Audits: Increasing the number of audits.
Improved Enforcement: Improving enforcement of tax laws.
Targeting Tax Fraud: Targeting tax fraud.

10.4. Adapting to a Global Economy

The IRS is adapting to a global economy:

International Tax Compliance: Strengthening international tax compliance.
Information Sharing Agreements: Entering into information sharing agreements with other countries.
Addressing Tax Havens: Addressing tax havens.

In conclusion, understanding the IRS is essential for individuals and businesses alike. From understanding your tax obligations to taking advantage of available resources, navigating the IRS can be complex but manageable. WHAT.EDU.VN is here to help you with comprehensive and accessible information to make tax compliance easier.

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FAQ: Common Questions About the IRS

Question	Answer
What is the IRS’s mission?	According to the IRS itself, their mission is to “provide America’s taxpayers top quality service by helping them understand and meet their tax responsibilities and by applying the law with integrity and fairness to all.”
How does the IRS use my tax dollars?	Tax dollars are used to fund various government programs and services, including national defense, infrastructure, education, healthcare, and social security.
What should I do if I can’t pay my taxes?	If you can’t pay your taxes, contact the IRS immediately. You may be able to set up an installment agreement, request an offer in compromise, or explore other options for resolving your tax debt.
How do I check the status of my tax refund?	You can check the status of your tax refund online using the IRS’s “Where’s My Refund?” tool. You will need your Social Security number, filing status, and the exact amount of your refund.
What is the difference between a tax deduction and a tax credit?	A tax deduction reduces your taxable income, while a tax credit reduces your tax liability dollar for dollar. Tax credits are generally more valuable than tax deductions.
How do I file an amended tax return?	To file an amended tax return, use Form 1040-X (Amended U.S. Individual Income Tax Return). You will need to explain the changes you are making and attach any supporting documentation.
What is the standard deduction for 2024?	For 2024, the standard deduction is $14,600 for single filers, $29,200 for married filing jointly, and $21,900 for heads of household.
How do I report identity theft to the IRS?	If you suspect that you are a victim of identity theft, file an identity theft affidavit with the IRS. You may also need to contact your bank and credit card companies.
What are the most common tax mistakes?	Common tax mistakes include failing to report all income, claiming ineligible deductions or credits, and making errors in calculations.
What are the changes in tax law for 2024?	Tax laws are subject to change each year. Stay informed about current tax laws and regulations by visiting the IRS website or consulting with a tax professional.