When we talk about Income Tax Return (ITR) in the United States, we’re really referring to your Federal Income Tax Return, usually filed using Form 1040. If you’re a salaried employee receiving a W-2, you and I follow a straightforward process—gather income documents, claim deductions, check credits, and file electronically.
For the 2024 tax year (filed in 2025), the deadline is April 15, 2025, and if you ever need extra time, you can request an extension using Form 4868. Just remember—you must still pay any taxes owed by the deadline.
Do You Need to ITR File?
Most salaried employees like us must file a return when income crosses certain IRS limits. Even if taxes were deducted from your paycheck, filing helps you claim refunds or credits.
Please read the article to know more details…
ITR Filing Threshold Table (Federal Taxes)
| Filing Status | Under 65 | 65 or Older |
|---|---|---|
| Single | $14,600 | $16,550 |
| Married Filing Jointly | $29,200 | $31,000 (one 65+), $32,200 (both 65+) |
| Married Filing Separately | $5 | $5 |
| Head of Household | $21,900 | $23,850 |
| Qualifying Surviving Spouse | $29,200 | $31,000 |
If someone else can claim you (like students), your limits are lower—for example, you file if you earn more than $1,300 unearned income plus your earned income amount.
People receiving Social Security must file if:
- Half of your SS benefits + other income > $25,000 (single)
- Half + other income > $32,000 (joint)
Documents You Should Gather Before ITR Filing
When January ends, I always check my mailbox or email for tax documents—and you should too. Employers must send W-2s by January 31 each year.
A few must-haves:
- W-2 Form showing your salary, federal/state taxes withheld, Social Security, Medicare, and tips
- 1099s (if any) for freelance income, bank interest, dividends, or retirement distributions
- 1098-E / 1098-T if you paid student loan interest or had education expenses
- Proof of deductions or credits (charity receipts, medical bills, mortgage interest)
- Prior-year AGI to verify your e-filing
Choosing How You Want to File
You and I have multiple filing options. The IRS recommends e-filing because refunds arrive much faster (usually within 21 days).
Your Options Explained Simply
- IRS Free File – If your AGI is ≤ $84,000, you can use partnered software for free
- Free File Fillable Forms – Good for those who know how to fill forms manually
- Direct File – Free, online IRS tool (available in many states)
- Tax Software – TurboTax, H&R Block, etc. for more complex situations
- Tax Professionals – Useful if your finances are complicated
- Paper Filing – Slow and rarely recommended
If you’re in the military, you get MilTax, which is completely free.
Selecting the Right Tax Form & Filing Status
Most salaried Americans, including you and me, use:
- Form 1040 (standard for everyone)
- Form 1040-SR (a large-print version for those 65+)
Your filing status affects everything—your standard deduction, tax brackets, and credits.
Filing statuses you may use:
- Single
- Married Filing Jointly
- Married Filing Separately
- Head of Household
- Qualifying Surviving Spouse
If you’re married, filing jointly usually reduces your tax burden.
Reporting Income, Applying Deductions & Calculating Tax
Here’s where we fill out the actual form.
Income You Must Report
- Enter your W-2 wages on Form 1040, Line 1
- Add bonuses, tips, or additional income from 1099 forms
Deductions (Standard vs. Itemized)
For 2024 taxes:
- Single: $14,600
- Married Filing Jointly: $29,200
- Extra $1,950 if you’re 65 or older
You can itemize if it exceeds the standard deduction. This includes:
- Mortgage interest
- State/local taxes (up to $10,000)
- Medical expenses above 7.5% of your AGI
- Charitable contributions
Credits (Reduce Your Tax Bill Directly)
Some valuable credits include:
- Child Tax Credit: $2,000 per qualifying child
- Earned Income Tax Credit
- Education Credits (AOTC, Lifetime Learning)
Tax Brackets (Single Filers)
| Tax Rate | Taxable Income |
|---|---|
| 10% | $0 – $11,600 |
| 12% | $11,601 – $47,150 |
| 22% | $47,151 – $100,525 |
| 24% | $100,526 – $191,950 |
| 32% | $191,951 – $243,725 |
| 35% | $243,726 – $609,350 |
| 37% | Over $609,350 |
Your employer-withheld taxes (from your W-2) offset your final tax bill.
Submitting Your Return (E-file or Paper)
When everything looks correct, you can hit submit if filing online. You’ll sign using your prior year AGI or IRS PIN.
If mailing:
- Use the IRS address based on your state
- Send via certified mail
If you make a mistake later, file Form 1040-X within three years.
Refunds, Payments & Penalties
If you overpaid taxes, you’ll get a refund—usually fastest through direct deposit. Track it using IRS Where’s My Refund? (available within 24 hours of e-filing).
If you owe taxes:
- Use IRS Direct Pay
- EFTPS
- Debit/credit card
- Or request a payment plan (if you owe > $50,000, you may need additional steps)
Late filing penalty: 5% per month (up to 25%)
Late payment interest also applies.
Tips to Make Filing Easier Every Year
Here are a few things I personally do to avoid stress:
- Review and update my W-4 to adjust tax withholding
- Track side gig income for Schedule C
- Keep tax documents organized all year
- Store returns for at least three years
- Use IRS tools like the Interactive Tax Assistant
Disaster victims may get automatic extensions depending on their region.
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