What is new in 2020 tax returns?

IRS tax forms change all the time.

The most beneficial way to find the latest forms is:

- IRS.gov/latestforms
- IRS.gov/allforms
- IRS.gov/draftforms
- IRS.gov/formchanges
- IRS.gov/formsupdates

Sometimes forms are not updated by the April 15th. You can view a draft of the form to see approximate expectations of what might be new and changed. For example, in 2018 form 1040NR was changed slightly and this change brought a new filing requirement. Those who didn’t see this new change and subsequently didn’t file the new form were subject to penalties of $10,000 and more per year.

Further Consolidated Appropriations Act 2020

Setting every community up for retirement enhancement. (The SECURE act.) Credit for small employers pension startup and auto-enrollment plan, form 8881. Kiddie tax changed (the investment income). Retirement savings and pension changes. Distribution and contribution changes.

Disaster tax relief act of 2019.

Individual Extenders:

- qualified principal residence excluded
- mortgage insurance premiums
- medical expenses floor
- tuition deduction

Business Extenders:

- Deferral of Social security employer tax payments (now 50% due 12/2021; 50% due 12/2022).
- Sick and family leave credits; Form 7202 credits for sick leave and family leave for certain self-employed individuals due to Coronavirus. Each spouse may be eligible to file a separate Form 7202.
- Additional $300 charitable contribution above the line deduction. $600 for married filed jointly.