No big changes seen in 1992 tax forms

August 09, 1992|By Knight-Ridder News Service

Internal Revenue Service efforts to simplify forms have resulted in no drastic changes next year, says Tax Notes, a Washington publication that follows tax-law changes.

On July 15, the IRS released early copies of some 1992 forms. And most of the changes were minor.

The biggest change would affect about 3 million self-employed people who file Schedule C, used by sole proprietors to show profits or losses.

A short version of Schedule C, called Schedule C-EZ, will be available next year. It will have about 15 lines. The long form has 40.

To use Schedule C-EZ, a business owner must have gross receipts of $25,000 among other requirements.

The tax table will be expanded to include people earning up to $100,000. Minor changes also were announced for Forms 1040, 1040EZ and 1040A.

Despite efforts to simplify the forms, IRS figures show that it took taxpayers about an hour longer to complete Form 1040 last year than it did for 1990. Schedule A took about 20 minutes longer.

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