Instructions For Form 1040ez - 2008 (Page 37 of 41) in pdf

Disclosure, Privacy Act, and Paperwork Reduction Act Notice

loans. We also may disclose this information to other countries under

The IRS Restructuring and Reform Act of 1998, the Privacy Act of

a tax treaty, to federal and state agencies to enforce federal nontax

1974, and the Paperwork Reduction Act of 1980 require that when

criminal laws, or to federal law enforcement and intelligence agencies

we ask you for information we must first tell you our legal right to

to combat terrorism.

ask for the information, why we are asking for it, and how it will be

used. We must also tell you what could happen if we do not receive

Please keep this notice with your records. It may help you if we ask

it and whether your response is voluntary, required to obtain a bene-

you for other information. If you have questions about the rules for

fit, or mandatory under the law.

filing and giving information, please call or visit any Internal Revenue

Service office.

This notice applies to all papers you file with us, including this tax

return. It also applies to any questions we need to ask you so we can

We welcome comments on forms.

If you have suggestions for

complete, correct, or process your return; figure your tax; and collect

making this form simpler, we would be happy to hear from you. You

tax, interest, or penalties.

can email us at *taxforms@irs.gov. (The asterisk must be included in

the address.) Enter “Forms Comment” on the subject line. Or you can

Our legal right to ask for information is Internal Revenue Code sec-

write to Internal Revenue Service, Tax Products Coordinating Commit-

tions 6001, 6011, and 6012(a), and their regulations. They say that

tee, SE:W:CAR:MP:T:T:SP, 1111 Constitution Ave. NW, IR-6526, Wash-

you must file a return or statement with us for any tax you are liable

ington, DC 20224. Do not send your return to this address. Instead,

for. Your response is mandatory under these sections. Code section

see Where Do You File? on the back cover.

6109 requires you to provide your social security number or other

identifying number. This is so we know who you are, and can process

Estimates of Taxpayer Burden

your return and other papers. You must fill in all parts of the tax form

that apply to you. But you do not have to check the boxes for the

The table below shows burden estimates by form type and type of

Presidential Election Campaign Fund or for the third-party designee.

taxpayer. Time burden is further broken out by taxpayer activity. The

You also do not have to provide your daytime phone number.

largest component of time burden for all taxpayers is recordkeeping,

as opposed to form completion and submission. In addition, the time

You are not required to provide the information requested on a form

burden associated with form completion and submission activities is

that is subject to the Paperwork Reduction Act unless the form dis-

closely tied to preparation method (self-prepared without software,

plays a valid OMB control number. Books or records relating to a

self-prepared with software, and prepared by paid preparer).

form or its instructions must be retained as long as their contents

may become material in the administration of any Internal Revenue

Time spent and out-of-pocket costs are estimated separately.

law.

Out-of-pocket costs include any expenses incurred by taxpayers to

prepare and submit their tax returns. Examples of out-of-pocket costs

We ask for tax return information to carry out the tax laws of the

include tax return preparation and submission fees, postage, tax

United States. We need it to figure and collect the right amount of

preparation software costs, photocopying costs, and phone calls (if

tax.

not toll-free).

If you do not file a return, do not give the information asked for, or

Both time and cost burdens are national averages and do not neces-

give false information, you may be charged penalties and be subject

sarily reflect a “typical” case. For instance, the average time burden

to criminal prosecution. We also may have to disallow the exemp-

for all taxpayers filing a 1040, 1040A, or 1040EZ was 26.4 hours, with

tions, credits, or deductions shown on your tax return. This could

an average cost of $209 per return. This average includes all associ-

make the tax higher or delay any refund. Interest also may be

ated forms and schedules, across all preparation methods and all

charged.

taxpayer activities. Taxpayers filing Form 1040 had an average burden

of about 33 hours, and taxpayers filing Form 1040A and Form 1040EZ

Generally, tax returns and return information are confidential, as

averaged about 11 hours. However, within each of these estimates,

stated in Code section 6103. However, Code section 6103 allows or

there is significant variation in taxpayer activity. Similarly, tax prepara-

requires the Internal Revenue Service to disclose or give the informa-

tion fees vary extensively depending on the taxpayer’s tax situation

tion shown on your tax return to others as described in the Code. For

and issues, the type of professional preparer, and the geographic

example, we may disclose your tax information to the Department of

area.

Justice to enforce the tax laws, both civil and criminal, and to cities,

states, the District of Columbia, U.S. commonwealths or possessions,

The data shown are the best forward-looking estimates available as

and certain foreign governments to carry out their tax laws. We may

of November 4, 2008, for income tax returns filed for 2008. The

disclose your tax information to the Department of Treasury and

method used to estimate taxpayer burden incorporates results from a

contractors for tax administration purposes; and to other persons as

taxpayer burden survey conducted in 2000 and 2001. The estimates

necessary to obtain information which we cannot get in any other

are subject to change as new data becomes available. The estimates

way in order to determine the amount of or to collect the tax you

do not include burden associated with post-filing activities. However,

owe. We may disclose your tax information to the Comptroller Gen-

operational IRS data indicates that electronically prepared and e-filed

eral of the United States to permit the Comptroller General to review

returns have fewer errors, implying a lower overall post-filing burden.

the Internal Revenue Service. We may disclose your tax information

to Committees of Congress; federal, state, and local child support

If you have comments concerning the time and cost estimates below,

agencies; and to other federal agencies for the purposes of determin-

you can contact us at either one of the addresses shown under We

ing entitlement for benefits or the eligibility for and the repayment of

welcome comments on forms above.

Estimated Average Taxpayer Burden for Individuals by Activity

The average time and costs required to complete and file Form 1040, Form 1040A, Form 1040EZ, their schedules, and accompanying forms will

vary depending on individual circumstances. The estimated averages are:

Average Time Burden (Hours)

Average

Major Form Filed or Type of

Percentage

Total

Record

Tax

Form

All

Cost

Taxpayer

of Returns

Time

Keeping

Planning

Completion

Submission

Other

(Dollars)

All taxpayers . . . . . . . . . . .

100

26.4

15.1

4.6

3.4

0.6

2.8

$209

Major forms filed

1040 . . . . . . . . . . . . .

32.7

19.3

5.7

3.7

0.6

3.4

264

1040A & 1040EZ . . . .

10.6

4.5

1.8

2.6

0.5

1.4

Type of taxpayer

Nonbusiness* . . . . . .

14.2

5.8

3.3

3.0

0.5

1.7

114

Business* . . . . . . . . .

57.1

38.5

8.0

4.2

0.7

5.7

447

* You are a “business” filer if you file one or more of the following with Form 1040: Schedule C, C-EZ, E, or F or Form 2106 or 2106-EZ. You are a “nonbusiness” filer if you did

not file any of those schedules or forms with Form 1040.

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Instructions For Form 1040ez - 2008 Page 37

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