Schedule 1-A Helper — the whole form, line by line

Schedule 1-A (Form 1040) carries four new deductions for tax years 2025–2028. Enter your amounts — or work them out first with the tips and overtime calculators — and this helper applies each cap and phase-out the way the form does, and shows you the exact line each number lands on.

Line numbers and formulas from the final Schedule 1-A (Form 1040) — last verified October 26, 2026

Quick answer

Schedule 1-A (Form 1040) combines four deductions: qualified tips on line 13, qualified overtime on line 21, qualified passenger vehicle loan interest on line 30, and the senior deduction on line 37. Their total on line 38 carries to Form 1040, line 13b.

Filing status Note: tips, overtime, and the senior deduction require a joint return if you are married. The car-loan deduction is the exception.

Modified adjusted gross income (MAGI) — Schedule 1-A, line 3 ($) Your AGI (Form 1040, line 11) plus any Puerto Rico / foreign earned income add-backs from Part I of the form. Each deduction phases out at a different MAGI level — the helper applies all four.

Part II — No tax on tips

Total qualified tips ($) Reported tips only (W-2 box 7 / code TP, Form 4137, or business tips up to net income). Cap: $25,000. Result lands on line 13.

Part III — No tax on overtime

Total qualified overtime premium ($) Only the FLSA-required “half” premium. Cap: $12,500 ($25,000 joint). Result lands on line 21.

Part IV — No tax on car loan interest

Qualified passenger vehicle loan interest paid ($) Cap: $10,000. Result lands on line 30. Note this phase-out rounds up per $1,000 over the threshold — the form's wording, not a typo.

Vehicle and loan requirements — check each one that is true:

The loan was originated after December 31, 2024

The vehicle was bought new — its original use began with me

The vehicle is for personal use

The loan is secured by a first lien on the vehicle

The vehicle underwent final assembly in the United States

Lease payments never qualify, and the vehicle's VIN must be reported on Schedule 1-A. Interest on a refinanced qualifying loan is generally eligible.

Part V — Enhanced deduction for seniors

I was 65 or older by the last day of the tax year

My spouse was 65 or older by the last day of the tax year (joint returns)

$6,000 per eligible person, reduced by 6% of MAGI over $75,000 ($150,000 joint). Result lands on line 37. This is in addition to the existing extra standard deduction for seniors.

Your marginal federal tax rate (%) — optional, for the savings estimate

Where the total goes

The four results add up on Schedule 1-A, line 38 (Part VI). That total is then entered on Form 1040, line 13b (or Form 1040-NR, line 13c). The deductions reduce your taxable income whether you take the standard deduction or itemize — they are available either way.

Estimates only — not tax advice. This helper mirrors the final form's arithmetic. It cannot see your full return; confirm important figures with the IRS source or a tax professional.

Key terms: Schedule 1-A · Form 1040, line 13b · Senior deduction · Car-loan interest · MAGI — full glossary