AI-Powered 1040 Extraction

Extract filing status, income, deductions, and credits from IRS Form 1040 returns—any format, any year—without templates or manual data entry.

SOC 2 Type 2 certified IRS-compliant processing 256-bit encryption

See 1040 extraction in action

Upload any document — PDF, scan, or photo — and get structured data back immediately. No setup, no templates, no waiting.

Compliance

Built for regulated industries

SOC 2 Type 2

Audited controls over a sustained period, not a point-in-time check.

AES-256 encryption

Bank-grade encryption at rest and TLS 1.2+ in transit.

24-hour deletion

Documents deleted within 24 hours. No copies retained.

How it works

Three steps from document to structured data

Upload or forward

Drag and drop files, connect a cloud drive, or set up email auto-forwarding. Any file format works—PDF, JPEG, PNG, TIFF, or digital documents.

AI reads and extracts

The AI identifies fields by context and meaning, not fixed coordinates. Names, dates, amounts, and custom fields are extracted automatically.

Export anywhere

Get structured output in Excel, Google Sheets, CSV, or JSON. Use the REST API for direct integration into your systems.

What teams are saying

“We process over 3,000 individual returns each tax season. Automating 1040 extraction saved our team roughly 400 hours of manual data entry between January and April.”
DK
David K.
Managing Partner, CPA Firm
“The accuracy on handwritten 1040 fields surprised us. We expected to review everything manually, but the confidence scoring let us focus only on flagged entries.”
LM
Lisa M.
Tax Preparation Manager
“Prior-year returns were our biggest headache—different layouts every year. This handles 2019 through 2025 forms without any setup changes.”
RT
Robert T.
Senior Tax Analyst

Why 1040 extraction matters for tax professionals

IRS Form 1040 is the most common document in American tax preparation. Every individual tax return starts with a 1040, and firms that prepare hundreds or thousands of returns each season need a reliable way to extract data from these forms without manual keying. 1040 extraction automates the process of reading filing status, adjusted gross income, itemized deductions, tax credits, and refund amounts from completed returns.

The challenge with 1040 extraction has historically been format variation. The IRS revises Form 1040 regularly, and prior-year returns use different layouts. Amended returns on Form 1040-X add another layer of complexity. Template-based tools require separate configurations for each version, which means constant maintenance as forms change. AI-powered 1040 extraction reads the form contextually, identifying fields by their meaning rather than their position on the page.

For tax preparation firms, the volume challenge is acute during filing season. A mid-size CPA firm might process 2,000 to 5,000 individual returns between January and April. Manual data entry at that scale introduces errors and creates bottlenecks that delay filing deadlines. Lido processes any 1040 variant on the first upload, extracting all standard fields plus schedule data into structured spreadsheet rows or JSON.

Firms evaluating 1040 extraction solutions should consider accuracy on handwritten and photocopied returns, support for all 1040 variants (1040, 1040-SR, 1040-NR, 1040-X), integration with tax preparation software, and compliance certifications. Lido provides SOC 2 Type 2 compliance, HIPAA eligibility, and a REST API that returns structured data with field-level confidence scores.

Frequently asked questions

What is 1040 extraction and how does it work?

1040 extraction is the automated process of reading IRS Form 1040 tax returns and pulling out structured data such as filing status, income figures, deductions, credits, and refund amounts. AI-powered extraction reads the form contextually rather than relying on fixed coordinates, which means it handles all 1040 variants and tax years without per-form configuration.

Which 1040 form variants are supported?

Lido supports all standard 1040 variants including Form 1040, 1040-SR for seniors, 1040-NR for nonresident aliens, and 1040-X for amended returns. The AI engine also processes attached schedules such as Schedule A, B, C, D, and E when included in the uploaded document.

How accurate is AI-based 1040 extraction?

AI-based 1040 extraction typically achieves 95 to 99 percent accuracy on clearly printed forms. For handwritten entries or low-quality scans, confidence scoring flags uncertain fields for human review. Lido provides field-level confidence scores so firms can set review thresholds that match their quality requirements.

Can I extract data from prior-year 1040 forms?

Yes. Because the AI reads forms contextually rather than using fixed templates, it handles 1040 forms from any tax year without additional configuration. This is particularly valuable for amended return processing and multi-year tax analysis.

What output formats does 1040 extraction support?

Extracted 1040 data can be exported to Excel, Google Sheets, CSV, or JSON. Lido also provides a REST API for direct integration with tax preparation software and practice management systems.

Simple, transparent pricing

Start free with 50 pages. Upgrade when you’re ready.

Standard
$29 /month
100 pages per month · 1 user
  • Any file type supported
  • Excel, CSV, JSON export
  • Email auto-forwarding
  • AI columns for custom fields
  • SOC 2 Type 2 compliant

Built on Lido’s OCR engine

Enterprise
Custom
From $30,000/year
  • Everything in Scale
  • Custom ERP integrations
  • Dedicated account manager
  • Live onboarding
  • BAA for HIPAA
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