A question about income tax and poverty

[Stinky The Clown]

What are the rules about the need to file and the minimum income one must make in order to incur a tax liability.

One of our friend's adult children is a student and working as much as possible. Her total gross income was $17,800. She is filing single.

I'm pretty sure she has to file. Does it seem reasonable she would have to pay taxes?

[Davis_X_Machina]

1. She probably won't...

...pay much. $850 or so is my back-of-the-envelope estimate, and that's before any credits for tuition, supplies, etc.

She should zero out...unless she had next-to-nothing withheld, it should be a wash at worst.

People like her suffer far more from things like state sales taxes, and various excise taxes...income tax is not where the bite is.

[Stinky The Clown]

5. Thanks!

Not sure, but I think she did some "contract" work that may have involved a 1099. Knowing her, if that's true, she probably never paid her quarterlies.

I agree. People at that income level feel those kinds of "use" taxes far more dearly than higher income people.

[PoliticAverse]

2. IRS website....

Do I Need to File a Tax Return?
(interactive application to determine if you need to file)

http://www.irs.gov/ita/article/0,,id=219890,00.html

[Stinky The Clown]

6. I searched everywhere for that!

Thanks for the link.

:hi:

[handmade34]

3. here's a quick worksheet... she will know in 5 min

http://www.irs.gov/individuals/article/0,,id=96196,00.html

[Stinky The Clown]

7. Thanks for the link!

I forwarded that on to her parents.

[dems_rightnow]

4. Yes, she has to file

She may or may not owe tax. If those are wages, there s/b some withholding. There may be credits to offset the tax, but she does have to file.

She could likely owe state taxes.

[Stinky The Clown]

8. She lived parts of the year in two states, so she may get double clobbered.

Both states have income taxes and she earned money in both states.