My daughter who is 16, earned 1,400.00 this year. Should she do an income tax return?
149221
She isnt required to file, because her earned income was less than $5000.  But, if they took withholding out, she would want to file to get that back.
515443
24k isn't a lot over a year and I would suggest to keep it under table for as long as you feel it is safe to do so.\n\nNow, not declaring income earned isn't the biggest crime in the country, so don't get all worked up. If your business grows too big, then perhaps you should declare a little.\n\nYou are in a better position to decide, you know your surroundings, how people treat you, whether the authorities(tax officials) know full well of your business or not. \n\nSimply put, if push comes to shove, declare, if not, remain as it is.
133098
If he received a 1098 from his school, then he should claim it. With that said, almost all financial aid is tax deductible, so he should include it in his return but it won't count against him.
935468
Depending on your income, if it is low enough you may qualify for the Earned Income tax credit.  One of the criteria for this is the number in the family.  It is possible for families with very low income and no tax liability at all to actually receive a refund of up to about $4300 using this credit.
32721
I was in that situation for a long time. I always made more, and so claimed the child myself. Do not file jointly, unless it's going to benefit you. The child earned income credit laws have changed (so my tax guy told me yesterday.) If you're single, you can file as head of household, and get the child earned income credit...and you might also be able to claim your partner as a dependant. My husband was able to claim me as a dependant when he was still my boyfriend. Don't be afraid to ask whoever does your taxes questions, and when in doubt, call the IRS 1-800-829-1040. Good Luck! -Vickie
792428
please try to learn accounts soft wares & tax laws.  Salestax / income tax / service tax accounts maintanance & consultancy will fetch good money. software will not pay for your olden days i.e. above forty years of age. Tax consultation will more & more yeilding with more experience. As you have done B com Accounts & tax laws you may have good knowledge.
74629
You should file.  You may be eligible for earned income credits for your child.  Contact a tax preparation service to see if you qualify.
803965
I'm amazed by some of the answers. You haven't had any income at all. What income are you going to report?? NO INCOME = NO TAX RETURN.
842850
Yes you can!  In fact, this is a great way to lower your SE and federal/state income taxes, get your children involved with your business, and teach them about income, taxes, and savings.  Definitely do it!\n\nYou can only deduct the wages you pay them on your Schedule C if the work is done in connection with your Sch C business, the child actually does work, and the money you pay them are reasonable in relation to the service provided.  Keep records of services and wages.  You need to give your child a W-2 and send the appropriate forms to the IRS, but any tax preparer worth their shingle knows how to do that.  The first $5150 of earned income is federal tax-free because it falls below the standard deduction for 2006.  And if all that isn't enough, if your child is under 18, all income they earn from your unincorporated business is exempt from FICA (social security and medicare) taxes.  If the child is under 21, the income is exempt from FUTA.
293134
Be sure to follow the proper procedure, which is described at http://www.irs.gov/businesses/small/international/article/0,,id=96734,00.html.  You also should understand the consequences of your choice, which include having to report her income for the full year on your joint return.  If she had income on which she paid tax in a foreign country, then you may be entitled to a credit for that tax; there may be other provisions which mitigate the tax burden as well.  Consult a knowledgable tax preparer who has handled similar situations in the past.
504860
I have to diasagree with the 1st two posters (and the 1st one is just snotty).\nBut anyhow...\nAlthough both parties may be breaking the law, the employer is far more guilty.  First of all, when a person is hired, they usually have to accept whatever payment is given to them--the method of payment is not their decision.   This illegal business practice was going on before your daughter was hired, and it will continue to go on after she no longer lives there.\nAlso, the employer is guilty on how many accounts? As many as he has employees.  So I would bet that if your daughter reported this creep to the proper authorities, they, most likely, will not take any action against your daughter.  And, besides that, she is a minor--not much they can do legally anyway.\n AND she is obviously a victim in this situation. It is HIGHLY UNLIKELY that any Prosecutor's Office would ever persue any type of legal recourse against a minor in this case: she is the little fish, and her employer is the big shark.\nBesides that, I highly doubt any jury would convict a minor child who "doesn't know better"  (she has a right to one if she were ever charged with a crime and pleaded not guilty....but, again: there's probably a 1 out of a zillion chance that she would face any type of penalty at all).\nAlso, you could make sure that she gets immunity before she reports him.  Law enforcement agencies are usually pleased with the person who comes forth with honesty and lets them know what is going on.\n Anyhow, the thing that your daughter has to do to "Cover Her Anatomy" in this case is:  report the wages at the end of the year on her taxes.\n\nI had a friend whose Father made him report the (little bit) of money he earned from airbrushing art and shoveling neighbor's walkways.  To my best knowledge, if you do odd jobs (such as mowing neighbor's yards for 20 bucks, paper route, etc.) you are supposed to report that income at the end of the year.\n\nEveryone knows that the IRS has bigger fish to fry than picking on teenagers for earning a little spending money.\n\nI wouldn't worry one single bit.  And I'd report that guy immediately.  In fact, I'd first threaten to turn him in if he doesn't pay her.  Then, after receiving payment (he really doesn't want to get reported--there's a good chance that, after being threatened, he would pay her what is owed), I'd report him anyway. lol
218404
I believe the age to file independently  is 24. There are a lot of scholarships out there you can get a book from your local library with a lot of them listed. good luck to her
555139
It really depends on your deductions.  I usually suggest to employees, family and friends that they claim 1 less deduction than allowed.  In your case, if you are married, filing jointly with 0 dependents, you say you can't claim any children, you should have the highest wage earner claim 1 deduction and the lower wage earner claim 0.  You should, at the end of the year, end up either getting a small refund, or owing a small amount, $100 - $200.  You should be filing a full form 1040, not the 1040EZ or any short form, and claim all the deductions that you can.  I usually resolve tracking my deductions by using a home accounting program such as Microsoft Money or Quicken.  It is just like using a check book, but keeps track of where your money goes.  It also makes reconciling your checkbook monthly very simple.  At the end of the year, I use a tax preparation program such as Turbo Tax, which interfaces with Quicken, and summarizes everything very quickly.  The only time that I have had to pay any taxes in the past 10 years is when I sold rental property and made a tremendous profit.
264677
If you made more than 400 on a 1099 misc than you need to file. Other than that you do not!! The sale of your car is not income unless you sell cars for a living or on the side. If it was your personal car than no. As far as the money your mom and dad pd you. Did they report that they pd you? If they did and with the money they pd you and the money from the articles you made over 400. Then you have to file. If they didn't than no you don't have to file.
375269
At 18 your parents can claim you as a dependent.  The fact you made so little would make you and your child dependent on your mother so I believe that would work.  The daughter is a bit stretching but I think can work, even if she gets audited, they will realize she is paying for all your stuff.
12376
http://www.thestreet.com/funds/taxforum/955718.html\n\nFor IRS (federal tax, not state) \n\nYou should file if you fit into any of the following categories.\n\nUnearned income, like interest and dividends, exceeds $700 annually; or \n\nEarned income, like wages and tips, is over $4,400 a year; or \n\nThe total of unearned and earned income is greater than the larger of (a) $700, or (b) earned income (up to $4,150) plus $250.
573602
I did take a course so that I could prepare individual income tax returns, and I learned about the ways I can 'manipulate' the tax system to my benefit without cheating; like planning to attend school in a year that I may not be able to claim a child turning 17 that year, for instance.  I may even get a better credit for being considered a freshman or sophomore (up to $1500) than the $1000 child tax credit. I may no longer be 20 years old, but it seems that going back to school in my later years will pay off in several ways. :)