The very basic question haunts almost every first time earners of income – do I need to file tax return ? Yea, it is true that under the US tax law , filing of tax return is as important as paying taxes . But , the Internal Revenue Code does not make necessary to file tax return for every types of taxpayer . While one of the basic criteria for filing tax return is earning of income , it is not so for all kinds of tax payers . Whether there is legal requirements for filing tax return, depends on the whether you are –
- An individual
- A dependent person on some one
- You are below 19 years college going or full time students
- Self employed persons
- Person who is an alien or non-citizen of USA .
An Individual Don’t Need to File Tax Return if any of following conditions are satisfied
- Your gross income from any source other than self-employment is more than minimum is as per following table
|Your filing status is||Your Age||Minimum Income in Tax Year is below|
|65 or older||$11,850|
|Head of Household||Under 65||$13,250|
|65 or older||$14,800|
|Married Filing Jointly||Under 65 (both spouses)||$20,600|
|65 or older (one spouse)||$21,850|
|65 or older (both spouses)||$23,100|
|Married Filing Separately||Any age||$4,000|
|Qualifying Widow(er) with Dependent Children||Under 65||$16,600|
|65 or older||$17,850|
2. You do not earn income more than $ 400 during tax year from self-employment
3. You are not required to pay any Alternative Minimum Tax
4. You don’t owe household employment taxes
5. If you don’t need to pay additional taxes on a retirement plan or health savings account,
6. You are not required to repay the 2008 Home buyer Credit or any other recapture taxes.
7. If you had no unreported tip income on which you owe Social Security and Medicare taxes on unreported tip income
8. If you have not earned $108.28 or more from a tax-exempt church or church-controlled organization
9. Have you received distributions from an MSA or Health Savings Account . In that case filing tax return irrespective of your income level is must. If you did not receive any, no requirement to file tax return
10. Have you received any the refundable premium tax credit that are given to certain people above government poverty lines , to help them afford health insurance purchase.
11. When you are jobless , there is certain payment unemployment income you receive. In fact , in all probability , a Form 1099-G stating exactly how much in unemployment benefits you were paid in a tax year will reach you from IRS . So , in case of unemployment income , you need to compulsorily file tax return.