Who must file taxes?

Whether you must file taxes depends on several factors, including your gross income, filing status, age, and whether you are a claimed as a dependent.

For most U.S. citizens and permanent residents, the requirement to file is based on you gross income relative to the standard deduction for your filing status and age. The gross income thresholds can change each year due to inflation.

Here are some of the general filing thresholds for those under 65 years old:

• Single – $14,600
• Head of Household – $21,900
• Married Filing Jointly – $29,200
• Married Filing Separately – $5 (regardless of age, if you did not live with your spouse at the end of the year and your gross income was at least $5, you must file).
• Qualifying Widow or Widower – $29,200

Note that slightly higher gross income limits apply to those 65 and older, or blind. Consult Chart A in the 1040 Instructions for further details.

Even if you are not required to file a return, it might be beneficial to do so. If you had federal income tax withheld or if you qualify for the Earned Income Credit, Additional Child Tax Credit, American Opportunity Credit, or other credits and deductions. In these situations, filing a return could very well result in a refund.

Whether a dependent must file a tax return largely depends on their level of income. Single dependents under age 65 with earned income over $14,600 and unearned income over $1,300 must file. Different limits apply to married dependents and those 65 and older, or blind. Refer to IRS Publication 929 for further details.

Other Situations That Require Filing

If you had net earnings from self-employment of $400 or more, receive distributions from an HSA, Archer MSA, or Medicare Advantage MSA, and/or receive advance payments of the premium tax credit for health insurance through a state or federal marketplace, you may still need to file a tax return even if your income is below the thresholds above.

This entry was posted on Monday, July 2nd, 2018 at 6:13 pm and is filed under Personal Information, Preparing a State Return, Tax Related Questions, Using Priortax. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.