How much income can you earn without having to claim it on taxes?

Answer 1

In 2005 federal income tax, a single person can have $8200 gross income without filing tax. For married filing joint, if your combined income is less than $16,400 you wouldn't have to file either.

If anyone over the age of 65 you can add additional $1250 to the amount.

If you are self-employed and made over $400 income, you also have to file.

There might be exceptions to these rules if the income comes from oversea, investments. If you have these types of income, check with a tax professional.

Answer 2

Lots of good answers, none are 100% correct. Some, especially the one claiming to be a tax preparer, are WAY off. I especially don't like it when someone claims to be an expert and gives an incorrect answer.

Mathew is closest. I've seen his answers before to other questions and I usually don't chime in afterwards because he already gave an excellent answer. I'm only responding here because I am obsessive/compulsive and his answer doesn't cover a few obscure exceptions. Please don't take offense, Mathew. And Laura, don't trust any of our answers including mine. Please do your own research.

There are various types of income. Let's assume you are an employee and get all your income from a W-2:

First of all, can ANYONE claim you as a dependent on their tax return? Notice, I didn't say WILL they, I said CAN they.

If the answer is "NO", then you don't have to file a federal tax return if your total income is less than:

the standard deduction per Mathew's list (by the way, Married Filing Separately is $0, not $5150)
plus $3,300
plus another $3,300 if you are filing Married Filing Joint (MFJ)
plus $1000 if you are filing MFJ and you are 65 or older
plus $1000 if you are filing MFJ and your spouse is 65 or older
plus $1250 if you are not filing MFJ and you are 65 or older

Don't add anything if you or your spouse is blind. Even though this changes your standard deduction, it does not change the minimum income you need to file a return.

If someone CAN claim you on their tax return:

If your unearned income (interest, dividends, etc.) is more than $250 AND your total income (earned and unearned) is more than $800, you MUST file a tax return. Otherwise, you do NOT need to file if your total income is less than:

your standard deduction (listed in Mathew's answer)
plus $1000 if you are filing MJF and you are 65 or older
plus $1000 if you are filing MFJ and your spouse is 65 or older
plus $1000 if you are filing MFJ and you are blind
plus $1000 if you are filing MFJ and your spouse is blind
plus $1250 if you are not filing MFJ and you are 65 or older
plus $1250 if you are not filing MFJ and you are blind

Notice two big things, if someone can claim you, blindness counts towards having to file. Second, you can NOT add your personal exemptions a.k.a. dependents a.k.a $3,300 when someone can claim you because you can't claim yourself when someone can claim you...even if they decide not to claim you.

If your self-employment income (1099 MISC, you work for yourself, etc.) is $400 or more, regardless what was said already, you have to file a federal tax return.

Sorry for the long answer. You can thank congress. They write the tax law, not the president...not the IRS. That all being said, most people file taxes even if their income is below the threshold. Why? If they had federal taxes withheld (if box 2 of their W-2s is not zero), they can get that money back. Plus, some people (especially those with kids) can get credits which give them a bigger refund than just their withholdings.

This answer only covers federal tax returns. I can't possibly cover all 50 states. Do your own research for those too.

Great question! Sure hope this helps :)

Answer 3

You must claim ALL income regardless of the amount. You are not required to file a return if your income is less than the standard deduction and personal exemptions you are entitled to claim. This is because the 2 would reduce your taxable income to $0.00. If you have unearned income (interest and/or dividends) above $800, the rules are different. If any taxes were withheld, you may wish to file even if you are not required to. The only way to claim a refund is to file.

Answer 4

You must report every penny that you make or steal on your tax return. However you are not required to file a return if your income is less than the standard deduction for your filing status and your personal exemption. The chart below give you the exemption and standard deductions rates for 2006. If you were married you need not file a return if your income is less than $13,300.

Personal exemptions$3,300
Standard deduction:
married filing jointly $10,300
head of household 7,550
single or separate 5,150

The amount is greater if over 65 and or Blind

Answer 5

I think the personal exemption is $6000, but you should probably check with an accountant, especially if filing jointly or as a dependent. Technically, if the person paying you is filing, then you should probably also file, even though you won't have to pay taxes on it.

I know most MLM companies won't cut a 1099 for less than $600. (six hundred), so this might be another threshold. I'm not an accountant though, so you should probably consult one.

Answer 6

Zero - you have to claim any amount that you earn. But the bank will only send you a 1099-INT if the interest totals $10 or more - otherwise you'll have to get the amount off your statement.

Answer 7

Hi, Im a tax preparer.

If your a single filer, then between $0 to $7,300 (of taxable income), you will not have to claim the income on your taxes.

If you are Married filing joint, then between $0 to $14,600 (of taxable income), you will not have to claim the income on your taxes.

Hope this helps

Answer 8

Your question is poorly worded. IF you have to file, all income must be claimed.

Answer 9

Most States its $5000.

Answer 10

I was always told it was $2000.00.