Can I combine certain incomes/expenses on my federal taxes?

Question

Here's the situation... I'm a full-time student that lives with his mother. My mother has privatized retirement, and as for me, I work part-time and, this last year, I started a home-based small business. Seeing as how my part-time job doesn't reach the taxable limit for income and my business is not yet profitable, would is be possible/recommended for me to combine all three entities when I prepare my mother's taxes?

Here's the situation... I'm a full-time student that lives with his mother. My mother has privatized retirement, and as for me, I work part-time and, this last year, I started a home-based small business. Seeing as how my part-time job doesn't reach the taxable limit for income and my business is not yet profitable, would is be possible/recommended for me to combine all three entities when I prepare my mother's taxes?

In previous years, we have been able to combine our incomes for tax purposes. I'm just curious to know whether or not my business losses could potentially help either me or my mother on our taxes.

Answer 1

No, you are two separate people, and your return if you file one will be separate from hers. Each return will report income and other items for that person only.

Answer 2

I have one more point to add to the 2 correct answers ahead of mine. There is no such thing as not enough income to file. You can legally fill with ZERO income. If you don't make enough to be REQUIRED to file, you are nearly always entitled to a refund of all federal income taxes withheld. Therefore, you should file a return anytime you have federal income tax withheld, even if you are not required to do so.

Answer 3

Judy is correct, but check the rules for a personal Net Operating Loss Carryforward (NOL). You may want to file to establish the NOL and you will need to elect to carry the loss forward.