I made under $5000 last year and I was told to file using the 1040ez form. Do I file state and federal taxes? How does this work? I also drive to college and back everyday, can I deduct anything to get more money? Any deductions? PLEASE HELP ME~! THANKS
2007-03-20 13:58:18 · 4 answers · asked by chulhui123 1 in Business & Finance ➔ Taxes ➔ United States
I also cashed in some government bonds totalling around $2000. Do I have to add this in as income? Will adding it give me a higher tax refund or lower? thank you, i have no idea how taxes work
2007-03-20 13:59:28 · update #1
how would i file for federal and state tax? what kind of deductions can i deduct? (any general ones that most people do?)
2007-03-20 17:17:24 · update #2
With income under $5000, you wouldn't have had to file unless it was from self-employment, but should if you had anything withheld for federal income tax, to get it refunded to you. You wouldn't have owed any tax on the $5000 or less unless it was from self-employment.
Your additional information, though, probably changes that answer. Any interest you got on the savings bonds is probably taxable - there are exceptions to this if they are EE or I bonds, and you were at least 24 years old when they were issued. If you don't meet the exception, then the interest would be taxable interest and you'd show it on your 1040EZ, and you'd probably end up with some tax liability. If more was withheld than you owe, you'd get the excess refunded to you. If nothing was withheld, you'd have to file, and might owe a small amount of tax.
Your expenses driving back and forth to college are not deductible.
2007-03-20 14:38:28 · answer #1 · answered by Judy 7 · 2⤊ 0⤋
Probably the best thing to do is to invest $40 and buy Turbo Tax for your computer to walk you through everything.
You will have to file an income tax return because you had enough income.
You will file a state tax return as well as a federal.
I cant tell you how much you owe (or if you are entitled to a refund) because I dont know all your circumstances (how much tax was withheld, what your deductions are, etc.)
In any case your tax liability is going to be pretty small. Heck, you might qualify for tax credits depending on your situation.
In all honesty, just hit up amazon.com and buy turbo tax. It's the easiest thing for you to do. But on a side note, start to learn the ins and outs of taxes.
2007-03-20 21:14:20 · answer #2 · answered by sothere! 3 · 0⤊ 2⤋
Either get a free book from your local library or buy Turbo Tax and do it on line. You have made enough that you are required to file Federal and State. If your parents claim you as a dependent, you cannot claim yourself. The interest on the bonds are taxable and your mileage is not.
2007-03-20 21:25:10 · answer #3 · answered by kattsmeow 7 · 0⤊ 0⤋
Please visit IRS website:
http://www.irs.gov/individuals/article/0,,id=96623,00.html
The answer to your questions are there.
Good Luck
2007-03-20 21:15:13 · answer #4 · answered by wwdrhugh 2 · 1⤊ 0⤋