Am I supposed to pay taxes?

Question

Im 14 and working at a job that pays $10 an hour. Everytime I get my paycheck, I see that a certain amount was deducted for income tax, social security tax, medicare tax, and CA SDI. What is CA SDI, and am I actually supposed to pay since I'm under 18?

Answer 1

Congratulations on your first job!

Now, on to taxes, Judy and some of the others are correct. I have nothing to add to their answers. I do, however, want to warn you about the tax protestor movement as evidenced by the tax protestor who claims there is no law concerning income taxes. There is a law and it is Title 26 of the U.S. Code. The website the tax protestor links to is one of the websites of Irwin Schiff. Mr. Schiff is a long-time tax protestor and he is currently serving his THIRD conviction on tax evasion. By the time he gets out of jail, he will be in his 80s.

Now, I have named the law concerning taxes, but let me ask you this. Is there a law covering murder? Is there a law covering extortion? Is there a law covering robbery? Is there a law covering assault? Can you name them? Most people can't, but they know those are covered by laws because you couldn't be arrested for breaking those laws unless they exist. It is the same with taxes. You can't be arrested for tax evasion unless there is a law concerning tax evasion.

I don't want to get into lengthy detail, I just want to make sure you don't have your life ruined by following the idiotic theories of tax protestors. If you ever have any questions concerning the tax protestor argument, go to the tax protestor FAQ at http://evans-legal.com/dan/tpfaq.html

Good luck,

Edit: Pr0ph, title 26 is the codification Internal Revenue Code and it covers income taxes. Section 1 of Title 26 is tax imposed. Section 61, 62, and 63 define and cover the determination of taxable income. Section 6012 covers the requirement to file returns. Section 3402 covers the requirement that employers withhold an amount from an employee's wages.

BTW, Title 26 IS the law. The Internal Revenue Code was passed by Congress and signed into law by a President. Amendments to that code are passed and signed each year. They are codified in the U.S. Code as Title 26.

Edit: Ryan, Title 26 is prima facie law whether you believe it is or not. In Bilger v. United States, 87 AFTR2d Par. 2001-468, No. CIV F 00-6486 OWW JLO (U.S.D.C. E.D.Ca. 1/9/2001), the court stated, "In his opposition, Plaintiff asserts that ‘Title 26 U.S.C. (including section 6321) has not been enacted into positive law, and is not the law, but is only prima facie evidence of the law.’ ... Congress’ failure to enact a title into positive law has only evidentiary significance and does not render the underlying enactment invalid or unenforceable. See 1 U.S.C. section 204(a). ‘Like it or not, the Internal Revenue Code is the law’. [Citations omitted] Plaintiff’s positive law argument is without merit."

The 4th amendment also is not a protection against income taxes. In Boozer v. Commissioner, 1999 U.S. App. LEXIS 22301, 99-2 U.S. Tax Cas. Par. 50,836, 84 A.F.T.R.2d 6008, KTC 1999-546 (5th Cir. 1999), the court said while citing many additional cases, "...we have rejected as ‘without merit’ the contention that requiring the filing of a tax return violates the Fourth Amendment. Hallowell v. CIR, 744 F.2d. 406,408 (5th Cir. 1984). ‘[T]he amendment was not intended to prevent the ordinary procedure . . . of requiring tax returns to be made, often under oath.’ Flint v. Stone Tracy Co., 220 U.S. 107, 175, 31 S. Ct. 342, 358, 55 L. Ed. 389, ____ (1911); see also White v. CIR, 72 T.C. 1126, 1130 (1979) (‘It is further established that the requirement for filing ordinary and reasonable returns and respondent’s inspection thereof, does not violate a taxpayer’s protection against unreasonable search and seizure under the Fourth Amendment.’)."

Your 5th amendment argument is also specious. In United States v. MacLeod, 436 F.2d 947, 951 (8th Cir. 1971), cert. den. 402 U.S. 907 (1971), the court stated, "The statutory requirement to file an income tax return does not violate a taxpayer’s right against self-incrimination." There are many other cases stating the same thing. Besides, the fifth amendment relates to CRIMINAL procedures and does not protect a citizen during CIVIL procedures. The requirements to pay taxes and file returns is a CIVIL matter. If you don't file a return for several years, you owe the IRS money and if the IRS decides to prosecute you, then they can bring a criminal charge against you. Until that happens, the 5th amendment does not protect you and even then, it only applies to what happens during the criminal procedure. It does not apply to what happened before that time.

Finally, economists may define income taxes as direct taxes, but income taxes are INDIRECT in a Constitutional sense. Besides, the 16th amendment removes the requirement to apportionment among the states and without the requirement of a census. So, it doesn't matter if income taxes are defined as direct or indirect. The 16th amendment was properly ratified, no matter what Bill Benson or other tax protestors say. Anyway, the 16th amendment is now a part of the Constitution and it will take another Constitutional amendment to remove it.

So, do you have any other stupid arguments?

I had intended to keep this answer short, but I don't want someone so young to get sucked into the tax protestor movement.

Answer 2

Yes, if you have an income, you will pay income tax. CA SDI is a state disability insurance. Medicare and Social Security are trust funds that you will probably not be dealing with for a long time, other then paying into them. There is no age limit on income taxes.

Answer 3

Being under 18 is irrelevant . . .
Anyone who has income may be subject to taxes .

If you are getting income , it is time to read the 1040 instruction book . It will have way more than relates to you now , but it will all be relevant soon . . .

http://www.irs.gov/index.html

The 1040 instruction link is about 1/2 way down the page and you can read it online . . .

http://www.irs.gov/individuals/article/0,,id=118506,00.html


The Ca SDI is disability insurance . In the event something happens and you are injured at work , the SDI pays part of your paycheck while you cannot work and covers the medical expenses .

Congrats on being so young and already getting into the work world .
You will be way ahead of everyone come time to go to college !

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Answer 4

Every working citizen will pay taxes once they enter the work force. Your parents should be able to help you with filing your tax reports though to get your returns. Not sure what CA SDI is, but I assume you live in California and it is some sort of a local tax.

Answer 5

Being under 18 has nothing to do with your obligation to pay tax - it depends on your income, not your age.

If your total for the year is over $5350, you will have to file a tax return early in 2008 and you will owe some tax. They'll take it out of what they are withholding from your checks, and if there is anything left over they'll refund it to you. If you make less than $5350, you should get everything back that they withhold for income tax, but you'll have to file a tax return to get it.

You won't get the social security and medicare back. You might or might not owe any CA taxes.

Answer 6

The ONLY thing age has to do with the tax code is that it affects your parents ability to claim you as a dependent on their return. If they can, which is extremely likely in this case, you can't claim a personal exemption. This actually increases the amount of tax you will pay. If you stared in a commercial at the age of six months, your parents would be legally required to file a tax return on your behalf.

Answer 7

CA SDI is California state disability insurance.

Answer 8

You're an American citizen, and since you're an American citizen, your government guarantees you your god-given rights, many of which are enumerated in the Constitution.

America is also a nation of laws.

Young American, you should read the Constitution and become acquainted with the law, and this would be a good place to start.

You asked if you are supposed to pay taxes. Here in America, you don't have to do anything unless there is a law that says you have to.

To answer your question, yes, you do have to pay SOME of those taxes, but not all of them. There is no law that requires you to pay a federal income tax, although most Americans are fooled into believing there is. There are ways to legally avoid paying taxes you don't owe, but it's a bit complicated to explain.

So my advice to you is: if you are really concerned about it, do the research on it. If there is no law saying you owe a tax, then why would you pay it?

Answer 9

well there is a title 26 which is not A LAW. that says you could be fined and illegally imprisoned. However no law says you have to give anyone your personal info, 4th admendment, 5th admendment says that you don't not have to give any info that will self incriminate you in a court of law. is income tax legal no, because it is a direct tax, and if you think income taxes pay towards your school and pays roads workers , ur a bigger fool then a income tax payer. there is so many taxes for a reason, a bubble gum tax, tobacco tax, food tax, etc. those are indirect which is legal, and imposed and they go to schools and roads, why u think the lottery says x % will go to the school system. why doesn't income tax say x% will go to school. what it should say is x % will go to funding a nation for war, and x % to repay public debt caused by oh yeah. war. hey im all for it coz you guys pay incom tax and the govt pays soldiers and contractors win win ? i guess not for u but for contractors who get as much as doctors, pilots, sometimes ceos. thanks i guess?

Answer 10

yes even though you are only 14 you have to pay taxes once you've made over 600.00 for the year. which in your case making 10.00 an hour has put you over that amount. if you are still unsure you can either contact an accountant or even the IRS. they will be more qualified to answer your question than anyone else.