What tax form should i use?

Question

i am 14 w/ a bussing job. i want to know what form to use and when to file it.

i am 14 w/ a bussing job. i want to know what form to use and when to file it.
why would i find a rude suprise if i'm not reporting my tips?

Answer 1

"Many people will file a 2006 Federal income tax return even though the income on the return was below the filing requirement. The questions below will help you determine if you need to file a Federal Income Tax return or if you need to stop your withholding so you will not have to file an unnecessary return in the future.

The Internal Revenue Service is providing this information as a part of our customer service and outreach efforts to Reduce Taxpayer Burden and Processing Costs. Changing your withholding and/or not filing Unnecessary Returns will save both you and the government time and money.

Even if you do not have to file a return, you should file one to get a refund of any Federal Income Tax withheld."

Click on the link below by answering the questions The IRS will tell you if you need to file a return.

Answer 2

Most likely you'll file Form 1040-EZ. You'll have to wait until you receive your W-2, sometime in January or very early February to file.

Make SURE that you are properly reporing your tips to your employer! If not you'll find yourself in for a RUDE surprise come filing time!

Addendum: You are required by law to report your tips and your employer is required by law to withhold the taxes on the tips. Many service businesses are forced to "allocate" tips if the employees do not report them. Your W-2 will show these allocated tips if you do not report your actual tips as required. You will have to pay income tax and Social Security taxes on those allocated tips unless you can prove with detailed records that the amount is incorrect. You wouldn't be the first person to be expecting a small refund of taxes withheld only to receive a bill from the IRS for hundreds or even thousands of dollars due to the taxes on non-reported or under-repoted tips. And your age doesn't matter in this issue. The IRS will get their due eventually so it's always the best policy to play it straight with the rules from day one.

Answer 3

1040-EZ if this is your only income.
1040A if you also have a certain amount [$1500(?)] or more in dividends or interest
1040 if you have certain other types of income.

If you are underreporting tips, you will owe the taxes on the tips that would have been withheld from your pay (or paid by your employer) if you had reported the tips correctly.

Answer 4

Tip income is taxable income.

If you fail to report them to your employer, you *still* have to report them on your tax return.

You have to add the 7.65% for fica/mc *and* a 50% penalty of that for failing to report those tips to your employer.

So, let's say you are in the 10% bracket and forgot to report $500 in tips.

Income tax $500 * .10 = 50
Fica/MC $500 * .0765 = 38.25
Penalty $38.25 * .50 = 19.13

Total = 107.38, do you have this money read to send in???