Question

7. Sara earned $2,500 as a life guard over the summer. This was her only job and income taxes were deducted from her paychecks by her employer. For filing a tax return, what should Sara do?

Sara should send a check for $50 to the IRS in case the employer didn't take out enough taxes.

Sara should not file a tax return. Sara is legally not required to file because her income is less than the minimum requirement for filing.

Sara should report this income on her parents tax return since she is still living at home.

Sara should file a tax return. Sara is not legally required to file because her income is less than the minimum requirement for filing, but if she does, she can get all of her taxed money refunded.

Answer 1

Answer: The correct answer is the last choice - that Sara should file a tax return.

Explanation: Sara is not legally required to file because her income is less than the minimum requirement for filing. But if she does file a return she can get the federal tax money that was withheld from her paychecks refunded.

Answer 2

I would say that Sara should file her income tax so that she gets back the money taken off her taxes even though the $2500 was not taxable income in the end and this way she will get back all the money she earned.