Question

Your friend Alice is a full-time college student, earned $4,000 working at the campus bookstore over two semesters last calendar year, and also got a part-time job as a cashier in February, earning $9,500. Alice knows that you have been learning about taxes in your personal finance lessons and asks you, “Do I need to file taxes this year? If I do, what is the process like?”

Determine if Alice needs to file taxes this year and explain your reasoning.
If you conclude that Alice does need to pay taxes, explain what forms she will need, what the deadlines are, and what method you recommend she use to file her taxes.

Answer 1

Based on the information provided, Alice may need to file taxes this year. The determination depends on her total income and filing status. Let's break it down:

1. Income from the campus bookstore: $4,000

2. Part-time job income as a cashier: $9,500

To determine if Alice needs to file taxes, we need to consider the income thresholds set by the Internal Revenue Service (IRS) for the tax year. These thresholds can change from year to year, so it's important to refer to the current tax guidelines. For the purpose of this response, let's assume the thresholds for the current tax year.

For a single individual under the age of 65 filing as a dependent, the standard deduction for 2023 is $12,950. If Alice's total income falls below this threshold, she may not be required to file taxes. However, if her income exceeds this threshold, she will likely need to file.

In Alice's case, her total income is $13,500 ($4,000 + $9,500), which is above the standard deduction. Therefore, Alice may need to file taxes this year.

Regarding the forms Alice will need, it will depend on her specific circumstances, such as whether she is claimed as a dependent on someone else's tax return. However, common forms may include Form 1040 or 1040A (or 1040EZ if applicable) for federal taxes, and possibly corresponding state tax forms.

The deadlines for filing taxes can vary, so Alice should check the deadlines specific to her tax jurisdiction. In the United States, the general deadline for filing federal taxes is April 15th. However, this date can be extended if it falls on a weekend or holiday. State tax deadlines may differ, so Alice should check the deadlines for her state of residence.

To file her taxes, Alice has several options. She can choose to file manually using paper forms or use online tax preparation software, which can simplify the process and help ensure accuracy. Popular software options include TurboTax, H&R Block, or TaxAct. These platforms guide users through the necessary steps and calculations and help them file electronically.

It's worth noting that tax laws can be complex, and individual circumstances may vary. Therefore, it's always advisable for Alice to consult a tax professional or use reputable tax preparation software to ensure accurate and compliant filing.

Answer 2

It is found that Gross income was more than the larger of $1,050

What is Algebra?

Algebra is the study of abstract symbols, while logic is the manipulation of all those ideas.

The acronym PEMDAS stands for Parenthesis, Exponent, Multiplication, Division, Addition, and Subtraction. This approach is used to answer the problem correctly and completely.

Given that Your friend Alice is a full-time college student, earned $4,000 working at the campus bookstore over two semesters last calendar year.

Also he got a part-time job as a cashier in February, earning $9,500.

So, under the age of 65 and not older or blind, you must file your taxes if: Unearned income was more than $1,050.

Earned income was more than $12,000.

Therefore, Gross income was more than the larger of $1,050 or we can say on earned income up to $11,650 plus $350.

Step-by-step explanation:

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