Next Tuesday, my 16-year-old son will get his second opportunity in as many years to send “big bucks” (for him) to the IRS.
He’s worked the past two summers mowing lawns for a large residential real estate developer. They pay him on a 1099. Therefore, although he doesn’t make enough to pay income tax, he does have to pay self-employment tax (e.g. both halves of FICA).
Since he doesn’t have a checking account, he’ll be handing me ~$150 cash so I can write the check on his behalf.
No surprise that he’s easily one of the most conservative-minded kids in his school. ;O)
He’s worked the past two summers mowing lawns for a large residential real estate developer. They pay him on a 1099. Therefore, although he doesn’t make enough to pay income tax, he does have to pay self-employment tax (e.g. both halves of FICA).
Since he doesn’t have a checking account, he’ll be handing me ~$150 cash so I can write the check on his behalf.
Really? I thought the threshold income EVEN FOR FILING was 8000 dollars for a single person, which would equal 16% * 8000 = about 1280 dollars. If he is paying 150 dollars on 16 (15.5%?) then that is gross income of only about a thousand dollars. He should keep the money and just not file. Then again, I may not have all the picture.