IRS Income Tax Filing Requirements
- Not everyone must file taxes.tax forms image by Chad McDermott from Fotolia.com
The Internal Revenue Service (IRS) has certain requirements for filing an income tax. Some people file although it is not necessary for them to do so. They may not be aware of the specific requirements or they are entitled to a refund or a tax credit. Your age, filing status and gross income are only part of the equation used to determine if you must file an income tax return. - You must file an income tax return when your income climbs to a designated level, which changes periodically. Filing status influences these IRS-determined levels. Age also contributes to this decision.
The filing requirements apply to individuals, a head of household with dependents, a widow with a dependent child and a married couple filing a joint return. There are different age groups that also determine filing status. Those who are younger than 65 have lower income ceilings. Filers who are 65 and older have a higher ceiling and varying life situations.
Regardless of age, married couples who file separate returns must do so when income reaches $3,650 as of 2009. The IRS requires some dependent children to file a tax return based on their amount of earned and unearned income. - Self-employed individuals must be diligent in reporting all earned income. Failure to do so will affect Social Security benefits. When a self-employed person earns $600 or more from a single source as of 2009, that source must generate a 1099-MISC form. Both the IRS and the individual receive a copy. This makes it imperative that the individual report this amount as income.
A net amount in excess of $400 coming from multiple sources is reportable income. It makes no difference that you might have an enterprise, sideline business or hobby business. The rules apply to any self-employed individual. If you did not reduce your tax-withholding amount during the year, filing correctly will give access to the Making Work Pay Credit. - The word "alien" is a reference to a foreigner with income sources originating in the United States. Aliens residing in the United States are subject to the same income tax filing requirements that apply to citizens.
Dual-status aliens are residents of the U.S. for a portion of a year and non-residents for the remainder. They have some requirements that are standard and others with variable rules. The origin of the non-resident income makes a difference in its treatment.
Finally, a person who is a total non-resident alien must fulfill an entirely different set of income tax rules and may -- or may not -- be subject to filing an income tax return.
