Does Anybody Know?

[Biscuitsmom31]

How much can a teenager make in a year without having to file a tax return?

 

[CarolG]

From IRS publication 501: A single dependent must file if any of the following apply
(a) unearned income was more than $850,
(b) earned income was more than $5,150, or
(c) gross income was more than the larger of $850, or earned income (up to $4,850) plus $300.

Unearned income includes taxable interest, ordinary dividends, and capital gain distributions. Earned income includes wages, tips, and taxable scholarship and fellowship grants. Gross income is the total of your unearned and earned income.

If the teen paid federal withholding, he or she should file anyway to get a refund.

Publication 501: http://www.irs.gov/publications/p501/index.html

If part of your earned income is from tips, see Tax Topic 402, Tips: http://www.irs.gov/taxtopics/tc402.html

 

[Biscuitsmom31]

No. I'm actually wondering for my babysitter. Our 15 year old neighbor sits with the kids after school until DH or I get home from work. We pay her $75 a week and would like to get a child care tax deduction but we don't want to cause her to have to file and pay in a bunch of taxes.