Although not everybody must file taxes, most Americans must and most certainly will.
As per the nonpartisan Washington think tank Tax Policy Center, 144.5 million of the 176.2 million people who were eligible to submit a tax return in 2020 did so. The main factors defining whether you must raise taxes are your income, filing status, and age. However, in certain circumstances, you can be required to file a tax return despite your income. For instance, you must submit taxes if your self-employment net profits total at least $400.
Having stated that, you might wish to file a tax return even if you are not allowed to do so to claim any tax credits and additional payments that might be due to you to receive a refund.
But as it may seem complicated, we’ll explain everything here so you can cope with the law or even profit from doing a little extra work.
Start by looking at your gross income, that is your entire income before taxes and adjustments, age, and tax status to see if you’re one of the millions of individuals who must file a return. Filing status refers to whether you are the head of the home, single, married, or filing jointly or separately.
