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June 1, 2019
Question

Why does a high school student who works part time owe money to state and federal

  • June 1, 2019
  • 2 replies
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2 replies

Employee
June 1, 2019
Did they receive cash income or a 1099-MISC?  Then they owe Self-Employment tax.
MichaelL1
Employee
June 1, 2019

Because they are claimed as a dependent on a parents return they get a reduced standard deduction.

This is the tax law for dependents earning income.

MichaelL1
Employee
June 1, 2019
Yes, see comment above if a 1099Misc was received for over $400.