Do Minors working summer jobs have to pay all federal and state taxes?
A minor has a number of issues to consider. First the minor and employer may have to complete special working papers for the state to assure that the minor legally can work. Filling out the typical tax forms such as a W-4 for withholding is required. An I-9 as to immigation status is likely required. If taxes are withheld the minor will have to file an income tax return to get a refund. If the minor is under 18 the Kiddie Tax will apply to non-earned income. The tax return for the minor will be a bit complex if he or she can be claimed as an exemption on your personal return. Yes, the minor has to pay taxes like all of us, but there are some complications, twists and turns. Also, if the minor only works in the summer, and the withholding is based on annual earnings assumptions, most of the tax withheld may be refunded.
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