Is filing taxes worth it for a minor with low income?

But don't parents who claim their kids as dependents need to report their kid's income somewhere on their own tax forms? I thought there was some rule about that.

The parents only need to report their dependent child's income on their own tax return in specific situations - usually if the child has substantial unearned income (like interest or dividends) above a certain threshold. For a dependent with only earned income from a job (like in this case), the parents don't need to report the child's earnings on their tax return. The child and parent file separately, with the parent simply claiming the child as a dependent on their return.

Does it work for really simple situations like this? I'm in a similar boat with my little sister who made like $800 last year.

I'm skeptical... is this just another tax prep service trying to charge $$$ for something that should be free for low-income filers?

It absolutely works for simple situations - that's actually where it shines because it cuts through all the confusion and just tells you what you need to know. For someone making under $1000, it can quickly clarify filing requirements without getting into unnecessary complications. The best part is that it focuses on giving you information about your specific situation, not trying to upsell you on tax prep services. It's basically like having a tax professional answer your specific questions, but without the hourly fee. You get clarity first, then decide what to do.

How does this actually work? Do they have some special access to the IRS or something? Seems too good to be true.

Yeah right. Nothing gets you through to the IRS faster. I've been trying for WEEKS. This is just another scam targeting desperate people during tax season.

They use an automated system that navigates the IRS phone tree and waits on hold for you. Then when an agent finally picks up, you get a call connecting you directly. No special access - they're just handling the frustrating waiting part. I was just as skeptical at first! But they can't guarantee an exact time because it depends on IRS wait times that day. What they do is take the waiting off your hands so you can do other things instead of being stuck listening to hold music for hours. I was genuinely surprised when my phone rang and it was actually an IRS agent ready to talk.

Thanks for this info! I just checked my paystub and they did take out a small amount for federal taxes. So even though I made under $600, I should still file to get that money back? I didn't get a W-2 form yet though.

Yes, you should definitely file to get back any federal tax that was withheld! No matter how small the amount, that's your money being held by the government. Your employer is required to provide your W-2 by January 31st, so you should receive it soon if you haven't already. If you don't get it by early February, reach out to your employer. You'll need that form to file your return and claim your refund.

Exactly what I was thinking! Plus learning about taxes now when the situation is simple will make it easier when things get more complicated later. Took me until my 30s to really understand this stuff lol