It's summertime, and for many people, summertime means change. Whether it's a life change or a typical summer event, it could affect your income taxes. Here are a few common summertime activities and tips on how taxpayers should consider them during filing season.
Newlyweds should report any name change to the Social Security Administration. They should also report an address change to the United States Postal Service, their employers, and the IRS. This will help make sure they receive documents and other items they will need to file their taxes. You should take some time to read up on the comparative advantages to filing your taxes jointly or separately so that you're prepared when tax time comes around.
Sending kids to summer day camp
Unlike overnight camps, the cost of summer day camp may count towards the child and dependent care credit.
While summertime and part-time workers may not earn enough to owe federal income tax, they should remember to file a return. They'll need to file early next year to get a refund for taxes withheld from their checks this year.
Gig economy work
If you're dipping your toe into app-based gig work to boost your income over the summer (such as ride sharing, delivery services and other activities), you are encouraged to visit the Gig Economy Tax Center at IRS.gov to learn more about how participating in the sharing economy can affect their taxes.
And if you're selling items at craft fairs or farmers' markets, accepting payment via Paypal, Venmo, or other peer-to-peer services, make sure you're aware of the new regulations about reporting this income on your taxes.