I am a full time student, even during both summer sessions. I am also working. A friend told me that I shouldnt be paying hardly any taxes, he thought I shouldnt have to pay federal or state taxes. Anyone know anything about this? I know I can probably get some of it back when I file taxes but how much? Also, if anyone knows any loop holes or anything that full time students can do PLEASE let me know. Thanks

btw, i cant spell

7/9/2006 11:05:12 PM

do you do your own taxes? or have them done by a company or your parents?

7/9/2006 11:07:47 PM

Is your friend a CPA?

As you student, you can claim certain deductions and tax credits. If you use a program like turbotax, it will walk you through all of that when you file. However, if you're a student but you earn 50k, you're still going to pay a fair bit in income taxes.

7/9/2006 11:14:10 PM

Their isn't much specific to being a student other than getting a deduction or credit for tuition and required fees. If your parents aren't claiming you as a dependent and your income is low, you should get most or all of your withholding back. If your parents claim you as a dependent, you probably won't get much back except your tuition deduction or credit.

Oh yea, you can deduct your student loan interest (paid interest, not accrued) too.

[Edited on July 9, 2006 at 11:16 PM. Reason : ?]

7/9/2006 11:15:51 PM

^if you're being claimed as a dependent, you can't claim tuition and fees or student loan interest. Your parent(s)/guardian get to claim them.

http://www.irs.gov/pub/irs-pdf/i1040a.pdf See pages 31-32

Sucks, I know...

[Edited on July 9, 2006 at 11:59 PM. Reason : link]

7/9/2006 11:55:09 PM

On that topic...are fellowships taxable? I saw online it said they were, but a lot of people who have gotten them in the past say that they arent. I was just wondering if anyone knows from experience.

7/10/2006 12:55:56 AM

Two rules that hold true in life:

#1 - Everyone pays taxes
#2 - Everyone dies

7/10/2006 1:01:58 AM

^ do the bushmen of africa pay taxes?

7/10/2006 1:20:52 AM

Quote :

"If you're being claimed as a dependent, you can't claim tuition and fees or student loan interest."

This is true regardless of how much of your actual education they do or don't pay for.

Quote :

"On that topic...are fellowships taxable?"

It really depends on a lot of things, a big one being on whether the school/department issuing that specific fellowship makes it such. I know my fiancee got paid for doing a summer REU at Duke and nothing was ever taken out or claimed.

Quote :

"A friend told me that I shouldnt be paying hardly any taxes, he thought I shouldnt have to pay federal or state taxes."

This also REALLY depends. As has been mentioned, a qualified person (or play around with TurboTax) to see if that is the case or not. Also an issue of paying taxes now and getting a bigger return or keeping the most possible and not getting a return.

7/10/2006 6:07:40 AM

If no one can claim you as a dependent this is what you do

Fill out a W4 so you're exempt for fed. and state taxes, this means they'll only take out social security and medicare from your pay check.

When tax time comes around be sure to include tuition as a deduction, as long as you arnt making that much money you shouldn't be paying anything in taxes

7/10/2006 7:20:35 AM

thanks bbehe, thats what i was trying to find out

im on a full scholarship, so i wont be able to file that i dont reckon. But they have been taking state and fed taxes out of my paycheck at work, even though i filed the W4 form indiciating that I was a full time student. But I think im just gonna let that stay like that JUST aslong as I will get it back when I file my taxes.

7/10/2006 11:34:59 AM

you'll get back what you're entitled to, based on taxable income.

7/10/2006 11:41:27 AM

Quote :

" Quote : "On that topic...are fellowships taxable?" It really depends on a lot of things, a big one being on whether the school/department issuing that specific fellowship makes it such. I know my fiancee got paid for doing a summer REU at Duke and nothing was ever taken out or claimed. "

Actually it solely depends on one thing & one thing only. The way this works is that if the department recieves ALL the money from a non-profit foundation, such as the NSF, the fellowship is not taxable (because technically the school is not paying you). If it is funded internally (the department funds any part of the fellowship) the fellowship is taxable.

It is as simple as that. Most all summer REU programs are funded by the NSF. That is why the students do not pay taxes on that.

The IRS does this so that departments can't put all their students on fellowships & allow them to skip taxes.

7/10/2006 12:34:27 PM

Check out http://www7.acs.ncsu.edu/cashier/tuition/1098T.asp

7/10/2006 12:36:40 PM

You should have filled out a tax form, and you should have put exempt...

7/10/2006 12:43:39 PM