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Get your taxes done using TurboTax
@danilol wrote:
Any difference between 1.total income( wages, salaries, taxable scholarship etc.) of more than $12,550
and 3. gross income of more than $1100?
what does gross income refer to here? is it wages salaries, taxable scholarship?
Thanks
Gross income is all income from all sources.
Earned income is compensation for working, for providing a service.
Unearned income is everything else (prizes, scholarships in excess of expenses, gambling, unemployment compensation, bank interest and investments, money found in the street, and so on.)
A person who is a dependent, and who has unearned income, may have a lower filing threshold. This is part of the "kiddie tax" which is intended to prevent parents from putting investments in a child's name to pay less tax. It can sometimes also affect taxable scholarships.
The easiest way to determine what her filing requirement is, is to use the IRS web site here.