I just turned 70. I live on Social Security alone. My total income from Social Security last year before being adjusted was $16,500. At the end of last year I received an Inheritance of ~ $10,500 which I cashed in in January of this year. Normally I do not file taxes because I live on Social Security alone. Inheritance is not normally taxed.
My question is do I *need* to FILE a tax return either this year (2022) since I received the Inheritance last last year, or next year (2023) because I cashed the inheritance check in late January /early February of this year?
IF I were to hazard a GUESS my guess would be that since I do NOT normally file a Tax Return since I live on Social Security alone; and since my inheritance of ~ $10,500 is way under the taxable limit, and is not reportable as "income", then my GUESS is that I do NOT have to FILE either this year or next. That said, I am not a Tax Expert, and while I would not normally have to file if I ONLY had Social Security, the Inheritance *MAY REQUIRE* me to file a Tax Return, even if I have nothing to tax.
IF I am *REQUIRED* to file a Tax Return, do I file *THIS YEAR* (2022) since I received the check late LAST YEAR (2021); or *NEXT YEAR* (2023) since the check was CASHED *THIS YEAR* (2022)?
I need some guidance here. This is the first time I have inherited any money and I live on Social Security.
