topic Filing Taxes in Get your taxes done using TurboTax

Filing Taxes

dartmouth26 — Mon, 09 Mar 2026 07:59:33 GMT

I am filing taxes for the first time as a college student and I have some confusion about the Standard Deduction vs the Itemized. Which one is better to lower your tax bill and receive the largest possible refund. Also, if your tax bill is zero, will business expenses (supplies, rent, utilities) yield you a tax refund? Also, I've heard if you make under a certain amount as a business owner, you should receive a refund. Is this accurate?

I appreciate your help in advance!

Re: Filing Taxes

VolvoGirl — Tue, 15 Mar 2022 03:06:43 GMT

1. Standard Deduction vs Itemized Deductions - you get to take whichever one is larger. Many deductions are limited so more people are taking the Standard Deduction now. Unless their itemized deductions are more. Itemized deductions are things like Medical, Gifts to Charity, State Income Taxes Paid, Mortgage Interest, Property Taxes, Car Registration fees, etc.

For 2021 the standard deduction amounts are:

Single 12,550 + 1,700 for 65 and over or blind (14,250)

HOH 18,800 + 1,700 for 65 and over or blind

Joint 25,100 + 1,350 for each 65 and over or blind

Married filing Separate 12,550 + 1,350 for 65 and over or blind

2. Business expenses can give you a net loss on Schedule C but that only reduces your taxable income to zero. Losses won't increase a refund. But if your taxable is zero you will get back all the withholding taken out in your W2 and 1099 income and any refundable credits you qualify for.

Never heard about getting a refund if you make less business income. Except as I said above and your self employment tax will be less.

Self Employment tax (Scheduled SE) is automatically generated if a person has $400 or more of net profit from self-employment. You pay 15.3% SE tax on 92.35% of your Net Profit (If it is greater than $400). The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare. So you get social security credit for it when you retire.

Re: Filing Taxes

FangxiaL — Tue, 15 Mar 2022 03:15:50 GMT

Not every taxpayer receives a refund. Most of the refunds come from tax withholdings unless they qualify for some refundable credits.

If you don't have a mortgage and not paying property tax, the standard deduction is the way to go for you. If you have your parents claiming you as a dependent on their tax return, you cannot file your own independent return, which means you have to file as a dependent if you have filing requirements or have a refund to claim.

If your tax liability is zero, an increase in deduction does not necessarily automatically generate a refund. Besides, rent is not deductible for taxes.

If you run a real business and have a net profit, you pay self-employment tax plus income tax if you earned more than the standard deduction.