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acser2002
New Member

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

I received unemployment which was about $11,000 and they taxed about $2,000. My boss is saying that I didn’t make enough to pay the federal taxes but they always took out state taxes on my pay checks.
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6 Replies
ColeenD3
Expert Alumni

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

You stated that you made $7,500 but that you received $11,000 in unemployment. What exactly did you make and what form did it take? If you were self-employed, you have to pay Social Security and Medicare taxes on that income. That is in addition to Federal tax.

acser2002
New Member

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

I work at subway. They took the taxes out for sos, med, and state every time I got paid but took federal out once 

ColeenD3
Expert Alumni

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

So, did you receive $7,500 from Subway and $11,000 from unemployment? Did you have total income of $18,500? After your standard deduction of $12,400 (single), you would have about $6,100 taxable income. Is this accurate?

acser2002
New Member

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

I don’t exactly know how everything works but my total income was 18,425.85. My total tax for everything was 1,727.05

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

I would ask your boss at Subway to please see the W-4 they have on file for you for Federal withholding purposes. Check to see if on this form "exempt" is checked off at the bottom right. If it is, then that would be why no FIT was withheld from your pay. If all year long your employer was not withholding FIT on your behalf and you are just now noticing this, then unfortunately it is too late to do anything about it and whatever is getting calculated as tax (and then owed or overpaid) would be correct.

I made about $7,500 all year of 2020, but my federal tax income was $36. It says I owe $1957 for federal taxes. What should I do? Is this correct?

It sounds like you failed to have any taxes taken from your unemployment comp (which is taxable), which is why you owe.

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