Ok so this is my first time entering the work force I’m entering a fast food place in December 2020 and I was wondering will I have to do my taxes when it’s tax time in 2021 or can I wait till 2022?
it all depends. is this your business? if it begins business in 2020 then likely a return would likely be due. this would be true if the business was a calendar year Corp, LLC, partnership or even a sole proprietorship.
if you are an employee it will depend on whether you get one or more paychecks in 2020 - if yes, you may have to file depending on your gross income, dependency status and whether any income taxes were withheld. if you are in a state with an income tax the filing requirements would be quite different.
if you are an independent contractor and you net more than $400 in 2020 - you would owe self-employment tax and possibly income taxes so you must file.
if you are an employee or independent contractor that performs work in 2020 but doesn't get paid until 2021, no tax return is due unless you have other types of income that may require you to file.
Any income paid to you in 2020 is taxed on your 2020 return which you file in 2021. But if your only 2020 income as an employee is from December, 2020, you would likely not have earned enough to have to pay tax. If any amount was withheld, however, you would want to file to get that refunded as well as to receive any credits you might qualify for.
You would only file to get refund of tax withheld and any credits you are eligible to receive. If you don’t make enough to have to file you do not have to but it is to your benefit to do so.
You will get a W2 form from your employer by the end of January. If they took out any federal withholding in box 2 you can file a 2020 tax return to get a refund. If you only have a W2 for 1 month work it should be easy and free to file a a2020 tax return. Are you still a dependent on your parent's return?
Here is an article on who has to file a tax return. It is still for 2019 but should work for 2020 too. The new 2020 income goes up to $12,400 from 12,200.
If you are asking if you can hold the 2020 W-2 and file it with a 2021 W-2 on the 2021 return then that is a hard NO. You cannot mix tax years ... each one must be filed separately.
If you qualify AND if you wait until mid January THEN you can use one of the IRS FREE FILE options to file a fed & state return for free ... but you must be patient. https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free
IRS Free File: Closed until January 2021
IRS Free File is closed for the 2020 tax season. Check back in January for Filing Season 2021 opening details.
For Filing Season 2021, you must make $72,000 or below to use IRS Free File partner offers.