Tools Techniques & Topics Understanding Your Tax Returns

What are Income Taxes  

Local, state, and federal government entities require individuals to pay a percentage on financial income received from business dividends and investment interest, wages earned from work as a W-2 employee, or as an Self-Employed Independent Contractor. As the primary revenue source for governments, higher earners reportedly pay a higher percentage. To Prep and File Your Taxes using Your Own Device, be it a Laptop, Phone, Tablet or PC, you can Prep and File your Income taxes easier than ever before. Not clear on income tax compliance rules? Not sure if you can do it on your own? Don’t worry we will be here to help, There will be a Site Coordinator with Basic and some Advanced tax knowledge on hand to answer your tax prep and file questions.  

Are You Required to File Income Taxes 

For the 2025 tax year, individuals with an Adjusted Gross Income (AGI) less than $15,950, or married couples who file jointly with less than 25,900, are not required to file a federal tax return. However, individuals within this threshold may assume that since they are not required to file , they need not bother, might want to run the numbers before the give up on filing. Even if you are not required to file, it may be beneficial to do so. More often than not, many people get money back if they are not required to file a tax return. If an individual qualifies for the Earned Income Tax Credit (EITC) or if their employer withheld taxes from their paycheck, they may be owed a refund when they file their taxes.  

Not required to file doesn't mean shouldn't file 

Generally, taxpayers with gross income less than $12,950 for single filers, and $25,900 for married filing jointly, are not required to file a federal tax return. However, low-income individuals may mistakenly assume that since they owe no tax, they're not entitled to a refund. In fact, they may get money back if they file a tax return. For example, if an individual qualifies for the Earned Income Tax Credit (EITC) or if their employer withheld taxes from their paycheck, they may be owed a refund when they file their taxes. 

The IRS encourages everyone to consider taking advantage of the speed and convenience of IRS Free File, including:  

• Low- to moderate-income workers and working families who don't normally file a return. They may miss out on certain credits for individuals, including the EITC, the Child Tax Credit, the Child & Dependent Credit and the Premium Tax Credit if they don't file.  
• People experiencing homelessness (the address of a friend, relative or trusted service provider, such as a shelter, drop-in day center or transitional housing program, may be used on the tax return).  
• Students just entering the workforce or who may have only worked part time.  
• All eligible parents of qualifying children born or welcomed through adoption or foster care may be eligible for the Child Tax Credit. 

In order to validate and successfully submit an electronically filed tax return to the IRS, taxpayers will need their AGI from their most recent tax return. If using the same tax preparation software as last year, this field will auto-populate. However, first-time filers over the age of 16 should enter zero as their AGI. If you are feeling confident that you can navigate the prep and file process choose an efiling provider and go for it!  

However if you are feeling a little overwhelmed, we are here to help you… Do It The Right Way!