Question

Which of the following taxpayers need not file a tax return for 2019?

1. Married taxpayers (ages 69 and 67 years), filing jointly, with gross income of $26,724.

2. An unmarried taxpayer who is over age 65, with gross income of $20,771.

3. An unmarried taxpayer, under age 65, with gross income of $26,058.

4. An unmarried taxpayer, over age 65, filing as head of household with gross income of $20,830.

5. All of the above taxpayers must file a return.

Answer 1

For the taxpayer liable to file return depends upon the age , filing status and gross income and even the dependency of the taxpayers. The major factor in this is the gross income and the standard deductions involved.

In case when the standard deduction exceeds the gross income the taxpayer need not file the tax return for 2019, the limits are as follows:

For a single filer of age less than 65 years the standard deduction allowed is $12,200 so the option 3 with An unmarried taxpayer, under age 65, with gross income of $26,058 needs to file a tax return as its income exceeds the standard deductions..

Further for a single tax payer above age 65 can claim an additional standard deduction due to age factor is $ 1650 so the total standard deduction stands $ 1385 for single filers. here in case of option 2 An unmarried taxpayer who is over age 65, with gross income of $20,771 needs to filed the tax return.

Further for a person filing as an head of household and age above 65 has standard dedution of $ 20,000, so for the option 4 An unmarried taxpayer, over age 65, filing as head of household with gross income of $20,830. here the gross income exceeds $ 20000 so he needs to file tax return.

Now in case of married filing jointly and both the taxpayers are age 65 or above then the standard deductions allowed will be = $ 27000 ( 12200*2 + 1300*2) i.e standard 24,400 + 1300 additional due to age above 65, now for the option A Married taxpayers (ages 69 and 67 years), filing jointly, with gross income of $26,724, since the gross income is lower than the standard deduction it needs not file the tax return.

Thus the correct option is -----------------A i.e Married taxpayers (ages 69 and 67 years), filing jointly, with gross income of $26,724.