There are a few things that people do during the summer that can affect their tax returns.
The five summer activities that can potentially impact your tax return for the better or the worse include sending your kids to camp,getting married, getting a part-time job, starting a side-hustle, and renting a room in your home or renting the home while you’re away.
While sending the kids to camp could make you eligible for a tax credit, it depends on the age of the child and if you’re working while they’re off at camp.
Getting married might lead to lower taxes-it depends on how you file and what you may qualify for.
For those with internships and part time work, if you earn over the minimum required for filing a tax report, you have to report your income.
If you pick up a side-hustle and the IRS sees you as self-employed, it’s important that you keep track of all of your expenses.
This can reduce your taxable income if you can claim qualifying business related expenses.
Lastly if you’re renting a room in your home or renting the home itself while you’re away, you may have to pay taxes.
If it’s anything over 15 days a year, you have to report the income.