How can a student avoid paying high taxes?
April 9, 2010 4:33 AM Subscribe
I’m a student and it’s tax time. I work for my school (work study) and to help make ends meet I do consulting work (web programming) for a few reputable clients (meaning they don’t pay under the table). The problem with consulting work is that I get hammered come tax time. The 1040s are unforgiving.
posted by anonymous to Work & Money (15 answers total)
Needless to say I know very little about taxes and the tax code.
I literally live month to month with very little overhead, because most of my efforts are focused on school. When calculating my apparent taxes (which might be on the order of $400-500) I don’t really see how I’m going to be able to pay them and pay rent.
What are some ways a student like me can get around having to pay such (relatively) high taxes? It really doesn’t make sense to me that I should give 15% of my income when I’m technically well below the poverty line (I may make $3,000-4,000 per year, not including scholarships and grants). I am totally for the idea of taxes though. I would pay if I could, but as of now it either seems pay taxes or pay rent.
What should I do?