Canfield is single,70 years old,and has no dependents.Canfield will not have to file a tax return in 2016 if:
I.his gross income does not exceed $11,900.
II.his only income is $4,000 of self-employment income.

Question

Canfield is single,70 years old,and has no dependents.Canfield will not have to file a tax return in 2016 if:
I.his gross income does not exceed $11,900.
II.his only income is $4,000 of self-employment income.
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Quizplus · Accepted Answer

According to the IRS, if Canfield's gross income does not exceed $11,900, he will not have to file a tax return in 2016. Option II is incorrect because even though self-employment income of $4,000 is below the standard deduction amount, it still needs to be reported and potentially subject to self-employment taxes.

Canfield Is Single,70 Years Old,and Has No Dependents