Many recent graduates will be filing their taxes for the first time this year, and many have expressed concerns over their understanding of complex tax codes. In addition to confusion over tax forms, many are unaware of basic terminology, such as withholding status, or the difference between a credit or deduction.
A recent survey of the student body at the University of Houston revealed roughly 50 percent of respondents did not feel they had a firm understanding of how to file their taxes, with a large number still relying on their parents to fill out the paperwork, university newspaper The Daily Cougar reports.
"I just got married six months ago, but my dad still files my taxes for me," recent graduate Rachael Eckert told the newspaper. "My husband and I both have degrees, but I guess only accounting majors learn about (taxes)."
This year in particular, young adults should pay close attention to their tax forms, as new legislation and key tax credits, such as the American Opportunity Credit, will affect their returns. Recent graduates who are filing for the first time may benefit from consulting a tax service, which can provide guidance and help adults complete their returns error-free.
Every effort has been taken to provide the most accurate and honest analysis of the tax information provided in this blog. Please use your discretion before making any decisions based on the information provided. This blog is not intended to be a substitute for seeking professional tax advice based on your individual needs.