The Internal Revenue Service set Jan. 29 as the official start date for the 2024 tax season. Some UTRGV students will navigate tax return filing for their first time, seeking guidance on a “frustrating” task.
“I feel like there’s not a lot of access to information on how to approach doing your taxes,” studio art junior Airett Tijerina told The Rider.
The process of filing a tax return can be overwhelming, especially for those who have never done it before.
“I mean, in high school it was kinda glossed over,” Tijerina said. “So trying to enter adulthood and trying to do your taxes is frustrating.”
Students might be asking themselves when they are eligible to file their tax return.
“The only way you can file it is if you earn money, and the minimum is $4,000,” said Ivonne Velasquez, an H&R Block senior tax professional. “If you earn more than $4,000, you have to file.”
Velasquez said students should document any course-related expenses that might be eligible for a deduction.
“For example, computers, printers, books, tuition … you can deduct to reduce your taxable income,” she said.
From deciphering complicated tax forms to understating deductions and credits, students are grappling with a steep learning curve.
Lily Rodriguez, a studio art junior, said she is “not really aware how to [file] properly.”
“I know that if you do it wrong you can get in trouble, or if you do it right they may ask for more information,” Rodriguez said.
But the experience also presents an opportunity for young adults to gain valuable financial knowledge and prepare for the Free Application for Federal Student Aid, or FAFSA.
“Having your taxes filed is one of the requirements to complete your FAFSA form,” said Roman R. Silva, assistant director of the Financial Aid Office.
In an effort to assist students in the process, UTRGV has partnered with United Way to help individuals with an income below $79,000 to file their 2024 tax return for free.
“United Way [provides] services through what’s called My Free Taxes, and that’s in partnership with the IRS’ Volunteer Income Tax Assistance program,” Silva said.
On campus, a VITA certified United Way tax consultant will assist students step-by-step to file their tax return online at myfreetaxes.com.
UTRGV students can visit U Central on the first floor of the Student Services Building on the Edinburg campus and the Main Tower 1.100 on the Brownsville campus from 9 a.m. to 3 p.m. Monday through Friday from Feb. 5 to March 8 to receive tax return assistance.
United Way Vice President and Resource Development Director Janet Terrazas said along with the required documents students must have to file their tax return, which include their ID or driver’s license and Social Security card, students should also bring their 1095-A form.
“Last year, a lot of people that purchased health care through the marketplace didn’t bring their 1095-A form, [and] if they don’t bring it their tax return will not go through,” Velasquez said.
She suggested students bring their bank’s routing information for a seamless deposit and their tax return from last year in case any tax questions pop up.
Some college students may not know whether to file a tax return.
“I had a student that worked at Whataburger … and said she wasn’t going to file because she only earned $5,000,” Terrazas said. “But she didn’t understand that … the money that’s withheld [she] could get back in her refund.”
The Rider asked Terrazas what opportunities are offered to maximize students’ benefits.
“When a student is working towards their bachelor’s degree, they’re going to be able to claim the American Opportunity Credit,” she said. “…After that, they’re eligible to get the Lifetime Learning credit … [for] master’s and doctorate degrees.”
The maximum annual credit per eligible student is $2,500, according to IRS.gov.
While some students may have part-time jobs to pay their tuition, others may receive scholarships or grants. Understanding how these various sources of income are taxed is crucial for avoiding mistakes.
“Students should look out for Form 1098,” Terrazas said. “It will show how many scholarships you received, or how many loans you had.”
These scholarships, grants and loans may qualify as taxable income and could help lower the tax you owe.
“If you’re filing a tax return, you may need to include scholarships and grants as taxable income,” according to irs.gov. “Tax benefits for higher education, such as loan interest deductions, credits and tuition programs, may help lower the tax you owe.”
It is also important for students to file their return on time to avoid penalties and ensure compliance with the law.
The deadline for filing federal tax returns is April 15. Students who are unable to meet the deadline can request an extension, including an extension to pay taxes owed to the IRS.
“The [IRS] will probably give you a monthly payment for you to start paying it off, so that’s a little bit more of a hassle because you have to turn in more documentation just to verify the reason why you need an extension,” said Jessica Sustaita, VITA program coordinator.
Terrazas and Sustaita suggest that any taxes owed should be paid by the original deadline to avoid interest charges.
The Rider asked Velasquez if she recommends students file on their own online or with a tax professional in person.
“I suggest to go with a professional,” she replied. “In the last few years I’ve noticed that students … don’t know what they might qualify for with their credit. When they come to the office we can explain … if they can qualify for benefits.”
Filing a tax return for the first time can be intimidating, but with the right resources and guidance, UTRGV students can ace the process.
