That Makes Cents: Summer Tax Tips

Peggy Riley, IRS Spokesperson
"People don't realize that some things that they do during the summer may affect their tax return when it comes time to file it next year."

You may be eligible to receive a tax credit for summer child care costs, like day camp, for kids under 13.

Peggy Riley, IRS Spokesperson
"It can be up to, I think, about $3,000."

When it comes to summer jobs, many full time students can get a tax break.

Peggy Riley, IRS Spokesperson
"Students that earn under a certain amount of money, they don't have to have taxes, federal taxes, withheld."

Seasonal workers should make sure they're classified correctly on tax forms.

Peggy Riley, IRS Spokesperson
"Make sure that the right amount of taxes is being withheld. You could get a smaller refund than expected or you may end up owing taxes."

And if you had a tough time finding summer renters for your vacation home, there may be a bright side.

Peggy Riley, IRS Spokesperson
"If they rent the home for 15 days or less, they may not have to report that as income."

Now that makes cents.


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