Survey reveals youthful (and not so youthful) misconceptions about tax filing
Feb 5, 2025, 6:00 AM
SALT LAKE CITY — As tax filing season gets underway, a study from Talker Research, on behalf of TurboTax, reports that about 17% of those in Generation Z believe they can write off any expense as a business expense.
The study also found that 20% of respondents didn’t think students needed to file taxes at all.
Other reading: Compared to other generations, millennials say happiness comes at a higher cost
Baby Boomers have misconceptions too. The Talker Research study showed that 27% of people from the Baby Boomers generation they asked believe those who make less than a perceived so-called IRS income requirement don’t qualify for a refund and don’t need to file.
Tax filing misconceptions about deductions, cash payments, mileage
Susan Spears, CEO of the Utah Association of Certified Public Accountants, told KSL NewsRadio they face a lot of misinformation when tax time rolls around. She used a Game Boy purchase by one of her clients as an example.
“It’s like, ‘I bought this Game Boy because sometimes I have to bring my kids to work with me, and so it keeps them entertained. So I should be able to write this off for business?'”
In this example, Spears said that unless the person is in the gaming industry, and they’re doing something like research, claiming it as a business expense “is not going to cut it.”
Another common tax filing mistake involves being paid in cash.
“If you’re a construction worker and you’re doing framing on the site … and your general contractor pays you in cash, yes, you have to claim that,” Spears said. “I can guarantee you that the [general contractor] is deducting that amount … [they’re] going to leave a paper trail.”
Spears recommends keeping a log or better, using an app, for anybody who claims mileage deductions on their taxes.
“There’s so many apps for this kind of stuff. It makes it very easy and very simple. And then at the end of the year, if you’re self-employed, or running your business or whatever, you just aggregate that information and you can take that deduction.”
Talker Research said they surveyed 4,000 Americans who said they would file taxes this year, and split them evenly between generations and gender. The study was conducted in November 2024.
The Internal Revenue Service offers information about tax filing on its website, as does the state of Utah.
