Photo of Professionals at Bomar Law Firm

Guiding You Through The Legal Process

Photo of Professionals at Bomar Law Firm

Are issues with tax debts more common among certain age groups?

On Behalf of | Oct 12, 2023 | Tax Debt

While most individuals may wish to take every possible measure to stave off issues with back taxes, things might not always prove so simple. There may be a variety of scenarios in which individuals in Georgia might encounter similar trials, regardless of age. However, recent studies indicate that issues with tax debts may be more prevalent among those between the ages of 18 to 24.

Generation Z and tax debts

Studies suggest that while nearly 25% of individuals in the U.S. struggle with back taxes, this number is doubled among those between the ages 18 and 24. Reports also indicate that nearly 10% of Gen Zers even owe back taxes in amounts of anywhere between $10,000 to up to five figures. Researchers state that there may be various reasons why tax debt concerns are more prevalent among this age group.

One factor that may contribute to the rise of tax debt concerns among this age group could pertain to the nature of their employment. Many of those in this group take on gig work or operate as freelancers, which can act to complicate tax filings. Many Gen Zers may choose to pursue extra money via side hustles or decide to become entrepreneurs and they might not always be prepared to manage the tax obligations this may bring.

What next?

Regardless of how it happens, those who struggle with tax debts may be uncertain of the next steps to take to address their situations. Fortunately, there are attorneys who can provide a person in Georgia with much-needed insight in making informed decisions about their financial futures. Seeking such advice could prove vital to helping a person prepare to evaluate every available option for tax debt relief and choose a path that best meets his or her needs and wishes.