My monthly payment for my PAYE plan the last 2 years has been $0 because I didn’t make the minimum income for me to have to make payment on my loans. They base my income off my tax returns which is what reported that my income didn’t meet that threshold to require making payments
This year for filing my taxes, for the first time ever, my income to report is actually $0. I have been sick with a few medical issues and living with my parents and haven’t been working or didn’t receive any Income. I’m being told by most people I don’t need to file my taxes at all this year because reporting a $0 income is a waste of time money and resources, and you can’t even electronically submit a $0 income for filing taxes.
My question is if I don’t file taxes this year (for 2025) how will that affect my PAYE plan. Because they base my monthly payment off my tax returns. If one isn’t submit what would happen would they go by the previous year tax return or would it cause me new problems
Have no income this year and don’t need to file taxes, will they affect my PAYE repayment
byu/Personal_Clerk_9798 inStudentLoans
Posted by Personal_Clerk_9798
2 Comments
To get around the e-file rejection, there is a common “industry standard” workaround:
The “$1 Solution”
If your software won’t let you e-file a zero-income return, you can manually enter $1 in taxable interest income (on Line 2b of Form 1040).
You can do an income recert using alternative documentation. If you have zero income you can attach a statement explaining your situation