We'll being a minor means that you're still a dependent on your parent's tax return. And, that actually sucks haha. Sorry. As a dependent, you don't get a per

We'll being a minor means that you're still a dependent on your parent's tax return. And, that actually sucks haha. Sorry. As a dependent, you don't get a personal exemption but you'll get a standard deduction of $5,700 (in your specific case). Its important for you to pay your taxes on that income because you're parents are legally required to pay any tax that you owe. Also, you're going to have substantial income tax (remember to pay your self-employment tax as well: 15.3%) because you have limited expenses. As for incorporation, it really depends on what you're going to do with your apps in the future. Incorporating will help you facilitate selling them in the future because you could simply sell the company and easily move on or you could be the next Zynga and use the legal entity to get funding haha. I dont see apps having any liability issues, so you're main concern is going to be business related decisions. I'd suggest that you incorporate as a S-Corp because you could avoid paying self-employment tax (SE) by planning around it. Make a reasonable guaranteed salary payment to yourself and you can at least avoid paying the 15.3% for self employment tax over the salary. I think 40K would be a reasonable salary. So, you'd save somewhere around $5,355 dollars in tax. This is just one simply way of saving on taxes.