I've been with my boyfriend for 8 years now. We have a strong relationship. We also have 2 kids together, we want to get married but i keep hearing that it'll affect my taxes at the beggining of the year. Is this true, how does it actually work?
2006-10-02 20:01:57 · 8 answers · asked by Crystal W 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
Yes. After you get married, and even if it lands on December 31st, your two options for filing status, if your living with your spouse, is Married Filing Jointly or Married Filing Seperate. You cannot file as Single again until you are officially divorced. This is just one aspect of change to how you will file taxes.
As for payroll withholding, that is a separate issue. The more exemptions you claim, the less withholding, and lower or no refund. Even changing from Single to Married can affect your withholding.
I strongly suggest that you speak with a professional tax preparer or call the I.R.S. (800) 829-1040.
2006-10-03 10:22:21 · answer #1 · answered by LH 1 · 0⤊ 0⤋
If you examine the tax return closely, you'll see that filing married is really filing single times two. You have your kids which will help somewhat. What people don't realize is it's not just your income that matters on your return, it's more to do with the style of life you live. If you buy a house the benefits are great for the first five years or so, then you may want to sell and buy a bigger one, ect. If you make OK money and you just want to be a drunk or party goer you'll pay the price of freedom. You know what I'm talking about. You going to have a business out of your home, the best thing to do is plan and you can estimate the tax benefits or non benefits then make a choice. You can visit http://randymusso.tripod.com for more info and detailed answers.
2006-10-02 20:31:45 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Yes, it absoultely affects your taxes!! The more you claim on your taxes, the less are taken out. If you claim married with 2 or 3 dependants (depending on how much money your boyfriend makes) - you will have a very small amount of taxes taken out - as opposed to claim single with 2 or 3 depedants - you will have more taxes taken out. But it is very important to claim what is true for your situation, if you over claim your exemptions and not enough taxes are taken out - you will owe a lot of money when tax time comes around. So basically in terms of taxes - you get a tax break for being married and you get huge tax breaks for having kids.
2006-10-03 07:31:39 · answer #3 · answered by suzieh212006 2 · 1⤊ 0⤋
You will get more money if you file single with 2 dependants..more taxes will get taken out if you file married.
2006-10-02 20:04:44 · answer #4 · answered by kamsmom 5 · 0⤊ 0⤋
You are already married in the sight of God almighty. He is no longer your boyfriend if he is the father of your kids. Just make it legal on earth and all will be swell with you. Dont worry about taxes. People say that so you would not commit to the love of your life. Money is not what drove you two together but the love that dwells with you. What I am saying is "Get married, become one and God will bless you and your children". Let love lead you not money. Remember God owns everything in the world and the fullness there of.
2006-10-02 20:13:39 · answer #5 · answered by arlawallyr 1 · 1⤊ 3⤋
yes, but actually they should go down than if you were both filing single. if you want, you can still file as married but withhold at higher single rate. so if he makes a lot of money and you don't, then you will still get your big return. however, if you file together you will save money overall.
2006-10-02 20:04:44 · answer #6 · answered by anonymous 6 · 0⤊ 0⤋
Yes , sometimes for the better, sometimes not. All depends on what tax bracket you will fall under for the total amount combined
2006-10-02 20:04:57 · answer #7 · answered by marshoberg55 4 · 0⤊ 0⤋
Your household income would be taxed instead of just your own.
2006-10-02 20:06:54 · answer #8 · answered by Dr Dee 7 · 0⤊ 0⤋