My husband and I both work. He makes more money. We have two children. What would happen if I filed seperately and he had to do the same?
2007-02-12 05:36:10 · 8 answers · asked by bevben 1 in Business & Finance ➔ Taxes ➔ United States
it is hard to say without seeing the tax information, sometimes if you file seperately depending on certain factors, you can not use certain deductions, like the child tax credit.
2007-02-12 05:44:16 · answer #1 · answered by mama1230 2 · 0⤊ 0⤋
The tax system in the U.S. is set up in such a manner that married people who file jointly get a better standard deduction and also owe less on taxes than single or married people that file separately and have the same amount of taxable income (if a single person has $30,000 in taxable income, he/she will have to pay more tax than a married couple with $30,000 in taxable income that are filing jointly). So you're really better off filing jointly -- you'll owe less or you'll get more back. The rest depends on how many dependents you claim, how much you both made, how much you can claim in deductions, and how much tax was withheld.
2007-02-12 05:47:21 · answer #2 · answered by sarge927 7 · 0⤊ 0⤋
In 95% of the cases like yours, it is much more cost effective to file jointly. You'll pay more taxes if you file separately. Most software will let you play around with both and see what happens.
2007-02-12 11:06:18 · answer #3 · answered by LC 2 · 0⤊ 0⤋
Me and my wife used the tax calculator on taxbrain to see what we would pay individually. Then we ran it if we filed together. Our estimate was a great deal less when we filed jointly. After actually filing we compared the total to the calculation estimate. Surprisingly, it was very accurate. So it was good for us to file jointly. I suggest you do the same to find out whether or not it will be best for you both.
good luck!
2007-02-12 06:43:45 · answer #4 · answered by Jeffery 2 · 0⤊ 0⤋
This depends on many more factors than this - if you are itemizing, what you are deducting, what other deductions you have.
No one on here is going to be able to give you a real answer without seeing your entire set of statements and receipts for the year. If you want a real answer, you need to see an accountant.
Check with your bank or credit union - they often have a CPA on staff that works at a discount to their customers.
2007-02-12 05:40:08 · answer #5 · answered by Spicoli 4 · 0⤊ 0⤋
you do no longer qualify for Head of kinfolk, your married and function lived along with your companion the finished 3 hundred and sixty 5 days. Head of kinfolk is for single mom and father. (you would be married too, yet there's a itemizing of skills that maximum married human beings do no longer meet) A companion is in no way a based. they are considered equals on a MFJ return. Edit - I had lunch right this moment with a tax preparer w/ over two decades of journey. She mentioned in case you do no longer believe your husband is reporting earnings accurately which you would be able to record Married submitting one after the different (MFS) and record with 0 earnings return. it incredibly is criminal and a sturdy conceal you butt maneuver. whether whilst he (your husband) unearths out which you filed seperatly he may well be quite flow with you, via fact many benifits to Married submitting joint (MFJ) get taken way whilst human beings record seperate.
2016-10-02 00:42:06 · answer #6 · answered by ? 4 · 0⤊ 0⤋
Between the two of you, you'd almost certainly owe more total taxes. Also, neither of you would be able to take a number of credits, including the dependent care credit.
2007-02-12 16:46:15 · answer #7 · answered by Judy 7 · 0⤊ 0⤋
I took a class from H&R Block and they basically said, in general, it's better to file jointly.
2007-02-12 05:43:58 · answer #8 · answered by rpasadena55 2 · 0⤊ 0⤋