I am married with two children. My husband is not working and I don't want to owe any money to the IRS come tax time.
I currently filled it out...Married but withhold at higher single rate and 4 exemptions.
Is this okay? Or will I owe?
2007-06-29 06:17:12 · 4 answers · asked by summerB 4 in Business & Finance ➔ Taxes ➔ United States
Go ahead and file as married. For the number of exemptions to claim, refer to last years tax return as a guide. You can claim 1 exemtpion for every $3400 in deductions that you plan on having. This includes pre-tax deductions like 401(k) contributions. Assuming that you don't itemize and not considering the effects of possible credits, you can safely claim 7 exemptions and break even for the year.
If you are willing to do the research, refer to Publication 15.
http://www.irs.gov/pub/irs-pdf/p15.pdf
2007-06-30 01:33:08 · answer #1 · answered by Steve 6 · 0⤊ 0⤋
You should be OK. And if the kids are under 17, you will probably get a child tax credit for them if you have any tax liability. It can be up to $1000 per child, so tax liability up to $2000 could be wiped out.
Also be sure to check whether you are eligible for EIC. With two kids you can probably make up to about $38K per year (gross) and still get something from EIC.
2007-06-29 06:48:21 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
The IRS has got a withholding calculator that may help.
http://www.irs.gov/individuals/article/0,,id=96196,00.html
2007-06-29 06:21:37 · answer #3 · answered by lil' k 2 · 0⤊ 0⤋
It's ok, and you probably will have a refund coming.
Married with 4 exemptions would probably result in a refund, too.
2007-06-29 06:25:06 · answer #4 · answered by Anonymous · 0⤊ 0⤋