He earns approx 60 k, I only 20k , will I lose my EIC for this year?
2007-07-05 07:28:52 · 7 answers · asked by kentuckymist1964 1 in Business & Finance ➔ Taxes ➔ United States
married filing jointly is almost always the best way to file except in extreme high income situations, which yours is not. your tax accountant could work the numbers jointly vs. separate to confirm that jointly is best.
regarding your payroll, I would assume that you both are filing as single and I would recommend that you do not change that for 2007 till you see how you make out with the combined income of 80k after you file your taxes next year. I've had clients who got married, and right away changed their payroll withholding to married, then ended up owing at the end of the year because their COMBINED income put them in a higher tax bracket.
2007-07-05 08:01:48 · answer #1 · answered by RichManPoorMan 2 · 1⤊ 0⤋
Say goodbye to the EIC.
After you get married, you have two options, Married Filing Jointly or Married Filing Separately. Filing jointly is usually the best but you can run it both ways to find out.
If you file jointly, your combined income with disqualify you from receiving EIC and married people who file separately do not qualify for EIC at all. Filing as Head of Household will no longer be an option for you.
2007-07-05 14:36:42 · answer #2 · answered by Wayne Z 7 · 2⤊ 0⤋
You are allowed to file a joint return or married filing separately. The total tax for the two of you would almost surely be lower by filing a joint return. And either way, you will no longer be eligible for EIC. The EIC is for low-income people. At $80K between the two of you, you are definitely not low-income.
2007-07-05 20:06:30 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
If you are living under the same roof as man and wife then you can only file one of two ways; married, filing joint or married filing seperate. With the married, filing seperate, you will forfeit the child tax credit. At 80 K you are way and heck over the limit for EIC.
2007-07-05 18:36:50 · answer #4 · answered by acmeraven 7 · 0⤊ 1⤋
I agree that your EITC is gone. Since you are getting married this year, you and your new husband will need to file as married. Whether it is jointly or separately is up to you.
2007-07-05 16:17:23 · answer #5 · answered by Steve 6 · 1⤊ 0⤋
seperate, the one that provided support for more then 6 months for the child gets the credit.
2007-07-05 14:37:24 · answer #6 · answered by ohio44903 5 · 0⤊ 6⤋
Joint.
2007-07-09 00:37:07 · answer #7 · answered by K M 4 · 0⤊ 0⤋