I currently claim Federal-1 & State-0 for my tax deductions.
(I'm in California, and single)
Question: I am currently pregnant and was wondering do I have to wait until my baby is born to claim
Fed-2 State-2
or can I do it now.
My main concern is not having to owe taxes come April 15, 2008
2007-07-10 07:56:30 · 4 answers · asked by K.C. 5 in Business & Finance ➔ Taxes ➔ United States
If your baby is born before December 31st, you'll be able to claim it as a dependent for the entire year, at least for federal. As such, you should be able to safely change your deductions now and not owe taxes at the end of the year.
If your baby is not due before December 31, I wouldn't risk it unless you know you'll have the money to pay any taxes you owe.
2007-07-10 08:01:53 · answer #1 · answered by J P 4 · 0⤊ 0⤋
Depends on when your baby is due to arrive. If the baby is born by the end of December, you'll get an exemption and the child tax credit for 2007, so you'd be OK if you change it now. If the baby isn't born until 2008, then you won't get any tax break for 2007 so should not change your W-4 until January 2008.
If the baby is due in December, I'd leave it alone for now since babies often arrive late.
2007-07-10 16:49:58 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
If you want to make sure that you owe as little taxes as possible, keep your deductions (exemptions) the way they are. The more you claim on your paycheck, the less they take out, giving you more of a chance of owing come April 15.
2007-07-10 15:01:00 · answer #3 · answered by Linda V 2 · 0⤊ 0⤋
You can claim however many exemptions as you like. However, I would advise you to claim as many as you think you may by the time you will file a tax return
2007-07-10 17:16:35 · answer #4 · answered by alikmal 2 · 0⤊ 0⤋