| Posted By |
Message |
dm24angel
Happiness
Member since 5/05 34581 total posts
Name:
Donna
|
Filing Taxes ( Joint vs seperate)
what is the difference between married filing joint and married filing seperate? Is there a pro or con to either?
TIA!
|
Posted 1/16/06 10:35 AM  |
| |
|
Long Island Weddings
Long Island's Largest Bridal Resource |
Bri
I Love You to Pieces!
Member since 5/05 9919 total posts
Name:
Brianne
|
Re: Filing Taxes ( Joint vs seperate)
I would love more insight into this as well . . .
|
| Posted 1/16/06 10:37 AM |
| |
|
LadyMaravilla
Fall Is Here
Member since 5/05 12023 total posts
Name:
Sonia
|
Re: Filing Taxes ( Joint vs seperate)
Posted by dm24angel
what is the difference between married filing joint and married filing seperate? Is there a pro or con to either?
TIA!
filing separate is for married couples that don't live together. They do give you a tax break but it's for couples who don't live together.
|
| Posted 1/16/06 10:38 AM |
| |
|
dm24angel
Happiness
Member since 5/05 34581 total posts
Name:
Donna
|
Re: Filing Taxes ( Joint vs seperate)
Thanks....
|
| Posted 1/16/06 10:41 AM |
| |
|
LisaW
Time for me to FLY!
Member since 5/05 13199 total posts
Name:
Did I ever tell you that I hate people?
|
Re: Filing Taxes ( Joint vs seperate)
Posted by LadyLainez
filing separate is for married couples that don't live together. They do give you a tax break but it's for couples who don't live together.
We filed separately last year, and we live together.
Our accountant said it worked out best that way for us b/c I had a lower income (much lower...lol), and had a lot of medical expenses to write off.
|
| Posted 1/16/06 10:43 AM |
| |
|
LadyMaravilla
Fall Is Here
Member since 5/05 12023 total posts
Name:
Sonia
|
Re: Filing Taxes ( Joint vs seperate)
I found this site....
Joint & Separate Filing
|
| Posted 1/16/06 10:44 AM |
| |
|
dm24angel
Happiness
Member since 5/05 34581 total posts
Name:
Donna
|
Re: Filing Taxes ( Joint vs seperate)
Posted by THEINFAMOUSMRS.OTG
I would love more insight into this as well . . .
this is what I found online
The "married filing separately" status has high tax rates and few benefits. Yet there are good reasons for some married people not to file jointly.
Decide Against Filing Jointly
Steps:
1. Determine how your spouse prefers to file. You must both agree to file either one joint return or two separate returns.
2. Determine whether your spouse will have a large tax bill. If you file separately, you are responsible only for your own tax bill.
3. Discover whether your spouse is lying to avoid a tax bill. If you file separately, you are not liable for your spouse's lies.
4. Calculate the tax bill using each of the married filing statuses. In some rare cases, a couple's total tax bill can be lower if both file separately.
5. Determine whether you should file separately from your spouse. If the answer is yes, go to Section 2.
Tips:
When one spouse in a two-income family has a much higher income and more itemized deductions than the other spouse, filing separately might save money.
The "married filing separately" status is also used in cases in which it is judicious for spouses to keep their finances completely separate.
You and your spouse can change from "married filing separately" to "married filing jointly" any time within three years after the due date of the return. Amend a past year's return using form 1040X.
Warnings:
You cannot use the standard deduction when filing separately if your spouse itemizes deductions. This can mean zero itemized deductions.
Some credits cannot be used at all if you file separately. These include earned income credit, education credits and child care credit.
Most benefit limits are half as much when you file separately as they are when you file jointly. These include the tax-free exclusion of gain on sale of your home and passive activity losses for rental property.
Rules about separate and community income can be tricky in community property states - Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin. You may need to see a tax professional.
Determine Whether You Are Considered Married
Steps:
1. Determine whether you were legally married on December 31 of the tax year. If unmarried, try the "single" or "head of household" status.
2. Determine whether you were legally separated under a separate maintenance decree issued by a court as of December 31 of the tax year. If you were legally separated, try "single" or "head of household."
3. Determine whether you are considered unmarried. You are considered unmarried if you paid more than half the cost of keeping up a home for your child and did not live with your spouse for even one day during the last six months of the tax year. If you are considered unmarried, try "head of household."
4. If you determine that you are considered married for the tax year, check the box for "married filing separately" on line 3 of the 1040 or 1040A form.
Tips:
"Head of household" is better than "single," and "single" is better than "married filing separately." Always use the best filing status available
|
| Posted 1/16/06 10:44 AM |
| |
|
Redhead
You Live, You Learn
Member since 5/05 31871 total posts
Name:
Jennifer
|
Re: Filing Taxes ( Joint vs seperate)
Posted by LadyLainez
Posted by dm24angel
what is the difference between married filing joint and married filing seperate? Is there a pro or con to either?
TIA!
filing separate is for married couples that don't live together. They do give you a tax break but it's for couples who don't live together.
tha isnt' entirely true...
last year we went to our tax guy and he ran our taxes both ways to see how we got the most money...
We ended up filing separately!
We owned a condo so that where it made a difference...
If you don't own anything together then i dont' think it makes a difference.
|
| Posted 1/16/06 10:46 AM |
| |
|
BabyAvocado
Happy New Year
Member since 5/05 17334 total posts
Name:
|
Re: Filing Taxes ( Joint vs seperate)
Posted by Redhead
last year we went to our tax guy and he ran our taxes both ways to see how we got the most money...
We ended up filing separately!
Same here
|
| Posted 1/16/06 11:00 AM |
| |
|
leighla
Support Cancer Research
Member since 5/05 16353 total posts
Name:
Lauren
|
Re: Filing Taxes ( Joint vs seperate)
Posted by Redhead
last year we went to our tax guy and he ran our taxes both ways to see how we got the most money...
We ended up filing separately!
Us too. Overall we came out a couple hunderd dollars better.
We do it both ways and see which is better.
|
| Posted 1/16/06 11:12 AM |
| |
|
|
|
Re: Filing Taxes ( Joint vs seperate)
Our accountant advised us to file jointly. But everyone has such different situations, it's best to get a good tax person.
|
| Posted 1/16/06 11:28 AM |
| |
|
CookiePuss
Cake from Outer Space!
Member since 5/05 14021 total posts
Name:
|
Re: Filing Taxes ( Joint vs seperate)
If you are married at the end of the tax year, you are suppose to file married joint or married separate, but you can't file as a single. There's a big difference in floors, phaseouts and deductions between married filing joint or married filing single. Be careful with that.
|
| Posted 1/16/06 11:45 AM |
| |
|
dm24angel
Happiness
Member since 5/05 34581 total posts
Name:
Donna
|
Re: Filing Taxes ( Joint vs seperate)
Orignally we thought we would file seperatly because I have a TON of medical expenses, but I just ran through them real quick and Im gonna run short of being able to itemize  so I just did a quick look at the taxes ( I used to work for the IRS, I could do a 1040 in my sleep) and I think we will end up getting about $300 more filing jointly ( of course, we owe them from last year so its just going right back to them)
Its funny that I did work for them and never knew the difference...I have heard so many differnet "opinions"....But thanks all for the advice and info..it was helpful!
|
| Posted 1/16/06 11:55 AM |
| |
|
