What is my filing status for taxes?

What is my filing status for taxes?

Your filing status determines how much you owe in taxes and what deductions you can claim. There are five main types: Single, Married Filing Jointly, Married Filing Separately, Head of Household, and Qualifying Widow(er). Which one do you think applies to you?

I'm married but we file separately. Is that a good choice?

Filing separately can be beneficial in certain situations, like if one spouse has significant medical expenses or miscellaneous deductions. However, it often results in a higher tax rate and limits some credits. Have you considered the implications?

Not really, what are the main drawbacks?

The main drawbacks include losing eligibility for certain tax credits, like the Earned Income Tax Credit, and potentially higher tax rates. It might be worth running the numbers both ways to see which is more beneficial for you.

That makes sense. How do I change my filing status if I want to?

To change your filing status, you would typically need to file an amended return using Form 1040-X. It's best to consult with a tax professional to ensure you're making the right choice.