What You Need To Know About Taxes If You're Getting Married
By Richard A. Chapo, Sat Dec 10th
It may not be high on the list of wedding planning activities,but there are a few simple steps that can help keep tax issuesfrom interrupting your newly wedded bliss. If you recentlymarried, check out your new tax situation. You might save moneyor even prevent the problem of a missing refund check.
The first things to handle are changes of name and address.Later, as tax season approaches, consider whether or not you'llitemize deductions, which tax return form is right for you andwhat filing status you'll use.
No one should delay the cake cutting or honeymoon because oftaxes. But here are some helpful hints for later: Use YourCorrect Name
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You must provide correct names and identification numbers toclaim personal exemptions on your tax return. If you changedyour name upon marrying, let the Social Security Administrationknow and update your Social Security card so the number matchesyour new name. Use Form SS-5, Application for a Social SecurityCard.
Change of Address
If you or your spouse has a new address, notify the U.S. PostalService so that it will be able to forward any tax refunds orIRS correspondence. The Postal Service will also pass your newaddress on to IRS for updating. You may also notify to notifythe IRS directly by filing Form 8822.
Refund Checks
Each year, the Postal Service returns thousands of tax refundchecks as undeliverable, usually because the addressee hasmoved. Notifying both the Postal Service and the IRS of anaddress change in a timely manner can help ensure the properdelivery of any refund checks. To check the status of a taxrefund, go to the IRS web site and use the "Where’s My Refund?"service.
Changing Filing Status
Your marital status on December 31 determines whether you areconsidered married for that year. Married persons may file theirfederal income tax return either jointly or separately in anygiven year. Choosing the right filing status may save you money.
A joint return (Married Filing Jointly) allows spouses tocombine their income and to deduct combined deductions andexpenses on a single tax return. Both spouses must sign thereturn and both are held responsible for the contents.
With separate returns (Married Filing Separately), each spousesigns, files and is responsible for his or her own tax return.Each is taxed on his or her own income, and can take only his orher individual deductions and credits. If one spouse itemizesdeductions, the other must also.
Which filing status should you select? It depends entirely onyour specific situation. You should consider sitting down with atax professional to make a determination.
About the author:Richard Chapo is CEO of Business TaxRecovery - Obtaining tax refunds for smallbusinesses for overpaid taxes. Discovery tax strategies anddeductions in our tax articlessection.
