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Should a Married Couple File Jointly or Separately? TurboTax Tax Tip Video

Should a Married Couple File Jointly or Separately? TurboTax Tax Tip Video


[Music] Hi, I’m Arye from TurboTax with some helpful
tax tips about a married couple filing jointly or separately. There are a lot of wonderful things about
being married, and believe it or not, your taxes can be one of them. But should you and your spouse file separately
or jointly? In most cases filing jointly will save you
the most money, but you should still consider your decision carefully. When you file jointly you report a single
taxable income that combines your earnings with your spouse’s. Taxes are calculated using a different set
of tax brackets than when you file separately. The primary advantage of filing jointly is
that each tax bracket covers a higher range of taxable income than filing separately. Essentially this means that often more of
your income can be taxed at lower rates, resulting in a lower tax bill than you’d get by filing
separately. And the larger the difference in income between
spouses, the more tax you might be able to save by filing jointly. The primary drawback to filing jointly is
that you and your spouse are separately responsible for all taxes – not just the tax related to
your own earnings. For example, suppose you earned $ 50,000 last
year and your spouse earned $100,000. Although you only earned a third of the income,
you would be responsible for taxes on the entire $150,000 if your spouse owes taxes
or is unable to pay. Under very limited circumstances the IRS can
grant various types of relief that either eliminates the joint liability or reduces
the amount of tax you are responsible for. If you ever are unsure about how you should
file, TurboTax can help. For more information about this and other
tax topics, visit TurboTax.com.

Comments (2)

  1. Hello Arye,
    I have 2 questions can you help me with the answers.

    1- Can I file jointly even if my wife is temporarily living overseas?

    2- And do I have to have health insurance for her? even if shes not living in the US?

  2. Don't get married even if your religious don't get married, if you want to know why break 50% of your stuff and give money to someone you hate.

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