Categories: Curiosities

16 Tax Problems Most Single-Income Families Are Facing

Using Married Filing Separately Status

Filing separately while you’re still married can create problems at tax time. If you use the married filing separately status, you’ll miss out on valuable tax breaks such the earned income credit for low-income taxpayers, education credits for college expenses and the student loan interest deduction, Du Val said.

“Ninety-five percent of the time, you will get a bigger refund or owe less if you file jointly,” Du Val said. So if you’re separated and living apart, you still might want to file a joint return to get the tax benefits. Or you might qualify for head of household if your spouse didn’t live with you for the last six months of the year, you paid more than half the cost of keeping your home and your dependents lived with you most of the year.

Claudia Calina

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Claudia Calina

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Claudia Calina

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