Filing a joint return comes with many tax benefits. On the other hand, it can also come with a lot of negative financial consequences. This guide will show you some of the reasons why you may be better off not filing a joint tax return.
Legal Responsibility
For a start, you will be legally responsible for your spouse’s misdeeds. If you don’t completely trust your spouse when it comes to their code of ethics you may want to file separately. You will both be in trouble with the government if you try to make any questionable deductions.
Deductions for Medical Costs
There are many medical tax exemptions that can only be taken advantage of by filing separately. This doesn’t apply to everyone, though. This is where taxes get extremely complicated. Speak to a tax professional to see whether you are better off filing separately when it comes to medical costs.
Individuality
Many couples decide to file separately because they decide they want to keep their financial affairs separate. It gives them a better sense of independence and allows them to avoid combining their finances with someone else.
What’s Best for You?
Keep in mind that there are many advantages to filing jointly. There are always fewer forms to fill out and it’s generally easier to get everything prepared. It is always advisable that you speak to a tax professional before you make a final decision on this.
A tax professional will be able to guide you in the right direction and show you what you need to do to make it financially profitable for your family.
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