What is Married filing separately?
In short
Married taxpayers who file separate returns each report their own income and deductions. This usually costs more tax than filing jointly, but may limit one spouse's exposure to the other's tax liability.
Key takeaways
- If one spouse itemizes, the other must too.
- Many benefits are lost or halved, such as education credits and the student loan interest deduction.
- The state and local tax cap is halved.
Where it's tested
REG: Filing Status, Credits & Alternative Minimum Tax — study notes, a five-minute revision sheet and practice questions.
Practise: 3 questions
Question 1 of 3 · 0 answered
Which is a consequence of choosing married filing separately rather than married filing jointly?