Determining Filing Status
This playbook outlines the process of identifying the correct filing status for tax purposes, which include Single, Married Filing Jointly, Married Filing Separately, Head of Household, and Qualifying Widow(er) with Dependent Child.
Step 1: Assess Status
Determine your marital status as of the last day of the tax year. Your status can be Single, Married, or Legally Separated.
Step 2: Consider Exemptions
If you are married, decide if you will file jointly or separately. Consider the tax benefits and liabilities for both options.
Step 3: Evaluate Dependents
If you have dependents, determine if you qualify for Head of Household or Qualifying Widow(er) with Dependent Child status, which offer different tax benefits.
Step 4: Review Guidelines
Refer to the official IRS guidelines or consult with a tax professional to ensure you meet the criteria for your chosen filing status.
Step 5: Select Status
Choose the filing status that legally applies to you and offers the best tax advantage. Use IRS forms and tools for accuracy.
General Notes
IRS Resources
Utilize the IRS website or Interactive Tax Assistant for updated information and tools to help determine the most appropriate filing status.
Legal Changes
Keep abreast of any legal changes that may affect your filing status, such as changes in marital status, tax laws, or the addition of dependents.
Professional Advice
Consider seeking professional tax advice if your situation is complex or if you're unsure about your filing status.