Marriage and Taxes

Effects of the Marriage Penalty

So your client's spouse is thinking about going back to work after a hiatus. They are both looking forward to all that expected cash and everything you can do with it. But after the marriage tax hits, is it really worth it?

Featured Articles

The Marriage Penalty

The couples most likely to be hit with the marriage penalty are those that are compromised of two-income earners, especially when both spouses have similar incomes and/or are high-income earners. Will this affect your clients?...more

Criteria for Innocent Spouse Rule

In 1988, the law made a vast improvement for protecting innocent spouses from the wrongdoings of their significant other thorough the Innocent Spouse Rule. There are two different types of innocent spouse relief - traditional relief and separate liability... more

Adoption Credit

Your client may be eligible for a tax credit of up to $5,000 to $6,000 for the adoption of a child. The child must be...more

Saving Taxes with Alimony Payments

Alimony is a payment to a spouse or a former spouse under a divorce or a separation decree. Alimony is tax deductible for the payer and is considered taxable income for the recipient. Learn some strategies for making that alimony work for your client?s tax advantage.

Getting Ready for Single Parenthood in the Eyes of the IRS

Unfortunately, after a divorce decree has been finalized, many single parents will find that they are paying more income tax now than before while they were married. This is usually because rather than being able to file as married filing jointly, they must choose a different, higher rated filing status. Find out how to save your divorcing client some tax dollars...

Setting Up Investment Accounts for Your Kids

For those parents concerned about the financial future of their children, thee are two basic options available for setting up investment accounts for your children. Each comes with its own set of tax rules. Find out which makes the most sense for your family.

How to Report Your Child's Investment Income

If your client chooses to report the investment interest of their child under the age of 14 on their return, they could unknowingly increase their taxes and become ineligible for certain deductions and credits that they could normally claim. Is it a wiser choice for your client to file their child?s return separately?