Wednesday, November 23, 2011

As a spouse, does being claimed as a dependent help or hurt me?

My husband claims me as a dependent, though I am not dependent. I have always had more money than him. I make slightly less, however. Does this benefit us in some way? What could be ramifications for me, if any?As a spouse, does being claimed as a dependent help or hurt me?
One spouse is not a dependent of another spouse. You are filing a joint return. It is almost always more beneficial to do this than to file separate returns.As a spouse, does being claimed as a dependent help or hurt me?
If you are married, your husband cannot claim you as a dependent. (If he does, he did the return wrong.) Your $3400 exemption (which is different than being a dependent) can be claimed as follows:





1. A married filing joint return. You are equals on the return and both exemptions are claimed. Your income is combined, the tax rate is lower and if there is any tax owed, you both owe it.





2. The two of your do not file together. He files as MFS and can only claim your exemption if you have $ZERO income. (Or are a non-resident alien and have no US-source income.) Unless you are estranged and he lives apart with a minor child, he cannot file head of household.
You are not considered as a dependent. Regardless if only one of you earned wages, both of you file jointly. Children are dependents not spouses.
A spouse can't claim their spouse as a dependent. They can file a joint return though. How is he, and how are you, REALLY filing?

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