Love is in the air and the wedding bells are ready to ring! The big day is right around the corner. All of the details are in place... or are they?Couples around the world are preparing to tie the knot and realizing all too late that there are many steps they need to take before their tax returns become one.
Here are five simple steps from the IRS to make that first filing go smoothly.
Step 1: Bride and Groom to be should check their withholding at the beginning of each year, after getting married, or any time personal circumstances change. Using the IRS Withholding Calculator is a good way for taxpayers to check their withholding. IRS states:
"Taxpayers who need to change their withholding should complete and submit a new Form W-4, Employee's Withholding Allowance Certificate, to their employer."
Step 2: Thinking of becoming the new "Mr. & Mrs. Smith?" If either – or both – of you are planning to take on new names, don't forget to report that change to the Social Security Administration. The names on your returns must match the names on file at the SSA. If they don't, it could delay that big refund you were hoping to get.
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"Newlyweds can file Form 8822, Change of Address, to update their mailing address with the IRS. They should notify the postal service to forward their mail by going online at USPS.com or by visiting their local post office."
Step 4: Planning on all of these big changes happening? Be sure to give your Health Insurance Marketplace a call... You don't have to invite them to the wedding, but they definitely need to know about changes to your household, income, and family size. All of these can have a direct effect on your premium tax credit qualification status. In turn, these changes have the potential to affect your tax refund or amount owed.
Step 5: Finally Married and Filing Jointly... Ever After! Whatever your marital status is as of December 31st, is how the IRS will determine whether you are considered "married" for that full year. The IRS says:
"Generally, the tax law allows married couples to file their federal income tax return either jointly or separately in any given year."
Check out the Interactive Tax Assistant to see what filing status best benefits you and your spouse.
Looking for an expert to walk you down the IRS isle? Call our office or click below to schedule your free consultation with our tax experts! 610-544-5900