Your Life

Your Life

Major life milestones often have a major tax impact. Changes in your marital status, having a baby or adopting a child can have significant impact on your taxes. This is the place to ask questions about dependents, real estate, and other various scenarios that play a significant role in what taxes you pay.

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Pioneer
Posts: 1
Registered: ‎04-09-2018
Accepted Solution

Married but separated

Hello,

 

Though technically separated last year, we had to use the Marketplace insurance.  The software says that I can file separately (in cases of abuse, etc.), but it appears to be forcing me to file jointly again.

1) If I file separately, it asks for the Marketplace info and seems to want to give me a refund (which isn't feasible and makes no sense).

2) Since he has the most expenses for a sole-prop, he should have the write-off's and itemize.  I really have none and could benefit from the standard deduction, but it says that we both have to file the same way.

I don't make enough money yet to itemize anything and owe very little, but keep getting burdened with his debt and lack of assistance in this regard.  This has been on ongoing struggle and the very last year I want to have this problem.

 

I'm not sure if the software is able to help us file separately or not or if I just don't know how to answer its questions properly.  Any thoughts?

Council Member
Posts: 516
Registered: ‎04-06-2016

Re: Married but separated

[ Edited ]
I replied in blue text below...

 


@ATaxingAffair wrote:

Hello,

 

Though technically separated last year, we had to use the Marketplace insurance.  The software says that I can file separately (in cases of abuse, etc.), but it appears to be forcing me to file jointly again. In order to qualify for subsidies/premium tax credits you can't file MFS if you're married.  You have to file MFJ. If you file MFS, you'll likely have to repay any APTC you and your husband received. If you're legally separated, you can file single or Head of Household (if you meet the eligibility requirements). For more info that might be useful Pub 504, https://www.irs.gov/publications/p504 , addresses many IRS considerations for divorced and separated individuals.

1) If I file separately, it asks for the Marketplace info and seems to want to give me a refund (which isn't feasible and makes no sense).

2) Since he has the most expenses for a sole-prop, he should have the write-off's and itemize.  I really have none and could benefit from the standard deduction, but it says that we both have to file the same way. This is correct. You both have to either itemize or take the standard deduction. You can't choose to claim the standard deduction if your husband itemizes. If your husband's expenses are business related, he can take them as business expenses on Schedule C, and wouldn't necessarily be itemized deductions.  Also be aware that he may be eligible for a self-employed health insurance deduction (SEHI) as an adjustment to income on page 1 of Form 1040.  If he is, you need to be aware that H&R Block's software is hit or miss when it comes to the iterative calculation that's involved with calculating the PTC for SEHI that's purchased on the Marketplace.

I don't make enough money yet to itemize anything and owe very little, but keep getting burdened with his debt and lack of assistance in this regard.  This has been on ongoing struggle and the very last year I want to have this problem.

 

I'm not sure if the software is able to help us file separately or not or if I just don't know how to answer its questions properly.  Any thoughts?