Get your taxes done using TurboTax

Critter-3 · ‎November 25, 2020

How can we compare married filing jointly with married filing separately?

If you already created a joint return in the TurboTax CD/Download software, there's a quick way to see how filing separately affects your federal return.

Note: This won't work in TurboTax Online.

Open your return and select Forms in the top right corner of the window.
Click Open Form and type What-If Worksheet (it may appear as What-If Wks).
Check the MFJ vs. MFS box at the top.
Scroll down to Balance Due (Refund) located under Line 74.
- The second column shows the federal outcome for a joint return, and the third and fourth columns, respectively, show the outcome for the taxpayer and spouse if filing separately.
- Negative numbers are refunds, positive numbers are taxes due.

However, this doesn't give you the whole picture because it doesn't account for your state return. For a true apples to apples comparison, you'll need to prepare your returns both ways.

Related Information:

How can we compare married filing jointly with married filing separately in TurboTax Online?

Start by creating a test return so you don't have to undo everything if you decide not to make the change.

Create a test account with its own User ID (include the word "test" in the ID so you can distinguish it from your real account).

Prepare your return(s) using the other filing status. Make sure you also do your state return; you might get a bigger refund on your state return which can offset the additional taxes on your federal, or vice-versa.

Related Information:

How do I switch from filing jointly to filing separately?

Is it better for a married couple to file jointly or separately?

Generally, filing jointly will give you a bigger refund or less taxes due. When you file separately, your tax rate is higher and you won't be able to claim:

Education benefits
Earned Income Credit (EIC)
Child and Dependent Care Credit (usually)
Adoption Credit (usually)
The same benefit married filing jointly couples get for personal exemptions, itemized deductions, the Child Tax Credit, and capital losses (all of these deductions are reduced by half)
The standard deduction if your spouse is claiming itemized deductions

On top of that, if you live in the community property states of Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, or Wisconsin, you have to deal with community property allocations and adjustments, which adds extra work and complexity to your tax preparation chores.

Tip: Only taxpayers who were still legally married as of December 31, 2018 are able to file as married, whether jointly or separately.

Filing jointly means you file one tax return. When filing separately, you file two tax returns.

Want to Compare?

You can compare filing jointly vs. separately with TurboTax's free calculator TaxCaster. It will give you the estimated tax differences when filing either way. It’s up-to-date with the latest tax laws and can estimate your 2019 taxes as well.

Why would I want to file separately?

The main reason you'd want to file separately is to protect yourself from inaccurate tax information reported by your spouse, or in cases where your spouse refuses to file a joint return (or refuses to file, period) and you don't want to get in trouble.

Also, when you file separately, your refund cannot be seized to pay off your spouse's debts. However, filing jointly as an innocent or injured spouse can head off refund seizures as well.

With all that in mind, you can try it both ways to see which filing status works out better for the both of you. If you do this, also consider your state return; in some cases, the taxes saved on the state return more than makes up for the money lost on the federal, or vice-versa.

You can try the different ways with TurboTax's free calculator TaxCaster. It will give you the estimated tax differences when filing either way. It’s up-to-date with the latest tax laws and can estimate your 2019 taxes as well.

Filing Separately? Use TurboTax CD/Download

If you decide to file separately, we suggest you use TurboTax CD/Download for Windows or Mac, as you can file up to 5 returns within the program. If you use TurboTax Online, you'll have a separate fee for each return.