Change filing status from Married Filing Jointly to Married Filing Separately after already filed

[TmcRjc]

We already filed our taxes using Married Filing Jointly as we always do, and paid the amount of taxes owed.  Both my wife and I received unemployment compensation in 2020 over $10K combined, but our AGI is slightly over the $150K limit.  With the $10,200 relief passed, I am wondering if, once TurboTax is updated, we should file an amended return changing our filing status to Married Filing Separately so we could each get the break for unemployment?

[SundayInSalem]

You will benefit from filing separately.  The IRS says if your modified adjusted gross income (AGI) is less than $150,000, then you can exclude up to $10,200 of unemployment compensation paid in 2020, or up to $10,200 per individual if married.

The $150,000 threshold appears to apply to any filing status according to the latest information from the IRS, so you would be able to exclude both your unemployment benefits by filing separately, but nothing by filing together.

You must amend by April 15 to go from joint to separate. The IRS says, "After the due date of your return, you and your spouse can’t file separate returns if you previously filed a joint return."

[JohnB5677]

To change your filling status you will have to amend both of your returns.

There are very few situations that I have seen (other than domestic disputes) that would make Married Filling Separate an advantageous option.

However, if you choose to do so I suggest you get the desktop version of TurboTax.  this will give you a better platform to split your income and expenses.

[SundayInSalem]

The IRS came out with new guidance which excludes unemployment from the calculation of the $150,000 AGI limit so you may now be under the limit.

New Exclusion of up to $10,200 of Unemployment Compensation