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W2 tax file 0 and married why do we still have to pay in 1600.00?

 
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3 Replies

W2 tax file 0 and married why do we still have to pay in 1600.00?

Review the form 1040 ... what is on page 2 lines 57 to 63 ... what are on those lines ?

You can peek at only  the Federal form 1040 and the summary of the state info by going here:

1) lower- Left side of the screen...click to the left side of the "Tax Tools" text selection.
2)  then select "Tools"
3) then select "View Tax Summary" from the pop-up
4) then back to the left-side and "Preview 1040"

Then hit the "Back" on the left side to get back to your tax entries.
Anita01
New Member

W2 tax file 0 and married why do we still have to pay in 1600.00?

It's not uncommon for this to occur.  When you claim married on your W-4 for your tax withholding on a W-2, the payroll tables use a Standard deduction of $12,700 for you.  By that, I mean each of your W-2s are withheld as though only one of you is working and those earnings will receive a standard deduction, so only amounts over that are considered taxable.  When you actually file, though, you only get that deduction once on your joint return, not $12,700 for each of you.  

The payroll tables also assume that this is the only income oyu will receive for the year, but when you add both your incomes on your tax return, some of it will likely be taxed at a higher rate than the payroll tables for only one income.

The way many couples handle this is to choose that one of them should be withheld at the higher single tax rate.

W2 tax file 0 and married why do we still have to pay in 1600.00?

Oh ... you meant on the W-4 ... yes, the withholding tables are written for a one income family so when you have 2 decent incomes the married chart is not going to have enough withheld ... as a rule the lower wage earner should withhold on the higher single rate & zero allowances.

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