Happy Valentine’s Day to all you lovers out there. Say is today the day you're going to “pop the question”? Best wishes to you and yours! But wait…let’s talk taxes first. Suppose you were married today (instead of the single bliss you now enjoy) would the taxes that you and your sweetie now pay be more or less after you are married? Sorry to rain on your joy but it is something you may want to think about. Good news, however, is at hand. The Tax Policy Center, a non-profit organization, has a “marriage penalty calculator” available for you so you can calculate exactly what the penalty for being married will be based on your return and your sweetie’s return. And guess what, it’s called a “marriage penalty calculator” but it could turn out that you owe less taxes being married, making it a “marriage bonus” in the tax world. Check it out and let us know if it is a penalty or a bonus. If you're already married you can play along as well it's just
Jeremiah K. Murphy, CPA is an accounting firm providing tax services, audits and business consulting.