Until 2003, married couples were actually penalized if they filed jointly. Known as the “marriage penalty,” married couples actually ended up paying higher taxes than if they filed as singles. Some incentive to get married, huh? The marriage penalty exclusion has been extended until 2010. For tax year 2005, the standard deduction if filing married-joint is $10,000. If you file married-single, your standard deduction is $5,000. Before you decide to claim the standard deduction, however, familiarize yourself with what expenses you may have that qualify as personal tax deductions. Generally speaking, if your itemized federal tax deductions exceed the standard deduction, you'll benefit from a tax cut—and that's money in your pocket.
Now one of the top on-line publishers in the world, LifeTips offers tips to millions of monthly visitors. Our mission mission is to make your life smarter, better, faster and wiser. Expert writers earn dough for what they know. And exclusive sponsors in each niche topic help us make-it-all happen.