Why do I need to file a joint tax return if I'm married?

Question

When we did our taxes this year my hubby filed but I didn't (don't ask why...). I had only worked for three months of the year, had no federal taxes taken out of my check and did not owe any federal taxes.

Now that I am trying to get financial aid for school, my university is telling me " BECAUSE YOU WERE MARRIED AS OF 12/31/06, YOU MUST FILE A JOINT TAX RETURN WITH YOUR SPOUSE AND INCLUDE YOUR EARNINGS FROM WORK ON THAT TAX RETURN. PLEASE SUBMIT A SIGNED COPY OF AN AMENDED RETURN ON WHICH ALL YOUR 2007 EARNINGS ARE REPORTED."

What is it that says that we needed to file jointly since we are married? The best explanation that I can get from the university is that I was claimed as an exemption on my hubby's taxes, so it needs to be a joint return, or he needs to not claim me as an exemption. When I filed my taxes for financial aid purposes I did *not* claim myself as an exemption because of that, but it still isn't correct.

Can some tax buff explain this to me please?

Answer 1

The tax code states that since you are married you generally have your choice of one of two filing statuses.  The most common is Married - Filing Jointly or Married - Filing Separately.  If you were to pick the first, Married - Filing Jointly, then you would have had to report your income along with your husband on that return.  If you pick the second, Married - Filing Separately, then both you and your husband would have had to file returns with that status.

Answer 2

Legally you can file married filing separately. You lose many deductions this way. School financial aid is separate from the tax law. They can make any rules they want. Schools count the income from both you and your husband towards financial aid requests. It is the total household income. The only way to prove the total household income is to file joint. It shouldnt make that big a deal filing joint. If there are other tax issues that has to be your decision. You cannot be counted on your husbands return unless you filed jointly. You are not a dependent but a spouse. If you file your own taxes you take your own exemption. He doesnt. If you file separately and take your exemption and he files joint and claims both exemptions the IRS will audit you.  

Answer 3

You don't have to file a joint return because you are married, however, you do have to count both of your returns on your financial aid if you do not file a joint return. This is because your entire household income counts regardless of your filing status. Tax law and Federal Financial Aid laws are different.

Usually you have to file a return to get financial aid if you had any income regardless of how little. They might want you to file your own return now too. That would be in your best interest anyway so that you may file in subsequent years.

Your options now are either to file your own return Married-filing singley or amend your husbands return as married-filing jointly to include yourself. That is, if you want to proceed with financial aid.

Good luck, I know it's tricky and financial aid's rules do not coincide with tax laws.

Answer 4

Since you were married you have only 2 options. married filing jointly or married filing separately. You can not be a dependent on your spouses return if you lived with him at any time during the year. I am an Enrolled Agent with the IRS and deal with individual returns on a regular basis. For more information you can go to www.irs.gov and look up filing status'

Answer 5

IRS publication  501, page 9.

Your Spouse's Exemption

Your spouse is never considered your dependent.

Joint return.   On a joint return, you can claim one exemption for yourself and one for your spouse.

Separate return.   If you file a separate return, you can claim the exemption for your spouse ONLY if your spouse had NO gross income, is NOT filing a return, and was not the dependent of another taxpayer. This is true even if the other taxpayer does not actually claim your spouse as a dependent. This is also true if your spouse is a nonresident alien.

Answer 6

You don't have to file a joint return, you can each file as married filing separately.  

You said that he filed, but didn't say HOW he filed.  If he filed a joint return and didn't include your income, then that was illegal and you'll be hearing from the IRS about why you didn't claim your income.  If he filed as single, that was illegal since he wasn't.  If he filed as married filing separately and claimed an exemption for you, that was illegal since you did have income.  If he filed as married filing separately, and did not claim an exemption for you, then his filoing was OK, but then if you made over $3400 for the year total, then YOU were required to file.