A taxpayer must select a filing status when filing a federal return. Filing status affects tax rates, credits, deductions, and whether a taxpayer must file at all. Filing status is determined by marital status on the last day of the tax year.
A taxpayer is considered unmarried for the entire year if, on the last day of the year, they are unmarried or legally separated under a divorce or separate maintenance decree. If a spouse dies during the year, the surviving spouse is treated as married for that year and may file jointly.
For federal tax purposes, same‑sex marriages are recognized if the marriage was lawful where performed.
Single (S)
A taxpayer is single if they are unmarried or legally separated and do not qualify for another filing status.
Married Filing Jointly (MFJ)
Taxpayers may file married filing jointly if they are married and both agree to file a joint return. Both spouses are jointly and individually responsible for tax, interest, and penalties.
Key points:
- Both spouses generally must sign the return
- They must use the same tax year
- All income and deductions are combined
- A joint return may be filed even if one spouse has no income
- If a marriage is annulled, prior joint returns must be amended
- A nonresident alien spouse must have an SSN or ITIN to file jointly
Married Filing Separately (MFS)
Taxpayers may choose married filing separately if they want to be responsible only for their own tax or if it results in a lower combined tax.
However, MFS has significant limitations:
- No child and dependent care credit (with limited exceptions)
- Earned income credit generally not allowed
- No adoption credit or exclusion
- No premium tax credit
- No education credits or student loan interest deduction
- No exclusion of U.S. savings bond interest for education
- Child tax credit and retirement savings credit phase out at half the MFJ thresholds
- Capital loss deduction limited to $1,500
- Standard deduction is half of MFJ
- If one spouse itemizes, the other must itemize
- If spouses lived together at any time during the year:
- No credit for elderly or disabled
- More Social Security benefits may be taxable
Head of Household (HH)
The head of household filing status usually provides lower tax rates than Single or MFS.
A taxpayer must meet all of the following:
- Unmarried or “Considered Unmarried”
A taxpayer is considered unmarried if:
- They file a separate return
- They paid more than half the cost of keeping up a home
- Their spouse did not live in the home during the last 6 months
- The home was the main home of their child for more than half the year
- They can claim the child as a dependent (or could, except for a release to the other parent)
- Paid More Than Half the Cost of Keeping Up a Home
This includes rent, mortgage interest, utilities, repairs, and food consumed in the home.
- A Qualifying Person Lived With the Taxpayer
A qualifying person must be a qualifying child or qualifying relative whom the taxpayer can claim as a dependent.
A dependent parent does not need to live with the taxpayer.
Important Exception
A custodial parent may claim HH even if the noncustodial parent claims the child as a dependent.
Not a Qualifying Person
A qualifying relative who is not related by blood or marriage (e.g., a partner or roommate) cannot make the taxpayer eligible for HH.
Qualifying Surviving Spouse (QSS)
A taxpayer may use qualifying surviving spouse status for two years after the year of a spouse’s death.
Requirements:
- Eligible to file MFJ in the year of death
- Did not remarry before year‑end
- Has a child or stepchild who could be claimed as a dependent (with limited exceptions)
- The child lived with the taxpayer all year (temporary absences allowed)
- Paid more than half the cost of keeping up a home
QSS allows the use of joint tax rates and the highest standard deduction.