Easiest way to compare Married Filing Joint vs Married Filing Separately

wimqxvybva Member Posts: 2 Newcomer

TurboTax had a simple mechanism to allow me to determine the filing status which would produce the largest tax return without entering data twice. What is the easiest way to accomplish the same with FreeTaxUSA?

Best Answers

  • KristineS
    KristineS FreeTaxUSA Agent Posts: 109
    edited November 2023 Answer ✓

    Hi wimqxvybva, thanks for the question.

    In order to compare the best tax refund scenario for Married Filing Jointly (MFJ) vs. Married Filing Separate (MFS), two practice accounts are needed assuming you lived together all year, both spouses work and/or dependents are involved.

    It is easier to start creating a tax return first as MFS, then changing the return to MFJ in our software. It's better to add spousal information rather than delete it. You would need to create two accounts however, for MFS status in order to know the true tax liability or refund. The MFJ requires only one account.

    If you're in a Community Property state such as Texas and file MFS, you'll also need to file Form 8958, Allocation of Tax Amounts Between Certain Individuals in Community Property States, which our software does not support.

  • wimqxvybva
    wimqxvybva Member Posts: 2 Newcomer
    Answer ✓

    Thank you Kristine for your knowledgeable answer and guidance. I appreciate the help.