ROCK HILL, S.C. (CN2 NEWS) – Newlyweds may not realize it but as a married couple their taxes are changing, their Social Security benefits are changing, and their health care coverage is changing – here’s a SC Department of Revenue (SCDOR) update on tax tips – to make navigating these changes a breeze.
The news release from SCDOR says that in 2021 an estimated 29,000 couples were married and expect that number of nuptials to rise this year.
Click here for Tax Tips from the SCDOR that will enrich your life and take the stress off tax time.
Press Release:
- Consider premarital counseling. If you both complete a qualifying premarital counseling course within 12 months of getting your marriage license, you can claim a $50 nonrefundable credit on your state Individual Income Tax Return ($25 if only one of you completes the course). Visit our website for more information.
- Adjust your W-4, the form that regulates the amount of tax withheld from your paycheck. You may need to have more or less tax withheld. The idea is not to withhold too little and be surprised next year with an unexpected tax bill, or to withhold too much money that could be used for other expenses throughout the year. According to the IRS, newly married couples must give their employers a new Form W-4, Employee’s Withholding Allowance within 10 days.
- Notify the government of name and address changes. Since state and federal tax returns are tied to Social Security Numbers, notify the Social Security Administration of any new name using Form SS-5. You’ll need to notify the US Postal Service, the IRS (using form 8822), and the SCDOR (using MyDORWAY or form SC8822I) of any address changes.
- Decide if you’ll file next year’s Income Tax returns as married filing jointly or married filing separately. Choosing the right filing status can save you money.
- Filing jointly allows both spouses to potentially claim earned income tax credits, student loan interest, child tax credits, and a larger deduction. But it can also put you on the hook for your spouse’s tax liabilities, if they have any.
- With separate returns, each spouse is only responsible for their return and their tax liability. If you file separately, you must both claim the standard deduction or itemize. One of you cannot itemize while the other claims the standard deduction.
- Consider discussing the right filing status for you with a certified tax professional.
- Select the right form to file your returns. For instance, a couple may have enough deductions jointly to itemize but may not have enough when filing separately.
