When going through big changes in one’s life, it can be important to be mindful of the tax considerations related to those changes. Big life changes come in many varieties. One such change is getting married.
What tax issues are connected to tying the knot?
There are several. For one, there are some special tax-related steps it is important to remember to take when getting married. One is complying with the rules regarding what new tax-related forms a person is supposed to submit following getting married, such as a new W-4 form. Another is making sure to notify the federal government of any name or address changes one made in connection to the marriage.
Also, getting married can raise some new tax planning concerns for a couple. Among the tax-related changes that can come about when individuals marry are changes:
- Related to merging two financial households into one.
- In the filing options available to them.
- In the deductions and other tax benefits available to them.
- In the tax bracket they are in.
These changes could greatly impact what kind of tax planning steps a couple may want to take. Failing to have one’s tax planning properly match one’s circumstances could lead to a person making tax mistakes that could have significant financial consequences. Such consequences are likely among the last things a couple wants to face when starting their married life together, So, when a person is getting married, they may want to get a tax lawyer’s advice on how they might want to adjust their tax planning in light of the marriage.
Source: Internal Revenue Service, “Summer Newlyweds Should Also Think About Taxes,” July 19, 2017