However, the penalty won't exceed 25% of your unpaid taxes. The penalty for failing to file your return on time is 5% of any unpaid taxes for each month (or part of a month) that a tax return is late. However, walk away if a preparer bases his or her fee on a percentage of your tax refund - you don't want a preparer claiming questionable tax breaks on your return to inflate the fee. You might not get an exact price up front, but at least make sure you understand how the price is determined (e.g., a preparer might have a set fee for each form required, charge you by the hour, or start with a minimum fee and tack on additional costs depending on the complexity of your return). That's why it's important to get a quote before settling on a preparer. In general terms, prices for tax services can vary widely depending on several factors, including the complexity of your return, where you live, and the preparer's experience. That often translates into lower tax preparation fees, which you can take advantage of if you request a tax extension. However, things slow down for preparers in the fall. Tax preparers are busiest right before the tax filing deadline, so expect to pay premium prices if you want your return filed right before the due date. You will need either a social security number or an ITIN for your husband to claim the exemption.Pro: You Might Save on Tax Preparation Fees If you file as Married Filing Separately AND your spouse has no income from sources within the US AND is not claimed as a dependent of another US taxpayer, you CAN claim an exemption for your husband. You will have to use the filing status of Married Filing Separately.ġ. You will not have to include your spouse's non-US income on your U.S. Treat your spouse as a nonresident alien for tax purposes.Married Filing Jointly will give you a higher standard deduction and has other benefits that are not available using a married filing separately status, but you do have to include your spouse’s worldwide income in joint income. In later years you can file joint or separate returns. For the first year you make the choice, you have to file a joint return. You will have to print, sign and mail your return in if you are using Form W-7.ģ. You can complete it outside of Turbo Tax. This form will be attached to your tax return. You will need to complete a Form W-7, Application for IRS Individual Taxpayer Identification Number (ITIN) ( ). List the name, address and Social Security number (or Individual Taxpayer Identification number) of each spouse. citizen or resident alien, and you are choosing to both be treated as US residents for the tax year.Ģ. Attach a statement to your tax return, signed by both spouses, that states that one spouse is a nonresident alien and the other is a U.S. If you do this, you will need to include your spouse's worldwide income in your US tax return and it will be subject to US taxes.ġ.
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