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45

Generally there are tax benefits from filing as a married couple, specifically if one spouse has a very different salary. It can pull you into a lower tax bracket overall since everything (brackets, deductions, etc.) is roughly doubled, so one spouse gets the benefit of any "unused" margin that the other would not get to use as an individual. That said... ...


31

It's easy to get a rough but practical answer for this yourself. As an exercise, do your taxes now, estimating income or other factors through the end of the year, as if you were both single. Then do the same, but married filing jointly. Compare the results. I was married last year (for the 2nd time) and did this comparison "for fun" (it didn't impact our ...


8

Having just done this, the tax benefits are minimal. We got married in December (to fit our schedules, not taxes), and have a big gap in salaries. I think we got around an additional 2-3% of our combined income back in taxes, but it's only due to the split in our income (split 13%/87%) and the effect of progressive tax rates. Overall, we saved a lot more ...


4

If your foreign income was zero, you say that your foreign income was zero. If you had foreign income but didn’t declare it anywhere, you have to declare it in your German tax declaration. You will not be asked to pay tax on this income, but it is used to determine your tax rate. You know that someone with low income might pay say 20% tax, and someone with ...


3

If your business is not an LLC or a corporation, you cannot take charitable contributions as a business expense. (And as you don't give 1099's to corporations, I'm guessing you're not one.) Pay yourself from the business funds, then use this income to make charitable contributions. You then claim the deduction for charitable contributions normally. Note ...


3

Certainly run the numbers both ways to get a rough idea. Would you hit the state and local tax deduction limit ("SALT") of $10K on your own? If yes my guess is that you're better off not being married this year since you'll be able to itemize, but maybe not once you're married due to the SALT limit staying at $10K for both single or married.


3

I'm assuming you have a qualified employee stock purchase plan (ESPP) and sell immediately after receiving the shares, which means you have what's called a disqualifying disposition. Selling only $1000 worth actually complicates things, so let's instead first assume you sell all shares. What should happen is the W-2 from your employer will report the ...


1

It is not a "gift" in the US tax sense. Employer gifts are almost always taxable income in the US. There are exceptions for certain fringe benefits, but something from your employer that is either cash or has a direct cash value is basically never tax-free as a "gift." Shares in a publicly traded corporation have a readily knowable price, so this is like ...


1

"Independent consultant" usually implies that you're not a direct employee. The IRS describes the difference for tax purposes in an article on their website. Assuming the company you're working for is considering you self-employed, they will report your wages via 1099-MISC (used for independent contractors, based on you providing them a completed W9), not ...


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