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Thread: New family tax credit

  1. #31
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    But only to a 2000$ max benefit
    Mom to DS - 9.5 years old
    AND

  2. #32
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    The Income Splitting helped us at tax time! It was a welcome and extra that we weren't expecting.
    tinydancer and Sunrise like this.

  3. #33
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    How would a person know if it is more of a benefit to split the income (with one of us being a sah parent) or to remain as a dependent on his taxes?
    I don't know how the tax person knows what I'm worth as a dependent. How is that calculated?
    DD1 age 7 DS age 11
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    Baby Elaina born October 28th, 2011. Making every single day that much more special.
    INTERESTED IN BUYING DVDS OF OLD KIDS' SHOWS. Mr.Rogers', Mr.Dressup, Polka Dot Door, etc

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    For the Income splitting do the split the amount paid to taxes as well?
    My dh makes way more then me so I obviously don't pay a lot in tax. I'm worried if the add his amount onto my income they will screw us and say we didn't pay enough taxes.
    ~Who ever said "don't cry over spilt milk" has never been a breast feeding mother with latch issues standing over a puddle



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    You get both - the family tax credit is a weird calculation that considers only total income and not the dependent credits. If one adult in the house is not employed - it's highly likely the new family tax cut will help!

    As as an aside the government considers a dependent worth about $11,500 in tax credits to the working adult (can't remember the exact amount but it's the same as the 'basic' amount everyone gets. Essentially everyone is entitled to earn this basic amount of around $11,500 to cover basic needs before income tax kicks in ..... if one adult isn't earning income then the other adult in the house can use their credit

    And the tax cut doesn't care about the taxes already paid and doesn't shift them around between spouse .... it's like an imaginary deduction that helps where big big differences in TOTAL income in the household couple.
    Last edited by strongmommy; 03-14-2015 at 05:14 PM.

  6. #36
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    We went to H&R block in Walmart for our taxes this year, and she said that basically they do it both ways and see which way benefits you more. For us, they did split the income because I'm a sahm so my income was $1200. I asked if I fill ou ta formnow that says income, do I put in that 50ish thousand? She said no, it's basically
    like it happens behind the scenes, though it's totally on the up and up lol. So I didn't MAKE it, but, we split it? Basically it is just for tax purposes.
    DD1 age 7 DS age 11
    "I will remember you." July/10
    Baby Elaina born October 28th, 2011. Making every single day that much more special.
    INTERESTED IN BUYING DVDS OF OLD KIDS' SHOWS. Mr.Rogers', Mr.Dressup, Polka Dot Door, etc

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