Exception. You do not have to pay estimated tax for 2017 if you were a U.S. citizen or resident alien for all of 2016 and you had no tax liability for the full 12-month 2016 tax year. You had no tax liability for 2016 if your total tax was zero or you did not have to file an income tax return. Special Rules

Can a divorced couple still owe taxes on a joint return?

Even if spouses are divorced following a long-term marriage (20+ years), there may be instances when a judge declines to assign 50% of a tax debt to one party. Indeed, if the debt is arising out of a joint tax return, there may be scenarios when a greater share of the tax liability will be assigned to one spouse versus the other.

Can a married couple claim two personal exemptions?

You and your spouse would have reported your combined incomes on the same tax return if you filed a joint married return. You could then have claimed two personal exemptions, at least through 2017 and possibly again in 2026—one for each of you.

When do you have to file taxes as married couple?

Couples, whose divorce is not finalized by 31st December of the year will have to file taxes as married for that year. Filing a joint return can result in additional savings, which would mean more money for the couple to divide among themselves.

What was the personal exemption amount for 2017?

For tax years beginning in 2017, the personal exemption amount remains unchanged at $4,050 for taxpayers with adjusted gross incomes below $156,900. The personal exemption amount for taxpayers with adjusted gross incomes above this amount may be reduced. Limitation on itemized deductions.

What’s the standard deduction for dependents in 2017?

However, if you can be claimed as a dependent on another person’s 2017 return, your standard deduction is the greater of: $1,050, or Your earned income plus $350 (up to the standard deduction amount).

What should I include on my 2017 tax return?

Household employers. When estimating the tax on your 2017 tax return, include your household employment taxes if either of the following applies. You will have federal income tax withheld from wages, pensions, annuities, gambling winnings, or other income.

How to calculate estimated tax payments for 2016?

As an example, say your AGI for 2016 was $180,000, and you paid taxes of about $43,440 for the year, then for 2017 each of your estimated tax payments would have to be at least $11,950 to be sure of avoiding the underpayment penalty. It’s a small price to pay for enjoying a high income, but one you should be aware of.

How are estimated taxes used to pay taxes?

Estimated tax payments are used to pay not only income tax, but other taxes as well, such as self-employment tax and alternative minimum tax. Publication 17, Your Federal Income Tax for Individuals, provides general rules to help you pay the income taxes you owe.