Jointly Filed Tax Return
Definition - What does Jointly Filed Tax Return mean?
A jointly filed tax return is a return that is filed in the names of both spouses, as opposed to each spouse filing his or her own separate return. There are certain conditions that must be met before a return can be jointly filed. First and foremost, the couple wishing to file jointly must be legally married for the process to be applicable. Moreover, the couple must have been married for the entire year for which the tax return is being made - even one day less than this standard would disqualify a couple from filing a joint tax return. In terms of a bankruptcy, the liquidator has the ablity to attach the assets of the spouse unless the bankruptcy is a Chapter 13.
Justipedia explains Jointly Filed Tax Return
Filing a joint return is beneficial for a married couple because it gives them access to certain tax credits. When filing a joint return, both parties are required to sign the joint return in order for it to be valid. Normally, a married couple's total tax burden is less if they file their return jointly compared to if they had filed their tax returns individually. In any case, married parties retain the option to file their returns individually should they wish.