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What does filing status mean? What are dependents and why does it matter for taxes?

What does filing status mean?

What are dependents and why does it matter for taxes?

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Expert Solution

Categories based on which it will be determined that which form of tax return will an individual must use for computing taxable income and filing taxes is termed or acknowledged as filing status. There are various categories of filing status which are based on family situation as well as marital situation.

Persons other than the spouse or taxpayer itself which allow the taxpayer to claim an exemption known as dependency exemption is termed or acknowledged as "dependents". It matter for taxes because it reduces the taxable inccome of the individual taxpayers by the amount of exemption. Dependents are also referred to as qualifying relative or qualifiying child.

ekkarill92 answered 2 years ago
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