Definition of separate tax returns

tax returns filed by a married couple choosing the married, filing separately, status. Each person reports his or her own income, deductions, exemptions, and credits. Couples may choose to file separately instead of with a joint tax return for several reasons. A couple may choose to keep all of their financial affairs, including tax filing, separate. In some cases, a couple may find that the total amount of tax paid is less if they file separately than if they file jointly. This is usually the case when there is a wide disparity between the earnings of the husband and wife. However, because of the way the tax tables are designed, it is frequently more advantageous for a married couple to file a joint return than for them to file separate returns.