Today I want to answer a basic question: it’s almost always better for married couples to file as married filing separately instead of married filing jointly on their Iowa return. Why?
Iowa Taxes: Married Filing Separately on Combined Return vs. Married Filing Separately on Separate Returns
Iowa tax law throws unique wrinkles at taxpayers when it comes to filing options for married couples.
From the Archives: How to Allocate the Deduction for Federal Estimated Tax Payments on Your Iowa Tax Return
Iowa allows a deduction for federal income taxes paid, including estimated tax payments. The deduction for estimated payments is not straightforward if you’re filing your tax return as married filing separately.