I’m truly sorry if there has already been some kind of extensive thread about this. I started to search this subject, but didn’t want to sift through the results.
Is it illegal to claim that you’re single on your W-4 if you’re married just to have more tax withheld?
I process payroll for a small company and a restaurant. One of the managers–okay, he’s my husband–has been trying to fiddle around with his withholding amount until he finds the right “balance” to avoid either giving the Government an interest-free loan for 12 months or having to owe at the end of the year.
The research I have done–which isn’t extensive, mind you–has yielded seemingly conflicting information. What I’ve read/been told is that if you’re married, you must claim “married + exemptions.” If you want to claim that you are single but you’re really married, there is no penalty unless someone finds out. :dubious:
My husband claims that there is nothing wrong with claiming anything you want. My general feeling is that if a document clearly asks if you are married or single, you have only two options: the truth or a lie.
I told my husband that he should keep his withholding based on “married” and specify an amount to be withheld from each check on a weekly basis.
Who is correct?