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LBJDemocrat Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-20-08 07:52 PM
Original message
Question About Gay Marriage (Taxes)
Are gay couples whose marriages are recognized by a state such as MA treated as married couples for the purposes of federal income tax? How about state income tax for those states that recognize gay marriage?
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LostinVA Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-20-08 07:54 PM
Response to Original message
1. We're considered single for Federal Tax purposes, because we aren't recognized by the Federal gov't
We're recognized as married for state tax purposes.
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LBJDemocrat Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-20-08 08:02 PM
Response to Reply #1
2. Wow. I didn't know that. Thanks. n/t
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TechBear_Seattle Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-21-08 06:38 PM
Response to Reply #1
5. No, and you can thank Bill Clinton for that
Edited on Wed May-21-08 06:39 PM by TechBear_Seattle
He's the one who signed the "Defense" of Marriage Act into law. With that, the US government is not allowed to obey the Constitution's Full Faith and Credit Clause regarding certain marriages.

Added: Oops, this should have been a response to the OP.
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Zuiderelle Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-20-08 08:02 PM
Response to Original message
3. Yep, no federal tax benefits either.
Edited on Tue May-20-08 08:24 PM by PelosiFan
Oh yeah, and while we're at it, we also have to pay taxes on domestic partner benefits, unlike straight married people. They take a bite when they deduct the employee portion from our pay (in that it comes out of our income after taxes are deducted, as opposed to before tax income, which lessens the tax burden for straight married people), and they take a bite after by charging us tax on the portion that the employer pays (which straight married people never have to pay).

Here's a simplistic example:

Straight married person:
Gross Monthly income: $2,000
Family health deduction (before taxes): 200
Taxable income: 1,800
Taxes: 450
Actual take home pay: $1,350

Gay married person
Gross Monthly income: $2,000
Family health deduction (after taxes): 200
Value of Employer health benefit (not imposed on straight people): 400
Taxable income: 2,600
Taxes: 650
Actual take home pay: $1,150

The gay person is paying taxes on an implied income of 800 more than the straight person, and ends up with $200 less a month to live on. In addition to that, when filing taxes, since they have to file separately, they are also over-taxed then if there is any disparity in the income, which there very often is in both straight and gay relationships.


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Creideiki Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-21-08 10:32 AM
Response to Reply #3
4. Now, let's be fair, PelosiFan
That straight person has a REAL family to take care of. :eyes:
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LeftCoast Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-21-08 06:59 PM
Response to Original message
6. No - AND we actually have to pay more taxes than straight couples
My employer is very progressive and provides full insurance to my partner. However, because the Federal Gov't doesn't recognize our relationship this 'extra' money my Co. spends is counted as extra income which I am taxed on. Heterosexual married couples do not pay this very high extra tax.

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ronnykmarshall Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-21-08 07:20 PM
Response to Original message
7. In California ...
We had to file joint state taxes. It was a pain in the ass for my step-dad who's a CPA. We ended up getting screwed. Under the Domestic Partner law we HAD to file joint. I don't know what will happen when we get married.

The fed doesn't recognize us as a married couple even when we get married in California, so it's a null and void with them.
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