No, you do not need to file seperately. On Missouri taxes
you use form MO-NRI to seperate your Missouri income
from your (and your wife's) total income. I expect that
Indiana will give you a credit for the tax you pay in
Missouri. It will probably not be a bad idea for you
to get a tax professional at least this year. Two state
tax returns can be quite tricky.

Missy Doyle

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<doug[at]ps1fplan.com> wrote:

- quote -

You would have to run the numbers and try it each way.

One the one hand, you could itemize all medical you pay for
you and your spouse and any dependents for medical purposes
on your return, lowering the 7.5% of AGI that reduces the
medical deduction. Ditto for reducing the 2% of AGI for
your Form 2106 deductions.

On the other hand you lose the student loan interest
deduction when filing MFS.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

<doug[at]ps1fplan.com> wrote:

- quote -

The only way to know for sure is to compute it both ways.

--
Phil Marti
Clarksburg, MD

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

I have a question over filing statuses:

My wife and I are married, and live together in Indiana.
However, I maintain employment in Missouri, where I work for
an airline as a non-flightcrew member; and where I am 4 days
a week. Our principal residence is in Indiana, and is where
we maintain a home.

My wife makes about double what I make. We have about 9K in
combined medical expenses, and about 8K in mortgage
interest, and I have about 2K in work meals (DOT hours of
service limited transportation employee). She has about 700
in student loan interest.

In order to limit our taxes, and in order to exclude her
income from Missouri (if possible), should we file as
married filing separate?

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >