Taxation And Cohabitation
April, 1982
Ronald Reagan's Economic Recovery Tax Act of 1981 may have reduced the "marriage penalty," but it didn't do much for people living together. Just how taxing that relationship is depends on the state in which you live. Not long ago, in North Carolina, a representative of that terrorist organization the IRS disallowed a dependency deduction for a 21-year-old woman living with a taxpayer who was assessed a $128 tax deficiency. The disallowance was based on the IRS's conclusion that the re...
