Accepted Answer

I am here and will respond to your question.

Considering that she files HOH and her income is $63,600 and itemized deduction of appx. $25000 and personal exemption of $7,000 the net taxable income will be 31,600. The tax on this will be appx. $4,170. After dependent care credit and child tax credit the tax will be appx. $2,570.

So your ex should have atleast $3,000 withheld in taxes in order to be well covered in tax. To achieve this, she can claim appx. 11 allowances on her W-4.

 

Let me know if you have any question.

 

Please note: This advice is provided with the understanding that all the relevant facts have been provided by you. Any change in facts might affect the advice given and hence may not be relied on in such cases. Nothing contained in this reply was intended or written to be used, can be used by any taxpayer, or may be relied upon or used by any taxpayer for the purposes of avoiding penalties that may be imposed on the taxpayer under the Internal Revenue Code of 1986, as amended.

 

Edited by RD on 5/28/2008 at 4:17 PM

Expert:	RD
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Answered:	5/28/2008

Certified Public Accountant (CPA)

CPA, MBA, Over 10 yrs of experience in tax planning and business consulting..