WASHINGTON — The U.S. Department
of the Treasury and the Internal Revenue Service (IRS) today ruled that
same-sex couples, legally married in jurisdictions that recognize their
marriages, will be treated as married for federal tax purposes. The ruling
applies regardless of whether the couple lives in a jurisdiction that
recognizes same-sex marriage or a jurisdiction that does not recognize same-sex
marriage.
The ruling implements federal tax
aspects of the June 26 Supreme Court decision invalidating a key provision of
the 1996 Defense of Marriage Act.
Under the ruling, same-sex
couples will be treated as married for all federal tax purposes, including
income and gift and estate taxes. The ruling applies to all federal tax
provisions where marriage is a factor, including filing status, claiming
personal and dependency exemptions, taking the standard deduction, employee
benefits, contributing to an IRA and claiming the earned income tax credit or
child tax credit.
Any same-sex marriage legally
entered into in one of the 50 states, the District of Columbia, a U.S.
territory or a foreign country will be covered by the ruling. However, the
ruling does not apply to registered domestic partnerships, civil unions or
similar formal relationships recognized under state law.
Legally-married same-sex couples
generally must file their 2013 federal income tax return using either the
married filing jointly or married filing separately filing status.
Individuals who were in same-sex
marriages may, but are not required to, file original or amended returns
choosing to be treated as married for federal tax purposes for one or more
prior tax years still open under the statute of limitations.
Generally, the statute of
limitations for filing a refund claim is three years from the date the return
was filed or two years from the date the tax was paid, whichever is later. As a
result, refund claims can still be filed for tax years 2010, 2011 and 2012.
Some taxpayers may have special circumstances, such as signing an agreement
with the IRS to keep the statute of limitations open, that permit them to file
refund claims for tax years 2009 and earlier.
Additionally, employees who
purchased same-sex spouse health insurance coverage from their employers on an
after-tax basis may treat the amounts paid for that coverage as pre-tax and
excludable from income.
How
to File a Claim for Refund
Taxpayers who wish to file a
refund claim for income taxes should use Form
1040X, Amended U.S. Individual Income Tax Return.
Taxpayers who wish to file a
refund claim for gift or estate taxes should file Form
843, Claim for Refund and Request for Abatement. For information on filing
an amended return, see Tax
Topic 308, Amended Returns, available on IRS.gov, or the Instructions to
Forms 1040X and 843. Information on where to file your amended returns is
available in the instructions to the form.
Future
Guidance
Treasury and the IRS intend to
issue streamlined procedures for employers who wish to file refund claims for
payroll taxes paid on previously-taxed health insurance and fringe benefits
provided to same-sex spouses. Treasury and IRS also intend to issue further
guidance on cafeteria plans and on how qualified retirement plans and other
tax-favored arrangements should treat same-sex spouses for periods before the
effective date of this Revenue Ruling.
Other agencies may provide
guidance on other federal programs that they administer that are affected by
the Code.
Revenue
Ruling 2013-17, along with updated Frequently Asked Questions for same-sex
couples and updated FAQs for registered domestic partners and individuals in civil
unions, are available today on IRS.gov. See also Publication
555, Community Property.
Treasury and the IRS will begin
applying the terms of Revenue Ruling 2013-17 on Sept. 16, 2013, but taxpayers
who wish to rely on the terms of the Revenue Ruling for earlier periods may
choose to do so, as long as the statute of limitations for the earlier period
has not expired.