When you're ready to file your income tax return for this year, one of the most important decisions you'll make is choosing which filing status to use. Your filing status determines several things, including your overall tax rate and your eligibility for certain tax credits. What filing statuses can you use? Which status is best for your financial situation? Do all unmarried taxpayers have to file as single? The answers to these and other questions are provided below.

Types of Filing Statuses

There are five different filing statuses you can use on your income tax return:

• Single
• Married Filing Jointly, 
• Married Filing Separately 
• Head of Household, and 
• Qualifying Widow/er

Generally, your marital situation dictates which of these filing statuses you use. For example, if you're married but you don't want to file a return with your spouse, you cannot use the Single filing status. You'll have to use Married Filing Separately. Similarly, if you're engaged to be married, you cannot use the Married Filing Jointly status. You must use Single until the year in which you get married.

Should You File Jointly or Separately?

The major question for married taxpayers is: Is it better to file separately or jointly? If you're looking to get the largest possible refund, it is almost always better to file a joint tax return with your spouse. Doing so gives you twice the standard deduction and twice the income limits on itemized deductions and Earned Income Credit, among other benefits. There are only a few situations when it may be better financially to file a separate tax return. For example, if your spouse owes a great deal of tax on his or her income and you would qualify for a sizable refund claiming your income alone, then it may be preferable to file a separate return.

What About Unmarried Taxpayers?

Unmarried taxpayers can choose from Single, Head of Household, or Qualifying Widow/er, depending on their situations. If a taxpayer loses his or her spouse in death during the tax year, then he or she can use the Qualifying Widow/er filing status for up to two years following the spouse's death. The deduction amount for Qualifying Widow/er is the same as that for Married Filing Jointly, so this consideration allows taxpayers who have lost mates in death to continue receiving the same tax treatment for a period of time.

The Head of Household filing status is reserved for individuals who are unmarried and are caring for at least one dependent who is either younger than age 19 or completely disabled. While the standard deduction amount for Head of Household is not as large as that for Married Filing Jointly filers, it is substantially higher than the amount for Single filers. Taxpayers who are unmarried but do not meet the criteria for Head of Household or Qualifying Widow/er must use the Single filing status.

IRS filing statuses are fairly straightforward, but if you need additional assistance deciding which filing status to use, it may be best to consult a qualified tax expert before you attempt to complete your return.