Final answer:
When using the married filing separately status, both spouses must either itemize or take the standard deduction. Certain credits and deductions may be limited or unavailable, and if one itemizes, the other must as well or receive a $0 standard deduction.
Step-by-step explanation:
When a couple decides to file their taxes using the married filing separately filing status, there are several important considerations to be aware of. First, both spouses must either itemize their deductions, or both must take the standard deduction. They cannot mix and match these two approaches.
Second, there may be certain tax benefits that are severely limited or unavailable under this filing status. For example, the ability to deduct student loan interest or the eligibility for the Earned Income Tax Credit (EITC) might be affected. Lastly, if one spouse itemizes deductions, the other spouse will receive a standard deduction of $0, so it's usually beneficial for both to itemize if one decides to do so.