head of household

head of household definition - finance
A tax filing status allowed by the Internal Revenue Service to people who provide over 50 percent of the financial support for their household. Heads of households must have dependent children, grandchildren, parents, or other relatives living at home who they support. They can be single or married. The designation modestly reduces the amount that the taxpayer has to pay by extending the income range so that more income fits into the lower tax bracket.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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