puravidapto
Level 7

@Persona Tax wrote:

so, i figured it out.  One has to uncheck the "full time resident" AND the "lived with spouse" boxes on the filing screen. This triggers the 540NR. Per California FTB publication 1031, if one spouse is CA resident and the other is either NR or part time resident the couple files a 540NR OR file two CA returns: 540 for CA resident spouse and 540NR for CA non-resident spouse. Though ProConnect seems to be set up only for the former. 


Proconnect can only file a joint CA return on form 540NR in your case (as long as one spouse is nonresident or part year resident, it is 540NR). 

If you want to file separate CA returns, you need to split the joint return to two separate returns. Disregard the federal returns and only file the CA returns, because they have filed joint federal returns already, and federal returns are only used to file separate CA returns.

When you file separate returns, you need to allocate income property as CA is a community state. The California has clear guideline here: https://www.ftb.ca.gov/forms/2021/2021-1031-publication.pdf . In your particular case since the taxpayer is in CA resident and spouse is nonresident, the taxpayer will report half of his income only to California, and the spouse will report the other half of the husband's income allocated to her. 

Since you have paid for the joint return contains both social security numbers, Intuit should not charge again for the state returns with the same social security numbers, and you can get credits for the two extra charges. This could be automated by charging for new social security numbers, as I proposed in this idea: https://proconnect.intuit.com/community/proconnect-tax-idea-exchange/enhancement-bug-to-charge-only-... . It takes time and effort to provide feed back to Intuit but someone has to do it in order to bring out changes that we wanted. I had successful stories despite being slow and hard. You can help by clicking on the above link, and upvote the idea. Before the idea is implemented, you have to go through the manual, and time consuming request process to recover the cost for the extra two returns.

Please click the link in my signature to upvote the other idea if you can, thank you.

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