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How to adjust unemployment compensation on Form 1040 for MFJ in community property states like CA?

StellaN
Level 2

How do we make the adjustment for MFJ to exclude up to $20,400 in unemployment compensation in community property states?  One TP received $18,000 and the spouse received $9,000 in CA.  The software only excludes $19,200 total.

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Just-Lisa-Now-
Level 15
Level 15

Its UP TO 10,200 per person (not to exceed the UI per person). 

Not 20,400 per couple

Some people have used MFS to get more bang for their UI excluded buck.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

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3 Replies 3
jeffmcpa2010
Level 8

 In this case the software is correct.

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kitty2
Level 2

The $10,200 exclusion for unemployment is for each individual and not for a combination.  Each is entitled to an exclusion of up to $10,200.  

Just-Lisa-Now-
Level 15
Level 15

Its UP TO 10,200 per person (not to exceed the UI per person). 

Not 20,400 per couple

Some people have used MFS to get more bang for their UI excluded buck.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

View solution in original post