Married filing Separately for Community Prop

[HOPE2]

Hi to all. I have reviewed almost all of questions about how to file Married filing Separately on Proseries.

1- First I want to share my idea: If Proseries makes a short video regarding MFS like bunch of videos' are available that would be fine. In my opinion Proseries experts should check all questions presents in Community, here. Count, how many questions we have regarding Married Filing Separately here, endless!!!!!!!!!!!!. An organization like Intuit better off pay attention for demands came on Community then make productive videos. 

2- Question: If the other one is not available and spouse does not have his/her tax docs, income whatever, but have SSN, how can file MFS? can put $1 front of whatever she/he has as income or .....on form 8958.

MY FLAG IS CA/USA

[TaxGuyBill]

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@HOPE2 wrote:

2- Question: If the other one is not available and spouse does not have his/her tax docs, income whatever, but have SSN, how can file MFS? can put $1 front of whatever she/he has as income or .....on form 8958.

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Depending on the details, there are some circumstances that their income would not be treated as Community Income.  See IRS Publication 555 for details.  For example, why is the other's information not available?  Did they live with each other at all during the year?  Do they share income?  Why is the spouse unwilling to provide their income to the other spouse?

https://www.irs.gov/publications/p555#en_US_202001_publink1000168798

https://www.irs.gov/publications/p555#en_US_202001_publink1000168805

[HOPE2]

Community Property Laws
Disregarded: 

When one spouse considers all of his/her income on MFS file, and the other one as well, it means Community Property Laws Disregarded happened. is it right? if not please correct me. At this situation what would be the box of Are allocated community..... Yes or No? If we check No, does IRS pursue up why we checked NO in a community state. And should we attach what documents for in this return?

 I really appreciate you taking the time to answer this.

[TaxGuyBill]

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@HOPE2 wrote:

When one spouse considers all of his/her income on MFS file, and the other one as well, it means Community Property Laws Disregarded happened. is it right?

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That's not exactly what the Publication says. 

Without you telling us the specific circumstances of this situation, it is difficult or impossible guide you very well.

[HOPE2]

Thanks a lot for your help. Wife has income and husband has income as well. They live together in a house all the year. Husband has high income and also a S-corp with a high K-I ordinary income and gain. His wife just has a w-2 and they are ok to file individually. They are in Commu. Prop, CA.  Wife is my new client but husband is not my client. When I took a look at her last tax return, 2021 She filed as MFS that this is right and I see form 8958 Column A and B are almost same with a diffrence $1 for column C for her husband. All numbers on A and B are belong to wife and C belong her husband. 

My questions:

Since we could not recognize her previous tax preparer left unchecked or checked the box of :  Allocate community...let me know what does mean if we check or leave uncheck exactly at this situation. IRS will receive two tax returns from them but numbers are not correct, right? I mean column C.

At this situation do we have" Community Property Laws Disregarded happened"?

But pub 555 says 8958 must be filed, I confused.

In general, when one wants to have just only her/his income in his/her tax return in Community Prop what is the method MFS return. What docs should be attached? how about the box on 8958 YES/NO

This is a heavy burden on my shoulder that made my brain stopped.

[abctax55]

Are their funds maintained separately?

Is there a prenuptial agreement?

The taxpayer doesn't just get to say - mine is mine/his is his - in order to save taxes.

Spidell (caltax.com) has several excellent courses on how community property laws apply in the state of CA.  

[TaxGuyBill]

I'm definitely not an expert in Community Property, but I think the 'exception' that you are trying for involves "You treat the item as if only you are entitled to the income".  To me, if that income is shared with the spouse, that makes it Community Property.

As I said before, I'm not an expert.  But based on what you have said, I think things need to be split, regardless of what they 'want'.

[HOPE2]

Thanks a lot for your help. Wife has income and husband has income as well. They live together in a house all the year. Husband has high income and also a S-corp with a high K-I ordinary income and gain. His wife just has a w-2 and they are ok to file individually. They are in Commu. Prop, CA.  Wife is my new client but husband is not my client. When I took a look at her last tax return, 2021 She filed as MFS that this is right and I see form 8958 Column A and B are almost same with a diffrence $1 for column C for her husband. All numbers on A and B are belong to wife and C belong her husband. 

My questions:

Since we could not recognize her previous tax preparer left unchecked or checked the box of :  Allocate community...let me know what does mean if we check or leave uncheck exactly at this situation. IRS will receive two tax returns from them but numbers are not correct, right? I mean column C.

At this situation do we have" Community Property Laws Disregarded happened"?

But pub 555 says 8958 must be filed, I confused.

In general, when one wants to have just only her/his income in his/her tax return in Community Prop what is the method MFS return. What docs should be attached? how about the box on 8958 YES/NO

This is a heavy burden on my shoulder that made my brain stopped.

[HOPE2]

Yes, funds maintained separately.