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To find the interview for Community Property Income, Form 8958, in TurboTax Online, use the Search button (magnifying glass at top right) and enter "community property". You should see a "jump to" link you can use to get back to that section.
For TurboTax Desktop, use the steps in this help article:
First, use your community property state rules to determine what adjustments you expect to enter in TurboTax. Often one return has an addition to income and withholding, while the other will have a reduction (subtraction) to income and withholding.
After you've told us your income adjustments, you'll have to fill out the community property worksheet. The worksheet shows how the income on this tax return compares with the other taxpayer's return.
Your community property worksheet will appear right after you complete your income adjustments.
If you can't find the worksheet:
Different community property states have different laws. In California, wages are community property income so you would each claim half. See this FTB webpage for more information regarding California's tax treatment.
First, use your community property state rules to determine what adjustments you expect to enter in TurboTax. Often one return has an addition to income and withholding, while the other will have a reduction (subtraction) to income and withholding.
If community property law does apply to you, the IRS suggests married couples in community property states look at their tax situation under both joint and separate filing options to determine which version saves them the most. You can do this in TurboTax by creating different return scenarios without filing.
Filing a joint return may be less complex and qualify you for tax credits. Filing separately depends on your situation and how your itemized deductions stack up against the standard deduction.
When you live in a community property state and file separate returns, you generally each must report 50 percent of your spouse's income and half of the income generated by community assets, plus all of your separate income. The IRS has an allocation worksheet to simplify your calculations in Publication 555 Community Property. You also have to decide who will claim dependent children.
Please see this TurboTax tips article and this help article for more information.
To find the interview for Community Property Income, Form 8958, in TurboTax Online, use the Search button (magnifying glass at top right) and enter "community property". You should see a "jump to" link you can use to get back to that section.
For TurboTax Desktop, use the steps in this help article:
First, use your community property state rules to determine what adjustments you expect to enter in TurboTax. Often one return has an addition to income and withholding, while the other will have a reduction (subtraction) to income and withholding.
After you've told us your income adjustments, you'll have to fill out the community property worksheet. The worksheet shows how the income on this tax return compares with the other taxpayer's return.
Your community property worksheet will appear right after you complete your income adjustments.
If you can't find the worksheet:
Different community property states have different laws. In California, wages are community property income so you would each claim half. See this FTB webpage for more information regarding California's tax treatment.
First, use your community property state rules to determine what adjustments you expect to enter in TurboTax. Often one return has an addition to income and withholding, while the other will have a reduction (subtraction) to income and withholding.
If community property law does apply to you, the IRS suggests married couples in community property states look at their tax situation under both joint and separate filing options to determine which version saves them the most. You can do this in TurboTax by creating different return scenarios without filing.
Filing a joint return may be less complex and qualify you for tax credits. Filing separately depends on your situation and how your itemized deductions stack up against the standard deduction.
When you live in a community property state and file separate returns, you generally each must report 50 percent of your spouse's income and half of the income generated by community assets, plus all of your separate income. The IRS has an allocation worksheet to simplify your calculations in Publication 555 Community Property. You also have to decide who will claim dependent children.
Please see this TurboTax tips article and this help article for more information.
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