1) create two individual federal returns, 2) Create Two columns in a spreadsheet, Partner 1, Partner 2 (similar to form 8958).
Community income = sum across {wages from W2 + taxable interest + oridinary dividends} across both partners.
Community deductions = sum across {allowed capital gain/loss, HSA contribution, qualified business income or loss, donations to charity, mortgage interest allowed, real estate taxes, state and local taxes, vehicle registration fees}. These have to be based on what Turbotax summarizes within each individual's federal summary given some of these can max out.
Community property = Community income - community deductions. Divide by two. Is that correct? That community property then needs to be adjusted in the Community adjustments screen for each partner (addition or subtraction). Submit alongside form 8958.
Is that correct, or is the community property adjustment just sum across {wages from W2 + taxable interest + oridinary dividends} across both partners, and then deductions take place following?
