My wife is living in CA, a community property state.
I am living in MN, a non community property state. I stayed with her 3-4 months in 2022 and worked remotely for my MN based work in CA. So I am keeping MN residency.
After did research, it seems that we need to MFS for both state and fed and standard deduction because CA requires that you use the same filing status on CA return that you use on federal return.
There are two questions:
Assume my wife's income is $80k and mine is $60k. We need to do community property adjustment. Both of us will report $70k after filling form 8958 for fed taxes. (1) Is our understanding correct?
If the first one is correct, the second question is how to do community property adjustment for me? We are using Turbotax desktop. I search for community property and jump to community property link. It jumps to "we're ready to review your federal return" page. Not place to fill form 8958. There are no issue for my wife's filing.
The rest of our case is quite simple, one W2 form for each person, some div and interests and some stock loss. Current filing almost stresses us out. Is MFJ for both fed and state, seems to be much easier way for community property, a technical doable way to do that? Thanks very much.
