No, married filing jointly is not correct. Your wife would file as a part-year resident of Massachusetts. The dates of residence would be 8/14/2021 to 12/31/2021. According to Massachusetts tax filing status definitions, "If married taxpayers have a Massachusetts residency tax year that begins and ends on different days, they must file married filing separately, assuming each spouse is required to file." The rules further state "Please note that a joint return isn't allowed if both you and your spouse weren't Massachusetts residents for the same portion of 2021."
Based on the rules for Massachusetts, your wife would file married filing separately for tax year 2021. Beginning in 2022 you would file married filing jointly.
To file a married filing separately in TurboTax follow the below steps:
Prepare a state return for the secondary taxpayer (spouse)
The secondary taxpayer is the second person listed on the return.
Like the steps above (see linked article below), you'll create a second new "mock" federal MFS return for the secondary taxpayer. This is the only safe way to keep the two mock federal returns connected with the correct state returns.
- In TurboTax (CD/Download version), start a new return by choosing New Tax Return from the File menu, and then selecting Start a New Return.
- On the transfer screen, select Continue Without Transferring. Do not transfer information from last year's joint return!
- Create the mock federal return entering the secondary taxpayer's personal information, income, and deductions. For the filing status, choose Married filing separately.
- Be sure you do not include any deductions already claimed by the primary taxpayer. Only the secondary taxpayer's income and deductions should be entered in this mock return.
- When finished, run the federal error check (Review Analysis).
- Then select State Taxes and complete the secondary taxpayer's state return.
- When finished, print the state return for your records and paper-file the secondary taxpayer's state MFS return.
Important: Do not file the mock MFS federal return you created here. It was only used to separate the spouse's income and deductions for state tax purposes. However, do not delete the return in case you need to view or amend the spouse's associated state MFS return.
How to Change State Filing Status to MFS
