@Leo N
IRS reg on community income reporting
§ 1.66-1 Treatment of community income.
(a) In general. Married individuals domiciled in a community property state who do not elect to file a joint individual Federal income tax return under section 6013 generally must report half of the total community income earned by the spouses during the taxable year except at times when one of the following exceptions applies:
(1) The spouses live apart and meet the qualifications of § 1.66-2.
(2) The Secretary denies a spouse the Federal income tax benefits resulting from community property law under § 1.66-3, because that spouse acted as if solely entitled to the income and failed to notify his or her spouse of the nature and amount of the income prior to the due date for the filing of his or her spouse's return.
(3) A requesting spouse qualifies for traditional relief from the Federal income tax liability resulting from the operation of community property law under § 1.66-4(a).
(4) A requesting spouse qualifies for equitable relief from the Federal income tax liability resulting from the operation of community property law under § 1.66-4(b).
(b) Applicability.
(1) The rules of this section apply only to community income, as defined by state law. The rules of this section do not apply to income that is not community income. Thus, the rules of this section do not apply to income from property that was formerly community property, but in accordance with state law, has ceased to be community property, becoming, e.g., separate property or property held by joint tenancy or tenancy in common.
so the question of who reports the sale depends on whether the property was separate property or community property when sold. Ask your lawyer
per the iRS
If you're separated but not legally separated or divorced at the end of the year
The IRS considers you married for filing purposes until you get a final decree of divorce or separate maintenance.
If you're legally separated or divorced at the end of the year
You must file as single for that tax year unless you're eligible to file as head of household or you remarry by the end of the yea
