@bnse It depends. To claim a QJV does not depend on how your husband has the accounts set up with the bank, but rather, how he has the business set up with the state In reality the question boils down to this: Is the business registered as an LLC?
Yes, the business is an LLC:
In this case, you can only claim a Qualifying Joint Venture if you live in one of the 9 Community Property States: (Louisiana, Texas, New Mexico, Arizona, Nevada, California, Washington, Idaho, and Wisconsin). If you live in one of these states, you may make the election to claim as a Qualifying Joint Venture, but all income and expenses must be split 50-50. You cannot use any other method. If you live in any other state, the IRS does not allow you (technically) to claim a Qualifying Joint Venture if the business is an LLC.
No, the business is not an LLC
In this case, you may claim a Qualifying Joint Venture by making a proper election. If you live in one of the Community Property states, you must still divide everything 50-50. However, if you live in any other state, you may use any percentage that makes sense. If this is done, all income and expenses will be divided by that percentage.
This IRS website discusses this further: Election for Married Couples Unincorporated Businesses
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