topic Married Filing Separately with Twins in Community Property State in Deductions & credits

Married Filing Separately with Twins in Community Property State

starsor — Sat, 28 Mar 2020 17:57:48 GMT

My wife and I will be filing taxes as Married Filing Separately in a community state and I'm confused about how to enter our kids into turbotax since we have to file two separate returns. We're not divorced/separated.

1) TurboTax asks me to enter my child's information. Do I enter both children's information into both of our filings? Or just the information about the one child we are each going to claim?

2) Do we each need to complete a Form 8332 for the child we're not claiming ( Release of Claim to Exemption for Child of Divorced or Separated Parents, stating that you will not claim this child as a dependent) even though we're not divorced or separated?

Thanks

Re: Married Filing Separately with Twins in Community Property State

KathrynG3 — Sat, 28 Mar 2020 18:32:22 GMT

1) It depends who should claim them on who they live with and who has the most income. If they reside with both of you all year, then it is fine for you each to take one child. Who can I claim as my dependent?

2) Form 8332 is only used when you are not married. You will need Form 8958. In the search box, type 8958 and click the Jump to link.

For more resources, see the links below:

Is it better to file married filing separately? explaining disallowed credits, including the Child and Dependent Care Credit

Married filing separately in community property states

2019 Publication 555 Community Property page 4 and 10

Re: Married Filing Separately with Twins in Community Property State

starsor — Sun, 29 Mar 2020 02:18:22 GMT

Thanks for responding! I took a look at form 8958 and didn't see anything specific about claiming dependents (just other items related to shares income, deductions, etc., which also do make sense that I need).

Is there any other form that functions like 8332 to split dependents between married couples filing MFS status? Or maybe I missed what section in 8958 covers that.

Re: Married Filing Separately with Twins in Community Property State

Critter — Sun, 29 Mar 2020 02:47:19 GMT

The form 8958 is only used in a community property state and in that case you really should not be filing separately as there is no tax benefit. If this is the first time you filed separately in a community property state I suggest you seek local professional assistance to get educated in this convoluted situation.

Re: Married Filing Separately with Twins in Community Property State

starsor — Sun, 29 Mar 2020 04:35:11 GMT

Thanks for responding. I've filed several times before, it's just the first time that I'm doing so with two children. I understand the tax implications with filing, understand that only one of us can claim each child, just am unclear if there's any other form I need to file related to claiming the children.