Married Filing Separate Dependent Care FSA

[OCmama78]

Maxed out on Dependent Care benefits of $5k.

Filing MFS.

I am just not sure who has to claim what. I know there is no credit and I  know $2500 is the max in MFS, I just don't know if the taxable portion is split 50/50 ($2500 each) or all goes to whoever W2 it is?

[DavidD66]

For married couples filing separately, the annual dependent care FSA contribution limit is $2,500 for each spouse.  If you (or your spouse) contributed $5,000 to your Dependent Care FSA and you choose to file separately, then the excess $2,500 contribution will be added back to your taxable income on your (or your spouse's) tax return.  Or, as you say "whoever W-2 it is".  You cannot transfer some or all of the excess to a spouse for them to use.