Residential Energy Credit living in separate homes

[fvs0906]

We replaced out Heat Pump this past year and are using Turbo Tax for the form 5695. We own a home in New Jersey where i live year round but my wife rents a home in Florida year round. we are legally married but live in separate states. when using Turbo Tax and answer if we live in one house with a no answer, turbo tax states it cannot process this type of situation. Any idea on how to proceed with Turbo Tax? Thanks

[AmyC · Accepted solution]

Since you are filing a Joint Return (MFJ), the IRS essentially treats your combined expenses as one pool, even if they occurred at two different locations. You are eligible for the credit as long as the home where the heat pump was installed is the primary residence of at least one of the spouses on the return.

You need to select live together for the purpose of the 5695 filing as a tax unit. When you select no, the program thinks you are both living with other owners. Enter only the heat pump property and address of residence for one house on the 5695.  Do not enter the second residence on 5695.

[fvs0906]

Thank You!!!