Multiple States Tax Filling

[Zumbaa]

Doing a 2023 1040 tsx return and have this situation. So my clients X and Y are residents of Florida and MFJ. Y moved to Connecticut ONLY for assisted living/medical care in 2023. 

Is Y a Connecticut resident after the move? Should we file a CT state tax return too?

Kindly guide.

[tagteam]

See https://cga.ct.gov/2020/rpt/pdf/2020-R-0039.pdf

[rjs]

You cannot use TurboTax to prepare tax returns for clients. TurboTax is only for do-it-yourself consumer use and cannot be used by paid preparers. Intuit (the company that makes TurboTax) has three tax software product lines for professional preparers: ProSeries, Lacerte, and ProConnect. You can find information about all three product lines at the following link.

Professional tax software for preparers

[Zumbaa]

Thank you but I am still confused. Should I file a non-resident CT tax return for them? This has confused me even more.

What if Y spent 100 days or 190 days in CT for purposes I stated earlier? What type of CT tax return should we file? 

[rjs]

Based on the document that tagteam referenced (which is not authoritative CT DRS guidance), it appears that the number of days spent in Connecticut is not going to matter in your client's case. The significant issues are going to be whether the assisted living facility constitutes a "permanent place of abode," and whether the client Y's domicile has changed. That could depend on whether Y intends or expects to return to Florida.

I suggest that you tell the client to consult a Connecticut tax attorney to determine whether he or she is a Connecticut resident for income tax purposes. You should not make that determination yourself because (a) it's a legal question, and you (apparently) are not a lawyer, and (b) you don't want to be the responsible party if the CT DRS disagrees or the client later questions the residency status. To protect yourself, get the determination of residency in writing from the client or the client's lawyer. You might want to consult your E&O insurer about how to handle it.