MFS/HH Community Prop

[jimenright]

There is a six months apart requirement for a married person to file HH and there is a one year apart requirement to avoid the community property rules in a community property state.

When a couple that has lived apart for more than six months but less than one year and one files HH and the other MFS. Do the community property rules apply, i.e. does income have to be allocated between the two on a 50/50 basis.

[Jesse]

I think it would depend on what the state requires. In Wisconsin the income should be split, however, if neither notifies the other of the community property income they each file with their own information.

[Maribeth]

There is a six months apart requirement for a married person to file HH and there is a one year apart requirement to avoid the community property rules in a community property state.

When a couple that has lived apart for more than six months but less than one year and one files HH and the other MFS. Do the community property rules apply, i.e. does income have to be allocated between the two on a 50/50 basis.

Jim, in our state the community income/expenses would have to be split up to the time that the community was still intact, i.e. up to the time they split. So if they split 4/1/2011, then community income/expenses up to that time; separate income/expenses thereafter.

Maribeth

[DaveinTexas]

Divorced Couples

How do you handle a couple that divorced during the year? I hear that you have to split the income between couples for the time period that they were still married during the tax year.

So if a couple divorced on July 1, even though the IRS rules state your filing status is determined as of 12/31 (single in this case) do the community property rules apply for the first 6 months of the year?

[Jesse]

How do you handle a couple that divorced during the year? I hear that you have to split the income between couples for the time period that they were still married during the tax year.

So if a couple divorced on July 1, even though the IRS rules state your filing status is determined as of 12/31 (single in this case) do the community property rules apply for the first 6 months of the year?

In Wisconsin that would be a yes - messy and time consuming, but I'm glad I'm not in California!