MFS in California

[pmedders]

Client married in 2005, lived with husband on and off throughout 2005 and lived with him consistently the last three months of 2005. They separated in 2006 and husband already filed his return with his income only.

Normally, being client lives in a community state, all income from both parties should be divided equally and claimed on each return. Being my client's spouse already filed claiming only his income; should my client file MFS claiming only her income, or being she has his W-2 information, should she file claiming 1/2 of all his/her income??

[Dennis V]

Mfs

If he has already filed with just his income, I would file her with just her income. MFS in a community property state can't be efiled, so you will have to mail it in. The IRS matches the returns, splits the income properly and makes any adjustments, so I think there will be less confusion over how much they each earned if you just use her income.

[JG EA]

Really?

=The IRS matches the returns, splits the income properly and makes any adjustments, so I think there will be less confusion over how much they each earned if you just use her income.

They do? I've never seen it. Have you had this happen with your clients? That would be great if that were the case then there would be no need to ever do the MFS split.

[pmedders]

Can any other tax preparer

suggest how to handle - should I split down the middle (the correct way) even though client's husband already filed claiming all his income and deductions?

[jainen]

say bye bye

You should prepare your client's return correctly, and not worry about the other 300 million you are not preparing. If the husband provides information, use it to allocate the community income. If he refuses to help, ignore his income but split your client's. If the wife won't agree, say bye bye.

[pmedders]

Thanks Jainen,

I thought that is what I should do - client does have spouses W-2's, so I will split down the middle. Husband is going to be PO'd......, husband did not "give" her the information, but client went to house when husband was not home to obtain info.

What a mess!!!!