California - refund still eligible for 2002?

[Bill Tubbs]

I'm in Wisconsin so don't deal with California too often... new client moved from CA to WI in 2003 but never filed CA for either 2002 (full-year) or 2003 (part-year resident). Can taxpayer still file a CA return for 2002 and get refund? How about 2003?

Also, any gotcha's that I should look out for then as I prepare a MFS return for CA for 2002? She was divorced in 2003 after moving to WI -- I'm figuring first look at the divorce decree and seeif it addersses how the two people were to file their 2002 or 2003 returns. Client would then be Single for the 2003 part-year CA return (right?).

Bill Tubbs

[MAMalody]

I'm in Wisconsin so don't deal with California too often... new client moved from CA to WI in 2003 but never filed CA for either 2002 (full-year) or 2003 (part-year resident). Can taxpayer still file a CA return for 2002 and get refund? How about 2003?

Also, any gotcha's that I should look out for then as I prepare a MFS return for CA for 2002? She was divorced in 2003 after moving to WI -- I'm figuring first look at the divorce decree and seeif it addersses how the two people were to file their 2002 or 2003 returns. Client would then be Single for the 2003 part-year CA return (right?).

Bill Tubbs

I haven't practiced in CA for 5 years, however, here is what I remember.

CA has a four year statute, so you should be okay there.

CA pretty much follows federal law.

CA is a community property state and the date they "split the sheets" (that's the technical term for physical separation :>) ) is critical for 2002 and the 2003 time that they may have cohabitated together. If the divorce was final in 2003, then she would be filing single in 2003. When I had an uncooperative spouse, I filed with the client's info only. FTB usually accepted it, however, I would cover my bases and make sure the client knew the ramifications of community property and the effect it could have if the return was adjusted to accomodate it. Kept a signed doc in file to that effect.

Mike

[jainen]

2002 is still open

>>Can taxpayer still file a CA return for 2002 and get refund?<<

2002 is still open for California. Can't say if she gets a refund, though....

Living with her husband in WI or CA in 2003 would mean community property rules apply even though she files as single. California requires same filing status as used on federal.

[MAMalody]

Jainen makes a good point that both CA and WI are community property...but, don't forget, the states may have different community property laws.

[Bill Tubbs]

Thank you both.

Just to clarify a point -- taxpayer separated from spouse in 2002. In 2003 moved from CA to WI (to live with sister). So, I don't think either states' community property laws apply fro 2003. As far as 2002, will have to see what the divorce decree says for CA.

Yes, I am aware that WI is community property. Good point though that the community property laws could certainly be different between CA & WI.

Thanks both of you for your replies.

Bill