For California RDP, how do I get ITO to show half the income and tax withholding on the federal returns? I completed the state return and created federal and removed the "spouses" W-2. I need the wage amount to reduce to half the total since it it community property.
Create the CA return just as you want it, then "split" the returns. You will have 3 - 2 federal and 1 joint state. Check out this bit of info on your Support Site
Thanks for the reply. I followed the instructions from the support site and completed the 540 form. The problem is the federal returns are supposed to have half the total income. How do I adjust the amount of wages to show half? For example, one spouse earns 200k in wages and the other earns 50k. Both spouses should independently report 125k of wages on line 7 of the 1040 form. If anyone can help me with that question, I’m sure it will take care of the other income lines. The is my first year using ITO. My program last year allowed over-riding amounts on the actual tax return.
Does ITO staff have an answer to this? My only thought is to take the data and enter into the 1040 form downloaded from the IRS website. I assume I will have to file the fed copy via paper anyway since it needs the attached schdueld showing total income and splits between the taxpayers.
The following link provides guidance on how to prepare a California RDP return in Intuit Tax Online:
http://accountant.intuit.com/support/prolinetaxonline/document.aspx?product=PTO&id=GEN70817
