Unemployment exclusion

Forum|Forum|5 years ago
March 21, 2021
8 replies
39 views

When filing married filing separately, does the $150,000.00 AGI limiattation for unemployment exclusion apply to each spouse separately?

ProSeries Professional

This topic has been closed for replies.

Best answer by qbteachmt

"Just seems odd that the exclusion is the same for a joint return and filing separately."

That's right, though.

Just-Lisa-Now-

Intuit Community Champion

The program has been updated for it, what happens when you enter UI into an MFS return?

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

C

crest404Author

Level 2

The program applies the full $150,000.00 AGI exclusion. Just seems odd that the exclusion is the same for a joint return and filing separately. It does not halve the exclusion limit. So if you file jointly there are cases with no excluded unemployment but if you file separately both get an exclusion. Maybe just the way th exclusion was passed in the legislation.

qbteachmtAnswer

Level 15

"Just seems odd that the exclusion is the same for a joint return and filing separately."

That's right, though.

Don't yell at us; we're volunteers

T

Taxadventures

Level 2

That still doesn't address the thorny problem of how to report unemployment in a community property state since there is no way I can find to adjust each couple's income and still have the unemployment portion be taken off from taxable income from the spouse who didn't directly get paid unemployment. Anyone got an idea how to do that?

qbteachmt

Level 15

"since there is no way I can find to adjust each couple's income"

ProSeries has a MFS worksheet.

Don't yell at us; we're volunteers

T

tjwoods69

Level 2

I contacted ProConnect chat on this and the response was "Unfortunately you will have to manually re-enter the information. You have to make 2 separate returns".

That seem like way too much additional work to re-enter manually so instead, I copied the original return twice and renamed the 2 returns, then checked MFS for each taxpayer and adjusted info for each taxpayer respectively. Still took some time but much less than re-entering all the info. You can use the MFS Comparison as a guide to make sure info isn't duplicated on both returns and assure and the numbers add to same amount on the original joint return. Hope this helps.

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