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MFJ for Federal and MFS for State returns where taxpayers live and work in different states?

Small town
Level 3

Married taxpayers filing jointly federally where the taxpayer lives and works in a different state than the spouse. The taxpayer lives and works in Missouri and the spouse lives and works in Nebraska. Nebraska allows a MFS return for a nonresident taxpayer with a MFJ federal tax return. I think Missouri will only allow MFJ if filing MFJ Federal return. My question is, is it appropriate to file MFJ for Federal and Missouri and MFS for the spouse as a resident of Nebraska? Taxpayer does not have any Nebraska income so I don't think they would be required to file a Nebraska nonresident return. If so, can I efile the Missouri return with the Federal in Proseries and then efile the MFS Nebraska return on it's own, or would it have to be mailed? Any experience in this matter is appreciated!

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itonewbie
Level 15

MO will require the same filing status to be used as the federal return while your clients seem to qualify under an exception to use MFS for the NE return.

What this means is that the spouse's NE income will be reportable and taxable on the MO return (See instructions for MO-1040, Line 1).  Other state tax credit would then be claimed on the MO return for NE tax.

You should be able to e-file the NE MFS return since NE permits state only e-filing: https://proconnect.intuit.com/support/en-us/help-article/electronic-filing/state-e-file-methods-stan...

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Still an AllStar

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1 Comment 1
itonewbie
Level 15

MO will require the same filing status to be used as the federal return while your clients seem to qualify under an exception to use MFS for the NE return.

What this means is that the spouse's NE income will be reportable and taxable on the MO return (See instructions for MO-1040, Line 1).  Other state tax credit would then be claimed on the MO return for NE tax.

You should be able to e-file the NE MFS return since NE permits state only e-filing: https://proconnect.intuit.com/support/en-us/help-article/electronic-filing/state-e-file-methods-stan...

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Still an AllStar