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Level 3
April 2, 2021
Question

Unemployment

  • April 2, 2021
  • 1 reply
  • 8 views
Spouse has 28K of unemployment. Husband has $0 unemployment comp. its in community property state of CA When I split out a MFS return, lacerte is excluding 10200 from each spouse. Isnt the 10200 for just the spouse? why would husband get the 10200 unless IRS changed the rule? Dave
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    1 reply

    BobKamman
    Level 15
    April 2, 2021

    IRS didn't make the community-property rule.  States with a legal history that can be traced to the Napoleonic code, made the community-property rule.  Each spouse has unemployment income.  Each spouse gets the exclusion.  

    If Congress wanted to instruct IRS to ignore community-property law, they could have done so, as they have in other statutes.