What is Form 8958?
Form 8958 is used by couples living in community property states to allocate tax amounts between individuals. This form helps ensure that each person reports their share of income, deductions, and credits correctly on their tax returns. It's important because it clarifies how income is divided, which affects tax liability and compliance with IRS rules. Completing this form can prevent confusion and potential issues during tax filing, making sure both partners are treated fairly in their tax obligations.
What is Form 8958 used for?
Form 8958 is used to allocate tax amounts between certain individuals in community property states. Here’s what it’s for:
- to report community property income and deductions.
- to determine each individual's share of tax liability.
- to provide necessary information for accurate tax filing.
How to fill out Form 8958?
- 1
Fill in your name, Social Security Number, and the tax year at the top of the form.
- 2
Identify each individual involved and their respective tax amounts.
- 3
Complete the allocation section by distributing the amounts according to community property laws.
- 4
Review all entries for accuracy and completeness.
- 5
Consult IRS guidelines or a tax professional if unsure about allocations.
Who is required to fill out Form 8958?
Form 8958 is completed by individuals in community property states to allocate tax amounts between spouses. This is necessary for tax reporting and ensuring accurate assessment of each person's tax liability.
After completing the form, taxpayers file it with their joint tax return to report the allocated amounts to the IRS.
When is Form 8958 not required?
You don’t need to file Form 8958 if you live in a state that does not recognize community property or if you are not married. Additionally, if your income is not derived from community property, such as income earned exclusively by one spouse, you can skip this form.
Also, if you file as "Married Filing Separately" and both spouses have no income from community property, Form 8958 is unnecessary.
When is Form 8958 due?
The deadline for Form 8958 is the same as your income tax return, typically April 15 for most taxpayers. If you file for an extension, you can submit it by the extended deadline.
This form is required for certain individuals in community property states who need to allocate tax amounts between spouses. Make sure to check your specific state’s rules for additional requirements.
How to get a blank Form 8958?
To get a blank Form 8958, simply visit our website. The form is pre-loaded in our editor, allowing you to fill in the necessary information directly. Once completed, you can download the form for your records.
Do you need to sign Form 8958?
Form 8958 does not require a signature as per current IRS guidelines. However, it's always wise to check the IRS website for the latest updates. Staying informed helps minimize any risks of misinformation.
Where to file Form 8958?
Form 8958 can be filed by mail. Ensure you send it to the appropriate IRS address listed in the instructions on the form.
Currently, electronic filing options for Form 8958 are not available. Always check the IRS website for any updates on filing methods.
