709 form - community and separate property distinctions?

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adam123
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Joined: Thu Jan 16, 2014 5:51 pm

709 form - community and separate property distinctions?

Post by adam123 » Wed Jun 06, 2018 11:33 am

I am a little confused about the 709 form, but I think I am now getting it. I live in California - a community property state. Some of the property gifted is separate, some is community. Both exceed 30k.

1) For the community property, it looks like each spouse would fill out the top part of Schedule A and include 1/2 the value of the property - since it is owned by 1/2 each. Each spouse would fill out a separate form for their 1/2 portion, but there is not need to split, because it is owned by 1/2 each. E.g. 100k in community property - each spouse would file a 709 gifting 50k, and no need to consent to split because it is already owned 50% by the spouse.

2) My separate property. Do I get to elect? That is, we were married, citizens, and no power of appointment over property. I can either file a separate return for 100% of that gift amount, and it would only be included in my return - or (even thought it is my separate property), we could elect to split?

3) If we do split, then the top of schedule A would be the community property, and the 1/2 split gift of separate property, and then the bottom half would be the spouses split gift of the separate property?

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