Watch the video Split a Return for a demonstration.

Creating

To split a return, follow these steps:

1. In the MFJ return, you must first indicate whether items belong to the taxpayer, spouse, or both equally by Selecting T, S, or J in the TSJ field at the top of individual screens. This determines how the information on the screen will be split. When you split the return:

   • a T screen goes to the primary taxpayer

   • an S screen goes to the spouse

   • a J screen (when that selection is available), is split evenly between the taxpayer and spouse returns

2. Begin the split. Only a joint return (filing status 2) can be split. To split it into two separate filing status 3 returns, open it and click the Split icon. You can also select a residency status (lived together or apart) from the Split icon drop list (Lived together is the default selection). Both split returns assume the filing status selected, but the joint return is not affected.

3. Optimize the split returns. If the joint return is not set to Force Itemized or Force Standard (on screen A), you see the Deduction Optimization dialog box immediately after clicking the Split icon.

4. Your choice will have the following effect:

Choice	Effect
Itemize	Marks both split returns and the joint return Force Itemize
Standard	Marks both split returns and the joint return Force Standard
Optimize	Marks both split returns the same, either Force Itemize or Force Standard, depending on the lowest total tax liability for both taxpayers. The joint return is not affected.
Cancel	Allows the preparer to cancel the split process if done in error.

5. View, compare, print or save the split returns. Splitting a joint return displays a Return Selector. The following options are available:

• View and Print. Use the selection boxes in the SSN/EIN column to identify which returns to View. (Save and Print functions are not affected by return selection.) In View/Print mode, you can:

  • print a return.

  • use the Next icon to view the next selected return.

• Click Save to save both split returns (you cannot save only one split return).

  • The split returns need not be saved to view them, but they must be saved and reopened if you want to enter data.

  • The joint return is not affected.

• Filing Status Optimization Report. To see a summary comparison of the returns, click the Print button (or MFJ/MFS report).

  • An Ohio comparison (OH_COMP) is available as well. Currently, the state report feature is available for Ohio returns only.

  • The Filing Status Optimization report is item 350 for billing - Setup > Pricing > 1040 forms.

  • The Wks MSF Comp and OH_COMP can only be viewed in the Joint return after the split has been processed.

Notes

To view the spouse’s split return, go to Open/Create and enter the spouse’s SSN. The spouse's return may not appear in the Open/Create list of 1040 returns until you have opened it or you have repaired index files (Tools > Repair Index Files). After calculating, it will appear on the PCM with the MFJ or taxpayer's MFS return.

• To open the spouse's MFS return, PPR users must activate an additional return. See Drake Tax – Pay Per Return for more details on PPR limitations.

If you view, but do not save a split return, it is eliminated when you exit view.

If you save after splitting a return, both split returns are saved.

The original joint return is not changed except for the Force itemized and Force Standard options on the A screen, which are set if you make those selections on the Deduction Optimization dialog box during the split.

The Drake Tax Planner is available to explore tax scenarios in saved split returns.

If you have two files that are separate already, those files cannot be merged together.

If you have any detail worksheets on a screen, only the total amount will be carried to the split return. If needed, the detail worksheet will have to be re-entered on the applicable screen(s). The most common place where this occurs is the A screen.

If you have completed a DEDM screen in the joint return, be sure to review the A screen, lines 5b and 8a in each split return as adjustments may be necessary in some instances.

If you have made entries on the Charitable Contributions Carried over from prior years screen (line 13 of the A screen), make sure that you have made a selection on the TSJ box even if you have already made a selection on the A screen.

If you have a split return charge on your bill, see Drake Tax - Bill Options and Troubleshooting for details.

Preparing

After you split a return, if you have previously opened either split return, (or have run Tools > Repair Index Files), the return is visible on the Open/Create a New Return dialog box All Clients list and can be selected from the list. Otherwise, use the taxpayer or spouse's SSN to open the return.

When you open the primary taxpayer's split return, you are prompted for which return to open - Individual (MFJ) or Individual (MFS Split) (because the SSNs on the original MFJ and on the primary taxpayer's split return are the same). Select Individual (MFS Split) and click OK.

Note: Take care not to e-file the original MFJ return. It's a good idea to disable it from e-filing by deleting the PIN screen or selecting Suppress All e-File on the EF screen in the return(s) that should not be filed.

e-Filing

When the split returns are eligible for e-filing, they appear on the EF Selector in blue highlight, with a "split" notation in the EF Documents and Fed EF columns.

Federal MFJ with separate states

• Prepare the joint and split returns as you ordinarily do, calculating the returns and clearing all messages.

• In the MFJ return, suppress the state by selecting Do NOT send any states on the EF screen.

• In each of the split returns, suppress the federal by selecting Do NOT send Federal on the EF screen.

• When the returns are eligible for e-filing, the split returns appear on the EF Selector in blue highlight, with a "split" notation in the EF Documents column; and the joint return appears on the EF Selector in black lettering, with 1040 notation in the EF Document column:

  

Always verify the return(s) being selected for transmission by going to calculate or reviewing the EF Status page in view mode. A return cannot be stopped once it has been transmitted.

Deleting

To delete both saved split returns, keeping only the joint return, split the joint return again and do not save the split returns. If you do not save, any existing split returns are removed.

To delete only one of the split returns, or to delete the joint return, you must go to Tools > File Maintenance > Delete Client Files.

• The joint return and the primary taxpayer's split return have the same ID number (SSN).

• To delete either the primary taxpayer's individual or the joint return, you will enter that SSN on the Delete Client files screen.

• Then you will be prompted to select between the Individual (MFJ) (the joint return) and Individual (MFS Split) (the split return).

PPR Users

PPR Users will not be charged for the primary taxpayer's split return because it has the same primary SSN information as the joint return. The spouse’s return must be counted or paid for when it is first opened. To open the spouse's split return, go to Open/Create and type in the spouse SSN​.