If I am creating the 2023 Tax return how can I enter the persons Net Income for their 2023 Federal Tax Return?
Is this the deceased person's return or the return of their spouse/common law partner? Are you using TurboTax CD/Download or TurboTax Online?
Hello Susan. I am using TurboTax online. I am filing a joint return for my mother and father. My father passed in December so yes, I am filing for a deceased person. TurboTax asked me if I want to enter my mother's or my father's tax information first... I chose my mother's and I am being prompted to enter my fathers net income from the 2023 tax return. But of course I have not calculated his 2023 taxes yet. So I guess that might be where I went wrong and now trying to get back to the point where it asks me who's taxes I want to calculate first. If this is the case, I am not sure why turbo tax would give me a choice to do my mother's taxes first if I will be prompted to enter my father's net income. Please confirm if this is the case. Thank you for any help you can provide.
I'm sorry to hear of your loss.
Because you have to file your parents return separately this year, TurboTax isn't able to pull the information from one spouse to another. So, you would see this regardless of which parent you started with. To continue, you'll need to enter an estimate of your father's net income. Then, before you file, you can go back and update the number if its incorrect. You can get an estimate from previous tax returns, or by looking at his tax slips.
You also might have to do some calculations if your parents did pension splitting, as TurboTax can't automatically do it when the returns are separate.
FYI: If your father owned a principal residence at the time of his death, then you won't be able to use TurboTax Online for his return. It doesn't have the form that is needed. You can find the form in the CD/Download versions of TurboTax.
The above reply is helpful. I understand that certain credits on the deceased spouse's return may be transferable to the surviving spouse if the deceased spouse's income is low. Is there a mechanism to do this in Turbotax Online, or similar to the pension splitting does this need to be done manually?
Yes you will need make sure to enter the information on each returns as required if you do the pension splitting.
Here are some TurboTax FAQs to help you with the steps: How do I split my pension income with my spouse?
Canada Revenue Agency (CRA): How to split your pension income
Thank you for choosing TurboTax.
Hi, can you expand on the FYI? My parents jointly owned their principal residence at time of my father's death in Dec-23. Can I still use TurboTax Online?
@jns23 FYI: TurboTax Online doesn't have Form T1255, Designation of a Property as a Principal Residence by the Legal Representative of a Deceased Individual, which you would need for your father's return. You can find the form in the CD/Download versions of TurboTax.