Separate Returns - In California, community income or deductions must generally be split equally between the spouses. Salaries and wages earned during marriage are community income. When spouses separate with no intention of resuming marital status, the income of each spouse during the period of separation is his or her separate property.

Community Income - When a married couple files separate returns, each spouse is required to report all income from his or her separate property and one-half of any community income. Non-resident spouses follow the rules of their state of domicile to determine whether income is considered community income. A non-resident spouse that is domiciled in a separate property state would report his or her earnings as separate income.