Legal Question in Administrative Law in California

Re: domestic file taxes together after 5 years?

Try this link:

http://www.ftb.ca.gov/individuals/faq/dompart.html

It will take you to the FTB Web page giving the official California answer about taxes, which boils down to 'no.' Same with the IRS.

Whether your name should now appear on any recorded instruments such as deeds and deeds of trust depends on your partner's intention, as expressed in the trust and any written agreements you have about sharing property. An attorney can't answer this part of your question without access to all property-related paperwork, and should probably interview both of you as well.

Keep in mind that even when a couple marries, the separate property of each remains separate and does not become community property absent a written transmutation agreement expressing the owner's intention to change the separate property into community (or some other kind of shared ownership) property with the spouse.

There is also another way a spouse can obtain a community-property interest in the other spouse's separate property. This occurs when community funds are used to make principal reductions on a mortage, and is called a 'pro tanto' ('as much as deserved') interest. Whether a domestic partner will acquire a pro tanto interest is a question I can't answer right now. I'll research it and if I discover anything interesting, I'll post a follow-up.

Going back to the trust matter, keep in mind that forming a trust and funding a trust are separate matters. A trust, when newly written up, ordinarily doesn't contain any property. It is up to the trustor then to convey assets into the trust. If the trust is to contain real property, it must be deeded to the trust.

Re: domestic file taxes together after 5 years?

The income tax aspect is codified at Family Code section 297.5(g). You might want to review all of 297.5.

I believe the rules by which pro tanto community interests arise in marriage would also apply to registered domestic partnerships. The statute is too new, however, for there to be any case law (appellate court decisions).