why did turbo tax not take my state income return from the previous year and put it as income?

calendar May 16, 2009
tax
yapps26 asked:


I have always used turbo tax and this year i received a form from the IRS stating that we owed taxes on previous state income. Shouldnt Turbo tax have picked this up?
I am in the state of VA – and did itemize. Turbo tax automaticly put the income in the state files but not federal, I cant understand why that was missed?

admin News

4 Responses to “why did turbo tax not take my state income return from the previous year and put it as income?”

  1. shrtcak_3048 Says:
    May 16th, 2009 at 11:48 am

    I guess I am understanding you to say that you filed your taxes using Turbo Tax and it did not pickup your State return from the previous year?. My question is did you file the Federal without the State or what happened? I have been using Turbo Tax since 1995, and I had only one problem with it when I did not input the correct info from the beginning. It can happen to anyone. You can go back and Amend the return if that will help and I believe it will. What State are you referring to?

  2. Doctor Deth Says:
    May 16th, 2009 at 9:57 pm

    talk to Turbo tax

  3. Mark G Says:
    May 17th, 2009 at 3:31 pm

    You are only required to include state returns as income on federal taxes if you itemized deductions on a Schedule A the year before. If you did, then turbo tax should have caught that, if you didn’t, it doesn’t count as income.

    Reason: If you don’t itemize, then the tax from city and state governments gets rolled up in the standard deduction, but if you itemize, you are taking a dollar for dollar off of earned income.

    Hope this makes sense.

  4. americanfreeman Says:
    May 19th, 2009 at 1:34 pm

    Did you itemize on your federal last year, if not, then that income does not get reported.

Leave a Reply

You must be logged in to post a comment.