@AmyC Why do you say "none of the federal is taxable in MA"? 75% of the 1099-DIV income that I received while living in MA was from US debt per my Brokerage supplement, therefore 25% is taxed at the state level.
I'm not sure what you mean by "MA creates its own path to taxable MA income and none of the federal is taxable so all of it is left out of the calculations." This makes no sense to me.
The 1099-DIV income and US Debt exclusion each get allocated based on the time I lived in each state. Why is this not clear, am I missing something? Hopefully this will clarify my problem:
MA 1099-DIV income Before MA Exclusion = 3185
NC 1099-DIV income Before NC Exclusion = 3909
FEDERAL 1099-DIV = 7094
Total US Debt Obligations = 5522 (NOT ALL of the 1099-DIV income was from 100% US Debt!)
MA EXCLUSION due to US Debt = 2392
NC EXLCUSION due to US Debt = 3130
TOTAL State EXCLUSIONS = 5522
MA 1099-DIV income Before MA Exclusion = 3185
MA EXCLUSIONS due to US Debt = 2392
MA 1099-DIV Income AFTER EXCLUSIONS 793 (This should be my MA SCH B L7 DIV income)
TT is forcing all of the 5522 entered in the Federal return to be used in MA, wiping out ALL of the MA 3185 income and setting SCH B Line 7 = ZERO. There appears to be NO WAY to tell TT to adjust the 5522 exclusion down to 2392. Minus signs entered anywhere cause an error during the state review.
How do I get TT to exclude the proper amount of US debt so that MA SCH B L7 is correct?
