IsabellaG
Employee Tax Expert

Get your taxes done using TurboTax

We are aware of this experience, and are looking into this. In the meantime, here is a workaround for this issue: 

 

If you are using TurboTax Desktop, you can correct this manually using the steps below, 

 

To correct your itemized deductions for New York State, you can manually enter your gambling losses onto Form IT-196 using the following steps: 

 

  1. Click on "Forms" in the top right of your TurboTax screen to switch to "Forms Mode"
  2. In your left panel where it lists the forms in your return, click on "Open Form"
  3. Click on "2025  New York" (you'll have to scroll down)
  4. Then Type "Form IT-196 and click on "Open Form" in blue near the bottom of that pop-up screen
  5. Scroll down your "Forms in my Return" in your left panel of your TurboTax screen
  6. And find "It-196" which is under your New York Individual  return forms
  7. Scroll down to "Line 29, Gambling Losses"
  8. Right-click the yellow box and type in "the $ amount of your gambling losses" after "Gambling Losses"
  9. This will trigger TurboTax to recognize that itemizing deductions for New York is more advantageous than the standard deduction
  10. Your forms will populate and now your Form IT-196 shows the proper information

This manual entry will enable TurboTax to choose to  itemize your state return. 

 

You can switch back to "Step-by-Step by clicking on "Step by Step" at the top right of your TurboTax screen. You can then go through the Review and Filing process.

 

Click here for Instructions for Form IT-196 New York Resident, Nonresident, and Part-Year Resident Itemized Deductions

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