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Bug in Software? HSA Qualified Funding Distribution Not Recognized on Massachusetts Return
I have a HSA qualified funding distribution for 2022 which was correctly included by Turbotax in my Federal return but it did not carry over to my Massachusetts return. Massachusetts adopted the Federal provision for HSA qualified funding distributions (one-time rollovers from IRAs to HSAs) for years beginning after December 31, 2006. As a work around, Turbotax does allow you to override the taxable income from an IRA for the Massachusetts return. In order to to do this, you need to go into Forms and select the Schedule X worksheet. There you can override any of the amounts displayed in blue with the correct amount of taxable income.
March 13, 2023
1:38 PM