Thank you for your response. Permit me to clarify the confusion I caused in my original message. The significant capital gains ($69,603) were correctly reported on Federal Schedule D. Thus the $69,603 capital gains were included in Federal Adjusted Gross Income. Wisconsin starts with Federal Adjusted Gross Income, so the $69,603 capital gains were included in line 1 of Wisconsin Form 1. HOWEVER, line 10 on Form 1 allows a 30% exclusion for capital gains reported in Federal Adjusted Gross Income. Schedule WD is used to compute the amount of capital gain subtraction ($69,603 x 30% = $20,881) allowable by Wisconsin in computing Wisconsin taxable income. There was no Schedule WD included in the Wisconsin return that was filed by Turbo Tax, therefore there was no capital gain subtraction ($20,881) computed/allowed in computing Wisconsin taxable income. Instead of owing tax of $1,108 per the Turbo Tax Form !, I should receive a refund of $203.
To compound the issue, in preparing the Wisconsin return for filing I gave Turbo Tax my checking account information to allow a direct debit for the alleged $1,108 Turbo Tax said I owed. This return was received by the Wisconsin Department of Revenue on 2/2/20. Therefore I expect I will be charged the $1,108 before the correction to the Wisconsin return can be computed and filed via an amended Wisconsin Form 1.
If you would like to discuss this matter further, my home phone 3 is [phone number removed]. I will be home all day today (Tuesday).
Thank you very much for your assistance in resolving this issue.
