BillM223
Expert Alumni

State tax filing

@LGFS0815

 

It is nonsensical to have state tax withheld but report no state distribution.

 

Since it's New York, I have to wonder if the problem is that the issuer of the 1099-R knew that this distribution was not taxable in New York, so entered blank for the state distribution amount in box 14. But if that were the case, why did they withhold state tax?

 

It's just as likely that the issuer of the 1099-R simply failed to enter the appropriate number in box 14.

 

Have you called the issuer to ask if they made a mistake on the 1099-R? If they say "Yes", ask them why they withheld state tax if there was no state distribution.

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