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incorrect NYS pension exclusion
2019 tax year, State University of NY pension in NYS return. Entered specific amount to be excluded in Governmental Pension Exclusion input. That specific amount is over $20,000. Pension Deduction Summary page then shows that specific amount on the line for 'New York deduction for government pensions' *and* $20,000 on the line 'New York deduction for other pensions'. Two deductions for the same pension entry? The total deduction ends up being almost 2X of the pension amount itself!
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State tax filing
*The Normal Case*
When you enter that you are a New York state resident, after you enter your 1099-R for your pension, there will be a series of screens. One screen will ask you to Select Your State.
When you select New York, the next screen will ask "Where is this distribution from?"
This will give you the opportunity to select the source of the pension. If you have a pension that qualifies for exclusion in New York, it will be removed from your New York return.
*Your Case*
Did you also enter the $20,000 as a subtraction or exclusion while inside the New York interview itself? If so, you should go back and remove it. The data entry immediately after the 1099-R is normally all you need to do.
**Mark the post that answers your question by clicking on "Mark as Best Answer"
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State tax filing
I'm in the same situation. NYS return automatically deducts the $20,000. I never entered it manually. I did select that the pension is from NYS education on the federal return. I can't seem to find how to remove the $20,000. I'm going over this return many times, and the worksheets, but can't find what is incorrect. It all looks correct to me.
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State tax filing
I have the exact same problem and can not figure out how to remedy it. I only entered my NYS pension. I did not enter a $20,000 exclusion and I can't get rid of it
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State tax filing
I have the exact same problem and can not figure out how to remedy it. I only entered my NYS pension. I did not enter a $20,000 exclusion and I can't get rid of it
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State tax filing
SAME problem here. It knows correctly that the pensions are not taxable by NYS, but INSISTS on adding in the $20k exclusion THAT DOES NOT APPLY. Fix this, Intuit. It tells me that I have to fix it in my Federal return, where it is already correct.
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State tax filing
NOT SOLVED. Sources are correct, pensions rightly noted that they are exempt, yet still deducting another $20k. Fix it.
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State tax filing
When I enter my Union pension info I asked questions about my IRA account not my Union pension
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State tax filing
Same problem for me. I filed for an extension hoping somebody (Turbo Tax, are you listening?) will fix this.
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State tax filing
This is still not fixed and Intuit customer service does not pick up the phone or I get disconnected.
I think I am going to have to find a different tax prep software because they obviously do not get it.
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State tax filing
It was never broken ... you must enter this in the federal 1099-R entry section only properly. Read the approved answer in this thread.
If you still need help contact support on Monday :
To call TurboTax customer support
https://ttlc.intuit.com/questions/1899263-what-is-the-turbotax-phone-number
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State tax filing
After speaking with several people at Intuit: This is a KNOWN bug and they hope to have it fixed for the 2020 version.
There is no fix for 2019 as of 12/2020 in spite of what was previously posted
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State tax filing
As of January 1, 2020, for TurboTax 2020, I have the same problem where the 20k exclusion is deducted when it should not be deducted for New York State Teachers Retirement System.
Pension Deduction Summary
We automatically calculated your New York pension deductions.
Joe Jane
Total federal taxable non-disability pensions and IRA $120,000 $48,000
distributions
New York deduction for government pensions $0 $48,000
New York deduction for railroad retirement $0 $0
New York deduction for other pensions $20,000 $20,000 <-- should be 0
Total taxable pensions and IRA distributions $100,000 -$20,000
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State tax filing
This bug is still in the tool it has not been resolved.
I am trying to prepare for 2020. My NYS & Local governmental pension payments are correctly being excluded from taxable income for NY State. However, as stated in this thread, the TurboTax tool is still applying an additional $20,000 Pension and Annuity Exclusion in NYS tax application -- and it shouldn't be. This is not a Tax Regulation or CPA question it is clearly a glitch in the software. I spoke to customer service and they said they are aware that this bug exists, they have no timeframe for fixing it.
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State tax filing
I had the same problem, but (back in August 2019) I was fortunate enough to talk with someone at TurboTax who acknowledged the problem and suggested a work-around. Looking at these recent posts, I see that not only has the problem not been solved but the work-around isn't generally known to TurboTax support.