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Arkansas State Tax Return Software Error
There is a software error in how the state income tax return is filed in regard to pensions and qualified IRAs for 2020. Lines 18a and 18b on AR Form AR1000F are for entering husband and wife income from pensions or IRAs. There is a box for entering the gross distribution and the taxable amount. Arkansas law gives a $6000 credit, so the taxable amount should be $6000 less than the gross amount. However, Turbo Tax completed the form by inserting the gross amount as the taxable amount. Turbo Tax got this right on my 2019 return.
March 25, 2021
8:10 AM