hollistree54
Returning Member

Deductions & credits

In tax year 2019 and there is a reversal of the Premium Tax Credit from the Affordable Care Act due to income being higher than expected. Turbo Tax sent to the State of Alabama tax return 1) a higher medical expense by including the PTC reversal amount and 2) Federal Income Tax which was increased by the amount of the PTC. State of Alabama Turbo Tax used both of these to calculate Alabama Income Tax. This was an error. Alabama does not allow the PTC reversal to be included in Medical Expenses.