BiBi3
Returning Member

Deductions & credits

Thank you, the workaround provided a way to apportion the U.S. Obligations for correct subtraction from income in GA and MD returns.

 

To summarize to problem:

1) The total amount of U.S. obligations is entered into the Federal tax review. U.S. Obligations are not taxed by states so should be subtracted from state income.

2) TurboTax automatically enters the entire U.S. Obligations amount into both GA and MD returns, even though part year resident in both states. It is not possible to apportion U.S. Obligations amount for each state, nor is it possible to apportion in forms view.

 

To summarize the workaround:

1) In the Federal review, enter only the apportioned U.S. Obligations amount for MD.

2) Then TurboTax automatically enters the correct (apportioned) amount into the MD return.

3) TurboTax also automatically enters the apportioned amount into the GA return. In GA, enter the amount needed to reach the correct apportionment under Adjustments and label it U.S. Obligations. This results in two GA U.S. Obligation lines (Schedule 1 Line 10 AND Line 12) that combined reach the desired amount.

This gives the correct apportioned U.S. Obligations amounts in both states, although a kludge. 

 

This IS a bug in TurboTax that needs to be corrected. The bug is that the U.S. Obligations are automatically put into the state returns for part year residents, when it should be possible to correctly apportion the amounts between the two states.