turtle9
Returning Member

Investors & landlords

Thanks for forwarding my post to the moderators. Hopefully

they will post it to some internal bug report and tracking system

Intuit may have, or otherwise send it to product QA or developers.

 

The issue I pointed out is *not* a rare case. *Every* landlord in

Pennsylvania needs to classify *each* rental unit as

(1) part of a business activity or not; and

(2) for-profit or not, as defined by Pennsylvania,

in order to properly calculate and report state taxes.

 

Turbotax on-demand guidance implicitly assumes

that a rental can be for-profit only if it is considered

part of a business activity, as defined by Pennsylvania.

That is not true.

 

For rentals that are not part of a business activity, the

correct workaround seems to me to be to *ignore*

Turbotax on-demand guidance (help window) and

instead download and follow PA-40 instructions for

whether a rental is "for-profit" or not.  There is no

need to make adjustments in Forms mode.

 

But this workaround defeats the purpose of buying

Turbotax. Most people expect tax software to

break down the complex original tax rules and

instructions into easy-to-answer questions.

 

For the "Is this a for-profit property?" question,

I think Turbotax currently fails to provide the

correct guidance.