@grandpaknei wrote:
See all the angry comments in this discussion. TurboTax is preventing me from filing my federal tax due to the bug in addressing NYS pensions. While doing step by step TurboTax says "if box 14 says EXEMPT, leave it blank." The last step check by Turbo Tax rejects filing federal and asks for updates to 14and 16 of NYS. The ostensible error check is that box 14 (withheld) can't be = or more than box 16 (gross distribuiton). No matter what you put in 14 ($0.00 is the only truthful value) and 16 (box 1 gross or box 2a taxable) the error keeps you looping through rejection after rejection. Numerous contributors have noted the problem with TurboTax and it doesn't seem that difficult to correct.
If box 14 does not have a dollar amount in it then there is no stat tax withheld. The 1099-R rules say when there is not tax withheld then leave boxed 14-16 BLANK. Putting anything in those boxes violates the 1099-R rules, but some payers write things there anyway and it causes errors in software that follow the rules.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
