Hi, thank you for sharing thoughts, but main point about IRC 132 is certain states (example: New Jersey) does not consider tax deduction unlike federal, so as a result its painful using this TurboTax software since no drop down list covers entirety.
100% agree with @TaxLady1975 because Federal, NY-state, NYC may be considering tax deduction from gross but for other adjacent states, this amount need to add back to state-taxable wages, that's the concern. For this reason it TT should clearly show as "IRC 132" as "commuter benefit" not Fringe benefit. Employers might be doing in Box 14 as FRINGE for their convenience but TurboTax developers should cover these intricacies. All Box 14 items should be covered instead marking as "Other -not listed-" category. For many years its been like this (last 4 years) in TT. Some folks understand and others not. Customers are paying for trusted software I understand other customer concern.
Q: Can some one share insight if NJ-state gives tax deduction for IRC 132 from gross-wages?
NJ-Taxation department clarified and not deducting IRC 132 Commuter benefit allocation from gross and explicitly telling to add back to taxable-wage numbers.
Note: Even for Federal, NY-state, NYC also drop down should clearly show as "Commuter benefits" to avoid ambiguity.
thanks.
