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Retirement tax questions
The payor is required to send you the LTC and you know that it isn't taxable. You can leave it off your return since it has no tax implication or you can pick an easy method to report it not using Form 8853. Add the income and then subtract it all in one area.
First enter the income:
1. go to the federal income section
2. scroll to the bottom
3. Miscellaneous Income, 1099-A, 1099-C, Start
4. Scroll to the bottom
5. Other reportable income, Start
6. Other taxable income?
7. Select YES
8. Description 1099-LTC
9. Amount, enter your amount
10. Continue
Subtract:
1. Other taxable income?
2. Select YES
3. Description 1099-LTC not taxable
4. Amount, enter negative of same amount
5. continue
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March 6, 2024
10:20 AM