I am putting the info from it into Turbotax and the program is asking me questions I don't recall ever being asked before. The state of Texas determines how much of her pension is taxable and how much is tax free. We don't use the simplified method or the general rule to calculate the tax free amount, ourselves. The state of Texas determines that and it's reported on the 1099 each year.
This year Turbotax is asking me the annuity start date, the plan cost, the tax free amount previously recovered, and the death benefit exclusion. All questions I don't see the point in since the state of Texas tells us what is tax free and what is taxable on the 1099. And I don't recall the program has ever asked us for this information before this year. If every Texas teacher has to answer these questions, I can see the state getting inundated with emails and telephone calls each year. Does anyone understand what is going on? I don't. I can't get past this part of doing the taxes without answering the questions. Any help? I don't believe the questions are necessary. I don't need turbotax to calculate the tax free portion. The state of Texas has already done that and reported it on the 1099. Thanks for any help.
