All Posts

In 2025, we were residents of one state for 10 months, another(NC)  for 2.  So 16% of 2025 residency in NC.  In TTAX, residency info added correctly to Schedule PN.  Two issues:  1) TTAX enters line 1 column B income attributable to NC residency at 25%, not 16% which is the actual amount of the year spent as NC residents.    How did it calculate this? 2) I generated no income while we were NC residents, only my spouse.  TTAX doesn't how the income is plit based on residency, , so how does TTAX account for this?

I'm not sure how this form works in TurboTax and can't seem to find clear documentation to help me, so wondering if someone can help me through this.   Using one expense item as an example (amounts are rounded to make it easier to pose the question): using Real Estate tax as example of $10,000 with 25% of the expenses attributable to rental for me disabled mother to live with me. In the TurboTax form where expenses are entered, do I enter the total amount of $10,000 or do I enter $2,500 (the 25%)?  If I enter $10,000 where do I tell TT that the rental percentage is 25%?   This arrangement is not exactly the same as when I owned a 2-family home where one apartment was rented and upon the sale of the home, we had to pay Capital Gains tax. Is that something that I will face once I end this arrangement with my mother? I don't expect to rent to anyone else once she no longer is living in the home.   Thanks,

When can you mark a return as “Final” during probate? I’m trying to close my Mom’s estate but there seems to be a Catch 22: Seems you can’t  close an estate until the 1041 is filed, yet can’t file a "Final Return" until the estate has closed.   Maybe I file the 1041 as “final” under the theory that the estate is not closed but “terminated”?  The instructions to 1041 on p. 20 say a return is “final” if the estate is “terminated.” A Treasury Reg mentioned in another post mentions that an estate is “terminated” when all assets have been distributed except for small amounts left in accounts for contingencies 26 CFR §1.641(b).   So to get this estate closed, maybe I can: (1) transfer most of the $20,000 to myself as the only heir, (2) leave a small amount in the account for contingencies and to keep it open so that I can deposit the upcoming $2,000 federal tax refund, (3) deposit the federal refund when it arrives and then transfer the remaining balance to myself as the final distribution, (4) then file a closing statement with the Arizona probate court.   Facts: Mom died in April 2025. The estate is in informal probate in Arizona. I am the executor and only heir. The only property is $20,000 in the estate checking account made up of refunds owed prior to her death that I deposited as they came in. Mom will get a federal income tax refund on her federal 1040 return.  All debts have been paid and the estate has been fully administered except for the transfer of the $20,000. There will be no interest earned in 2026 nor any other type of income. The estate had less than $600 income in 2025. So, officially a 1041 is not required. But I’ve also read in this community that the IRS will contact you unless there is a “final” return filed.     Does this seem do-able to get the estate closed?     Thank you.

I received a letter from the NYS Dept of Taxation and Finance stating that that there was an error on my State Tax Return.   The adjusted taxable Income matched but the amount of state tax on the taxable income Line 33 was different by $37.00.  Why????