All Posts

The formula that TurboTax uses, which is described on page 24 of the Ohio IT-1040 instructions, is to make a ratio of the number of years of military service divided by (the number of years of military service plus the number of years of civilian employment with the US government) and multiple this ratio times the federal civil service pension attributable to military service. This gives a deduction that is subtracted from Ohio taxable income on line 2b on the IT-1040.   In the example given in the Ohio IT-1040 booklet (link above), the amount of pension in line 1 of the IT-1040 was $90,000, the number of years of military service was 10 years and the number of years of civilian employment within the US government was 20 years. This gives us 90,000 times (10/(10+20)), or 90,000 times 1/3, or 30,000 for the federal civil service pension deduction.   In the step-by-step interview for Ohio, on the screen with the title "Military Retirement and Civil Service Pension Income", you would enter zero for the military retirement income, 90,000 for the federal civil service pension income, 10 years in the military, and 20 years for the time in the US government.   Given the formula above, the deduction is smaller when the years of military service is smaller, so your Ohio taxable income increases along with your tax.   I do not see how "I get more back when I have Zero military service". If the number of years of military service goes to zero, as you say, then the Uniformed Services Retirement Income on line 34 on the Ohio Schedule of Adjustments goes to zero, so the deductions against Ohio income are smaller.   Perhaps if you would tell us what your numbers are above, so that we can see what you are talking about. Note that we in the Community cannot call you.

My problem is the same for 2025. I'm 83, DOB 10/26/1942. Hard for any software to think I'm under 73, BUT,  it isn't asking about my RMDs (3 1099Rs) and not applying the data I enter on the Forms screens for each 1099R I have. Very frustrating. Did not ask if I had RMD to enter when I started entering 1099Rs. This software has some serious problems. I think next year I'll go with H&R Block.  

I have reviewed your return and noticed a couple of things.  There seemed to be some confusion about California residency. For tax purposes, your child is a California non-resident for the entire year because he/she is only residing there for educational purposes only. Go back to your California return and go to the General Info portion and don't enter move-in dates.  Just answer the questions that will indicate they were a non-resident for the entire year.   Now to address how the $5217 number appears in line 18 of the 3800. For California non-resident filers, Line 18 on the 3800 compares the tax of the child based on their income and the tax  on your return based on your income. Whichever is the highest, that amount is reported on line 18.   Since your tax is higher, your child's tax rate on their income is charged at your tax rate rather than theirs.       

The wages and unadjusted basis of qualified business property (UBIA) would be included in your rental entries. It is likely that you don't have any wages, since you are dealing with a rental. You may have UBIA, however, since you likely have rental assets, such as the building and furniture and equipment. That would limit your deduction to 2.5% of the undepreciated value of your rental assets.    I suggest you look on the QBI component worksheet for Enterprise #1 as mentioned by @PatriciaV and see if you can enter UBIA for the rental property. It would be the cost of your assets less the depreciation taken on them. Also, you can only use an asset for UBIA purposes for ten years.    

Once you trigger the logic for a "missed" RMD, the program locks you into that workflow.  The most reliable way to reset this is to delete the Form 1099-R and re-enter it.   Open or continue your return. Under Federal tab, Click on Wages & Income. Find the IRA, 401(k), Pension Plan Withdrawals (1099-R) section, and Click on Edit/Add next to your 1099-R. On the summary screen, click the Trash Can (Delete) the form that is causing the issue... Confirm you want to delete it. Click Add a 1099-R and enter the information again. When you reach the RMD questions, simply answer "No" or "This was not an RMD". If the program thinks you missed an RMD, it may have generated Form 5329 (Additional Taxes on Qualified Plans).   Click on Tax Tools, then Click on Tools, and finally Click on Delete a form. Look for Form 5329, and Click Delete next to it. Return to the 1099-R section (the boxes should now be clear).

I installed Adobe Reader but when I try to print a tax form I get an error message. The message says that Turbo Tax could not print because it was not a supported file type or file has been damaged.  

Form 5695 is an IRS issue where their database does not accept QMID codes with "I or O," which should not be an issue for the clients. I feel TurboTax should have had an alert to notify clients when they used such a code. They should have provided a work around as IRS states for this issue. Also, that should be a simple programming issue to accept a set pattern of characters.

If the distribution is from the principal of the trust as opposed to an income distribution, it would not be taxable. Often the distribution from a trust is not taxable, rather it is used as a basis to calculate your share of income of the trust that is taxable to you. Your share of income from the trust that is taxable to you should be listed on the K-1 form you receive from the trust. You can ask the trustee more about the purpose of the distribution and whether it is taxable to you, but in and of itself it would not be taxable.

If your daughter had less than $5200 of income -- not counting any Social Security -- and you paid for over half her support in 2025, she can be a qualified dependent for whom you get the non-refundable $500 credit for other dependents and HOH filling status. Am I Head of Household?   https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-filing-status/qualify-head-household-2021/L0NxUtVc2_US_en_US?uid=m5x19jkx https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-filing-status/qualifying-person-head-household/L2TmgztNs_US_en_US   If you qualify as Head of Household, when you enter your marital status (single or married filing separately) into MyInfo, and then enter your qualifying dependent, TurboTax will offer HOH as your filing status.  

Yes, if you claim her as a dependent and she meets all the rules for a Qualifying Relative and you are either single or have not lived with your spouse for the list six months of the year.   To be a Qualifying Relative - 1. The person cannot be your qualifying child or the qualifying child of any other taxpayer. A child is not the qualifying child of any other taxpayer if the child's parent (or any other person for whom the child is defined as a qualifying child) is not required to file an income tax return or files an income tax return only to get a refund on income tax withheld. 2. The person either (a) must be related to you or (b) must live with you all year as a member of your household. 3. The person's gross income for the year must be less than $5,200 (social security does not count) in 2025 4. You must provide more than half of the person's total support for the year. 5. The person must be a U.S. citizen or a U.S., Canada, or Mexico resident for some part of the year. 6. The person must not file a joint return with their spouse with the following exception - You can claim a person as a dependent who files a joint return if that person and that person’s spouse file the joint return only to claim a refund of income tax withheld or estimated tax paid.

If this is the first time entering investments   Select Wages & Income Scroll to Investments and Savings1099-B, 1099-INT, 1099-DIV, Crypto Gain/Loss Report Did you have investment income in 2024? [Yes] A list of Financial Institutions will come up Enter a different way Five boxes will come up Select the Dividend Box - Continue How would you like to upload your 1099-B? Scroll down. Select [Type it myself] post your 1099-DIV If you entered a 1099-B previously Select Wages & Income Scroll to Investments and Savings1099-B, 1099-INT, 1099-DIV, Crypto Gain/Loss Report [Add/Edit] The screen will show previous entries Select a previously entered record or [+ Add investment]