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user17730049038
Returning Member

Bailey Settlement for NC Tax Return incorrect for 2025

For 7 years Turbotax has given me the Bailey Settlement deduction (due to receiving a federal pension in NC), but this year the amount is zero.  I've indicated Bailey Settlement in the Federal input. On the NC Form where it shows Bailey Settlement as $0, I click on "Revisit" but it does nothing. Why is it not working this year?

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2 Replies

Bailey Settlement for NC Tax Return incorrect for 2025

@user17730049038 

 

One other person had this happen.

 

The fix was to go back to the Federal 1099-R form, and put "NC" into the State box for box 15 on that 1099-R....then work your way thru the remaining questions again....nothing else required in the remaining boxes

 

Apparently, if "NC" isn't in that one box it doesn't connect for some reason.

Try to remember that for next year  .

 

...or respond back again of it doesn't work

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
user17730049038
Returning Member

Bailey Settlement for NC Tax Return incorrect for 2025

I talked with Turbotax support.  North Carolina was already in Box 15, but tech support suggested I enter the amount to be deducted, due to Bailey Settlement, in Box 16 of 1099-R, so that amount would be deducted on my NC tax return.  I did not have a Box 16 on my 1099-R, but I followed her instructions and it worked. This is strange,  as I know I did not have to do this for the last seven years.  Maybe this is just a quick fix until they update a glitch. 

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