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Level 1
posted Feb 27, 2024 6:43:42 PM

Georgia Retirement Income Exclusion - Capital Gains Allocation

In TurboTax Premier 2023, the Income and Retirement Worksheet for Georgia is correctly dividing the income between my wife and me except for capital gains, which it allocates totally to me.  All the supporting 1099's are marked as joint. Since I'm the only one who currently qualifies for the retirement income exclusion, allocating all the capital gains to me is to my benefit. But in past years it has divided the capital gains, so I'm assuming it is a bug. Does anyone know whether it should behave this way? 

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1 Replies
New Member
Mar 2, 2024 9:03:02 AM

I have the exact same question and situation. Wife is retired, I am not yet retired. She had a small amount of capital gains exclusively hers, the rest are joint with me and marked accordingly in the federal return. TurboTax Georgia preallocated all of the capital gains to me except for those that are exclusively hers.  When I divide the capital gains allocated to me in half (since all of mine were joint with her) and add them to her exclusive capital gains, our tax refund is reduced significantly (but not surprisingly).  Like the original poster, having to do this manually seems wrong since all of the capital gains income were already marked "joint", "taxpayer", "spouse" in the federal return. I rechecked them.