NYS Retirement

[gho]

It's 2/27 and NYS retirement is still coming up as taxable - re-installed and re-did Turbo, still coming up with error on State form.  Any further estimate when this will be resolved?

[gho]

Re-installed/updated TT again. Made changes as per previous posts, TT seems to treat entire sum of pension as an IRA and taxes at a rate higher than Federal tax(!) on pension. made changes to Federal form (worksheet), checked qualifies for gov exclusion.  On state, shows upp as IRA distribution (4B taxable) needs to be on 5A but can't move. Called TT help and the staff checked remotely -- told me NYS retirement is charged NYS State tax over 20% of pension (as per above, TT program charging more for state tax than for federal tax). And I thought this calculation was for Federal Social security.  This is second year of doing retirement tax, did laws change from last year? Anyway, dead end for Turbo Tax. Searching for alternative program/tax consultant unless someone has a solution -- if none, goodbye TT after 20 years....

[gho]

This option does not exist in Turbo Tax 2-27-21 updated

[earlyriser09]

Thanks for this info. Really hard to imagine that TurboTax cannot get this right. I have been filing NY State taxes with TurboTax as a retiree for years. Never had any issue. I have to purchase an additional state for NY so it costs $48 on top of what I paid for TurboTax. Absolutely unacceptable!

[cran48]

I Made a mistake on my federal tax return putting my NYS retirement amount in wrong box  didn't discover it till I started doing the state forms  changed the federal return  but still can not get state return to take off NYS retirement money as not taxed

[Donniemac]

You can try the following:  

GO TO

- FEDERAL TAXES

- Wages & Income

- IRA, 401(k), Pension Plan...  (UPDATE)

- Edit - NYS & Local Employees Retirement System

- Continue until you get to "Where is this distribution from?"

You will notice that NYSLRS is no longer listed as an option

TurboTax most likely changed your selection to US Government (Including Military)

Select "Other Pensions of New York State and Local Governments"

 Answer the remaining question and then go through New York State again to check for errors.

You can double check by clicking on the Forms tab in the upper right hand corner scroll down to New York Form IT-201 Page1-2, Line 26 should show your New York State pension amount. If it has your full retirement amount listed you should be good to go. 

Good Luck!

@cran48

[dweeberx]

I'm using Premier. NYSSL etc problem. Pension showing as fully taxable to NYS. S/B exempt.  The Turbo Tax 'fix' (ie search for 1099-r, 'jump to 1099-r' etc) found to be worthless.  It reads like it was produced by some sort os AI.   It does not solve the problem.  The solution and detail  posted by Donniemac 2/19/21 fixes it.  Use it and you s/b finished in 5 minutes.  

[1074]

Using turbotax deluxe i am unable to claim the tax exemption allowed for NYS retired employees;  Please help with a work around.

[DaveF1006]

Here is how to enter.

1. Click on Federal > Wages & Income.
2. Scroll down to the Retirement Plans and Social Security section and click on the Start/Revisit box next to IRA, 4701(k), Pension Plan Withdrawals (1099-R).  
3.  If you haven't already entered a 1099-R, you will see the screen, Your1099-R. Click Yes and then Continue.
4. You can either import your 1099-R or click on the I'll type it in myself box.
5. If you select to enter the information yourself, continue through the screens, answering the interview questions.
6. A few screens after the 1099-R entry screen, you will see a screen, Where is this Distribution From?  Here 
7. Mark the appropriate button and click Continue.

Now go to tax tools>tools>view tax summary>look at the NY Tax Summary.  See if the pension amount is listed under subtractions. If it doesn't appear, you may need to prepare your NYS return before you see the subtraction amount in the NYS tax summary.

[Tax_2021_]

Just wanted to advise the TT online community that I was just advised by TT that if you have New York State pension income there is no way for them to report the income so that it is not taxed by NYS.  They have the software coded so that any amount over $20,000 is taxed by NYS, which is not correct (as no amount of NY state pension income is taxed by NY state).  Spent several hours on the phone with TT and was advised that they cannot fix the issue and that I would need to use another tax software provider.