topic Gambling losses applied incorrectly for State of Michigan in State tax filing

Gambling losses applied incorrectly for State of Michigan

johnnyg411 — Tue, 24 Feb 2026 06:59:31 GMT

Not sure why TurboTax imported gambling losses as a miscellaneous subtraction on my Michigan return when I took the standard deduction on my federal return. I did have numerous errors when trying to complete the federal return and getting it to finish the deductions section - it kept saying it was not done and I had to ask for help to get it to finish. No matter what it was still a standard deduction.

Just got a letter from State of Michigan saying I owe money (which I believe is actually correct after re-looking at the return). https://www.michigan.gov/taxes/rep-legal/notices/notice-new-tax-treatment-of-wagering-losses-for-casual-gamblers-under-the-michigan-income-tax-act

Just not sure why turbo tax did this... seems like an error and it should not have imported that into State return.

Re: Gambling losses applied incorrectly for State of Michigan

NCperson — Sat, 08 Jul 2023 15:50:27 GMT

@johnnyg411 - did you override anything when completing the federal or state return? what tax year are you referencing?

Re: Gambling losses applied incorrectly for State of Michigan

johnnyg411 — Sat, 08 Jul 2023 15:55:55 GMT

2022... don't remember over riding anything

Re: Gambling losses applied incorrectly for State of Michigan

Critter-3 — Sun, 09 Jul 2023 13:24:04 GMT

It is very possible you filed before the program was updated for that change to the state rules. If you open the program now and look at the state return the return may now reflect the changes the state made due to the program update. Usually if you did file and then the program has a change such as this an email alert should have been sent to you suggesting you review your return and make an amendment if needed.