topic 2019 NYS IT-196 Line 5 Error? in State tax filing

2019 NYS IT-196 Line 5 Error?

Phil64 — Mon, 23 Mar 2020 19:50:00 GMT

I am filing NYS IT-201 for 2019 and did not Itemize for federal purposes therefore I did not complete a Schedule A; however Turbo tax is including the NYS withholdings from my W-2 as an Itemized deduction. I do not believe this is correct as the instructions state "Lines 5 through 7 – If you claimed an itemized deduction for state and local taxes you paid on your federal income tax return, enter the applicable amounts from federal Schedule A, lines 5a, 5b, and 5c." Since I did not Itemize I believe these should be zero, but even if it allows the Real Estate taxes in line 6, I don't think it should include the W-2 withholdings as an itemized deduction.

Maybe I am wrong but if not how do I override this and take the standard deduction?

TIA

Phil

Re: 2019 NYS IT-196 Line 5 Error?

ReginaM — Mon, 23 Mar 2020 22:27:56 GMT

I am sorry, I tried to duplicate in TurboTax the screen where you are required to use your W-2 withholdings for a State of New York Itemized Deduction as you explained above, and could not. What the State of New York is trying to do, is to allow you take your entire state and local taxes you paid for the year (the IRS limits this deduction).

You may want to list all of your itemized deductions in TurboTax, so that it can figure out if you can itemize your deductions for the State of New York.

For more detailed information, please see State of New York Filing Instructions

Re: 2019 NYS IT-196 Line 5 Error?

Phil64 — Tue, 24 Mar 2020 11:42:24 GMT

Thanks so much Regina, I went over the schedule again and did not realize that the State WH is actually being added as a deduction, but then in Line 41 reducing the itemized amounts by the WH (Add in and Then Reduce Lines 5 and 41). I didn't realize it because I had College Tuition deduction of a very similar amount. Goes to show you I should have added it up.

Thanks again.

Phil