topic Hawaii State tax in State tax filing

Hawaii State tax

APC627 — Sat, 03 Apr 2021 18:32:34 GMT

Why did my Hawaii state taxes go from owing to getting a refund then back to owing?

Re: Hawaii State tax

MaryK4 — Sat, 03 Apr 2021 18:43:36 GMT

TurboTax calculates your tax based on your entries, so each time you enter anything, the amount can change.

Re: Hawaii State tax

APC627 — Sun, 04 Apr 2021 18:16:57 GMT

Thanks, it changed automatically after the American rescue plan went into effect. I completed my taxes in January and waited to file, I owed the state at that point, then after the American rescue plan went into effect I was looking at a refund but in the review section it suggested that I wait to file state and now I owe again and it’s a different amount than what I owed before.

Re: Hawaii State tax

DMarkM1 — Sun, 04 Apr 2021 19:21:02 GMT

As you mention when you completed your returns in January the updates were not complete.

Once the American Rescue Plan was passed, TurboTax updated the federal interview but the state updates are separate. Therefore when the income was excluded from your federal return the new adjusted gross income flowed to HI showing some income as excluded.

Then when HI was updated, they did not conform to the federal American Rescue plan so the income was added back. There were probably other HI updates from January that would have made the latest tax different from what was shown in January.