QCD deduction on NC return

MBW12345 — Wed, 12 Feb 2020 21:36:28 GMT

How do I show a QCD on NC return? Needs to be added and then backed out since it should not be taxed.

Re: QCD deduction on NC return

BillM223 — Wed, 12 Feb 2020 22:28:42 GMT

North Carolina changed how QCDs were handled in the state effective January 1, 2019.

Beginning with tax year 2019, N.C. law was changed to conform to federal law that allows a federal income tax exclusion to taxpayers over the age of 70 1/2 that make qualified charitable distributions from an individual retirement plan. This change eliminates the corresponding N.C. adjustments to taxable income that were previously required."

Now there is no automatic add-back, because the QCD is already removed from federal Adjusted Gross Income. Since there is no add-back, there is no need for you to enter it as a deduction.

topic QCD deduction on NC return in Deductions & credits

QCD deduction on NC return

Re: QCD deduction on NC return