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Returning Member
posted Feb 1, 2023 9:49:50 PM

1099 Misc middle class tax refund

Finally, after 4 rejections my tax return has been ACCEPTED!!  I deleted the 1099 misc form from Fed. I also removed the information from State under this misc tab that indicted California Middle class. Log out and back in.

Re-entered 1099 misc,  checked the box for California Middle Class. In description box I entered

"CA MCTR " (just like that with quotation marks) State no longer had the option to select middle class tax refund under the misc tab but it does show on my state paperwork that I filled a 1099 misc form.

Make sure to select the fix error tab on both Fed and State then continue to Efile.

I was not taxed for that refund. It now shows.... 

CA payment 700.

CA payment - general welfare exclusion -700.
Total 0.

0 3 529
1 Best answer
Level 10
Feb 15, 2023 12:36:14 PM

Jannielle,

 

Glad you got a successful transmission at last.  It wasn't until this last Friday that the CA MCTR was officially blessed by the IRS as exempt from taxation.  (California had already excluded it from state tax.)  So in some sense, you were on the bleeding edge but emerged victorious.

3 Replies
Level 10
Feb 15, 2023 12:36:14 PM

Jannielle,

 

Glad you got a successful transmission at last.  It wasn't until this last Friday that the CA MCTR was officially blessed by the IRS as exempt from taxation.  (California had already excluded it from state tax.)  So in some sense, you were on the bleeding edge but emerged victorious.

Returning Member
Feb 15, 2023 1:05:55 PM

Haha, definitely gave me heart palpitations. 

Thank you!!

Level 10
Feb 15, 2023 2:34:52 PM

And thank you, in return for providing me with new information that will be valuable to others.