As a non-resident of Georgia with income in Georgia as reported on Georgia From 700 (schedule k-1 equivalent), where do i enter this income? TurboTax isn't clear!

[IreneS · Accepted solution]

First enter the federal K-1.

Georgia does not have an actual entry for Form 700.  What you need to do is compare the amounts on the federal K-1 with the amounts reported on the GA 700.  Any differences will be reported on the GA return as additions to or subtractions from Georgia income.

To enter this information:

1. In your GA return go to the screen, Here's the income that Georgia handles differently.
2. In the Miscellaneous section click on Start/Revisit box next to either:

• Other Additions to Georgia Income -  Additions are items that get taxed on your Georgia return but not on your federal return and increase the income that Georgia will tax.
• Other Subtractions from Georgia Income - Income that is not taxable for GA purposes that was reported on your federal return.

Follow the instructions on the screens.

[rich895]

@IreneS @DanielV01 Irene, Thanks for the explanation of GA-700.  Copying Daniel also here as I have seen him responding to some of the GA 700 questions. Appreciate the help.

I also have a GA-700 and have Addition and Subtraction to the Federal K1, which I can fill using the method you mentioned in Miscellation item (addition & subtraction). However, in my case the Fed K1 for this GA-700 have depreciation, and it's negative. This was accounted as an unallowed passive loss (as there is no income yet from this K1), so it was on the Unallowed Passive loss side. The addition of GA form is just to reduce that depreciation (based on GA laws). Now when I input GA tax, its assumes this newly added GA700's addition is accounted part (there is no means to say its unallowed passive loss on Federal). Any option on Turbo tax to specific this is Unallowed Passive loss and reporting only to use it later (when there is any gain).

Thanks

Richard

[jkm88]

@rich895 Checking to see how you were able to enter your Georgia Form 700.  I am in a similar situation. I invested in real estate syndication and received a K1 - it's mostly unallowed passive loss due to depreciation.

[alta-tax1]

I'm in a similar situation as both of you.  When you file a GA state return on Turbotax, does GA impose a tax on you even though the Form 700 shows a loss on the "total income for Georgia purposes"?

My real estate syndicate hasn't returned a profit (this is year 1) and Turbotax shows that I owe a couple of thousand dollars to the state of Georgia, which doesn't make any sense to me.

Thank you!

[RobertB4444]

@alta-tax1  No, there are no special rules in Georgia that make negative numbers taxable.  However, there are a lot of ways that partnerships earn income and generate tax bills.  If you are creating a Georgia 700 then you need to go back over what you've entered and figure out what's generating the revenue.

[FTD0420]

Also need to file a Georgia Non-Resident for a Final K-1.   So what gets reported for Net Sec. 1231 Gains.  The full amount carries, but is that because it is net and basis has already been deducted?  It seems like no basis is taken into account on the gain.

[jtax1]

@RobertB4444   I am a VA resident and received a K-1 for a LLC that earned $6,009 income in GA and withheld $240 that was paid GA taxes.

The accountant that prepared the K-1 indicated that "The partnership paid in tax ($240) to help with the income from GA the G2-A will have to be attached to your 1040 to show the tax. You may have additional tax due if you have other GA source income but you will know if a refund or balance due is owe to GA once you file your return.”  

I am a VA resident with no other income earned or taxes paid in another state with this 1 exception.

Please confirm where in TT I can add this $240 that was paid for GA Taxes.  
Thank you,

[DaveF1006]

To receive a full refund of these taxes, you will need to file a Georgia non-resident tax return. As the you navigate through the return, you will subtract income that is not Georgia income but leave in the K1 income. 

You will then go to page that says Take a Look at Georgia Credits>Georgia Tax payments and Taxes Withheld>additional Tax Withheld. This is where to report the $240 that was withheld.

@jtax1

[luckydragon]

Have you figured this out? I'm in the similar situation. I only have unallowed passive loss in GA. I'm not sure if filing GA is required. Also, if it's required, but most fields will be 0. How to tell GA tax creditor that I have passive loss to carry over. 

Thanks,

[jtax1]

In my case,  I did not have to file with Georgia.  I asked the accountant who prepared the k-1 and they said to keep it with my records, no need to report to the state.