I am a resident of Tennessee but had passive income from mutual funds derived from Georgia at various rates for various funds. For this question, let's assume the funds derived 3.0% of their value from Georgia sources (typically bonds).
I am amending my federal 2021 Income tax return due to corrected 1099 information from my brokerage. From 1099 information I entered, TurboTax prepopulated some fields in a Georgia income worksheet including "Interest Adjustments" (over $14k) that was more than the total of all the interest I earned in 2021 (about $1.4k, all earned from Tennessee sources). I also have dividends and capital gains distributions, but those have their own line items in the TurboTax Georgia worksheet. The values for interest, dividend, and capital gains numbers in the Georgia return are not the same as those on my federal return.
1. Some of my mutual funds derive about 3 % of dividends and capital gains from Georgia sources which amounts to less than $500 in 2021.
2. I can find no logical process to relate the 3% of dividends and capital gains to the Georgia interest adjustment. The dividends and capital gains values also do not readily correlate between forms 1099 and the values displayed in the Georgia forms in TurboTax — how does TurboTax calculate these?
3. Do I even need to file a Georgia Income tax return for less than $500 of passive income from Georgia sources as a non-resident? Is there now, or was there in 2021, an income threshold below which a nonresident does not have to file a Georgia state Income Tax return?
Has anyone else struggled with the same or similar issue in the last 5 years or so in the context of TurboTax and Georgia Income Tax for nonresidents? If so, any light you can shed on my dilemma would be appreciated.
Thanks!
