I made around $8,500 in interest in '23 while living in New Hampshire. When I go through the state section of my return I'm not getting charged any taxes, is this normal?

[DawnC]

No, New Hampshire residents file a tax return if their interest and dividend income exceeds $2,400 ($4,800 for joint filers) plus there are exemptions for age, blindness, and disability.  A 5% tax is assessed on interest and dividend income.   According to your figures, there should be a tax assessed. 

Did you enter the $8500 as $85 maybe?   View your NH Tax Summary to ensure the full amount of your interest is entered.   

1. Sign in to your TurboTax account.
2. Open or continue your return.
3. Select Tax Tools from the menu (if you don't see this, select the menu icon in the upper-left corner).
4. With the Tax Tools menu open, you can then:
5. Select Tools. Next, select View Tax Summary in the pop-up, then from the left side panel, choose NH Tax Summary

[desird97]

It pulled the info right from my federal, and when I go through the state section in detail it clearly shows the correct amount. I read the same thing you posted below on the NH site earlier, which is why I was confused when my NH refund amount didn't change (still at $0).

[DMarkM1]

I could not duplicate your issue.  If using a desktop product please "Check for updates" in the online tab.  If using an online product please sign out of TurboTax, clear your browser cache and sign back in.  Here is a link that will help if needed.   

Finally, if the issue persists and you don't mind, please send us a “diagnostic” file that has your “numbers” but not your personal information, it would help.  If you would like to do this, here are the instructions: 

TurboTax Online:

Go to the black panel on the left side of your program and select Tax Tools. 

1. Then select Tools below Tax Tools.
2. A window will pop up which says Tools Center.  
3. On this screen, select Share my file with Agent.
4. You will see a message explaining what the diagnostic copy is.  Click okay through this screen and then you will get a Token number.
5. Reply to this thread with your Token number and your state. This will allow us to open a copy of your return without seeing any personal information.

TurboTax CD/Download:

If you like, you can send a copy of your return that will be scrubbed to eliminate your personal data by using these steps:

1. Click on Online in the top left menu of TurboTax CD/Download for Windows
2. Select 'Send Tax File to Agent'
3. Write down or send an image of your token number and state then place in this issue.
4. We can then review your exact scenario for a solution.
5. Please also tell us any states included in the return. This is necessary for us to view the return.

We will then be able to see exactly what you are seeing and we can determine what exactly is going on in your return and provide you with a resolution.

[desird97]

I logged out and cleared cache, but when I logged back in the problem persists. I did notice that my interest and dividends are coming up under the "Nontaxable Income Summary" section in the state return, which doesn't seem correct.

I wasn't able to find the Online/Update action that you referenced above, and I'll try to do the diagnostic piece shortly.

Thanks

[desird97]

Token: 1190785

State: NH

[DMarkM1 · Accepted solution]

In the federal interview after entering the form 1099-INT information there is a page titled, "Tell us if any of these uncommon situations apply".  You have selected the state non-taxable box which makes all the interest on that 1099 not taxable to NH. 

In the NH interview you are asked which of the below reasons is that 1099 income non-taxable. 

If none of the 1099 interest meets the criteria below, then you should "Uncheck" the box for "Our state doesn't tax all of this interest" in the federal interview. 

If some of the interest does meet one or more criteria make two separate 1099 Int entries.  One for the taxable portion and one for the non-taxable portion and check the box for the non-taxable portion only.    

• Direct US government obligations
• New Hampshire municipal bond
• Long or short term capital gains included in Line 3
• Individual retirement account/Keogh plans/other exempt retirement plans
• Liquidating distributions
• 100% of K-1 interest or dividend income from partnership/fiduciary with non-transferable shares which is subject to I&D tax
• A portion of interest or dividend income from a partnership/fiduciary with non-transferable shares which is not subject to I&D tax
• Allocation to non-New Hampshire residents or portion of estate distributed to non-taxable persons or organizations
• Specifically exempted Puerto Rico, Guam and Virgin Island bonds
• Distributive share of the entity's interest or dividend income indicated on Schedule K-1 and included in the partner, beneficiary or shareholders federal income tax return
• Return of capital
• Non-taxable portion of distribution from a "civil law foundation" pursuant to RSA 564-E

[desird97]

That did the trick, thank you!

[liyu]

I have the same issue with Turbotax desktop version. All my interests in 1040 form are transferred to NH DP-10 as non taxable interest. Please provide detail steps to correct it.

Thanks.

[AnnetteB6]

Try using the steps provided by expert DMarkM1 that helped another user:

In the federal interview after entering the form 1099-INT information there is a page titled, "Tell us if any of these uncommon situations apply".  You have selected the state non-taxable box which makes all the interest on that 1099 not taxable to NH. 

In the NH interview you are asked which of the below reasons is that 1099 income non-taxable. 

If none of the 1099 interest meets the criteria below, then you should "Uncheck" the box for "Our state doesn't tax all of this interest" in the federal interview. 

If some of the interest does meet one or more criteria make two separate 1099 Int entries.  One for the taxable portion and one for the non-taxable portion and check the box for the non-taxable portion only.    

• Direct US government obligations
• New Hampshire municipal bond
• Long or short term capital gains included in Line 3
• Individual retirement account/Keogh plans/other exempt retirement plans
• Liquidating distributions
• 100% of K-1 interest or dividend income from partnership/fiduciary with non-transferable shares which is subject to I&D tax
• A portion of interest or dividend income from a partnership/fiduciary with non-transferable shares which is not subject to I&D tax
• Allocation to non-New Hampshire residents or portion of estate distributed to non-taxable persons or organizations
• Specifically exempted Puerto Rico, Guam and Virgin Island bonds
• Distributive share of the entity's interest or dividend income indicated on Schedule K-1 and included in the partner, beneficiary or shareholders federal income tax return
• Return of capital
• Non-taxable portion of distribution from a "civil law foundation" pursuant to RSA 564-E

@liyu