I retired AL Teacher Retire. I live in AL and work in FL It kicks back saying "Total Alabama Wages, Form 40 Pg. 1, line 5, must equal the total amount of all State Wages?

[aharrelson50]

I retired from AL and working in Florida. I live in AL.

It keeps kicking back AL taxes saying, "Total Alabama Wages, Form 40 Pg. 1, line 5, must equal the total amount of all State Wages. How do I fix this? It accepted Federal tax. 

[aharrelson50]

Yes I said I lived in AL and added my FL income. I added AL income under IRA, Pensions and annuities. AL keeps kicking my return back. I need to know how to fix it.

[maglib]

There was a question within the Federal interview under the PERSONAL section if you earned money in other states, how did you answer that?  Is your address you enter Alabama for your return?  Since florida does not tax income, you should remove the florida return. You prepared the Federal return prior to doing any state returns, correct?

[maglib · Accepted solution]

So you are a AL full year resident so all income must be reported to AL.  During the federal personal portion of the interview did you say you worked in another state? Did you answer you lived in another state as if your residence was AL, the answer should be no.   FL is a no tax state but, all income is taxable to your home state.  

[MickeyMath]

As an Alabama resident, you will have to report all income earned on your tax return even though some of your earnings was in Florida.  Had you paid state income tax in Florida, you would be required to file a non-resident return for Florida, and then credit the Florida taxes to your Alabama return.  That is the way it works.  For your case, the Florida income is still taxable to you in Alabama.

[aharrelson50]

I reported my Florida income and added my teacher's retirement under IRA,pensions and annuities. I need to know how to fix it. State keeps kicking back. Federal was accepted.

[MickeyMath]

Good Morning.  I will try to figure out the issue for you, but it will be little while.  I am looking now.

[MickeyMath]

When you entered your Alabama retirement income, did you mark that it is not taxable in Alabama?

[aharrelson50]

Yes I did.

[MickeyMath]

Go to Forms in the upper right-hand corner of the page.  Click Forms and scroll to find Form 40 for Alabama. Click it, scroll down and find  Part 1--Other Income.  Scroll to line 5a-total pensions and annuities, move the cursor to the right into the 5a space. It will turn blue and a magnifying glass will appear. click it and then view the page to see if the Alabama Retirement Income is checked as being not taxable.   It has been suggested by another user that you need to go back and check your data input for the different income forms to see if you made an input error or oversite.  I hope this is helpful.

[aharrelson50]

Thank you so much for your help! I appreciate it! Especially since I am weak in my math skills.

[MickeyMath]

You are welcome. I am a retired teacher in Alabama, too.  Please let me know if my info was useful or helpful.  Many issues are dte input errors which are easy to correct.