Interest Reporting when I move

Forum|Forum|5 years ago
February 20, 2021
1 reply
2 views

I moved from PA to SD in May. So I need to report January to April on my PA state return. I do the edit from Federal entry for Interest and it takes the edit but then Turbo Tax puts a totally different amount in the summary field for interest. The amount it uses isn't my Federal interest amount or what I entered. It's a random entry between the 2 amounts. Am I doing something wrong or is it a glitch with system? I don't know how to over ride the entry.

LenaH

Employee Tax Expert

You have to enter your full 1099-INT on your federal screen and allocate the amount that belongs to Pennsylvania on your part-year resident return. The full amount of your interest will be taxable at the federal level.

First, please adjust your interest earned to agree with the 1099-INT form received:

Open your tax return in TurboTax.
Search for 1099-INT with the magnifying glass tool on the top of the page.
Select the Jump to 1099-INT in the search results to go directly to the section to report your interest income.
Click Edit next to your 1099-INT and enter the correct information.

Next, you must allocate a portion of this interest to Pennsylvania by completing the state interview screens. Since you are filing a part-year resident return, the ability to enter this amount will be populated in your state return.

If you do not see this option, then you will need to follow additional steps below:

With your return open, select My Info in the left-hand menu.
Then, on the Personal info summary screen, please make sure your resident state (as of December 31, 2020) listed under your name is correct.
Then, scroll down to Other State Income, and select Edit.
At the Did you make money in any other states? question, answer Yes and make sure your other part-year state is selected from the drop-down.
Select Continue to return to your Personal info summary.
Click on State on the left hand side.
Confirm you see Part-Year resident return listed next to Pennsylvania.

For more information, please see How do I allocate income for a part-year state return?

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machellmccoyAuthor

Level 2

I did already enter the full amount in Federal. My info is correct for Pennsylvania and lists me as part year resident and has the correct date we moved. My issue is when I go into 1099 Interest and edit the amount, in the "summary screen" it changes what I entered to a totally different amount which is more than I received and entered for Pennsylvania. For example my interest for federal is $3400 and my interest received in Pennsylvania is $1247 for January to April. I enter this in the Adjustment Amount screen. (I moved 5/27/20 to South Dakota.) Then on my Interest Income Summary screen it puts $2153. Where is that coming from? It is not what I entered. It is doing this with all 3 entries I have for Interest.

LenaH

Employee Tax Expert

From your example, the amount you are entering in your Adjustment Amount screen is being deducted from your total interest.

$3,400 - $1,247 = $2,153

If $2,153 is showing on your Pennsylvania summary screen, then the Adjustment Amount TurboTax prompted you to enter was the amount that was not taxable in PA. If you entered $2,153 in that screen, then the summary would reflect PA taxable interest as $1,247.

@machellmccoy

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