When filing my Illinois State return, Turbo Tax is not recognizing the tax credit for my personal residency?

[mrc1223]

Filing simple return, property tax credit should be .05%, this is the first year that Turbo Tax is not recognizing

[JamesG1]

I am able to report the Illinois Property tax credit on Illinois Schedule ICR line 5.  The credit is also reported on Illinois form IL-1040 line 16.

Illinois Property tax credit can be located under Credits and taxes under the Illinois state tax return.  You must pass through several screens to qualify for the credit.

@mrc1223 

[bensiegel1]

I have the same issue. TurboTax shows line #16 as blank. When e-Filing direct through the state of IL there is a value there that decreases my overall taxes due. I assume the state site is correct and turbotax is in error. Is that the community's understanding as well?

[JamesG1]

I am able to report the Illinois Property tax credit on Illinois Schedule ICR line 5.  The credit is also reported on Illinois form IL-1040 line 16.

Illinois Property tax credit can be located under Credits and taxes under the Illinois state tax return.  You must pass through several screens to qualify for the credit.

@bensiegel1 

[zrtqw59]

I am having the same problem. It appears to be a logic error in schedule ICR , Step 2, Section A , line 5, when comparing lines 3 and 4g.  Line 3 is current IL tax due. Line 4g is IL Property tax credit which is 5% of IL property tax paid to an IL county. I have met all the requirements to qualify for the credit on line 4g in Section A.

In my case line 3 is  almost 6 times greater than the computed tax credit  on line 4g. Both non-zero integers. Line 5 compares lines 3 & 4g and the lesser number is to be reported on line 5. Yet the comparison result is zero and not the lesser number on line 4g.

I checked last year's return which has the same comparison logic and the lessor number is correctly calculated and entered as a property tax credit.

This is clearly a logic error.

[RogerD1]

I did some entries for an IL return and found it to come out correct.  Let's go back and look at some entries:

1. In Interview mode (or step-by-step), click on State Taxes, then click Edit for the Illinois return
2. When you get to the Screen "Take a look at Illinois credits and taxes", click Edit by Property tax credit
3. On the screen "Credit for property taxes", are all of the questions there answered Yes?  Any No answers will disallow the credit.
4. On the next screen, you enter the Property Information including the County and Property Index Number (found on your property tax bill)
5. The next screen asks for portions of the taxes that were not on the residence or if they were deductible as business expense.  If neither of these apply, both boxes should have a zero.  Click Continue.
6. The next screen will say "Your property tax credit is $xxxx.xx" which should be 5% of your total property tax - as long as your tax liability exceeds that.

IL Schedule ICR in my test, showed a tax liability on line 3 over 3x the property tax credit amount.  Line 4g and 5 were identical and equal to the property tax credit determined on step 6 above.  This figure also carried over to Form IL-1040, line 16.

If these steps don't work, you may want to consider deleting your IL return and starting over.  You can do that by clicking on File in the black banner near the upper left, then click Remove State Return.  Once you click on the Illinois return under Return Description, click Remove.  Then you can go back in the State Taxes tab and start over on the Illinois return.