Why is my MA state income higher than federal?

[mlholmes7310]

My total Federal income is $122,096 and Turbo Tax transferred my information to the state forms, but for my MA income is $243,782.  I have no idea how Turbo Tax got that value, since I had only wages ($122,000) and interest ($96), can anyone help explain?  Due to the inflated amount for my state taxes, it says I owe over $11,000 to MA, when I should owe approx $5900. Unfortunately there is nobody at TT to ask since they charge $129 to ask a question.

[LindaS5247]

No, that should not be correct.  Go back and check your W-2 entries and make sure they were properly entered.  Did you have a pension income that was excluded for Federal purposes but not state?

Also, using the instructions below you can preview your returns before e-filing to see where that income is doubled somehow.  Once you narrow that down (you should be able to see by looking at your MA return where the income is too large), come back on and provide a little more details so we can figure it out.

You can view your entire return or just your 1040 form before you e-file:

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:
   • Preview your entire return: Select Print Center and then Print, save or preview this year's return (you may be asked to register or pay first)
   • View only your 1040 form: Select Tools. Next, select View Tax Summary in the pop-up, then Preview my 1040 in the left menu

You can preview your return in the TurboTax CD/Download software by following these steps:

1. With your return open in TurboTax, select Preview from the File menu at the top. (If you don't see "Preview," open your return, not just the program).
2. In the pop-up window, choose the set of forms you wish to see (all official forms, specific forms, etc.) and select Preview.
3. Scroll down to view all the forms if you chose to preview multiple forms.

[mlholmes7310]

Hi Linda - I did that and found that the problem is the amount in line 3 of my State return has a value of 243782 even though my Total Federal Income is 122096 and my AGI is 122020.  There is nowhere in TT for me to override that wrong amount on my State tax form.  This is a bug in the software or something and since I was at the deadline had to file, now its wrong and Ill need to do an amendment, but dont know how to fix it using TT.

[LindaS5247]

So the wages line was basically doubled.  On your W-2 what did it say under State Wages Box 16?  Was that entered properly into TurboTax?  If so that may be picked up by your state and corrected.

Did you file it that way?   

If so yes, you will have to amend if your state does not find and correct the error.  Wait until your tax returns have processed before amending.

If you used TurboTax Online, simply log in to your account and select “Amend a return that was filed and accepted.” If you used our CD/download product, sign back into your return and select “Amend a filed return.” You must file a separate Form 1040-X for each tax return you are amending.

You generally must file an amended return within three years of the date you filed the original return or within two years after the date you paid the tax, whichever is later if you are attempting to get a refund.

Can I use tax preparation software to amend my return?

Yes. TurboTax walks you step-by-step through amending your federal income tax return.

Click here for a TurboTax video on amending your tax return.

Click here for how to correct your federal taxes.

Click here for a TurboTax article on filing tax return amendments.

Click here for TurboTax article on amending your tax return.

Click here for additional information on amending your tax return.

[mlholmes7310]

Hi Linda

In Box 16 it says $121,781.66.  I will go ahead and do an amendment, but my problem is there was nowhere in Turbo Tax to change or fix the State wage since they automatically transfer it from Federal.  Once the return has processed I will go ahead and attempt to edit it, but am not sure if I will be able to without someone at Turbo Tax telling me how to fix the State wages and not the Federal.  I tried several times and found nothing entered wrong. 

Thank you for your responses.

Michelle

[AmyC]

The program pulls information in for MA line 3 like this:

From federal Form W-2 Wage and Tax Statement, sum of all State Wages, box 16.

If the first box 16 entry is blank on Form W-2, federal wages in box 1 are used instead. If federal wages are used and there is an amount entered on Form W-2, box 14 using the program description of "MA State or U.S. Retirement System", this amount is added to wages.

plus

- Federal Form 1040, Wages, Salaries, & Tips Worksheet, all amounts except line a, Wages and line d, Medicaid waiver payments not on Form W-2.
- Federal Form W-2 & W-2G Summary, line 8, total allocated tips.

This makes me wonder if you have a blank line above your state entry line on your w2 or another of these issues. Double check through the items above for an error.

I would recommend switching to the desktop program to do the amended return to help you locate and correct the error. See how to file an amended return.

Always be sure to save a copy of your original return before beginning an amended.
 

[mlholmes7310]

Hi Linda - I am attempting to do the amendment for the state of MA, which is approved, but only Federal is coming up.  I am following the instructions below, but it doesnt give me the option in step #4 to select which return.  Do you know why this would be?

To only amend your state return, follow the steps below

1. On the home screen, locate the Your tax returns & documents section and select Amend (change) return
2. Select Continue to amend if any of the situations or information on the screen applies
3. Select the amendment reason(s) and select Continue
4. Continue through until you reach the screen, Tell us which 20XX return(s) you want to amend and select 20XX state
(Note: If you only need to amend a state return, only select state for the tax year you are amending)
5. Finish amending the return