All of those count except social security (social security income is deducted on the OH return).
To qualify for this credit, you and your spouse must each have at least $500 of qualifying income and jointly file your return. "Qualifying income" is any amount included in Ohio adjusted gross income, other than the following:
●Interest;
●Dividends and distributions;
●Capital gains; AND
●Rents and royalties
Then, any Ohio schedule A deductions (like excess medical expenses) or Federal adjustments (the most common being an IRA deduction) must be subtracted from the qualifying income. If either spouse has less than $500 net, you will not qualify for the Joint filing credit. Take a look at the allocation form that TT does, it should show these adjustments.
In the "forms mode", look at the Joint Filing Credit Allocation Worksheet.
Did you have any of the following:
-medical expenses exceeding 7-1/2% of AGI
-IRA deductions
-student loan interest deduction
-1/2 self employment tax deduction
-educator expense deduction
-alimony deduction
-out of state military pay
-any other adjustments on Ohio sch A
-Small Business Deduction
If so, and those items were deducted from your qualifying income, would that income be reduced to less than $500?
Your Ohio joint filing credit might be missing for a few reasons:
For more details, you can check out these resources:
Do these count as qualifying income:
Spouse 1
- retiree life insurance, with a W2 supplied
Spouse 2
- deferred income paid after retirement - W2
- company pension - 1099R
- Social Security - 1099SM
All are above $500
Thank you.
If Spouse 1's income is not reported in Box 1 of the W-2, it may not count as qualifying income. Does your Ohio AGI exceed 75K?
It's possible that you actually qualify for this credit, but don't need it.
The Joint Filing Credit is a non-refundable credit, meaning that it can only offset any tax that you might owe. To start your taxable income computation, the Ohio return starts with your federal return's adjusted gross income, then makes state adjustments and exemptions, among other computations, so it's possible you have no Ohio tax liability. If you don't have any state tax liability on Form IT 1040, line 8c, there's no tax to offset.
If you feel you qualify for the Ohio Joint Filing Credit and are not receiving it, let us know and we'll try to help.
Here's how you can Contact TurboTax Support for more help.
All of those count except social security (social security income is deducted on the OH return).
To qualify for this credit, you and your spouse must each have at least $500 of qualifying income and jointly file your return. "Qualifying income" is any amount included in Ohio adjusted gross income, other than the following:
●Interest;
●Dividends and distributions;
●Capital gains; AND
●Rents and royalties
Then, any Ohio schedule A deductions (like excess medical expenses) or Federal adjustments (the most common being an IRA deduction) must be subtracted from the qualifying income. If either spouse has less than $500 net, you will not qualify for the Joint filing credit. Take a look at the allocation form that TT does, it should show these adjustments.
In the "forms mode", look at the Joint Filing Credit Allocation Worksheet.
Did you have any of the following:
-medical expenses exceeding 7-1/2% of AGI
-IRA deductions
-student loan interest deduction
-1/2 self employment tax deduction
-educator expense deduction
-alimony deduction
-out of state military pay
-any other adjustments on Ohio sch A
-Small Business Deduction
If so, and those items were deducted from your qualifying income, would that income be reduced to less than $500?
Thanks for your response!
Per above, Spouse 1 had Sch A adjustments for Health Ins. premiums for $10k, which is more than the qualifying income for retiree Life Ins. on the W2. I assume that would totally negate the qualifying income, hence no joint filing credit.
Best regards.
@Hal_Al It looks like there is a bug in the calculation of the joint filing credit in the Desktop version of TurbotTax. I created a test tax return with a dummy W-2 for me and a dummy 1099-NEC for my spouse, each with income higher than $500. In the tab State Taxes, state Ohio, under "Credits and taxes", clicking "Revisit" for "Joint filing credit" asks: Tell us more about your life with <spouse>. Ohio taxes. Business Income Deduction ($n,nnn). When checking "(x) Belongs to <spouse>", the next screen gives no joint filing credit. When checking "(x) Belongs to <me>" gives Joint filing credit. It should be the other way around!!!!