Endow Iowa Tax Credit

[allanpowers]

I have a donation entered in my federal form that resulted in an Endow Iowa Tax Credit. This donation needs to be removed from my Iowa return.  How do I adjust my state donations while keeping it on the federal form?

[BillM223]

In your Iowa interview, there will be a screen titled "Charitable Contributions Adjustment". Answer YES that you have to adjust your federal charitable contributions because of the Endow Iowa Tax Credit.

On the next screen, TurboTax will show you the amount of the Iowa charitable contributions from the federal return. You are invited to enter the amount for Iowa (i.e., the federal amount minus the amount used for the credit in Iowa).

Later in the interview, you will be asked  about "Nonrefundable Iowa Credits and Carry Forward Credits". Answer yes, and navigate through the screens until you can add the information for this credit.

[mmen]

I'm trying to make this same adjustment in 2024.  I don't see the Charitable Deductions Adjustment screen in the Iowa Interview.  Any suggestions?

[BillM223]

They still require you to remove the amount of the contribution for the credit from your Iowa stat income (as makes perfect sense - you can't get a credit and a deduction for the same dollars), but they moved it to a strange place.

As you start your Iowa state interview, look for "Do you have any other income?". Really.

Click on Yes. The next screen will have near the bottom, "Contributions taken as credits".

Enter the amount contributed on the federal return on Schedule A. This amount will appear on line 11 of IA 1040 Schedule 1 as an addition.

Where you enter the credit has not changed.