Hello,
I made contributions to an Oregon Individual Development Account this year for the purposes of home buying in the future. My understanding is that these are tax-deductible as the IDA program guide says:
Oregon IDA savers are eligible to deduct their savings portion using the OR-ASC form, in the
“Other Subtractions” section, Code 314 “Individual development account contributions.”
However, when I select the "Credits" option for "Credit for a Donation to an Oregon Individual Development Account," TurboTax asks me if I made a charitable contribution to the Oregon IDA program. If I say no, it asks if I have a carry-over credit. If I say no to that, it takes me back to the main screen. If I say yes, I did make a contribution, it asks me for my fiduciary agency's total tax credit calculation, and then it tells me I must add back the amount of my federal IDA donation if I take the Oregon Credit and to enter my federal deduction below.
What?
I did not make a charitable contribution to the program itself, I put money into an Individual Development Account. How do I just enter that I put money into my Individual Development Account with the State of Oregon? Do I need to upgrade to a different version of TurboTax in order to access the form OR-ASC?
Yes, you are correct. There is a deduction available on your OR state return for your contribution to an Individual Development Account (IDA).
In the OR state interview, on the page titled "Here's income that OR handles differently"
NOTE: The credit for an IDA "Donation" is for those who are donating matching funds to the program.
Yes, you are correct. There is a deduction available on your OR state return for your contribution to an Individual Development Account (IDA).
In the OR state interview, on the page titled "Here's income that OR handles differently"
NOTE: The credit for an IDA "Donation" is for those who are donating matching funds to the program.
Hi @DMarkM1 - thanks, the wording is slightly different on the online version so it took me a couple of clicks but I found it. Am I correct in my assumption that a tax form is not generated for my IDA contributions, it's just something I have to keep track of (pretty easy as it's the same amount of money on the same day every month)?
Thanks again!