How can I subtract Maryland unemployment tax in Turbotax?

[sungsc]

not sure why but I was able to see the reduction on state tax and I was actually getting some refunds but now it's back to I owing them? is this a glitch?

@Irene2805 

[russelldx2]

The Maryland tax free unemployment waiver only applies to single filers who reported under $75,000, yet when I amend my return that I filed before the tax act became effective, TurboTax is reducing the entire unemployment amount even though my FAGI substantially exceeds the $75,000.  Why is this?

 Thanks 

[DMarkM1]

The calculations appear to be correct per your post.  MD conformed to the federal exclusion plus they added another potential subtraction of remaining MD unemployment benefit from MD taxable income for qualifying taxpayers.  

Since you were eligible for the unemployment exclusion of up to 10,200 at the federal level, that reduced your Federal AGI (FAGI) which then transferred to your MD state return.  If there was remaining unemployment benefits in the FAGI and it is MD sourced and you meet the income requirements you would have been eligible for a MD subtraction for that amount from your MD income as well.

If however your income was too high, you would not qualify for that MD subtraction of any remaining unemployment benefit from MD taxable income. 

Here is a link for reference.

[russelldx2]

Thank you very much for your response.  I think what happened is that the program did not automatically trigger the update for Maryland.  When I deleted the Unemployment form then re-entered it, the program then pickled up the changes and reported the correct amount.  An old trick I should have thought of sooner.

Thanks, again.

Russell