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Level 2
posted Apr 1, 2023 6:36:26 PM

Im trying to complete the state return portion and it keeps saying “Sch B Part 2 Code is not a valid subtraction modification code”

What do I enter to complete this portion?

1 7 2962
7 Replies
Expert Alumni
Apr 1, 2023 6:49:02 PM

To clarify your question, which state is this?

 

Level 2
Apr 2, 2023 5:48:05 AM

New York

Expert Alumni
Apr 6, 2023 5:12:11 PM

Schedule B, part 2 is the Dividends Section.  Go back to the 1099-B or 1099-DIV section of the federal return and check the entries.  There should be a screen that asks about the state dividend treatment.  @lfuller321 

 

Level 2
Apr 7, 2023 4:49:54 AM

Thank you so much! I appreciate your response. Very helpful  

New Member
Mar 16, 2024 6:57:27 PM

Having the same issue but cant find where to go after wages an income

New Member
Mar 16, 2024 6:59:14 PM

Having the same issue but cant find where to go after wages an income, can’t find the 1099 section 

Expert Alumni
Mar 17, 2024 6:53:53 AM

TurboTax transfers data from your federal return to your state return. If the info in your federal return is incomplete or incorrect, your state return won't be complete or correct either.

 

Before you begin troubleshooting your state return, go back through your federal return  and make sure everything's correct.  To go back to your 1099s or any other investment income you had, follow the steps below:

 

  1. Sign in to your TurboTax account and open or continue your return.
  2. Select Federal from the menu, then Wages & Income.
  3. Locate the section titled Investments & Savings and select Show More, then select Start or Revisit next to Interest on 1099-INT or any form that you need to review.  

Once you're done, select the State Taxes tab and review the state section. Pay close attention to the info, especially if you made changes to your federal return. There might be new sections that need to be completed.

 

@Alapage66