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turbodb
New Member

Re: TurboTax does not file WA state return, even with >$250,000 in Capital Gains

Thanks @Vanessa A. This was a tax introduced a couple of years ago, as outlined here:

Capital gains tax | Washington Department of Revenue

 

The tax calculations for this are discussed here: Statement regarding the capital gains excise tax and calculation of credit for taxes paid to another... 

 

Washington uses a two-tier rate structure based on the amount of taxable gain:

  • 7% on taxable gains up to $1 million
    • This applies to total gains from $278,001 up to $1,278,000
  • 9.9% on the portion of taxable gains over $1 million
    • This applies to total gains above $1,278,000

The higher rate applies only to the excess amount, not the entire gain.

 

But what I'm understanding from you is that TurboTax doesn't support this at all?

 

Thanks!

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1 Reply
MonikaK1
Employee Tax Expert

Re: TurboTax does not file WA state return, even with >$250,000 in Capital Gains

Correct; TurboTax does not directly support the electronic filing of the Washington State capital gains excise tax return. While TurboTax helps to calculate federal capital gains and imports transactions, Washington's 7% tax on long-term gains exceeding $250,000 need to be filed separately through the Washington Department of Revenue

 

More information about Washington taxes can be found in this TurboTax blog article.

 

@turbodb 

 

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