There is a note saying the 'Rita made major changes to form 37 this year...and to come back later.' When will Turbo Tax has this issue resolved? Shouldn't I be able to get a credit on my state income tax for taxes paid to a local city?
"Shouldn't I be able to get a credit on my state income tax for taxes paid to a local city?"
Yes, if your state is Michigan, or Maryland and maybe some others.
But no if you are an Ohio resident. City tax is separate from state. If you work in an Ohio city with a tax and you live in a different Ohio city with a tax; you residence city with give you a credit, or partial credit, for the tax withheld for the work city. There is no credit on ether the state or school district income tax returns for city tax paid.
Forget about using TT to do RITA. I actually find it easier to fill out a city return by hand or at the city, CCA or RITA web site, than to use TT. Things don't happen automatically and you need to know what you’re doing. The actual RITA/city forms are easier to follow than the TT interview. And that was before "major changes".
http://www.ritaohio.com/
TT cannot e-file an Ohio City or RITA return. It must be printed and mailed.