NJ Line 20b Incorrectly Populated

[DSG4]

Turbotax 2024 (and 2023) is populating NJ line 20b with 1099-R non-IRA rollover amounts (distribution code G) that are found on the Federal tax return (line 5a minus line 5b).  NJ line 20b is for excludable pension, annuity, and IRA distributions/withdrawals, i.e., previously taxed contributions, not for rollovers.  Per NJ GIT 1 & 2: "Do not report on your State return an lump-sum distribution you roll over to a traditional IRA, or other eligible plan if the rollover qualifies for deferral under federal income tax law. The amount rolled over (minus previously taxed amounts) is taxable later when it is withdrawn."

The Turbotax helpline agent suggested I manually remove the amount posted on NJ line 20b.  That is not the answer.  It would seem there is a Turbotax programming error that needs to be fixed.

[DSG4]

It's been a week with no response.  

Is there anyone from Turbotax who is concerned with the accuracy of the product?

[fanfare]

While it does not belong there, by a certain TurboTaxian type of logic, the rolled over amount is an "excludable IRA withdrawal". It does not affect your tax.

Evidently this is pretty low on the priority list for bugs to be fixed.

[DSG4]

While this error does not impact NJ taxable income, it has a downstream impact.  The amount in NJ Line 20b is included in income that is used to calculate eligibility for NJ's three property tax relief programs.  Erroneously inflating Line 20b could prevent some tenants and homeowners from receiving property tax relief benefits for which they would otherwise be eligible.

[rjbu]

This was broken last year and reported to them, and they still have not fixed it, so I don't have much hope they will ever fix it.

If you open the NJ-1040 P2 in the Forms View, you can right click on the incorrect Line 20b amount and choose Data Source, and it will open a popup window showing what it is totaling up to get that line.  Then you can see if you have values from the Pension, Annuities and IRA Worksheet that really should be added in to come up with the correct total.  

Then right click and chose Override and put in the correct value.

[DSG4]

Thank you for how to manually correct the entry.

Unfortunately, the "Average Joe" Turbotax user wouldn't know if incorrect values are included in NJ Line 20b. He assumes Turbotax provides an accurate tax return.