New York TP-301 (dated 11/19) to TaxSlayer Online ross Reference

New York TP-301 (dated 11/19) to TaxSlayer Online Cross Reference

Q1: Who Must File a New York State Tax Return ? NY Residents must file a tax return if they are required to file a federal return or if their federal AGI plus NY additions was more than the amount stated on TP-301 question 1 ? NY Residents must also file to claim a refund of taxes withheld or any refundable or carryover credits

Q2: Are social security benefits taxable by New York State? ? Social security (as well as Tier 1 railroad retirement) benefits included in federal AGI are exempt from NY income taxes and automatically subtracted by TaxSlayer. NY's "Who Must File" requirements still apply.

Q3: Sales or Use Tax: NYS Return Sales or Use Tax ? See IT-201 Instructions, page 27, Line 59, for "Sales and use tax chart" table for amount to enter

Q6: Noncustodial Parent NYS Earned Income Credit - Refundable (IT-209): NYS Return Credits ? Noncustodial parent paid child support through a NYS support collection unit for at least ? of the year

Q7: Volunteer Firefighter and Ambulance Worker Credit - Refundable (IT-245): NYS Return Credits ? Volunteer firefighters or volunteer ambulance workers active for the entire tax year

Q8: Real Property Tax Credit - Refundable (IT-214): NYS Return Credits ? For qualifying full-year New York State resident paying rent or real property taxes

Q9: College Tuition Credit - Refundable (IT-272): NYS Return Credits ? Paid qualified undergraduate tuition expenses for TP, spouse or dependent(s) ? Excludes non-tuition expenses or fees. Excludes tuition paid by scholarships or reimbursed by employer ? Includes payments made by cash, check, credit card, or borrowed funds or from 529 programs ? Choice of itemized deduction or credit (enter all other return data before determining which is better)

Q10: Nursing Home Assessment Credit - Refundable (IT-258): NYS Return Credits ? TP/Spouse directly paid assessment imposed on NY residential health care facility

Q11: NY Long Term Care Insurance Credit (IT-249): NYS Return Credits ? Enter full amount of LTC premiums paid for in IT-249; do not apply federal Schedule A limit to the premium ? If LTC premiums were entered as an itemized deduction, then you must also subtract them from the NY itemization by entering the federally limited amount of LTC premiums that you had included in itemization in NYS Return Itemized Deductions Subtractions from Federal Itemized Deductions. o Do NOT complete Worksheet 1 from the IT-196 Instructions as TaxSlayer will calculate Worksheet 1 on its own using your input as Line 1 of that Worksheet ? The above are the minimum instructions for handling LTC Insurance. It may be possible to optimize this further by following the detailed LTC Insurance Premiums instructions on page 5.

Q12: Credit for Taxes Paid to Another State or a Province of Canada (IT-112): NYS Return Credits ? TaxSlayer automatically calculates NYS Resident Credit if non-resident returns for other states are added o However, the NYS Resident Credit for Taxes Paid to a Province of Canada must be manually entered ? Generally, a W-2's total for boxes 16 across all states should not be greater than that W-2's box 1 amount o Manual adjustment to a state's box 16 may be required to reflect only wages sourced from that state ? NY residents are taxed on their worldwide income (including income from other states and countries) ? Follow other state's non-resident return instructions. Verify income reflected on each non-resident state return has been properly allocated to it based on income source and make any other entries as needed. o This is general guidance, but does not replace training for any state's non-resident returns.

Q13: Clean Heating Fuel Credit - Refundable (IT-241): NYS Return Credits ? Purchased bioheating fuel that is used for space heating or hot water production for residential purposes

TY2019 NY Pension and TP-301 Reference Guide v1.docx

Page 1 of 6

Q14: Solar Energy System Credit (IT-255 See Instructions!): NYS Return Credits ? Purchase, power purchase agreement, or lease expenditures for certain solar energy system equipment ? Must use solar radiation to produce energy for residential use heating, cooling, hot water, or electricity

Q15: NYS 414(h) or NYC IRC125 contributions as indicated in W-2 box 14: ? Enter via W-2's box 14 drop-down list for TaxSlayer to automatically include these as NY Additions

Q16: NYS 529 College Savings Program Contribution: NYS Return Subtractions from Income ? Contribution must be to New York's 529 College Savings Program into account owned by TP/Spouse o Other 529 programs do not qualify; maximum subtraction is $5,000 ($10,000 if Married Filing Jointly)

Q17: Interest Earned on U.S. Government Bonds: ? Includes 1099-INT box 3 interest. Also includes any portion of 1099-DIV box 1a dividend distributions that arise from income paid from U.S. government bonds or obligations. ? To subtract from NYS return: while entering 1099-INT or 1099-DIV, complete the additional entry for "Amount of Interest on U.S. Savings Bonds and Treasury Obligations that you want subtracted from your state return" and select "New York" in the drop-down list that will appear below that question

Q18: Pensions from Federal, NY State or NY local government: NYS Return Subtractions from Income Certain Pension Income is Excluded from New York taxable income (top section)

? Includes pension distributions from NYS and NY local governments or the federal government, the United States, its territories, possessions or "political subdivisions" thereof (Guam, Puerto Rico, American Samoa, the U.S. Virgin Islands, and the Northern Mariana Islands)

? RRB-1099-R is handled as an Other Subtraction; see next page.

Q19/20: Private Pensions for work performed, which are not covered by Q18: NYS Return Subtractions from Income Certain Pension Income is Excluded from New York taxable income (bottom section)

? Includes IRAs and pensions for work performed by recipient not covered by Q18 above ? Only includes distribution made at or after age 59?

Q21/22: Beneficiary of a Private Pension: ? Enter together with amounts for Q19. Multiple beneficiaries requires prorating of exclusion. ? See "1099-R Distribution Code 4" below or NYS CO-60 Pension Subtraction Handout

Q23: Received Disability Pay (IT-221): NYS Return Subtractions from Income Other Subtractions ? May apply if federally taxable disability pay received prior to reaching employer's minimum retirement age ? Upon reaching minimum retirement age, enter as regular pension and apply regular pension exclusion instead of IT-221 ? See "1099-R Distribution Code 3 (Disability)" on next page as well as IT-221 Instructions

Q24-31: NYC / Yonkers Residents and Income: NYS Return New York City and Yonkers Residents

TaxSlayer Online ? NY Credit Quick Reference

Credits Requiring Manual Entry in NY Return:

Credits Calculated Automatically based on

? College Tuition Credit (IT-272)

other TaxSlayer inputs:

? NY Long Term Care Insurance Credit (IT-249)

? NYS/NYC Household Credit

? Volunteer Firefighters & Ambulance Workers Credit (IT-245) ? Empire State Child Credit (IT-213)

? Noncustodial Parent NYS Earned Income Credit (IT-209)

? NY & NYC Earned Income Tax Credit (IT-215)

? NYS & NYC Real Property Tax Credit (IT-214 & NYC-208)

? NY Child & Dependent Care Credit (IT-216)

? Solar Energy System Credit (IT-255)

? Credit for Taxes Paid to Other State (IT-112-R)

? Nursing Home Assessment Credit (IT-258)

? NYC School Tax Credit (NYC-210)

? Clean Heating Fuel Credit (IT-241)

? Credit for Taxes Paid to a Province of Canada (IT-112-C)

BOLD Indicates Credit is Refundable

TY2019 NY Pension and TP-301 Reference Guide v1.docx

Page 2 of 6

New York Pension Subtraction Quick Reference

RRB-1099 and RRB-1099-R Pension Subtractions: ? Do not include amounts from RRB-1099 blue tier 1 (automatically subtracted as Social Security equivalent) ? Do not include amounts from RRB-1099-R green tier 2 in either the public or private pension subtractions; instead enter as SubtractionOther Subtraction (No limit applies). Enter separate Other Subtractions for taxpayer and spouse, if applicable.

Other/Private Pension Subtractions: ? TP & spouse each can exclude up to $20,000 of their own pension income; this is not $40,000 shared by both ? Also includes periodic distributions ... ? ... from an annuity contract (IRC section 403(b)) purchased by an employer for an employee and the employer is a corporation, community chest, fund, foundation, or public school ? ... of benefits from a cafeteria plan (IRC section 125) or a qualified cash or deferred profit-sharing or stock bonus plan (IRC section 401(k)) ? ... from government and tax-exempt organization deferred compensation plans (IRC section 457) ? Pensions from another country qualify even w/o 1099-R

1099-R Distribution Code D prefix/suffix, including 4D, D4, 7D, D7 (Non-Qualified Annuity): ? Do not include these distributions in pension subtractions as these do not qualify for the $20,000 exclusion ? If this is a Length of Service Award Payment then enter it as a LOSAP in Subtractions Other Subtractions

1099-R Distribution Code 1 or 2 (Early Distributions): ? True early distributions (taxpayers under 59?) do not qualify for the $20,000 exclusion ? For mistaken early distribution code 1, see NTTC Pub 4012 page H-5, footnote 2

1099-R Distribution Code 3 (Disability): ? If younger than minimum retirement age established by employer: o Check box on 1099-R screen to report income as wages o Simplified Method to recover box 9b employee contribution doesn't apply until minimum retirement age o Can't use either NY pension subtraction. Consider IT-221 Disability Income Exclusion (Other Subtractions). o Note: $20,000 applies to sum of IT-221 and other/private pension exclusions. ? Certain NYPD/FDNY line of duty disability pensions are tax free, so no pension subtraction is taken

1099-R Distribution Code 4 (Death/Survivors benefit): ? In TaxSlayer navigate to NYS Return Basic Information and select "Yes" in the drop-down list for "Were IRA Distributions from a beneficiary?" and/or "Were Pension Distributions from a beneficiary?" ? Exclusion is subject to the decedent's $20,000 limitation and age if they were still alive. If TP transfers death benefit into their own name, it now becomes subject to the TP's own age (59?) and $20,000 limitations. ? Amount of decedent's exclusion allocated to their beneficiaries is first reduced by amount the decedent subtracts on their own tax return, if any. Remaining exclusion limit is prorated across multiple beneficiaries via ratio of (individual's inheritance of pensions & annuities) / (total inheritance of P&A by all beneficiaries).

Former Spouses (Payments received pursuant to a qualified domestic relations order (QDRO): ? Direct payments from a "Public Pension" to former spouses from their ex-spouse's pension pursuant to a QDRO retain their character as NY or Federal government pension payments. Include in "Public Pensions" subtractions. ? Direct payments from a "Private Pension" to former spouses from their ex-spouse's pension pursuant to a QDRO do not qualify for the $20,000 exclusion (no subtraction)

TY2019 NY Pension and TP-301 Reference Guide v1.docx

Page 3 of 6

Qualified Charitable Distributions (QCD): ? Follow federal procedure from Publication 4012 and then ensure the NY State Distribution in 1099-R box 14 (and local box 17 if applicable) has also been reduced by the amount of the QCD. ? Boxes 14 and 17 will not have automatically been adjusted in TaxSlayer if you first saved the 1099-R entry before making the QCD adjustment in box 2a.

TaxSlayer Online ? Additional Quick Reference

Additions to Income: ? Interest income on other states' bonds and obligations is taxable by NY o As applicable, while entering federally tax-exempt interest for 1099-INT or 1099-DIV, click "ADD INTEREST ITEMS" and enter amount that is taxable by NY (for example, municipal bonds from another state) o Bonds from U.S. possessions (or "political subdivisions" thereof) are not taxable by NY (see Q18 above) ? Nonqualified NY 529 plan withdrawals (Out of Scope)

Other Subtractions from Income: NYS Return Subtractions from Income Other Subtractions ? Volunteer Firefighter\Ambulance Length of Service Award Program (LOSAP), S-130 on Form IT-225 o For periodic payments (not lump sum) received from a LOSAP at or after age 59? ? Long-Term Residential Care Deduction, S-105 on Form IT-225 o Resident in a continuing-care retirement community with a certificate of authority issued by the NYS Department of Health; includes portion of fees attributable to cost of providing LTC under a cc-contract ? Qualified moving expense reimbursements and moving expenses, S-135 on Form IT-225 ? Deduction for student loans discharged due to death or disability, S-134 on Form IT-225 o To the extent included in federal taxable income

TY2019 NY Pension and TP-301 Reference Guide v1.docx

Page 4 of 6

TY2019 Instructions for New York Returns with LTC Insurance Premiums

New York State (NYS) tax law requires that all long-term care (LTC) insurance premiums included in federal itemization be subtracted out from the NY's itemized deduction, but also provides the IT-249 nonrefundable credit for LTC premiums. The steps below must be completed in the order written. Note that all form and line number references refer to the TY2019 forms, the federal return must be completed before starting these instructions, and out of scope elements such as Schedule F are not addressed.

Step 1: Enter the NY IT-249 Credit for the full amount of the LTC premiums:

To apply the IT-249 credit, go to NY State Return Credits NY Long Term Care Insurance Credit (IT249) and complete the IT-249 entry screen:

1. Select Yes in the drop-down list for the first entry, which states "To file NY Long Term Care Insurance Credit (Form IT-249), select YES and complete the requested information below."

2. Enter the full amount of qualified LTC premiums paid for in the field for "Enter Qualified longterm care insurance premiums paid for the current tax year." Do not apply the federal Schedule A limits to the LTC premiums entered on the IT-249 screen.

3. If there is a carryover from the prior tax year's Form IT-249, then complete the field to "Enter any available Carryover of Unused Credit from line 24 of your Form IT-249."

4. Click the SAVE button.

If the NY State return uses the standard deduction, then the above is all that is required and the remainder of these instructions don't apply.

Step 2: If the standard deduction is taken on the federal return:

If the itemized deduction is actually taken on the federal return, then skip to either Step 3 if there is no Schedule C or to Step 4 if there is a Schedule C. Do not skip to Step 3 or 4 if itemization was entered on the federal screens, but the standard deduction was still used on federal 1040, line 9. If any itemization was entered on the federal screens, then compare Form 1040, line 9 to Schedule A, line 17 to determine if the standard or itemized deduction was actually taken.

If the standard deduction was taken on the federal return, then delete any LTC premiums that were entered on the federal Schedule A ? Medical Deductions ADD/EDIT PREMIUMS button. FYI:

? This will not affect the federal tax calculations since it is using the standard deduction. ? This will slightly improve the NY State return by eliminating the need to subtract these LTC pre-

miums from NY itemization and due to the fact that the TY2019 medical itemization floor is 10% of AGI for NY, but only 7.5% for federal.

If there is no federal Schedule C, then the above was all that was required and the remainder of these instructions don't apply. If there is a federal Schedule C, then skip to Step 4.

Step 3: If the federal return has no Schedule C and uses the itemized deduction:

Adjust New York itemized deductions by subtracting out any LTC premiums included in itemization: 1. Take note of the amount of LTC premium entered on federal Schedule A Medical Deductions ADD/EDIT PREMIUMS button. This can also be found on the printed tax return on the page titled "Supporting Statements for SCHEDULE A".

TY2019 NY Pension and TP-301 Reference Guide v1.docx

Page 5 of 6

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download