GnarHoff Posted February 10, 2012 Report Share Posted February 10, 2012 I have a quick question, I have a client with a 1099-R with $7,711.28 state tax withheld, but no state distribution. This causes an error: "State 1 tax withheld must not be greater than the state 1 distribution". I have no Idea what to do. any help would be appreciated. Thanks. Quote Link to comment Share on other sites More sharing options...
Margaret CPA in OH Posted February 10, 2012 Report Share Posted February 10, 2012 I always input the state distribution the same as federal. This works for Ohio as Ohio tax begins with federal agi. My guess is that it may not matter what the state distribution is or, at the least, make it equal to the tax withheld. It had to be at least that much, correct? Or you could have the client contact the originator of the 1099R and ask why it was not included on the form and what it should be. Perhaps in your state it is critical and someone else will chime in. 1 Quote Link to comment Share on other sites More sharing options...
GnarHoff Posted February 11, 2012 Author Report Share Posted February 11, 2012 It is for the state of Wisconsin. Not sure if I can just put the federal amount in. Anyone else have any ideas? Thanks, Quote Link to comment Share on other sites More sharing options...
mcb39 Posted February 11, 2012 Report Share Posted February 11, 2012 I am in WI and they often leave the state distribution out. It won't change the state income because that flows from the Federal. Put the amount of the Fed distribution in the box for the State. That will credit the client for the state tax withheld. 2 Quote Link to comment Share on other sites More sharing options...
GnarHoff Posted February 11, 2012 Author Report Share Posted February 11, 2012 Thank you very much! EDIT: One more thing, what if there is no federal withheld, but there is still state tax withheld? Quote Link to comment Share on other sites More sharing options...
mcb39 Posted February 11, 2012 Report Share Posted February 11, 2012 Thank you very much! EDIT: One more thing, what if there is no federal withheld, but there is still state tax withheld? That could be a big "Ouch" if you are referring to the same 1099R. If the question is general, all you can do is put the numbers in and the client will have to pay the tax owed to Fed. That would be a very unusual scenario as most often there is Fed tax withheld and no State. Also, be sure to take special note of the coding and enter it correctly on the 1099R worksheet. Good Luck! 1 Quote Link to comment Share on other sites More sharing options...
GnarHoff Posted February 11, 2012 Author Report Share Posted February 11, 2012 It is actually a different 1099-R of his I am referring to. He has $4945 on lines 1 & 2, nothing withheld from federal, and $240 on line 12a. But nothing in 14a. If I enter the $240 I will get an error. Quote Link to comment Share on other sites More sharing options...
Pacun Posted February 11, 2012 Report Share Posted February 11, 2012 Ask the client if he took out two distributions or only one. Quote Link to comment Share on other sites More sharing options...
mcb39 Posted February 11, 2012 Report Share Posted February 11, 2012 It is actually a different 1099-R of his I am referring to. He has $4945 on lines 1 & 2, nothing withheld from federal, and $240 on line 12a. But nothing in 14a. If I enter the $240 I will get an error. You have to put the $4945 in 14a. Same scenario as above; will not change WI taxable income. 1 Quote Link to comment Share on other sites More sharing options...
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