PA preparer using ATX - Please help!

[B. Jani]

I am a new york preparer working on PA resident tax.

Federal w-2 (66K) income and one 1099-misc for 27k. Federal forms are 1040 and C.

While finalizing PA, I see that 1099-misc is added to line 1 (Total 93k) in PA-40 with gross income and ALSO line 4 shows the PA Sch C (27k less 5k expenses Total of 22k) (copy from Federal Sch C minus expenses). So ATX does add 27k 1099-misc at line 1a and also Sch C brings 22k to line 4 create the PA income of 115k on line 9 and line 11 in PA-40.

Is this correct or I should remove 1099-misc income from line 1 for PA and keep the line 4 because Sch C is present for Federal as well as PA.

Can someone from PA please help.

TIA,

[Crank]

Im not using ATX this year but the 1099-Misc should not be on the "Gross Compensation" line 1a of the PA-40. It should be only on line 4 "income from business".

Hopefully someone will be along to tell you what to check or uncheck to stop it from carrying to line1.

Hope this helps.

[rfassett]

At the bottom of the screen when you are in the PA40, find the tab for Ln 1a, Ln 13 Wkst - 1099MISC. Your 1099 info should be there. Put an H in box b and make sure there is nothing in block G (there should be nothing in either of the blocks for G. This is not PA compensation, it is business income.

[B. Jani]

Thank you very much. I thought so but wasn't sure. It's a little trick ATX has always has it to fix it.

Have a nice weekend and once again Thank you.