Lion EA Posted March 15, 2016 Report Share Posted March 15, 2016 So I do taxes for a little boy, TN resident, that his CT grandfather hired me to prepare because he's the investment banker that makes the money. (Granddaughter might be over the filing threshold this year now also.) Just been a couple of years, and I thought I was fine, e-filing and everything. Now grandfather's daughter/boy's aunt told her dad about a dividend tax for residents of the State of Tennessee for amounts of $1,250 or more. Grandfather just asked me if the grandkids are liable for the tax and if we have any penalties. What did I do wrong?! Auntie is also a TN resident and an editor/researcher and highly admired by her dad. I think my stock just fell in his eyes. And, I charged him peanuts because he's a loyal member of my husband's choir and takes us to the Met Opera annually. Help! Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 15, 2016 Author Report Share Posted March 15, 2016 Auntie gave grandfather a link to a Hall Income Tax Return that I should be filing for the grandkids: http://www.tn.gov/assets/entities/revenue/attachments/indincguide.pdf Quote Link to comment Share on other sites More sharing options...
Lynn EA USTCP in Louisiana Posted March 15, 2016 Report Share Posted March 15, 2016 Lion, while TN does not have a personal income tax that state does have a tax on interest and dividends over the magic threshold of $1,250. In my software, ATX, the information flows directly from schedule B to the TN return. The TN return may be e-filed and requires online payment via direct ppt debit. I am certain your software will also support completing and filing this form. Lynn Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 15, 2016 Author Report Share Posted March 15, 2016 I've been filing a TN INC 250 for this little boy and his investment income. But, grandfather says his daughter told him we need a Hall income tax return. Is that the same as the TN INC 250? Grandfather seems to think the Hall is something other than what we've been filing and is concerned about penalties for not filing. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 15, 2016 Author Report Share Posted March 15, 2016 OK, found the form on the TN dept. of Revenue site under Hall Income Tax Forms, and it is the Form INC 250 that we've been filing. Wish they used consistent terminology! I'm OK, right? 2 Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 15, 2016 Author Report Share Posted March 15, 2016 And, I've been coordinating with dad who's been paying online, not wanting direct debit, so all prior year's payments were made electronically on time. Hope grandfather calms down now. 1 Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted March 15, 2016 Report Share Posted March 15, 2016 I love a happy ending! 2 Quote Link to comment Share on other sites More sharing options...
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