I have asked this before but if someone know if DC, MD and/or VA will..........

[Pacun]

When I run the numbers, most clients who got a 401k distribution due to Covid-19 are opting for 1/3 in 2020, 1/3 in 2021 and 1/3 in 2022.  Does any one know if DC, MD or VA has pronounced on the 1/3 reporting?

[Gail in Virginia]

As far as I know, Virginia conforms to 2019, but has not passed any legislation to conform to federal as of 2020.  If they have, I have not seen anything about it and would like to.

[TAXMAN]

Last I saw from VA is they are working on it. Conform or not? I too would like to know where we stand even though VA starts at FAGI.

[Gail in Virginia]

Virginia starts at FAGI, but if they choose not to conform, like they did with Special Depreciation allowance, then we should be making an addition or subtraction for the VA return to be correct.  I have not worried a whole lot about the $300 charitable deduction (although maybe I should) but I do wonder about the tax treatment of PPP loans that are forgiven.  And I am sure there are other issues that I haven't given much thought yet.