OHIO RESIDENT CREDIT NOT WORKING

[rozieCPA]

I HAVE CHECKED THE FULL YEAR RESIDENT BOX IN CLIENT INFO AND FILLED OUT THE OTHER STATE TAX CREDIT WITH STATE, INCOME TAXED BY ANOTHER STATE, AND TAX OWED TO ANOTHER STATE AND IT IS NOT CARRYING TO OHIO.  ANY IDEAS?  APPEARS TO BE A GLITCH BC IT'S BEEN WORKING BEFORE.

[PKCPAMST]

This return needs to be processed as a multi-state return.

1. You have already set up Ohio as the Resident State as of 12/31 for the client.
2. On Screen 1 – Client Info, under Returns, add the other state.
3.  In the appropriate state amount fields,  hold down the  Control and E keys to open up Allocate Multi-State Amounts screen.
4. The program will automatically complete OH IT RC and OH Schedule of Credits with the other state information.

[rozieCPA]

I DO NOT WISH TO FILE THE OTHER STATE'S RETURN. IT IS NOT REQUIRED BECAUSE A COMPOSITE RETURN WAS FILED ALREADY. I DON'T WANT TO PAY FOR REP FOR A STATE THAT IS NOT REQUIRED. I JUST WANT TO GET CREDIT FOR THE TAXES PAID TO THE OTHER STATE ON OHIO'S RETURN.  IN PAST YEAR'S IT WASN'T THIS COMPLICATED.  I JUST ENTERED IN OTHER STATE TAX CREDITS AS OVERRIDES AND IT WORKED. THANKS FOR YOUR HELP!

[JBTAX]

Did you ever get this to work?  I am having the same problem - I have a return where tax was paid by a composite return on the Ohio client's behalf in two states.  I need to enter the income and the tax paid so that it flows through to Ohio IT RC and Ohio Schedule of Credits.  However, I do NOT want to create or file the tax returns for the two other states, since the firm already filed composite returns.  When I enter the state names, income, and tax paid in the Ohio credit for taxes paid to other states area, it does not flow through to Ohio IT RC and Ohio Schedule of Credits.

[rozieCPA]

Hi there,

I called Lacerte and after some time they were able to tell me the following - hope this works for you!

Go to screen 52 OSTC

Enter everything like you normally do for the state abbreviation, income taxed by another state, and tax owed to another state.

Then go back into the Income Taxed by another state line (open the detail box). Go to the second line item under the one you entered a number in already.  Enter the IT-BUS business deduction that is on the Ohio form. If it was the max then put $250,000.

Somehow this makes it work. The Resident Credit and the IT RC should calculate and be correct.

[JBTAX]

Yes, this worked.  I am very thankful for your help!  I have been on Intuit chat several times, with no resolution.  I've been tearing my hair out trying to figure out what might help.

[RK67]

Hi RozieCPA. Thanks!!!

This worked.

I spent over three hours trying to figure it out. I should have posted sooner my issue.

[rozieCPA]

You're so welcome!  I struggled with this off and on for a couple weeks hoping there would be an update that would fix it and it never happened so I called Lacerte.  I was on the phone for an hour and the person had to get assistance from a higher up but finally got it. I still don't understand why they changed how it worked.  It was fine for years.

[pls]

Thank you so much.

[DME-CPA]

Thank you for figuring this out! This is the most non-sensical answer ever, but it worked.

[rozieCPA]

You're welcome!