This article will help you report the Kansas elective pass-through entity tax (sometimes called PTE, PTET, or SALT workaround) and the resulting credit in ProSeries.
Table of contents:
|‣ To claim the credit on the 1040 return:
|‣ To generate PTE on a 1065 or 1120S
To claim the credit on an individual return:
- Go to Form K-40
- Under the Kansas Refundable Credits section, enter the amount on line 26 Credit for tax paid on K-120S.
To generate PTE for a partnership and S Corporations:
- Open the K-120S p1.
- Check box N for Are you electing to be subject to tax at the entity level? and calculates tax on page 2, and completes Part IV - Partners or shareholders distribution of income on page 5.
- Open the Schedule K-1 Equivalent Worksheet.
- Check the Electing to pay tax on Form K-120S box for any applicable members.