How to enter Iowa PTE in Lacerte

What's new for tax year 2022?

• The IA PTE-C Iowa Composite Return is new for tax years beginning on or after January 1, 2022.
• Iowa Code section 422.16B imposes composite return filing and tax remittance obligations on entities taxed as partnerships, S corporations, estates, or trusts for tax years beginning on or after January 1, 2022.
• For additional information, see the department's guidance.

Down below we'll go over how to enter PTE for Iowa on Individual, Partnership, S Corporate and Fiduciary returns in Lacerte.

Table of contents:

Individual

1. Go to Screen 20, Passthrough K-1's.
2. Under Iowa Credits ⮕ Schedule CC, enter the amount from IA Schedule K-1, Part III in the Amount of credit received from PTE field.
   • This amount will flow to the IA Schedule CC.

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Partnership

The IA PTE-C and IA Voucher (PTE-C) generate automatically when there is a nonresident partner, and as long as Exclude from Composite Return is not checked.

• The Exclude from Composite Return checkbox is located under the Iowa Information section of the Partner Information screen.

Additional information may be needed on Screen 43.341, IA PTE-C - Composite Return.

Should you need to make overrides to voucher information, go to Screen 42.341, IA Estimates ⮕ Iowa 2023 Composite Estimated Tax.

In the event that the partnership receives a credit on a K-1, go to the Screen 23, Passthrough K-1's, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.

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S-Corporation

The IA PTE-C and IA Voucher (PTE-C) generate automatically when there is a nonresident shareholder, and as long as Exclude from Composite Return is not checked.

• The Exclude from Composite Return checkbox is located under the Iowa Information section of the Shareholder Information screen.

Additional information may be needed on Screen 49.341, IA PTE-C - Composite Return.

Should you need to make overrides to voucher information, go to Screen 10, Estimates ⮕ Iowa 2023 Composite Estimated Tax.

In the event that the S-corporation receives a credit on a K-1, go to the Screen 24, Passthrough K-1's, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.

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Fiduciary

The IA PTE-C and IA Voucher (PTE-C) generate automatically when there is a nonresident beneficiary, and as long as Exclude from Composite Return is not checked.

• The Exclude from Composite Return checkbox is located under the Iowa Information section of Screen 6, Beneficiary/Grantor Information.

Additional information may be needed on Screen 60.341, IA PTE-C - Composite Return.

Should you need to make overrides to voucher information, go to Screen 12, Estimates (1041ES) ⮕ Iowa 2023 Composite Estimated Tax.

In the event that the estate or trust receives a credit on a K-1, go to the Passthrough K-1's screen, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.

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