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How to enter Iowa PTE in ProConnect Tax
by Intuit•1• Updated a day ago
This article will help you report the elective pass-through entity tax (sometimes called PTE, PTET, PET, or SALT workaround) and the resulting credit.
Table of contents:
Individual
- From the Input Return tab, go to Income ⮕Passthrough K-1's. From this menu, select the type of activity:
- Partnership Info (1065 K-1)
- S-Corp Info (1120S K-1)
- Estate or Trust Info (1041 K-1)
- From along the top of the workspace, select State & Local and scroll down to the Iowa Credits section.
- If State & Local appears to be missing from along the top of the workspace, it is likely a matter of screen resolution. In this case, select it from the ⋮ menu instead.
- Under the Schedule CC subsection, 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.
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 State & Local ⮕ Other Forms ⮕ IA PTE-C - Composite Return.
Should you need to make overrides to voucher information, go to State & Local ⮕ Estimates ⮕ IA Estimates ⮕ Iowa 2023 Composite Estimated Tax.
In the event that the partnership receives a credit on a K-1, go to the Passthrough K-1's workspace and select State & Local from along the top, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.
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 State & Local ⮕ Other Forms ⮕ IA PTE-C - Composite Return.
Should you need to make overrides to voucher information, go to State & Local ⮕ Estimates ⮕ IA Estimates ⮕ Iowa 2023 Composite Estimated Tax.
In the event that the S-corporation receives a credit on a K-1, go to the Passthrough K-1's workspace and select State & Local from along the top, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.
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 the Beneficiary/Grantor Information screen.
Additional information may be needed on State & Local ⮕ Other Forms ⮕ IA PTE-C - Composite Return.
Should you need to make overrides to voucher information, go to State & Local ⮕ Estimates ⮕ IA Estimates ⮕ 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 workspace and select State & Local from along the top, and under Iowa Credits ⮕ Schedule CC, enter the amount in the Amount of credit received from PTE field.