How to enter Utah PTE in ProConnect Tax

If an entity filing as a partnership or S-corporation generates voluntary taxable income, that entity may elect to pay an advance Utah income tax payment on voluntary taxable income on behalf of each individual partner, member, or shareholder who would otherwise be entitled to a distribution of that income. This election can only be made on behalf of individual partners, members, or shareholders, and if the election is made, it applies to all of the entity’s individual partners, members, or shareholders.  The election cannot be made on behalf of partners, members, or shareholders, who are an entity, estate, or trust.

On the individual tax return level, you may claim a credit equal to the amount of tax paid on your behalf by a pass-through entity to Utah under §59-10-1043.2(2), as shown on your K-1 from the pass-through entity.

Down below we'll go over how to enter PTE for Utah on Individual, Partnership, and S Corporate returns in ProConnect Tax.

Table of contents:

Individual

1. From the Input Return tab, go to State & Local ⮕ Other Credits ⮕ UT Credits.
2. Under the Nonapportionable Nonrefundable Credits section towards the bottom of the screen, enter the amount from the K-1 in the Pass-through entity taxpayer income tax credit field.
   • This amount flows to the page 1, Part 4 of TC-40A with the code AP attached.

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Partnership

1. From the Input Return tab, go to State & Local ⮕ Miscellaneous Information ⮕ UT Miscellaneous Information.
2. Under the Utah Miscellaneous section, in the House Bill 444 for PTE Taxes subsection, check the Election made to pay tax by PTE for all qualifying partners box.
3. Enter any additions in the Total Additions for PTE Credit subfield.
   • Included on Schedule K-1 as an Other Information statement.
4. Enter any taxes paid in the Total Taxes Paid by PTE subfield.
   • This amount flows to Column H of Sch N and is included on a statement for both Schedule K and K-1, line 17.

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S-Corporation

1. From the Input Return tab, go to State & Local ⮕ Miscellaneous ⮕ UT Miscellaneous Information.
2. Under the Utah Miscellaneous section, in the House Bill 444 for PTE Taxes subsection, check the Election made to pay tax by PTE for all qualifying partners box.
3. Enter any additions in the Total Additions for PTE Credit subfield.
   • Included on Schedule K-1 as an Other Information statement.
4. Enter any taxes paid in the Total Taxes Paid by PTE subfield.
   • This amount flows to Column H of Sch N and is included on a statement for both Schedule K and K-1, line 17.

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