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How to enter Massachusetts ELT (PTE) in Lacerte

by Intuit•4• Updated 1 month 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.

Before you start:

  • To determine if your client is eligible for Entity Level Tax (also known as PTE or Pass Through Entity Tax) see PTE Eligibility.
  1. Go to Screen 53.197 Massachusetts Credit Manager Schedule.
  2. Scroll down to Section 4 - Refundable Credits Received from MA K-1s or via Credit Transfer.
  3. Under Credit Type select ELTCRD.
  4. Complete the remainder of the columns based on the information from the Massachusetts K-1 schedules.
  1. If you plan on e-filing the MA ELT on screen 1 select the Massachusetts ELT box.
  2. Go to Screen 37.194 Massachusetts Miscellaneous Information.
  3. Under Massachusetts Miscellaneous check the Investment partnership as defined in Pass-Through Entity Withholding Reg. 830 CMR 62B.2.2(2) to check the Yes. box on Form 3, page 1, line J.
  4. Go to Screen 43.193 Entity Level Tax.
  5. Under General Information check the Elect to file and pay entity level tax (Form 63D-ELT)
  6. Under 2024 Entity Level Tax Payments enter any amounts paid for the year.
  7. Complete any needed Extension or 2025 Estimated Entity Level Tax sections as needed for your client's tax situation.
  • Lacerte will automatically enter the total number of members in pass through entities and the total number of qualified members at the top of Form 63D-ELT.
  • Section 1 of the form 63D-ELT will populate based on the income from Schedule SK-1 for the total number of qualified partners.
  • The partners portion of the Chapter 63D credit will be completed at the bottom of Schedule 3K-1 under Partner’s Share of Chapter 63D Refundable Credit.
  1. If you plan on e-filing the MA ELT on screen 1 select the Massachusetts ELT box.
  2. Go to Screen 49.196 Entity Level Tax.
  3. Under General Information check the Elect to file and pay entity level tax (Form 63D-ELT)
  4. Under 2024 Entity Level Tax Payments enter any amounts paid for the year.
  5. Complete any needed Extension or 2025 Estimated Entity Level Tax sections as needed for your client's tax situation.
  • Lacerte will automatically enter the total number of members in pass through entities and the total number of qualified members at the top of Form 63D-ELT.
  • Section 1 of the form 63D-ELT will populate based on the income from Schedule SK-1 for the total number of qualified partners.
  • The shareholder portion of the Chapter 63D credit will be completed at the bottom of Schedule SK-1 under Shareholder’s Share of Chapter 63D Refundable Credit.
  1. If you plan on e-filing the MA ELT on screen 1 select the Massachusetts ELT box.
  2. Go to Screen 60.193 Entity Level Tax.
  3. Under General Information check the Elect to file and pay entity level tax (Form 63D-ELT)
  4. Under 2024 Entity Level Tax Payments enter any amounts paid for the year.
  5. Complete any needed Extension or 2025 Estimated Entity Level Tax sections as needed for your client's tax situation.
  • Lacerte will automatically enter the total number of members in pass through entity’s and the total number of qualified members at the top of Form 63D-ELT.
  • Section 1 of the form 63D-ELT will populate based on the income from the Schedule 2K-1 for the total number of qualified beneficiaries.
  • The beneficiaries portion of the Chapter 63D credit will be completed at the bottom of the Schedule 2K-1 under Beneficiaries Share of Chapter 63D Refundable Credit.
Lacerte Tax

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