ProConnect HelpIntuit HelpIntuit

Form INC 250 for Tennessee is not generating in ProConnect Tax

SOLVEDby IntuitUpdated July 03, 2023

Why is there no tax being calculated on the INC 250 form for the state of Tennessee?

Tennessee requires individuals with interest and/or dividend income of more than $1,250 ($2,500 Married Filing Joint) to file a tax return.

If the amount from the Schedule A (Form INC250, Page 2), does not exceed the exemption amount, not tax will be calculated. To ensure taxable dividends and interest are flowing to the Schedule A, they need to be marked as taxable for Tennessee:

For Interest Income:

  1. Go to Input Return Income  Interest Income (1099-INT, 1099-OID) 
  2. Select  Details for the applicable 1099-INT.
  3. Scroll down to Other and * check box *Taxable to Tennessee {TN}

For Dividend Income:

  1. Go to Input Return Income  Dividend Income (1099-DIV).
  2. Select Details for the applicable 1099-DIV.
  3. Scroll down to Other and * check box *Taxable distribution {TN}.

For amounts entered in Other Interest/Dividends:

  1. Go to Input Return State and Local  Income  TN Income.
  2. Enter taxable amounts in Tennessee Taxable Interest and Dividends section.

For Schedule B, Non-Taxable Dividends and Interest, the amounts will flow from:

  • Any 1099-INT entered in Interest Income, that doesn't have the Taxable to Tennessee {TN} checked in the Other section.
  • Any 1099-DIV entered in Dividend Income, that doesn't have the Taxable distribution {TN} checked in the Other section. 
  • Amounts entered in Other Interest or Other Dividends in, Tennessee Income, in the Tennessee Non-Taxable Interest and Dividends section. 

Was this helpful?

You must sign in to vote, reply, or post
ProConnect Tax

Sign in for the best experience

Ask questions, get answers, and join our large community of Intuit Accountants users.

Dynamic AdsDynamic Ads