New
Montana S Corp return
I prepare an 1120 S for a client who files in 25 states. This was the first year I did a Montana return.
The K-1 came out with 100% ordinary income allocated to Montana even though there was zero sales, payroll or property in Montana.
I was on the phone with a Lacerte service rep. I was able to fix this by going into screen 33 and putting a -1 in the two categories that the K-1 had an amount. This zeroed out the income and related deductions.
My question is why should this have happened? Since I put zeroes in all of the allocation categories for Montana, the allocation to Montana should have been zero. I feel your program needs a revision.
