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Level 2
March 4, 2024
Question

Fiduciary state income tax refunds

  • March 4, 2024
  • 1 reply
  • 7 views

In the Individual tax module, Lacerte automatically limits the taxability of state income tax refunds if there was no tax benefit due to limitations on the deduction. 

Lacerte doesn't automatically adjust the taxable state income tax refund in the Fiduciary module.  Do I simply remove the state tax refund??

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    1 reply

    sjrcpa
    Level 15
    March 4, 2024

    Yes if it is not taxable.

    I think they give you a Diagnostic about this, too.

    The more I know the more I don’t know.