dmccpa
Level 3

I personally received a business covid grant from my county.  IRS says it's taxable but my state (NJ) says that any state or county covid grants are not taxable.  There is no worksheet within proseries to address this so I called.  I sent a sanitized file and was told "we can't provide you with tax advice" I said that answer is not acceptable as I'm not asking for tax advice, I am asking for data input advice.  Then I was asked to screen share, got interrupted and got disconnected.  I don't want to arbitrarily change my schedule C profit on my state return if I'm sending a schedule C with a different number on it.  The only thing I could see was a state worksheet where I could use a supporting statement under non taxable interest and put the description on the supporting statement that it's a state tax free covid grant.  I asked the support person on the phone if the description I type on the worksheet will even be seen by the state and I couldn't get an answer to that either.  Does anyone have any knowledge on this and how to handle it?

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