Has anyone prepared a NYS tax return with MFJ, both taxpayers have IRA/Pension income. Exclusion should be about $34k, Lacerte is only calculating $20k exclusion. All retirement income has been properly coded, spouse box checked off properly on the income that is hers. Waiting to hear from Lacerte as well as I emailed this just now.
When all else fails Read the Instructions: https://www.tax.ny.gov/pdf/current_forms/it/it201i.pdf
Line 29 – Pension and annuity income exclusion
Did you enter an amount on line 9 or 10 that was not from a NYS or local government pension plan or federal government pension plan? If No, go to line 30.
If Yes, and you were 59½ before January 1, 2019, enter the qualifying pension and annuity income included in your 2019 federal AGI, but not more than $20,000. If you became 59½ during 2019, enter only the amount received after you became 59½, but not more than $20,000. If you received pension and annuity income and are married, or received pension and annuity income as a beneficiary, see below.
$20,000 limit – You may not take a pension and annuity income exclusion that exceeds $20,000, regardless of the source(s) of the income.
And if you keep reading the instructions it specifically states that if you’re MFJ then EACH taxpayer is entitled to a $20k exclusion. Hence my original question. This has been existence for NYS purposes for years.
I stand corrected. Highlight the client and use Ctrl + L to open a ticket with Lacerte to report the program error. You can attach the client file to show how the input was done, so they can confirm the flaw and correct it.