Maryland 2011: Military Spouse Income Subtraction under Residency Relief Act is not Calculating the Subtraction
The Military Spouses Residency Relief Act provides nonmilitary spouses with choices about their state of residency and how their state taxes get handled. If the nonmilitary spouse spent time living in Maryland solely to be with the Spouse and received income for services performed in Maryland, they may qualify for an income subtraction. TurboTax does not handing this subtraction correctly and may cause your tax refund or tax due to be incorrect.
Work around - Desktop
The income subtraction that is entered through interview is not flowing to Form 505SU. To work around the issue you will need to enter the income subtraction directly on the form.
- Open TurboTax and click on the Forms icon located in the top right corner of the TurboTax window
- Click on the Open Form button in the Forms in my return section
- Expand the list of forms under Maryland
- Locate and click on Form 505SU: Nonresident Income Tax Calculation, click on Open Form
- Go to line gg and enter the income amount that should be subtracted from income
- Click on the Step-by-Step income to continue your tax return
Note: If you are using TurboTax Online, please contact us so that we can assist you in resolving the issue.