2002 Windows State Workarounds and Other Notices

State Forms
This update of TaxCut State programs includes all final state forms except those noted below. All state forms will be available in a state update between January 15, 2003 and February 15, 2003.*

The following forms are not final:

Illinois
Form IL-1040-ES, Estimated Income Tax Payments for Individuals

State Instructions
All state instructions are final in this update.

E-filing
The state update enables e-filing of state returns in the following state programs.

• Alabama
• Arizona
• Arkansas
• California
• Colorado
• Connecticut
• Georgia
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Massachusetts
• Michigan
• Minnesota
• Mississippi
• Missouri
• Nebraska
• New Jersey
• New Mexico
• New York
• North Carolina
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• Utah
• Virginia
• Wisconsin

No Support for Paid Preparers
TaxCut State programs do not support paid preparers and electronic return originators (EROs).

TaxCut Help Sometimes Displays Wrong State Instructions

Problem: When accessing Help from the state Interview or from a state form, TaxCut doesn't always display the correct state instructions.

Solution: If you experience this problem, open the State Instructions book for your state in the Help table of contents and then select the correct instructions.

Return to Updates and Workarounds for the 2002 Windows State Programs .

Connecticut

Connecticut Estimated Tax Rates for 2003 June Payment Changed
Users Affected: You are affected by this problem if you meet both of the following conditions:

• You filed (or will file) a Connecticut state return; and
• You calculated (or will calculate) your estimated taxes for 2003 June payment using Form CT-1040ES; and
• Your 2003 estimated taxable income is:
  • for married filing jointly and qualifying widow(er), more than $20,000,
  • for single and married filing separately, more than $10,000, or
  • for head of household, more than $16,000.

Problem: Recent legislation increased the highest marginal Connecticut income tax rate from 4.5% to 5%.

Solution: To recalculate your June 2003 estimated tax payments, please follow these steps:

1. Download the June 2003 Estimated Connecticut Income Tax Payment Coupon For Individuals PDF by clicking here.
2. Open and print the entire document.
3. Read the instructions and complete the worksheet on page 2 to determine your June 2003 installment amount.
4. Enter your June 2003 installment amount (line 21 on the worksheet) on line 1 of Form CT-1040ES, which can be found at the bottom of page 4.
5. Mail Form CT-1040ES and your payment to:
• Department of Revenue Services
  PO Box 2932
  Hartford, CT 06104-2932

Return to Updates and Workarounds for the 2002 Windows State Programs .

New York

New York State Estimated Tax Rates for 2003 Changed
Users Affected: You are affected by this problem if you meet all the following conditions:

• You filed (or will file) a New York state return; and
• You calculated (or will calculate) your estimated taxes for 2003 using Form IT-2105MN; and
• Your 2002 New York state taxable income was:
  • for married filing jointly and qualifying widow(er), more than $150,000,
  • for single and married filing separately, more than $100,000, or
  • for head of household, more than $125,000.

Problem: The recent tax law changes in the tax rate schedules affect the amount of New York state estimated tax that individuals, estates, and trusts will be required to pay for 2003.

Solution: This problem will be addressed in an update, which should be available by the week ending June 13th.

Follow these steps to install the update and obtain your revised 2003 New York state estimated tax amounts:

1. Open your 2002 TaxCut return.
2. From the Tools menu, select Update TaxCut.
3. Follow the instructions to download and install the update.
4. From the Forms menu, select Open Forms.
5. Click the New York tab to display only New York state forms.
6. Select for IT-2105MN and click Open Form.
7. Find your revised 2003 New York state estimated tax payment amounts from the MINI-WORKSHEET for Determining Payment Amounts, which is immediately below line 28.

Note:if you have already made your April 15th or June 16th tax payments, you may need to make adjustments to your remaining payments to account for changes in the 2003 tax rates.

Return to Updates and Workarounds for the 2002 Windows State Programs .

NY Form 214: Claim for Real Property Tax Credit
Users Affected: You are affected by this problem if you meet both of the following conditions:

• You are filing a New York state return as a full-year resident; and
• You are a renter whose annual rent exceeds $5400.

Problem: When your rent exceeds the annual limit of $5,400, TaxCut allows you to continue through the Interview as though you qualifiy for the Real Property Tax Credit, but it does not accept entries on the "Household Members Information" screen. When your limit on rent paid is exceeded, TaxCut should display an Interview screen informing you that you do not qualify for the credit.

Solution: The New York state update corrects this problem. To update your New York state program, go to the Tools menu in TaxCut; and select Update TaxCut. You must install the update before e-filing your return.

NY Form IT-201 and IT-203: Pension Income Exclusion and Annuity Contract
Users Affected: You are affected by this problem if you meet all the following conditions:

• You are filing Form IT-201, New York Resident Income Tax Return (Long Form) or Form IT-203, New York Nonresident and Part-Year Resident Income Tax Return; and
• You reported pension/annuity income on your New York state return; and
• The pension/annuity income includes an annuity contract purchased with your own funds from an insurance company or other financial institution.

Problem: An annuity contract purchased with your own funds from an insurance company or other financial institution is incorrectly included in the pension and annuity exclusion on Form IT-201, line 28 or on Form IT-203, line 28.

Solution: The New York state update corrects this problem. To update your New York state program, go to the Tools menu in TaxCut; and select Update TaxCut. You must install the update before e-filing your return.

Return to Updates and Workarounds for the 2002 Windows State Programs .

Ohio

Non-resident/Part-Year Resident Tax Credit Calculation
Users Affected: You are affected by this problem if you meet both of the following conditions:

• You were a part-year resident of Ohio during 2002; and
• You did not have any Ohio source income while you were a Non-Resident.

Problem: TaxCut does not correctly calculate your Ohio Non-Resident/Part-Year Resident Tax Credit on Schedule D of your Ohio income tax return

Solution: The Ohio state update corrects this problem. Complete the following steps:

1. Go to the Tools menu; and select Update TaxCut to update your Ohio state program. After downloading the state update, it will install automatically.
2. Open your Ohio state return.
3. Click the Take Me To... button. Select the "Schedule D - Non-Resident/Part-Year Resident Credit" Interview topic; and click Go.
4. On the "Schedule D - Non-Resident/Part-Year Resident Credit" screen, click Yes.
5. Enter the information requested to complete this Interview topic.
6. Go to the File menu; and select Save.

Return to Updates and Workarounds for the 2002 Windows State Programs.