I have been under the Pecfa Clean up fund for the last 6 years. Each year they send me a 1099-G that creates a taxable liability that should not be taxed under the state statue. I had to Amend 3 years and the IRS still shows this as taxable. Any suggestions who I can try to reach out to to get this matter taken care of properly? I have 2 more years that need amending and Iam not getting anywhere. The IRS owes me quite a bit of money over this would like to collect.
How do they report the 1099-G?
Box 6 is for taxable grants, so if it isn't taxable, they probably shouldn't report it that way.
I suggest you report the 1099-G and then make a subtraction with a description of "PECTA REIMBURSEMENT" or something similar.
Enter the 1099-G
Now you need to make an entry so that TurboTax will make the income exempt from tax.
Go back to the Wages & Income section
Scroll down to the VERY LAST option "Less Common Income" and click Show more
On this new drop-down list scroll down to the VERY LAST option "Miscellaneous Income" and click REVISIT
Now scroll down to the VERY LAST option "Other reportable income" and click Start
Select YES on the "Any Other Taxable Income?" screen
Type "PECTA REIMBURSEMENT ON 1099-G" and the same amount you entered before but as a NEGATIVE (put - in front of the number)
This NEGATIVE number should show on your 1040 line 8
Enter your E-mail address. We'll send you an e-mail with instructions to reset your password.
©1997-2022 Intuit, Inc. All rights reserved.
Intuit,
QuickBooks, QB, TurboTax, ProConnect, and Mint are registered
trademarks
of Intuit Inc. Terms and conditions, features, support, pricing,
and service options
subject to change without notice.
Security
Certification of the TurboTax Online application has been
performed by
C-Level Security.
By accessing and using this page you
agree to the
Terms of Use.
Accessibility
