Question

For Illinois, why does Turbotax fill out Schedule CR? Instructions state, do NOT if "you did not pay income tax to Illinois AND another state. I didn't pay tax to CA.

Forum|Forum|4 years ago
February 20, 2022
1 reply
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Yes I lived in and worked a paid internship in California, but all the tax was reported on W2 in Illinois, my primary residence before and after the internship. Did not pay tax in California. Seems like an incorrect application of the Illinois Schedule CR instructions. Really messing me up because as a result it will not let me electronically file.

TurboTax Deluxe Online

R

RaifH

If you were physically present in California for this internship, even if it was only temporarily, you should be paying California income tax on the income from the internship. To do this, you would have to complete a California nonresident tax return and select the portion of your wages that were earned while in California to be taxed by California.

Once you complete the California nonresident tax return, you should receive a credit for the taxes paid to California on your Illinois return. If your employer was not withholding California taxes for the internship, that does not mean that you do not have to pay their income tax.

Once the California return is completed, the Schedule CR should fill out accurately and not prevent electronic filing for Illinois.

M

maddyfarnenAuthor

Hi,

First, thank you. I did as you suggested (the first time as well). I understand I need to pay taxes, just saying that they were not originally withheld. Started the state taxes over from the beginning. I answered I was non-resident for the entire year, and showed all the income as California. Did the California return first as instructed. Still getting the same message about Illinois Schedule CR not total not matching W2 and therefore can't file electronically. Seems like a bug.

R

RaifH

When you get to your Illinois return and are allocating your income, you will come to this screen:

Please note that in your case, you will want to enter 0 as the Other State Amount since this is included as part of your Illinois income. If you have your California amount in there, then it is probably causing the error.