Itemizing New York State Deductions

Forum|Forum|2 years ago
February 23, 2024
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For 2023 I have investment advisor fees of around $6,000. I understand that these are not deductible on my Federal return but can be a deduction on my New York State Return. I take the standard deduction on my Federal return, and I believe I can still itemize on my State return, but I didn't see an option in TurboTax to do so.

Thank you.

Opus 17

Employee

You list all your itemized deductions in the federal section and they flow to the state. However, even then, remember that this deduction in particular is limited by the 2% rule (if your AGI is $100,000, only deductions over $2000 are included), and remember that your total itemized deductions must be more than the state standard deduction for your filing status. Turbotax will do all this automatically. Have you looked at your NYS itemized deductions (I believe it is form IT-196).

melpaw57Author

Thank you. So I had entered all of my Federal Itemized Deductions (including the investment expenses) into TT, and it gave me the Standard Deduction. And when I got to my State return, it still gave me the Standard Deduction, so I guess I am to presume that my State Deductions are not adequate to justify Itemizing Deductions on my State Return?

LindaS5247

Yes, correct. TurboTax helps to determine whether itemizing or taking the standard deduction is best for you, based on your entries.

This will flow through to your state tax return as well, and if it was more advantageous to use the standard deduction for your state, that is what TurboTax will choose for you.

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