Iowa State Help
The following information has been provided to assist in the preparation of Iowa state tax returns.
Filing Status:
The Iowa filing status is calculated based on federal. If the federal filing status is Joint, Crosslink
will optimize the Iowa filing status between 'Joint' and 'Separate on Combined Return' based on the amount of Spouse income. If Spouse income exceeds the standard deduction plus the exemption amount, Iowa filing status will be 'Separate on Combined Return'. The filing status may be overridden on field by making an entry of '2' or '3' in the 'FS Override' field.
The following worksheets are available on Form IA-1040:
- Other Refundable Credits
- Child and Dependent Care Credit
- Tax Reduction Worksheet
- Alternate Tax Worksheet
- Itemized Deductions Worksheet
- Taxable Social Security Benefits
IA Schedule A:
- Iowa Itemized Deductions
IA-2210:
- Annualized Income Installment
Iowa estimated tax will be computed based on a protective estimate. The estimated tax can be adjusted as necessary by making entries directly on the estimate worksheet.
To calculate an underpayment of estimated tax, Form IA-2210/2210F must be added. Crosslink doesn't automatically calculate the penalty.
Health insurance deduction is calculated by making an entry of 'I' in the 'State Use' field (US07OC03) on Federal Schedule A. This amount is then deducted from the total medical expenses reported on Iowa
Schedule A.
Taxpayers who have one or more dependents attending grades K thru 12 in an accredited Iowa school may take
a credit for each dependent for amounts paid for tuition and textbooks. The credit amount is 25% of the first $1,000 paid for each dependent for tuition and textbooks.