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Writer's pictureCraig W. Smalley, E.A.

YOUR MONEY - State taxes are too hard for mere mortals to compute

By Beth Pinsker


NEW YORK, March 1 (Reuters) - Can regular people calculate their state taxes in light of the new U.S. tax law?


No way, experts say.


"There isn't a way to figure it out," said Craig Smalley, an enrolled agent tax preparer in Orlando, Florida. "I've worked with clients all over the United States. There's nothing you can do."

But surely, users of do-it-yourself software can get a little window into what is going on?

TurboTax's answer is that you need not know the intricacies of state law. The software "automatically imports your information into your state tax return from your federal tax return," explained Lisa Greene-Lewis, a CPA and tax expert with TurboTax.


The Tax Cuts & Jobs Act passed in December 2017 has already created a particularly challenging tax year. But situations in the 44 states that levy income tax are even more confusing.


Some states are following federal rules, but others like New York have broken ranks. Some, like New Jersey, have never been on board.


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