itonewbie
Level 15

Since wages tax has already been fully withheld by the City of Brotherly Love and no Philly return will be prepared, ProConnect Tax is a bit dumb in figuring the Other State Tax Credit.  A bit of help from you will be needed.

  1. Head to State & Local > Other State Tax Credit > NJ Other State Tax Credit;
  2. State Abbreviation: Leave blank;
  3. Other jurisdiction, if not a state: Enter Philadelphia;
  4. Income taxed by other state [Override]: Enter Philadelphia wages;
  5. Tax paid to other state [Override]: Enter Philadelphia LIT.

ProConnect Tax will then prepare NJ-COJ and compute the credit with the proper limit automatically.  Double check to make sure the computation is correct.

The computed amount will flow to NJ-1040, Line 44 with code 52, which stands for Philadelphia.

---------------------------------------------------------------------------------
Still an AllStar