New (tax) year, new help!

Fixed Assets and UltraTax CS 2023 help is now on Help and Support. We're still moving articles, but you can find most content for the 2023 tax year there. Continue using the Help & How-To Center for tax years 2022 and older.

Pennsylvania tax law groups income and expenses into the following categories:

• Business income

• Interest income

• Dividend income

• Gains and loss from property

  Any federal Schedule D amounts will transfer to the PAD screen, in the Schedule D folder. This income category also includes non-business asset sales.

  Assets that are entered and sold in the Rent & Royalty or Farm Rental folder (and the gain/loss is reported on federal Form 1065, Page 1) will transfer to PA Schedule M, Part B. To show the gain/loss on Schedule D, enter the amount on the Sale of Property (Force) field on the federal Rent screen and/or 4835. Schedule D assets are determined by postal code. Use the PAD screen to force a Pennsylvania only amount.

• Rents, royalties, patents & copyrights

  Income is transferred from the federal Rent and 4835 screens and can be adjusted using the PARent and PA4835 screens. The state postal code entered on the federal screens determine the in-state and out-of-state income.

  Royalties from oil and gas should be entered on the PARent screen, in the Rent & Royalty folder, and on the PAM1 and PAM3 screens, in the Income & Deductions folder. The royalties income amount that is entered on the PAM1 screen should be entered as a negative amount in the Federal royalty to PA business income field in the PA Allocated column and the royalties deduction amount should be entered on the PAM3 screen in the Other expense allowed for Pennsylvania purposes field(s).

• Estate and trust income

• Gambling income

Was this article helpful?

Yes No

Submit