If a taxpayer has a Wisconsin resident return and an Indiana nonresident return, and the WI return is generating EF Message 1063, how would I clear it?
WI EF Message 1063:
SCH OS, TOTAL INCOME TAXED BY THE OTHER STATE CANNOT BE ZERO UNLESS STATE CODE ON FORM 1 IS 77.
If the taxpayer has only WI and IN state returns, clear WI EF Message 1063 by following these steps:
- Open the return.
- Go to WI screen 1A, Overrides/Adjustments PT A.
- Enter a zero (0) on line 31, Net income tax paid to other states.
- This has the effect of eliminating any credit for income tax paid to another state. The result is correct for IN because of a reciprocity agreement between WI and IN.
Note: If there is an additional state beside WI and IN, contact Drake Support at 828.524.8020 for further assistance. In some cases, it may be necessary to paper file the WI return.