Using RTA Actual Regional Deduction

Users who deduct state taxes paid with their state return on their Federal return need the ability to include those state taxes paid and deducted on their Return to Accrual (RTA). See also, Working with RTA (Return to Accrual).

Tax Reporting allows you to deduct actual taxes paid in P13 to derive an RTA adjustment. The difference amount is included as state tax RTA, and this state tax RTA is not deductible for Federal provision. The deduction is included in the Federal RTA posted to the provision.

In the Current Provision form, regional income taxes does not have Return to Accrual - Current Tax Expense Regional deducted from the RTA Regional side. Total additional Current Provision -> Return-To-Accrual Current Tax Expense has RTA difference deducted from RTA form. Hence, Federal does not get tax benefits twice.