Help with Ohio Return

[Jan S]

A long time client of mine retired from Ford (in Michigan) and moved to Ohio on 9/1/07 with his wife. I have read the Ohio instructions and I show that he will owe $806 on his retirement income. Can you tell me if this is correct?

His only Ohio income is $18,682 in Ford pension.

Here are the Ohio figures.

Federal AGI = $167,252 (the client emptied his 401k of $101,000 in addition to his wages). The Michigan portion is $148,750.

Personal exemption=$2,900

Line 6 Tax=$7,907

Retirement credit=$200

Line 8 tax=$7,707

Exemption credit=$40

Line 10=$7,667

Line 11=$383

Line 12=$7,284

Line 13=$6,478 148,750/167252 x 7,284

Line 14=$806

Michigan doesn't tax pensions. I guess that Ohio does. When I redid his Ohio return showing only the $18,682 of pension money, he only owes $12. Am I missing something?

Thanks for your help.

Jan

[AnnieR]

I got a totally different answer, but between flipping from the return to this, I'm not sure it's right, but the way to do it is to use OH form 2023 pg 2 and it will carry everything to where it should go. I got that he owes $285. Hope I'm right. I used $18,682 and on 2023, subtracted out $6227 as OH income. Only 4 months of the Ford pension is OH income, so that is all of it that would be taxable.

AnnieR