DCCPA
Level 1

Facts: Client had an ELA on 2018 Tax Return.  Carried forward as an NOL from 2018 to 2019 as reported on General Info Worksheet.  Proforma'd client in Dec 2019 from the 2018 program to be ready for tax season.

Now new CARES Act in 2018 & 2019 Program Updates.

ELA gone in the 2018 program and return calculates removing it and not carried forward as an NOL to 2019.

2019 now shows no NOL Carryforward and in Scr 48 Prior Year Summary no ELA Other Income amount.  (Wait, I proforma'd in Dec 2019, how'd that change?)

Need to file 2018 1040X to take the ELA now waived due to CARES.  When asked if you want to use the numbers when originally filed the ELA is in there!

Concern: Both programs are correct but one could have missed if one didn't review prior year workpapers and return.  Surprised Lacerte took the liberty to do this all behind the scenes but get that it is the only way to make both programs correct.  Would have expected a heads up.  Did run the Tax Law Impact app in the 2019 program so maybe they recalculated the 2018 return and reproforma'd it over within that.

Called support to confirm all this but no luck.

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