LisaPap
Level 3

The IRS instructions for reporting Excess Deductions on Termination of Estate or Trust for 2018 or 2019, which came out Sept 19, 2020, says to write in the expense on the dotted line next to line 36 of Schedule  and include the amount of the adjustment on line 36 (with is a subtotal line and identify it on the dotted line as ED67(e).  The Proposed Regulation 113295-18 came out May 2020 and answers an open question I've had about whether my client could or couldn't deduct excess deductions on termination as a result of TCJA 2017, which effectively took away misc. itemized deductions and whether this type of deduction was also not allowed.  I need to amend 2018 because I took a conservative approach and didn't deduct it, nor was a sure where it would even go.  Now that I have an answer, the remaining problem is that ProSeries does not seem to have a way for me to include it in the manner the IRS has stated, so I am not sure whether ProSeries will be updating the program, or if they or anyone else has a workaround they suggest.

 

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Terry53029
Level 14
Level 14

Go to line 36 on schedule 1, and click on dots to left of total amount, a box with magnifying glass will pop up, click on magnifying glass go to line H, type in  ED67(e) then put in amount. That should do it.

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LisaPap
Level 3

Thank you so much, that works.  I saw the box pop up, but hitting the magnifying glass didn't occur to me and thank you for the detail on how to fill out the worksheet - I think I actually found my way to that worksheet earlier somehow, but how to complete it wasn't exactly clear. Big help!!