A number of forms/schedules have yet to be finalized by the IRS/states. Once that's done, each software developer still needs to finalize its versions of those forms for IRS/state approval. Until then, returns you prepare will be incomplete, missing various elements.
Hang tight for now. You can bank on it that something this major will not be missed by Intuit.
Still an AllStar
I saw that yesterday but it does not waive the 10% penalty. I tried with an example unless it is not updated yet but as of now, it does not waive the 10 % penalty. But thanks anyway, I thought it is going to be there but I am not sure.
I also tried the 5329 which is where regularly there are choices to exclude the penalty but I did not see anything related to this special waiver, maybe they are updating it. We will see. And I also tried the 8915E. They will fix, this is a major issue I believe.
Thank you Chase, changing the topic,
what do you think about our discussion about the EITC, it has been stressing to me and the IRS is not helping. About the provision to use the the earned income from 2019 for 2020. Nobody seems to have the truth. I invite you to join the debate. I hope they clarify all this.
The "truth" could be right in front of you in the Act and the Code. For some added colors, you may like to take a look at the discussions in these two threads:
Still an AllStar
"I have a few clients that want to file early"
The IRS isn't even accepting individual returns until Feb 12.
You have all of this available to you through your program resources.
Bookmark these resources. Use them often.
I use Ctl F, then select that the global option is to Highlight, then enter 8915. Not any specific letters.
|Form 8915-E, Qualified 2020 Disaster Retirement Plan Distributions and Repayments (Taxpayer)||Final on 02/18/2021, EF Not Allowed|
"Filing early" isn't going to go well for these people. Paper filing takes forever to be processed.
"Level Up" is a gaming function, not a real life function.
Intuit dropped a not that they would open business filings as of January 19, 2021 and for individuals Intuit began holding returns as of January 28th. For some of these clients they are trying to get financing and banks are requesting tax returns. Although we have informed these lending institutions that the IRS will not process these returns until Feb 12th, they will accept draft tax returns. Would be nice if they would have finalized forms for the 2020 filing, but that has yet to happen. Try telling a banker/loan officer why we cannot file yet and see how that conversation goes, haha. They are in no way tax connoisseurs. For those that have taken early distributions from 401K's, we will wait until the updates are available. As you may see, your clients don't care why they can't file, only that they cannot file yet, and they are not too happy about that. Especially when these returns are holding up the lending process.