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Student loan interest - if amount is inadvertently omitted, why does the error not appear in error listing, even though interest was entered in prior year?

lennyzzz
Level 1
 
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5 Comments 5
abctax55
Level 15

Because perhaps the loan was paid off prior year?

Because the client *should* give you ALL info?

Because you , the preparer, are supposed to double check things as part of your due diligence?  The software can only do so much... if it reminded us of EVERYTHING that was there last year but not this year the diags would be ten pages long.

A comparison to the prior year should be part of your SOP.

"*******Tax software is no substitute for a professional tax preparer*******
( Generic Comment )"
lennyzzz
Level 1

While I appreciate your taking the time to respond, I don't really see how your response is helpful, especially your first 2 sentences (which I find to be rude, but I understand we are all stressed this time of the year).If you are familiar with the software, then you would know, for example, that a w-2 from a prior year, or a line item on schedule B from a prior year, that is blank in the current year, would generate an error message. So, in fact, if it does remind us of items we certainly would not miss (a W-2 !), then the error report should remind us of other items as well. Basically, you did not answer the question. I will contact pro-series directly, as their response will be more relevant (if we are all so careful, then why do we even need an error report for omitted items?)

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Just-Lisa-Now-
Level 15
Level 15

Social security income and educator deductions don't flag as missing the following year either, ProSeries cant babysit us for everything.

I think you may be right about the form not ever showing up in the Forms in Use list though.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
jeffmcpa2010
Level 11

Not all empty W-2's generate a message, only those with missing box 12 items.

IF the preparer has in his procedures to do a side by side with the prior year, or something similar then their due diligence will (most of the time) catch missing items in the current year.

IRonMaN
Level 15

The software is an aid, not a crutch.  Sometimes an old fashioned comparison between years does wonders when preparing a tax return.  Too many folks rely on entering data into the software and expect it to be the Wizard of Oz and be all knowing -------- it isn't.


Slava Ukraini!