The following diagnostic is generating in Lacerte:
e-file: You are attempting to e-file Form FAE-170 for Tennessee and the form is not part of this return. Please verify that form FAE-170 is part of the tax return or remove the Tennessee return from the e-file inventory by un-checking the Tennessee Franchise checkbox in screen 1. (ref. #35233)
This diagnostic generates when the Tennessee Franchise box is marked on Screen 1, Client Information under the Electronic Return section, but the FAE-170 isn't actually generating.
The FAE-170 generates when there's a single-member limited liability company (SMLLC) present in the return—and the SMLLC is sourced to TN.
Follow these steps to clear the diagnostic:
- Go to Screen 1, Client Information.
- Scroll down to the Electronic Return section.
- Unmark the checkbox labeled Tennessee Franchise.