Resolved: TPG Update - Current issue with TPG Submissions - February 28th, 2022

Resolved:  

The issue with TPG bank rejections has been resolved.

Customers may still see rejection codes.  However, customer can disregard these codes as refund deposits have been made or are in the process of being completed. 

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February 9, 2022

The TaxWise team, continues to work diligently with TPG regarding the issue with rejecting bank applications. You may receive the following codes when working with TPG:

• 01652: RT resubmittal cannot be processed, Advance decision complete
• 01655: RT rec can't be submitted after initial RL rec; RT in place for fund process
• 01801: Bank Product Record - Primary SSN field not found in tax return database
• 01894: Credit product requested after credit product cutoff date
• 01944: Invalid Tax Return ReturnTs
• 01972: Invalid Combination of IRS ACK Date, IRS Acc Code, ReturnTS, Adv
  

If you receive one of the codes above, at this time, no further action is necessary. 

As an update, the TaxWise Team continues to work to provide status updates for taxpayer bank application. 

In the meantime, you can confirm the status of your application directly at TPG.

Please stay tuned and we will update once a resolution is complete.

IRS Reject F8962-006-01 for Form 8962

The IRS has been rejecting Individual returns with error code F8962-006-01 when Line 5 of Form 8962 is 400 or greater.  Our calculation aligns with current form instructions; however, we will be updating it to conform with the IRS guidance below to eliminate the e-file rejections.

Please hold any returns with this reject message until after we release an update to the form.

IRS Guidance: 

"While the original sentence is still correct, we made the change from “401” to “400” to improve the processing of returns. We intend that no one will have the result of 400. The change will not impact the end result on Form 8962.  Table 2 on page 9 of the instructions demonstrates that if the amount on line 5 is 400 or more, then the applicable figure is 0.0850.  

Therefore, taxpayers with household income of 400% or more of the federal poverty line for their family size should enter 401 on line 3 of  Worksheet 2 and on line 5 of Form 8962.

Please note we are not re-releasing the 2021 Form 8962 instructions for this change.  You should rely upon the article posted on IRS.gov. ”

Tax Season Help: Frequently Asked Questions – in TaxWise®

Please refer to the latest FAQ for Tax Season 2022.   The TaxWise team is making updates regularly so be sure to check back for the latest. 

UPDATE -- California: EFC Reject 49 for CA 100S and CA 565 - February 18, 2022

Please be advised that we have resumed processing e-files for the CA 100S and CA 565 as of February 18, 2022, 5:15pm EST. 

Please ensure that your TaxWise Desktop software has been updated to v36.04 before submitting any e-files. 

Please refer to KB article: How do I update the modules and software in TaxWise®?

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February 11, 2022 

Unscheduled Maintenance:

Please be advised that we have temporarily stopped processing e-files for the CA 100S and CA 565.  If you transmit one of these return types, you will receive an EFC Reject 49.  We apologize for any inconvenience that this may cause you.

Client Accounting Suite/Premier version (CAS/P) 21.4 is available

 The 21.4 version of CAS/P is now available from the Solution Center or via the auto-update feature in CAS/P. It includes the following regulatory updates.

Regulatory Updates

The following regulatory information is now available for Client Accounting Suite and Client Accounting Suite Premier:

• 2021 State W-2 Electronic Filing
• The Ohio W-2 electronic filing has been added.
• The Pennsylvania W-2 electronic filing has been updated for the ITIN field.

• Review the Year End Guide for all Regulatory questions and procedures. The Year End Guide is available on-line in PDF format from the Help Menu.

Software Updates

• The 2021 Tax Line Exports for ProSystem Fx and Axcess are available in this update.  

The next update will be in March.

Louisiana - Business Return Dates

 Louisiana has updated the go live dates for the business returns below.

• Corporate Income and Franchise CIFT-620 - 2/21/2022
• Fiduciary(IT-541) - 3/28/2022
• Partnership(IT-565) - 3/21/2022

NCDOR Opening of Tax Season Target

  The North Carolina Department of Revenue has provided the following information.

The DOR is working toward the week of Feb. 28 for the opening of state tax season. Taxpayers can expect to begin to receive refunds in early April.

 Accurately processing 2021 tax year returns and issuing refunds in timely manner is a priority for DOR. However, tax law changes included in last year’s budget have delayed the DOR’s finalization of tax forms, updates for tax systems, and approval of tax preparation software. 

Reject Code R0000-904-03

On Wednesday, February 9, 2022, at 11:42 AM EST, customers using TaxWise Desktop who had downloaded version 1 of the 990 module began reporting e-file rejects (code: R0000-904-03). At 4:43 PM, the issue was resolved.

For customers receiving this error, please download version 2 of the 990 module and re-create your 1040 e-files.

For customers that have not downloaded version 1 of the 990 module, there is nothing for you to do.

IRS Reject F8379-021

 

Overview:

Customers who file a return including Form 8379, Injured Spouse Allocation and is also claiming line 16 (Nonrefundable Credits) will receive the following Reject Code, F8379-021:

“If Form 8379, 'NonrefundableCreditsAmt' in 'JointReturnAmtGrp' has a non-zero value, then it must be equal to Form 1040, 'TotalNonrefundableCreditsAmt'.

Resolution:

Per the IRS, this is a known issue:

Business Rule F8379-021 is erroneously rejecting returns due to an incorrect element name in the business rule.

Please refrain from submitting a tax return with a Form 8379 attached if you are claiming line 16 (Nonrefundable credits) until this has been resolved.

The Business Rule will be updated in a future release for Tax Year 2021.

Note:  We will update this post once the IRS releases additional information concerning when this will be corrected, 

Ohio 2021 Paper Returns Extended Processing Times

The Ohio Department of Taxation has made the following announcement:

It may take several months for your paper return to process. For faster processing, the Ohio Department of Taxation recommends you submit your return electronically.

The official notice can be found here:  Attention Ohio Income Tax Filers

Massachusetts Reject Codes F-205 and FNRPY-205

  Massachusetts has issued the following announcement:

The edits to Reject Codes F-205 and FNRPY-205 to allow MFS with one or more qualifying children that qualified to claim EITC on the federal return, to claim the EITC on the Massachusetts return have been completed and put into production.

 Any returns that were incorrectly rejected can now be resubmitted.

IRS updates Frequently Asked Questions and Answers for 2021 Recovery Rebate Credit

 The Internal Revenue Service today updated frequently asked questions (FAQs) for the 2021 Recovery Rebate Credit.

These FAQs (FS-2022-09) updated:

2021 Recovery Rebate Credit — Topic A: General Information: Q3
2021 Recovery Rebate Credit — Topic D: Claiming the 2021 Recovery Rebate Credit: Q1, Q2,Q6
2021 Recovery Rebate Credit — Topic F: Receiving the Credit on a 2021 Tax Return, Q8, Q9
2021 Recovery Rebate Credit — Topic G: Finding the Third Economic Impact Payment Amount to Calculate the 2021 Recovery Rebate Credit: Q2

Individuals who did not qualify for, or did not receive, the full amount of the third Economic Impact Payment may be eligible to claim the 2021 Recovery Rebate Credit based on their 2021 tax year information.  Individuals may have received their third Economic Impact Payment through initial and “plus-up” payments in 2021.

Note:  Third Economic Impact Payments are different than the monthly advance Child Tax Credit payments that the IRS disbursed from July through December 2021.

Most eligible people already received their Economic Impact Payments and won’t include any information about their payment when they file. However, people who are missing stimulus payments should review the information on the Recovery Rebate Credit page to determine their eligibility and whether they need to claim a Recovery Rebate Credit for tax year 2021.

To claim any remaining credit for 2021, eligible people must file a 2021 tax return, even if they usually do not file taxes.  Also, people who did not receive all of their first and second Economic Impact Payments in 2020 can receive those amounts only by filing a 2020 tax return (or amending a previously filed return) and claiming the 2020 Recovery Rebate Credit.  They should review the Recovery Rebate Credit page to determine their eligibility.

The 2021 Recovery Rebate Credit can reduce any taxes owed or be included in the tax refund for the 2021 tax year. Filers must ensure to not mix information from their 2020 and 2021 tax years. In particular, filers should take care to NOT include any information regarding the first and second Economic Impact Payments received in 2020, or the 2020 Recovery Rebate Credit, on their 2021 return. They will need the total of the third payment received to accurately calculate the 2021 Recovery Rebate Credit when they file their 2021 federal tax return in 2022. 

Individuals can now view this information in their online account.

People can also locate this information on Letter 1444-C, which they received from the IRS during 2021 after each payment, as well as Letter 6475, which the IRS will mail to them  through March 2022. 

The FAQ’s cover most questions relating to claiming the credit and are for use by taxpayers and tax professionals and are being issued as expeditiously as possible.