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.