How to Claim Small Employer Auto-Enrollment Credit (Form 8881, Part II) for solo 401k

[lac528]

@GeorgeB7 TurboTax has been called about this problem with the online version already. You would think this thread would be enough for them to get all the details necessary to fix it, especially since this thread is many months old now. But just in case, they have also been told by phone. Are you saying I should give them another call? Is there any sense in trying to reach the same manager you said you talked to since he/she is aware of the issue on desktop and has a headstart on taking charge of this issue? If so please share that manager's name or a way to reach him or her.

Also, you say the individual you were calling in with completed Form 8881, Part 2 and then Form 3800 filled out correctly. Using all the workarounds I mentioned above (which shouldn't be necessary but at least can be used if they are), I can get that same outcome in the online version. What I can't seem to do, and @alex_k_21  also seems unable to do, is get Form 8881 to actually show up in the final tax return. Did the person you were working with have Form 8881 in their actual return at the end? I remain skeptical whether they can get Form 8881 to show up correctly in the final return and whether then, when they go to actually file, it will go through or be rejected. Please ask the person you were calling in with and give us any and all information about the above. In addition, please update us on whether it goes through or is rejected when this person goes to actually file, as well. Thank you!

[GeorgeB7]

1) Yes I am suggesting that it may be worthwhile to call TurboTax support so that a ticket can be started to fix the bug in the online version of TurboTax for a business taxed as a sole proprietor.

2) I will update as soon as I am aware that the tax return of this individual is in fact filed (and accepted).

[lac528]

@GeorgeB7 

1) There already is a ticket to fix this bug in the online version of TurboTax for a business taxed as a sole proprietor. There is even a ticket number. The question is whether perhaps the manager you talked to about this bug in the desktop version should be brought into this ticket that deals with the same issue in the online version. Or if there is anything else that can be done to push that ticket forward so it gets addressed in a timely fashion.

2) Thank you for updating us once this person tries to file. But even before filing, they can preview their final return and see if Form 8881 is even showing up in it. In the online version, even when I'm able to get everything to work properly with Form 3800, it simply doesn't show Form 8881 when I preview the final return. It's as if it's using Form 8881 correctly behind the scenes, passing the information along to Form 3800, but not including Form 8881 itself. The person you're working with should be able to report if Form 8881 is present and showing correctly in the return even before filing. Whether it then files correctly as well will be another important question.

[jeff7]

I'm new to this tread and not sure if this has already been suggested, but it appears that the following workaround may allow people to submit their returns. In the limited testing I was able to do, this triggers Win TT (Desktop) to generate a Form 8881 in the PDF output. Without this, Form 8881 isn't generated.  

So, go to "forms" mode, select Form 8881 and insert a "0" on line 7 of Part I. That's it.

FWIW, it appears other values in Part I will have the same result.

P.S. I haven't tried this in the online version.

[calbear]

@jeff7 

OMG- this is brilliant. Even though I submitted by paper last week, i went ahead to check to see if this would work- much to my surprise, 8881 did show up! I submitted it electronically and it was accepted. (Hope the paper submission doesn’t cause an issue).

Great job! Mahalo. This is something that should have been long troubleshooted by TT.

[alex_k_21]

You are the best. My return was finally accepted!

[lac528]

Great to hear a workaround was found that might possibly work on desktop. I would love to see a workaround for the online version. I don't think the online version even has a Forms mode. So if not, can anyone think of any other way to do something similar in the online version?

Still hoping TurboTax will fix this so we can claim this auto-enrollment credit as sole proprietors intuitively in the normal flow of the program on both desktop and online rather than needing a "secret" workaround.

[drenader]

Wild. Just adding a 0 on line 7 of 8881 was all it took to get accepted. 

Thank you! Was driving me crazy.