I'm a volunteer preparer at a low income site which uses a different software. However, I've been a TT user for 30 years starting when it was Chipsoft. My question has to do with this error code, which has to do with withholding payments > total income. Apparently this has been an ongoing IRS problem for several years with workarounds as noted in several forums, including for Drake and ATX professional software firms. Could not find any references in TT Community as to what triggers this error. A client had no taxable income from SSA and small pensions, but with fairly large withholding amounts all to be refunded. She also had Medicaid Waiver payment not taxable but reported on 1099NEC and negated as per instructions by adding a negative value in Other Income. Has anyone an explanation as to why this rejection code occurs when the premise is incorrect (withholding is not greater than total income).
