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My issue was because of an invalid license key sold by a bogus website, bighometax.com. Purchased a legit license from Amazon, changed the license key using "Help - Switch Product", and the problem was resolved.

You have to "dispose of" the property, otherwise the program assumes it is still an active rental property.  Below is a link to a TurboTax Article with step-by-step instructions on how to change your rental to personal use.  Make sure you have your depreciation reports printed and saved as a PDF.  When/if you sell (or otherwise dispose of) the property you will need them to calculate the gain and the depreciation recapture.   How do I report a rental property that's been converted to a personal residence?  

Hi LeticiaF1,   Thank you for your answer.   I am using the TurboTax Desktop (Mac) version to prepare amended returns, and I would like to confirm something clearly before proceeding. On the “Select the Return You're Ready to E-file” screen (see first snapshot), I choose: • Do not e-file my federal amended return now, I’ll do it later • E-file my New York amended return now   From your experience, can I fully rely on the system to transmit only the New York amended return and not transmit the federal amended return when I select “Do not e-file” for federal? I would like to e-file my NY amended return (since NY encourages e-filing when available), but I need to be absolutely certain that the federal amended return will not be transmitted unless I complete the federal e-signature step and explicitly authorize transmission by E-signature. My concern is that if, due to a system glitch or hidden mechansim, the federal amended return were accidentally transmitted, it could create a conflict with my previously mailed federal amended return that is currently pending and has not yet been processed by the IRS.   For that reason, I would greatly appreciate clear confirmation that selecting “Do not e-file my federal amended return now” and NOT seeing IRS e-signaure page (see final snpashot) fully prevents any federal transmission in the desktop version.   Kindly help confirm this so that I may proceed with the NY e-file with confidence. Many thanks for your answer.   

 To enter your multiple 1099-INT forms follow the steps below:   Launch TurboTax Select Wages & Income and select Revisit Select the dropdown by Investments and Savings Select Add investments to add additional Form 1099-INT's. Refer to the TurboTax articles Where do I enter Form 1099-INT? for detailed instructions.  

Qualified Tuition Plans  (QTP 529 Plans) Distributions General Discussion It’s complicated. For 529 plans, there is an “owner” (usually the parent), and a “beneficiary” (usually the student dependent). The "recipient" of the distribution can be either the owner or the beneficiary depending on who the money was sent to. When the money goes directly from the Qualified Tuition Plan (QTP) to the school, the student is the "recipient". The distribution will be reported on IRS form 1099-Q.  The 1099-Q gets reported on the recipient's return.** The recipient's name & SS# will be on the 1099-Q. Even though the 1099-Q is going on the student's return, the 1098-T should go on the parent's return, so you can claim the education credit. You can do this because he is your dependent. You can and should claim the tuition credit before claiming the 529 plan earnings exclusion (unless your income is too high).  The American Opportunity Credit (AOC or AOTC) is 100% of the first $2000 of tuition and 25% of the next $2000 ($2500 maximum credit). The educational expenses he claims for the 1099-Q should be reduced by the amount of educational expenses you claim for the credit. Room and board (R&B) are also qualified expenses for the 529 distribution, but not the AOC (R&B are also not qualified expenses for a scholarship to be tax free). But be aware, you can not double dip. You cannot count the same tuition money, for the tuition credit,  that gets him an exclusion from the taxability of the earnings (interest) on the 529 plan. Since the credit is more generous; use as much of the tuition as is needed for the credit and the rest for the interest exclusion. Another special rule allows you to claim the tuition credit regardless of whose money was used to pay the tuition. In addition, there is another rule that says the 10% penalty is waived if he was unable to cover the 529 plan withdrawal with educational expenses either because he got scholarships or the expenses were used (by him or the parents) to claim the credits. He'll have to pay tax on the earnings, at his lower tax rate (subject to the “kiddie tax”), but not the penalty.   Total qualified expenses (including room & board) less amounts paid by scholarship less amounts used to claim the Tuition credit equals the amount you can use to claim the earnings exclusion on the 1099-Q.  Example:   $10,000 in educational expenses (including room & board)    -$3000 paid by tax free scholarship***    -$4000 used to claim the American Opportunity credit  =$3000 Can be used against the 1099-Q (on the recipient’s return)   Box 1 of the 1099-Q is $5000 Box 2 is $2800 3000/5000=60% of the earnings are tax free; 40% are taxable 40% x 2800= $1120 There is  $1120 of taxable income (on the recipient’s return)   **Alternatively; you can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. You would still have to do the math to see if there were enough expenses left over for you to claim the tuition credit. Again, you cannot double dip!  When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. But, it will prepare a 1099-Q worksheet for your records, in case of an IRS inquiry. On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution."  ***Another alternative is have the student report some of his scholarship as taxable income, to free up some expenses for the 1099-Q and/or tuition credit. Most people come out better having the scholarship taxable before the 529 earnings. A student, with no other income, can have up to $15,750 of taxable scholarship (in 2025) and still pay no income tax. 

Are you getting charged a fee this year?   It could be a fee for something else like if you need to buy a second state program download.   In the Desktop program you get 1 free state program download to prepare returns in that state.  But if you need to file another state return in a different state you have to buy that state program.   

If TurboTax is not letting you continue, you can try the following: Go out of your program and go back in. Clear your cache and cookies. Try a different Web Browser. If you are using TurboTax Desktop make sure all updates have been run on your program. You can do this by clicking on "Online" in the black bar across the top of your TurboTax screen. And then select "Check for Updates".   One of the most common reasons Illinois returns reject is when the primary taxpayer or spouse  IL-PIN do not match the IL-PIN on the Illinois Department of Revenue production fileTo fix this error, please follow these steps carefully:   Make sure you have entered the previous year's IL AGI correctly Verify Your IL PIN  Make sure to enter all 8 digits (This is not your 5 digit federal PIN) Verify your IL drivers license or state ID number is entered correctly If it is your first year filing with IL, you will have to enter your IL Drivers License or state ID information Enter each field exactly as it is on your IL Drivers License or state ID (First Name, Middle Name, Last Name, Suffix (leave blank if necessary), and weight You may not use an out-of-state or expired drivers license You may need to print and mail your return if the reject continues after re-transmitting If you have any additional questions or information regarding this please return to TurboTax Community and we would be glad to help.

Q. Should I remove the 1098Q from my return? A. Yes   The 1099-Q is  only an informational document. The numbers on it are not required to be entered onto your (or your student's) tax return. The interview is complicated and it's easy to make mistakes. Avoid it if you can and you probably can.  You can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. But, it will prepare a 1099-Q worksheet for your records (you don’t need it). You would still have to do the math to see if there were enough expenses left over for the student to claim the tuition credit. You also cannot count expenses that were paid by tax free scholarships. References: On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution."  IRS Pub 970 states: “Generally, distributions are tax free if they aren't more than the beneficiary's AQEE for the year. Don't report tax-free distributions (including qualifying rollovers) on your tax return”. "IRS Publication 970, Tax Benefits for Education states: If the entire 1099-Q went to qualified expenses, room and board, tuition, etc; then, you do not need to enter the form."  _____________________________________________________________________________________________    The 2025 education and 529 sections appear totally redesigned, from last year. You can't currently enter  expenses. This is a known glitch in TurboTax (TT). They are working on it.  It's expected to be resolved in a TurboTax update to be released by February 27th.            For 529 plan owners, like you, with non dependent beneficiaries, it really isn't broken.  In the 529/1099-Q interview, when you select that the "Designated beneficiary of this 1099-Q" is "Someone else" (other than taxpayer, spouse or dependent), TurboTax will give you the entry screen for expenses (at least in my windows Deluxe version). I assume this is because you will not be entering anything later in the 1098-T section. 

Thanks for confirming. This does look to be incorrect. Do you have a recommendation for how to report the issue?   The values in my case are: - 1099-R   - Box 1 - Box 5: $116   - Box 2a: $231   - Box 7: "G"   - 1040   - Line 5a matches 1099-R Box 1   - Line 5b: $347

When a company dissolves and your ESPP shares become worthless, you can generally claim a capital loss, even if you didn't receive a 1099-B.   Determine your basis. This is usually the amount you paid through payroll deductions plus any amount previously included as compensation income. If the stock became completely worthless due to dissolution, the IRS treats it as if it were sold for $0 on the last day of the tax year in which it became worthless.   How do I enter Employee Stock Purchase Plan (ESPP) sales in TurboTax   There's a checkbox in the Schedule D dialogue for "This was a worthless security" that appears after you enter the security as Stock; date acquired, date sold (12/31/2025), zero Proceeds, and Basis.      

Unfortunately, you cannot claim the Energy Efficient Home Improvement Credit because the IRS requires the property to be used as your own residence to qualify. Since the home is used as a rental, even on a not-for-profit basis, it is ineligible for this specific consumer tax credit. However, you may still be able to add the cost of the HVAC system to your property's cost basis, which can provide a tax benefit when you eventually sell the home.