All Posts

Same issue, last form I need to file.  But you make an interesting point - I also keep getting pushed to file my return even though this form is not available and is messing up my Schedule E.  There doesn't seem to be a stop on filing by Turbotax.  I understand this functionality works in H&R Block.  I may have to switch.

Same thing is happening to be.   Turbotax is not properly limiting mortgage interest on my 2025 return using turbotax desktop.  I have two homes with a combined loan that exceeds the 750k mortgage limit.  One home loan was from 4/17/2017, the other from Dec 2022.   It is not limiting the interest deduction at all.    Interesting it did it correctly in 2024 when I filed.   But if I reopen the 2024 return now, it cancels the mortgage limit and deducts the full amount of interest.   The program is not calculating properly.

Yes, you can depreciate  the amount of capital gain and it will be 27.5 year property. Name the asset for Property B and be sure you have an accurate amount for land (either from the property traded and/or an additional portion of the capital gain) so that the land portion is reasonable based on the real estate tax appraisal on Property B.    @mckaypartners 

If you are using TurboTax Online, the easiest way to break the loop is to delete the entry from your tax summary.   Go to the left-hand menu and select Tax Tools > Tools. In the pop-up window, select Delete a form. Scroll through the list of forms. Look for anything titled "Canadian Registered Pension" or "Form 1099-R (Substitute)" that you don't recognize. Click Delete next to it. Also look for a worksheet titled "Foreign Tax Credit" or "Form 1116." If you aren't claiming foreign credits, delete those too, as they often trigger the "Where is your foreign income from?" loop. After you finish, log out and then back in again. Run the review to see if this cleared. If you are using the CD/Download version, you have more direct control:   Click the Forms icon in the top right. In the list on the left, find "Canadian Pension" or "1099-R Worksheet." If you find a 1099-R worksheet that looks blank or contains only a "0," select it and click Delete Form at the bottom of the screen. Switch back to Step-by-Step mode and run the Review again.

So I am still experiencing  a major problem.  So I have entered the 743(b) step-up as a new asset and am getting a number for depreciation for that asset but there is nothing in the depreciation section that lets me allocate it to just the one partner. What seems to be happening is that Turbotax is simply adding this and the house depreciation together and using it as an expense for the whole business (among all three partners).  Even though I've gone into forms and put the depreciation number in manually into the special allocation box and used code A, the taxable income figure on the k-1 forms is clearly being calculated as if the depreciation counts for all partners instead of just the one who gets the step-up in basis.  I'm not sure how this is supposed to be handled?  It seems like there should be some way to indicated that the depreciation that is calculated on the depreciation page is just for one partner, but there isn't anything.  And doing the special allocation isn't removing it from applying to all partners.  Can you help me solve this? 

If you're using TurboTax Online, often clearing your Cache and Cookies will resolve the issue.  You could also consider Efiling your Federal return only, when you step through the FILE section, and going back to file your state later.  This has worked for some customers.   Here's more info on Filing Federal and State Returns Separately.   @Melecheverry 

Just attempted to file again since prompt shows this issue was fixed. It lets me go through the screens until I get to the last page. Clicking the “transmit my returns now” button doesn’t work currently. My return has been rejected 4 times now because of this issue. Very frustrating 

JohnB5677,   Thank you for the reply; however, what I’m looking for is where Turbo Tax states what is my calculated tax bracket.  Turbo Tax use to generate a cover letter that stated the tax bracket I was in for the current tax year. 

Are you sure you have a refund and not a TAX DUE?   Were you working in the Education section, comparing options??   If you want get back there, click on Search and search for letme - all one word and it will take you back to your education credit options.     How do I override the TurboTax Education Optimizer selection?    There are other optimizers so if you are asking about something else, please reply.  

It depends. Usually returns are accepted within 24-48 hours as your return has to pass initial error checks. Any validation errors, mismatch of names or social security numbers, or security issues can cause delays. 

I have tried that and it never fixes the issue. Why should we have to pay a lot money to be able to file to ed up having to paper file? Will everyone be refunded for not be able to file Ny state? I see this is a common problem will it be fixed soon? Will the customers be compensated for the issues experienced?

No.  Federal Student Loan forgiveness is not taxable, either at the federal level or by the state of New York.  You do not need to report student loan debt forgiven in 2025 on your federal or your New York state tax returns.  An exception would be if you received a Form 1099-C, in which case you would need to enter that on your tax return.     Note - As of January 1, 2026, many federal student loan forgiveness programs are once again considered taxable income for federal tax purposes, due to the expiration of the exemption in the American Rescue Plan Act.