topic Re: Schedule D Error in Deductions & credits

Schedule D Error

chuck3 — Wed, 11 Feb 2026 06:13:39 GMT

Turbo Tax Business is flagging an error on form 1120S line 23b that is a zero on my return. This line is a summary of the tax on capital gains from Schedule D. I have no capital gains and Schedule D is completely blank, but I can't get rid of this error. If I delete Schedule D because it is not required, it keeps coming back and TT is reporting an flagging an error on form 1120S line 23b which is zero.

How do I get rid of this error? It is preventing me from filing my return.

Re: Schedule D Error

JamesG1 — Tue, 12 Mar 2024 17:55:49 GMT

When you delete a form but it is re-created by the software, that means that there is one or more entry in the software that is creating the form.

Are you reporting a capital gains distribution in box 2a of IRS form 1099-DIV?

Is there a sale or disposition of a business asset on IRS form 4797 that is reported on Schedule D?

Re: Schedule D Error

chuck3 — Tue, 12 Mar 2024 19:09:55 GMT

There is no 1099-Div and there is no form 4797. This is an S-corp return in TurboTax Business. When I delete schedule D, I can delete the form; but the data field on the 1120S that references it is still flagged as an error.

Re: Schedule D Error

RobertB4444 — Tue, 12 Mar 2024 22:00:41 GMT

Is there any chance that you entered zeroes for capital gains anywhere? The system often reads zeroes as an entry and then wants to calculate using them. Those entries have to be left blank.

@chuck3

Re: Schedule D Error

chuck3 — Tue, 12 Mar 2024 22:05:54 GMT

No, Schedule D is completely blank - no zeroes, no nothing. In fact, I’ve even deleted schedule D and the error is still there on the 1120S.

Re: Schedule D Error

chuck3 — Wed, 13 Mar 2024 16:12:51 GMT

Here's what might be an important clue...This error only showed up when I elected to file the return online. If I elect to file the return by mail, the error goes away and when I do the final review, it says that the return has no errors.

Re: Schedule D Error

chuck3 — Wed, 13 Mar 2024 18:04:44 GMT

Can someone please confirm that this has been reported as a bug? It is preventing me from filing my return.

Re: Schedule D Error

chuck3 — Thu, 14 Mar 2024 23:53:19 GMT

This did NOT solve my problem l want this reported as a bug.

Re: Schedule D Error

DawnC — Fri, 15 Mar 2024 00:10:46 GMT

What field on the 1120S does the Schedule D keep taking you back to? Do you have Form 8949 included with the return?

Re: Schedule D Error

chuck3 — Fri, 15 Mar 2024 00:30:23 GMT

When i click on the error on form 1120S line 23b it takes me to Schedule D line 23 which is the bottom-line tax on Schedule D. I have absolutely no capital gains that would require a Schedule D at all. My return is very straight-forward, and I have no unusual forms that would trigger this either.

Re: Schedule D Error

DawnC — Fri, 15 Mar 2024 00:39:13 GMT

No form 8949 included?

Re: Schedule D Error

chuck3 — Fri, 15 Mar 2024 00:51:37 GMT

There is NO form 8949.

Re: Schedule D Error

CatinaT1 — Thu, 21 Mar 2024 14:31:00 GMT

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Re: Schedule D Error

chuck3 — Thu, 21 Mar 2024 14:49:04 GMT

I run updates daily and there has been no resolution. Can you confirm that this has been reported as a bug?

Re: Schedule D Error

ThomasM125 — Thu, 21 Mar 2024 23:06:31 GMT

You can try entering $1 on line 16 of schedule D Part III if there isn't an entry there. If that resulted in a $0 on line 23 of that schedule, it would flow to line 23(b) of Form 1120-S and that might remove the error.

Re: Schedule D Error

chuck3 — Thu, 21 Mar 2024 23:33:34 GMT

Thank you for this response. I did try that and it did remove this particular error. My question is: “instead of forcing users to resort to these kluges to work around the error, why doesn’t TurboTax just fix the problem?

Re: Schedule D Error

chuck3 — Sun, 24 Mar 2024 15:04:21 GMT

I finally got this resolved. I think a TurboTax update I downloaded this morning fixed the issue