topic Re: Form 8915-E in Retirement tax questions

Form 8915-E

valemoto7 — Mon, 15 Feb 2021 09:15:35 GMT

Is form 8915-E available? If so, is it already included in the turbo tax system? If not, when will it become available?

Re: Form 8915-E

DanaB27 — Mon, 15 Feb 2021 13:27:59 GMT

No, Form 8915-E is not available yet.

Please sign up here to get notified when Form 8915-E, that reports the Coronavirus-related relief measures for retirement plan distributions, is ready and for additional information.

Once the Form 8915-E is live please follow these steps to enter your 1099-R:

Login to your TurboTax Account
Click on the Search box on the top and type “1099-R”
Click on “Jump to 1099-R” and you should see the “Your 1099-R Entries” screen
Click "edit" and continue until "Tell us if any of these uncommon situations apply" screen
Select "I took out this money because of a qualified disaster (includes COVID-19)" (TurboTax will walk you through questions once this section is ready)

Those who qualify as individuals directly impacted by the pandemic will be able to withdraw up to $100k from their retirement accounts without facing the 10% early withdrawal penalty.

You qualify if:

You, your spouse, or your dependent are diagnosed with COVID-19
You experience adverse financial consequences as a result of being quarantined, furloughed, or laid off or having work hours reduced because of COVID-19
You’re unable to work due to child care closure or hour reduction because of Covid-19
You experience adverse financial consequences as a result of closing or reducing hours of a business that you own or operate due to SARS-CoV-2 or COVID-19.

You can choose to have the distribution taxed over 2020, 2021, and 2022 instead of only in 2020. You’ll have three years to pay back the funds you withdrew, without the amount impacting that year’s cap on contributions. If you pay back the amount within that time, you’ll be able to claim a refund on those taxes paid when you file an amended tax return. Please see IRS Coronavirus-related relief for retirement plans and IRAs for more details.

Re: Form 8915-E

BigRedNole — Mon, 15 Feb 2021 16:49:15 GMT

The IRS site states software tax companies can use alternate form for electronic filing. From the 8915-E page from the IRS, they state "Alternative Filing Method for E-filed Returns That Include Form 8915-E"

Is TurboTax going to do this?

Re: Form 8915-E

SamS1 — Mon, 15 Feb 2021 17:59:27 GMT

The form will be ready soon. Form 8915-E: Qualified 2020 Disaster Retirement Plan Distributions and Repayments, which is used for COVID-related early distributions, will be e-fileable starting 2/24. The IRS is updating form 5329’s instructions to make it clear that COVID related exceptions cannot use 5329 and should use the new 8915-E.

The pandemic has affected your taxes in many ways. Including reporting in TurboTax the amount of stimulus money you received. Click Here for more information on how the Pandemic affected your 2020 taxes.

Re: Form 8915-E

idakeir — Mon, 15 Feb 2021 18:52:28 GMT

The form and instructions are available on the IRS site but the programming has not yet been finalized in the TurboTax software. This should be completed soon and it is expected to be available in TurboTax on or before 2/24/2021. Here's the IRS page: https://www.irs.gov/forms-pubs/about-form-8915-e

Re: Form 8915-E

sassy901 — Thu, 18 Feb 2021 13:52:10 GMT

What about if a member of your household has experienced adverse financial consequences due to coronavirus? Everything I have read states this also allows you to qualify to waive the 10% early withdrawal penalty. But this is not mentioned in the post. Hopefully, TurboTax includes that qualification in their software.

Re: Form 8915-E

Irene2805 — Thu, 18 Feb 2021 14:08:07 GMT

Yes, TurboTax will include provisions to cover a member of your household.

The Instructions for Form 8915-E state that the relief applies if you, your spouse, or a member of your household was affected. And it defines a member of your household. as "anyone who shares your principal residence."

Re: Form 8915-E

Bobbysledd — Thu, 18 Feb 2021 15:25:51 GMT

I am guessing turbotax will also facilitate the 3 year distribution of the withdrawal once the forms have been made available?

Re: Form 8915-E

Irene2805 — Thu, 18 Feb 2021 15:41:42 GMT

That is correct. TurboTax will address all the issues addressed in Form 8915-E.

@Bobbysledd

Re: Form 8915-E

gdamtbnms — Thu, 18 Feb 2021 23:56:11 GMT

you dont have to pay back the funds you withdrew! you have 3 years to pay back the TAXES on the funds you withdrew

Re: Form 8915-E

MC0817 — Fri, 19 Feb 2021 02:12:54 GMT

@gdamtbnms @You also have three years to pay back the amount you borrowed. You don’t have to pay it back, but you can avoid taxes on the withdrawn amount by repaying it to the source.

Re: Form 8915-E

Manzee26 — Fri, 19 Feb 2021 14:01:41 GMT

I have been with turbo tax for 10 years and just filed with free tax usa because they have the proper 8915-e form to efile. Also with turbo tax I have always paid anywhere from $40 to $80 with free tax usa i paid not a dime! Sorry turbo tax you just lost a customer. Good luck everyone

Re: Form 8915-E

BJ-PS — Fri, 19 Feb 2021 17:36:13 GMT

IRS has released Form 8915-E.

I do not see that turbotax has been updated to accommodate this form.

Or it is not clear how one uses this form in the application.

Another disappointment with turbotax.

Re: Form 8915-E

CatinaT1 — Fri, 19 Feb 2021 17:41:03 GMT

You will report this on a Form 8915-E. On February 11th, the IRS finalized the Form 8915-E for retirement plan distributions under the CARES act. The form will be available on TurboTax for efile approximately February 24th.

Please sign-up here and we will email you once the form is live.

In the mean time, you can make sure you are eligible for the provision here - Coronavirus Relief

Re: Form 8915-E

Stoney09 — Sat, 20 Feb 2021 15:49:38 GMT

I seen freetaxusa has it available already I want to use them, but I'm fearful it will delay my return for identity purposes because of the switch after so many years!

Re: Form 8915-E

KathrynG3 — Sat, 20 Feb 2021 21:07:14 GMT

Form 8915-E will be ready very soon using TurboTax. It is useful to stay with the same software year over year. TurboTax will carry your AGI from the prior year to the current year, for example, and you are familiar with how the program works.

You can count on TurboTax to follow the IRS guidelines for all forms.

Form 8915-E was only recently approved for electronically filed returns. Our engineers are working hard on updating the program to accommodate the changes and are expected to have the update ready by February 25, 2021, as of this writing.

For more information, see; What is Form 8915-E Qualified 2020 Disaster Retirement Plan Distributions and Repayments?

Until the program is updated, if you wish to proceed, you would have to paper file. The IRS takes at least 6-8 weeks to process a paper filed return and 2-3 weeks to process an electronically filed return.

To paper file your return, see these links:

Re: Form 8915-E

Stoney09 — Sat, 20 Feb 2021 23:02:47 GMT

I understand I want to use TurboTax I just hate that TurboTax is so much later than the others with this form.

Re: Form 8915-E

charlesN001 — Sun, 21 Feb 2021 09:43:06 GMT

I have almost all my return info entered in Turbo tax. Just missing form 8915-E. I now have to wait until the update is ready but want to make sure when this happens I can simply log back in, attach this form, and submit my return correct?

Re: Form 8915-E

DanaB27 — Sun, 21 Feb 2021 13:04:54 GMT

Yes, once Form 8915-E is ready you will just log in and follow these steps to finish your return:

Login to your TurboTax Account
Click on the Search box on the top and type “1099-R”
Click on “Jump to 1099-R” you should see the “Your 1099-R Entries” screen and will click "edit"
Continue until "Tell us if any of these uncommon situations apply" screen
Select "I took out this money because of a qualified disaster (includes COVID-19)"
Answer the any question.

@charlesN001

Re: Form 8915-E

Apalma123 — Sun, 21 Feb 2021 13:59:58 GMT

Thank you. Kept me posted when the form arrives so I can submit my taxes. If possible can you email me at —[email address removed] ?

Thank you,

Antonieta Palma