I have a Arizona S-Corp, and have completed the Federal side of my taxes (TurboTax Business 2021). I'm not processing through my state and came to a question "Did you finalize a prior year IRS exam?" - I didn't have a IRA exam last year and the only way to answer is YES or NO. There's not a N/A. It seems the only way to answer is No without having to add additional information I wouldn't have.
Thanks!
If your S Corporation has finalized an examination by the Internal Revenue Service for a tax year prior to the one you’re filing – not just last year, but any prior year – answer “Yes.” The IRS would have notified you if a return had been examined.
If the S Corporation hasn’t been examined, or hasn’t had an examination finalized, answer “No.”
The question in the program relates to Schedule B, Line B4 of your Arizona Form 120S, found at Arizona S Corporation Income Tax Return, which requires you to “List prior taxable years ending in MM/DD/YYYY format for which a federal examination has been finalized”.
A note beneath the line states: “NOTE: A.R.S. § 43-327 requires the taxpayer, within ninety days after final determination, to report these changes under separate cover to the Arizona Department of Revenue or to file amended returns reporting these changes.”
If your S Corporation has finalized an examination by the Internal Revenue Service for a tax year prior to the one you’re filing – not just last year, but any prior year – answer “Yes.” The IRS would have notified you if a return had been examined.
If the S Corporation hasn’t been examined, or hasn’t had an examination finalized, answer “No.”
The question in the program relates to Schedule B, Line B4 of your Arizona Form 120S, found at Arizona S Corporation Income Tax Return, which requires you to “List prior taxable years ending in MM/DD/YYYY format for which a federal examination has been finalized”.
A note beneath the line states: “NOTE: A.R.S. § 43-327 requires the taxpayer, within ninety days after final determination, to report these changes under separate cover to the Arizona Department of Revenue or to file amended returns reporting these changes.”