was on this morning with a tax expert. She couldn’t see anything wrong either. Federal section, the 1099-MISC was classified as the CA MCTR as instructed. Rejections came back 15 minutes later.
I didn’t see the “See how California handles income differently” button for the MCTR. Seems as though it’s still broken.
Enter the CA Middle Class Tax Rebate on a 1099Misc and put the amount in box 3. It will show up as Other Income on Schedule 1 line 8z which flows to 1040 line 8. It is taxable on the federal return but not for California.
I heard Turbo Tax will be putting out more info on it soon.
Go to Federal > Wages & Income, might need to continue though the general screens.
When you come to the Wages - Your Income screen click on Add Income or
scroll down to Other Common Income, then 1099Misc.
Put the amount in box 3 and follow the prompts.
On the page with a long list of reasons pick None of these apply -Continue.
Say No it did not involve work -Continue
You got it in 2022 -Continue
On California section you will see HERE’s INCOME THAT CALIFORNIA HANDLES DIFFERENTLY. Scroll down to Miscellaneous and scroll down to MIDDLE CLASS TAX REFUND and follow the prompts to exclude the income from CA.
It looks like this process is still broken, if you try to submit any MCTR you stuck in an infinite loop... where the site complains not all of entries have been filled and then you have to sign up for the $100+ version just to submit something they know is a state related thing.
This should have been smooth less and not an issue.
This isn't something last minute from the State of CA and Fed Tax side. When you have one of the largest states in the Union do something and you're a large company that handles doing taxes, you should have had this completed and done.
Mine keeps getting rejected for this as well. Reject Code CA_MCTR_Payment. Following along for updates....
I found a link in the turbo tax site... after you enter the 1099 misc, it asks you to describe what the form is for. here you have to enter "CA MCTR" then it should accept it
was on this morning with a tax expert. She couldn’t see anything wrong either. Federal section, the 1099-MISC was classified as the CA MCTR as instructed. Rejections came back 15 minutes later.
I didn’t see the “See how California handles income differently” button for the MCTR. Seems as though it’s still broken.
Mine is still being rejected with suggested changes as well.
still no luck, turbotax want me to pay as I can file for free, will keep update
I've got the paid version for small business and still being rejected. It seems to be across all versions.
This is what I received back right now as I just trying to submit my taxes.
I just talked to the expert. They said its a error in the system and should have been fixed today but they said to wait till the 31st (even though it says 27) you will be rejected in minutes.
I went through the instructions provided, and received a rejection. The issue does not appear to be resolved. Please inform if someone has been successful in E-file and acceptance.
I keep getting that same message and i even changed a couple things around still came back as an error.
HELLO HAD SAME PROBLEM TOLD TO UPDATE TODAY DID NOT SEE UPDATE
I got rejected 3 times, even after I check marked that it was a California Middle Class Tax. And when I clicked review, TT says it’s good to file but it’s not cause I’m still getting the rejection.
Both of mine rejected almost 20 minutes and was on the phone with turbo tax rep we had just got off.
waiting for it.REAL😑LY.this morning
That's exactly what mine told me. Wait until tomorrow or a couple of days since it seems like the update didn't go through yet.
Tried, did not accept still, but thanks for the attempt to help.
I tried the basic way, then the work around today where you click none apply and still got rejected by IRS. Hopefully they fix soon, it's quite frustrating. I even did the online chat and CPA live yelehpke chat and it wasn't resolved.
People are posting that Customer Service told them the efile rejection is suppose to be fixed on Monday Jan 30. So try Efiling after Monday.
FOR ONLINE
Enter the CA Middle Class Tax Rebate on a 1099Misc and put the amount in box 3. It will show up as Other Income on Schedule 1 line 8z and also as a separate negative amount to zero it out.
Go to Federal > Wages & Income, you might need to continue though the general screens.
When you come to the Wages - Your Income screen click on Add Income or
scroll down to Other Common Income, then 1099Misc.
Put the amount in box 3 and follow the prompts.
The next screen says…..
Do any of the uncommon situations apply? In my Desktop program the 3rd item listed is California Middle Class Tax Refund.
When you click on that then at the bottom it will say....The California Middle Class Tax Refund (MCTR) will not be taxable on your California or federal returns. It will show up as Other Income on Schedule 1 line 8z and also as a separate negative amount to zero it out.