Arizona Return Rejected

[jpurdon]

My AZ return has now been rejected twice. The first time it said a product update was required. The second time it says Schedule A math ain't mathin': "line 3A does not equal line 2A subtracted from line 1A). Well, the math doesn't need to math. The numbers are correct and should not be equal. I spent 30 minutes on the phone with TT and they told me I need to mail my return. That is not an acceptable solution. Has anyone successfully (submitted AND accepted) submitted your AZ taxes with TT? I've put in a request to speak to a TT Expert, but the last expert I spoke with was anything but, so I'm not optimistic. 

[BillM223]

First, what is the exact reject code from Arizona?

Second, are you saying that on AZ Schedule A, line 1 is greater than or equal to line 2, so there is an entry on line 3? But that line 3 is not equal to line 1 minus line 2?

Where in the AZ Schedule A Instructions do you see that line 3 does not have to equal line 1 minus line 3?

P.S. It does happen that the software provided by the state to accept an e-file has stricter tests than the actual tax return, thus a legal return might be rejected through no fault of TurboTax.

[jpurdon]

The Reject Code is 639. The verbiage of the email I received from TT is where I got the stuff about 3A... It's in the Medical deduction portion of Sched A and it just doesn't make sense that they would be equal numbers. I'm afraid your PS statement is accurate!

[BillM223]

Could you do me a favor? Could you share with me any verbiage that you got from the State of Arizona as well as from TurboTax? 

I am especially interested in "The verbiage of the email I received from TT is where I got the stuff about 3A."

Also, are you saying that 1a, 2a, and 3a are all the same numbers?

[BillM223]

I just realized that lines 1a, 2a, and 3a are about state income taxes, not medical expenses (look at the very bottom of Schedule A). I can't see your return, of course, but I was wondering if this helped you anyway in understanding the issue.

[jpurdon]

The email from TT said "Arizona Schedule A, line 3A does not equal line 2A subtracted from line 1A; FRM - Error has occurred on the Arizona Adjustment to State Income Taxes Schedule. Reject Code 639"

Those numbers are all different and came over (correctly) from the Medical Deductions on the Federal Form.

[jpurdon]

No, on AZ Schedule A the first section, numbers 1-4 are Medical and Dental Expenses.

[BillM223]

Yes, the numbers 1, 2, 3, and 4 are for medical expenses, but in the initial post, you wrote 1A, 2A, and 3A, which are on Page 2 of AZ Schedule A, and they refer to state taxes. Go look.

[BillM223]

I don't understand how Medical and Dental expenses appeared on lines referring to state income taxes. This does not happen on my test.

If you like, you can send us a "token", which is a number that points to a sanitized version of your return, so we can see what you're seeing. By "sanitized", this that all of your personally identifying information is redacted, so we have no idea who you are.

For TurboTax Online:

1. Sign into your TurboTax Online account
2. Scroll down to Tax Tools from the menu ‌ side
3. Select Tools from the dropdown
4. On the pop-up screen, select Share my file with agent
5. A message that a diagnostic file gets sanitized and transmitted to us appears
6. Provide the Token Number that was generated in this thread.

TurboTax Desktop Steps

1. Open your return
2. Click Online in the top menu bar
3. Select Send Tax File to Agent
4. Follow the prompts to generate the token number
5. Provide the Token Number that was generated in this thread.

Be sure to add "@" "billm223" (without the space in between) so that I will be notified.

[jeffreyknoll4627]

I also ran into this issue. I haven't seen a solution, but I believe I have figured it out. There is confusion over AZ Sched A lines 1,2,3 and lines 1A,2A,3A. The actual problem is with lines 1A,2A,3A which are on page 2 of AZ Schedule A in the section "Adjustment to State Income Taxes". The problem is if you claimed AZ tax credits (line 2A) greater than the state tax you owe (line 1A), line 3A would be negative. In this case TT enters zero for 3A, but apparently the state verification computes a negative number which does not match the zero on the return. So, technically the error message (re: the calculation) is correct but logically not. The state validation needs to check that if 2A is greater than 1A, a zero is a valid value for 3A. I believe TT Tax should also check what you entered for state tax credits, which ultimately goes to 2A, does not exceed 1A and at least give you a warning. The state also should adjust the form line 3A to say if negative, enter zero.  I reduced my state tax credit to the amount I owed, (not the full credit which was more than I owed, and would not be applied anyway), so the calculation of 3A resulted in zero.  Following this my return was accepted.