Rejected CA State Return in TurboTax Business - Invalid type

[johnp317]

In past years, TurboTax Business said I could NOT eFile my 2021 California Fiduciary 541, but this year it offered eFile (Yay!) so I went for it only to be rejected with this reason:

When I press continue it just goes back to this screen:

and Revisit goes again to first screen so I'm in an endless loop.  How do I go about NOT eFiling, getting my $20 TURBOTAX DESKTOP STATE RETURN CA TAX YEAR 2022 E-FILE payment back and filing manually?

[alfoytek]

I tried filing my Trust return Form 541 and got exactly the same result.  Looks like the transmission type is set to "testing".  

[Anonymous_ · Accepted solution]

Forms availability for CA Fiduciary indicates Print Only.

See https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotaxbusiness_ca_windows_fiducia...

Contact Support for a refund.

How do I contact TurboTax? (intuit.com)

[Buggy222]

Why is Turbotax offering me the option of e-filing my Form 541, only to have California reject it?  If CA is paper only, program should not offer e-file.  It looks as if CA accepts e-file from registered electronic form originators who have an ETIN (Electronic Transmitter Identification Number).  Did Turbotax fail to get an ETIN, or do I need one?

[Anonymous_]

I could not say , one way or the other, but it might very well simply be that they are not set up for CA e-filing with their DIY software.

[johnp317]

I do think this is a BUG this year.  In prior years, it simply did not allow me to eFile.  This year, it allowed it and then rejected.  It should not allow it, charge me, reject and and make me go get a refund.

Also, I still don't know how to get out of the endless loop any actually file it by mail.

[CarissaM]

To get out of the loop, please exit the program. Then sign back in. Once signed in, please go to the online tab, and select update. Then go to the file menu to begin the process again. 

Since the form is only available to file by mail, this is what is causing it to be rejected. Please follow the instructions here to switch from e-file to file by mail. 

Those are for online, however, the process is the same. @johnp317 

{Edited 2/20/2023 12:40PM}

[markberlind]

I'm having the same problem and am getting the same rejection notice, so I called California's FTB and waited until someone could answer my question.

The FTB said that the rejections are occurring because TURBOTAX DOESN'T YET HAVE A VALID ELECTRONIC TRANSMITTER ID.  They said that the ID is in the "testing state", meaning that the company still owes them information or hasn't completed all the necessary steps.

So it seems that the software is enticing us to eFile (which would be a big improvement over prior years), but has jumped the gun and is providing that option before they're actually ready.

Could a TurboTax team member find out when this "testing state" will be resolved so they get the valid Electronic Transmitter ID, so all of us could know when we can eFile?  Or, that it just won't be ready this year so we can (reluctantly) use mail.

[SForrestLO]

Please reach out to customer support for further assistance. 

This FAQ will provide you with the steps to contact an agent. 
Customer support is available from 5 a.m. to 9 p.m. Pacific time daily.

[Buggy222]

I have tried reaching out to Turbotax on this and have not been able to get past the automated system.  If anyone has been able to find out the status of this issue, could you please post it here.  Thanks

[markberlind]

I did call customer service yesterday in response to the suggestion from the TurboTax employee above, and reached someone who did seem to be making a good faith effort to help.  She shared my screen and then researched the issue for quite a while, but in the end could find no information about the status of TurboTax's efforts to become an authorized transmitter of CA fiduciary returns.  It seems that the helpline team simply doesn't have, or doesn't know how to find, access to information about the company's ongoing efforts to qualify to transmit returns in various States.  Really, this is something that the company ought to be able to provide a helpful update on, as someone there is clearly working with the CA FTB to become authorized (that's what FTB told me per my post above).

In the end, the customer service phone rep suggested I simply mail the return this year, and at this point that's what I plan to do.  I was thinking of waiting and trying again next month to see whether Turbotax has sorted this out with FTB, but I don't have high confidence that this will be done quickly since no one there seems to even know about it.  Maybe next year.

[brenda76]

can you provide an update as to whether the efile of 541 is supported through TT Business by CA FTB? TT prompts me to efile but it has been rejected twice 

[BrittanyS]

Currently, the form is only available by mail.  To switch from e-file to mail in TurboTax, follow the steps below:

1. Select File in the menu, select Continue and choose to Start next to Step 3. Get ready to save and file your returns. You may need to complete Steps 1 and 2 first
2. On the Let's get ready to e-file screen, select File by mail
   • If you come to the We've determined the fastest way to get your federal and state refunds screen, select Change next to your return and choose File by mail
3. Select Download to print your returns

Your Filing Instructions document will be on top. It'll tell you what other paperwork you need to include and where to send your return.

@brenda76 

[Buggy222]

Since most Californias have an extension for filing taxes until October, it would be nice to know if TurboTax is planning to correct this error.  I know I can print and file, but can somebody with some knowledge tell me if TurboTax is actually planing to fix this for 2022 filings?

[MichelleLO]

No, currently there is nothing scheduled at this time.

@Buggy222