8862 Form included but still Rejected

[CKnight90]

I e-filed on 1/12/2020 and got Rejected a week later. Then on 1/27/2020 I contacted TT Rep and she walked me through making sure 8862 is attached. e-Filed again and got rejected again. Contacted TT Rep again and was told the 8862 isn't available until 1/29/2020 & to file on that date again but in the afternoon. After I got on the call I went to my documents on TT and downloaded them. I didn't see the 8862 in there at all.  

So I then went to TT again and deleted my 8862 form. Went through the process again on my own. Refiled. Waited and got Rejected a few hours later again. I then downloaded the my tax docs again and the 8862 form is in there. 

What am I doing wrong? I got earned income credit & child tax credit last year with no issues. Only thing that has changed is my new son who was born in April 2019. Same job also.

[CatinaT1]

I would maybe wait until even later in the day and try to refile.  Be sure you have completed the 8862 completely. 

Follow these steps to add Form 8862 to your taxes.

1. Sign in to your TurboTax account and click Continue your return.
2. Click Search in the upper right-hand corner and search for 8862.
3. Select the first result: Jump to 8862.

 Now you are at the beginning of the Earned Income Credit.

1. Continue on the first two screens and stop when you see Do any of these uncommon situations apply?
2. Check the box that says, I got an IRS notice saying that I can only claim the Earned Income Credit if I file an 8862 and Continue.  
3. Select Done, but hang on, there are a few more steps to go. 
4. Answer the question about your IRS notice.

If you are still unable to get the return accepted, unfortunately, your only option may be to print and mail in your return. 

This article will give you instruction on how to print and mail your return.

[CKnight90]

I waited 36 hrs to resend my e-file. I made sure my 8862 form was included. Got rejected again 20min later. Not sure what I'm shopping wrong. This is the email error I get..

IND-165-01 - Form 8862 must be present in the return. The e-File database indicates the taxpayer must file Form 8862 to claim Child Tax Credit or Other Dependent Credit or Additional Child Tax Credit after disallowance.

[CKnight90]

I contacted turbotax and they said I had to mail it in. I didnt understand when other people are able to efile it. The next day I called to have them clear and start over my taxes and they said I couldn't because i already efiled. I told them it was rejected and was told by the tt rep she still cant. So I went to my files and deleted everything. Re-entered all my info. 1hr after I filed again. I got accepted. I dont think your software techs and expert tax reps know the system well enough to look over everything to correct certain issues. I filed the same exact way but some reason, deleting the 8862 in the past didnt fill out the form correctly. After I looked over the 8862 in my accepted efile documents. I noticed in the past turbo tax didnt fill in certain fields on the 8862 form.

[Emp22]

I'll have to try this. Been trying to help my bf file and it says he needs to fill out this form but we never got a letter in the mail. Filled it out and got rejected, tried like 15 times at least in diff ways and rejected every single time, can't figure it out. Idk even know why we would get this form ugh

[CatinaT1]

Try doing this:

Follow these steps to add Form 8862 to your taxes.

1. Sign in to your TurboTax account and click Continue your return.
2. Click Search in the upper right-hand corner and search for 8862.
3. Select the first result: Jump to 8862.

Now you are at the beginning of the Earned Income Credit.

1. Continue on the first two screens and stop when you see Do any of these uncommon situations apply?
2. Check the box that says, I got an IRS notice saying that I can only claim the Earned Income Credit if I file an 8862 and Continue.  
3. Select Done, but hang on, there are a few more steps to go. 
4. Answer the question about your IRS notice.

[bkaderi]

did you delete all files or just one specific section?

[stage169]

CKnight90, glad I read your reply.  Removing Turbo Tax software and files and then redoing my tax return did the trick and the IRS accepted my return.

But there might be another solution and it references your comment on how form 8862 gets filled out.  I received a letter from the IRS telling me I needed to fill out form 8862.  I answered this question correctly on TT and if memory serves me correctly TT said I didn't need to fill it out.  Filed and rejected, corrected with added form 8862 - REJECTED again.  Regardless I noticed a difference in the form from the correction to the removal and redoing of my taxes.  Maybe if you do the correction and then look at the form Part III for the child tax credit and see if it is filled out too?  For me my dependent is over 17 and in college so I could claim him for the (ODC) other dependent credit.  Might save a lot of time by just filling that out (TT filled out part IV correctly American Opportunity Tax Credit) and re-sending  your taxes to see if the IRS would accept.  I spent a lot of time doing all that I did just to e-file.  When I talked to a TT person for help they were probably in another country and the noise environment around them was incredible 🙂  The guy didn't have a clue.

[ReneeM7122]

If your Earned Income Credit (EIC) was disallowed or reduced for something  other than a math or clerical error, you may need to file Form 8862 before the IRS allows you to use the credit again. Here's how to file Form 8862 in TurboTax.  Since it appears that you already filed this form and the IRS rejected it again, you may need to contact the IRS to ask them why.  Their contact information should be on the letter that you received.

Here is an IRS link that tells you how to handle a letter if you receive one.

Just in case this helps, here are complete steps to completing the form:

1. Sign in to TurboTax and continue to open your return.
2. In the search box, search for 8862 and then select the Jump to link at the top of the search results.
3. You'll come to the Earned Income Credit section. Select Continue.
4. Answer the questions and eventually you'll be asked Do any of these uncommon situations apply? Check the box that says, I/we got a letter/notice from the IRS telling me/us to fill out an 8862 form to claim the Earned Income Credit.
5. Select Continue and then Done.
6. On the Since you got an IRS notice, we need to check on a few things screen, select the radio button next to No, none of these apply and I need to fill out the 8862 form.
7. Select Continue.
8. Answer the remaining questions.

Once you've completed this in its entirety, you should be able to efile form 8862.

@stage169

[stage169]

Hello ReneeM7122,

My federal return was rejected because of form 8862 needed to be filled out (1st time).  After doing the correction in TT the form 8862 had part IV filled out (American Opportunity Tax Credit) so I thought I was done.  Rejected again.  Redoing my tax return in TT form 8862 not only had part IV filled out but also part III (other dependent credit). 

So how part III was not filled out doing the correction the first time - I don't know.  All I really know now for sure is that the IRS has accepted my return now. 

I made the mistake of using the American Opportunity Tax Credit for 5 years with one dependent.  Of course I got denied that year but got it all straightened out.  The IRS sent me a letter in Sept 2020 stating that I needed to file form 8862 out to claim both credits in the future.  I was focused only on the American Opportunity Tax Credit which TT did complete part IV doing the correction.  Since part III was blank that is why my return was rejected again.  Wish I would of caught it then but everything is fine now.  Thanks