Form 5695 Energy Efficient Home Improvement Credit

[RichHarrelson]

Someone earlier in the thread mentioned a TurboTax fix of March 27. That is incorrect information and should not have been posted. I understand you’re waiting on the IRS..then do not advertise specific dates for your software updates! Also, (not that Turbo Tax is involved) our federal government is going down the toilet so who knows how taxes will work this year anyway. 

[Thompson_Tina]

I just submitted my federal and state taxes and they were rejected due to the same issue (Joint Occupant on Form 5695) and it is April.  If we can't file electronically through TurboTax, I agree that TurboTax should refund the $25 eFiling fee TurboTax charged for filing state taxes.  Also, since TurboTax was aware of the issue, they should have flagged this in the program especially since the program constantly looks for updates every time I open/relaunch up TurboTax. 

[Drewtoo88]

Agreed, how best to get a refund from TT for said state fees being charged? 

[LeticiaF1]

The delay in processing this returns was due to a known issue with the IRS.  The IRS updated the system this week to start accepting e-filed tax returns with Form 5695 Joint Occupancy. However, a processing problem still exists. To ensure the accuracy of tax returns, TurboTax is working hard to eliminate the issue. The expected resolution date is April 4, 2025. On or after that date, please log back into your TurboTax account, fix any error messages and e-file your tax return. 

 Known issues and solutions | Internal Revenue Service

There's also an option to print and mail your return. If the special rule for joint occupants applies to you, please make sure that the box on line 32a of Form 5695 is checked. Then attach a statement to your printed return that explains how the special rule applies to your situation. 

This statement should include:

• The names and Social Security numbers of all joint occupants.
• A description of the property and the nature of the improvements made.
• An explanation of how the costs were shared among the joint occupants.

TurboTax does not automatically generate this statement, so you will need to create it yourself. Make sure to include this statement when you mail your tax return to the IRS. 

Here is a possible template that you can use:

Statement for Special Rule for Joint Occupants

Taxpayer Name: [Your Full Name]

Taxpayer Identification Number: [Your SSN or ITIN]

Tax Year: [Year]

Names and Social Security Numbers of Joint Occupants:

[Full Name of Joint Occupant 1], [SSN of Joint Occupant 1]

[Full Name of Joint Occupant 2], [SSN of Joint Occupant 2]

(Include additional names and SSNs if applicable.)

Description of Property and Improvements:

The property is located at [Property Address]. During the tax year, the following energy-efficient improvements were made to the property:

[Description of Improvement 1] (e.g., installation of solar panels, energy-efficient windows, etc.)

[Description of Improvement 2] (if applicable).

Explanation of Cost Sharing:

The total cost of the qualified energy-efficient improvements was $[Total Cost]. The costs were shared among the joint occupants as follows:

[Your Full Name]: $[Amount Paid by You]

[Joint Occupant 1's Full Name]: $[Amount Paid by Joint Occupant 1]

[Joint Occupant 2's Full Name]: $[Amount Paid by Joint Occupant 2]

Based on these contributions, I am claiming my allocable share of the energy-efficient home improvement credit. My share was calculated as follows:

Credit Allocable to Me = (Credit Limit for Property) × (Amount Paid by Me / Total Amount Paid by All Occupants)

@Thompson_Tina

[rpoulin227]

This attached statement makes no sense. When and if this fixed for e-file how would this statement be attached ?

Where can we find updated info on the IRS website if this is fixed or not .. Also after 5 rejections you need to print and mail anyway .. and we have no idea if it will be rejected because updated dates are consistently incorrect .. how the F can the IRS not have a fix for this until 11 days before the deadline. That's assuming the 4th is even correct. I guarantee The IRS  will not have a fix before the deadline guys so just print and mail and remember the government is an organized/unorganized crime ring.. 

[Taxi456]

Any update on this? Did anyone try to re-file today and it worked?

[rpoulin227]

I re-filed today and it was accepted