Cannot file return online after indicating I will file a 3520 form on my Form 8938 in Turbotax?

[SL1234]

@SusanY1 

Appreciate the reply and suggestions, but to be honest, I'm not willing to "take my chances" with a workaround to cover something that clearly has been a bug in TT for some time, especially not with a form that could potentially lead to serious fines. As suggested there are programs out there that are correct and allow efile. So if the bug does not get fixed very soon, that will be what I will be using from now on.

[pk]

@SL1234 , @SusanY1 , @SOMENBOGU , I have confirmed that the entry of the number of 3520 etc. does indeed cut-off the e-file availability for 2023.  I went back and tried a similar return  with 8938 and 3520 ( 1 ) with the same result.  It seems therefore that is a policy decision by TurboTax to  NOT support e-file  when  unsupported forms  ( or references  thereto ) such as 3520 are present.   I do not know the reasoning behind this decision.

Have also confirmed  that  IRS instructions do indeed require a filer to  enter the number of such  forms being separately  transmitted -- the term "must" is used , implying mandatory.

So the only option is to file by mail   ( one  for the 1040 series  and its attachments and another for 3520 etc. ).

pk

[ssp0]

@pkI can also confirm that IRS does accept e-file in this situation. I was able to file using another tax software. This is definitely not a limit on the IRS side. I will hope that the bug is resolved by the TT for the next year so that I can use TT again, as TT does better with Foreign Tax Credits and Form 1116.

[VS73]

I have the same issue and do not understand TT's logic of taking away a feature. Form 3520 is an information only form AND goes to a different address - it is decoupled from the main tax return.....that's what makes this inability to e-file the main return all the more frustrating.

I do hope that TT product managers are paying attention to these discussions and are responsive enough to fix it for 2024 tax year.

[SusanY1]

Would one of you be willing to share a data file with me (scrubbed of all of your personal data) so that I may submit this issue to developers to request correction of the e-file error? 

In the meantime, the only real way to e-file and address the concerns about the checkbox is to include the data on 8938 even though it isn't required (the reference to number of 3520s is a way of saying "the data isn't here, it's there, so if you include the data on the 8938 and the 3520, you won't have a problem - but this doesn't detract from the fact that this behavior isn't ideal.)  Paper filing is the default if you prefer to have the indicator for the number of 3520s rather than the data on the 8938.

Here are the steps to share your file:

If using TurboTax Online 

• Log into TurboTax
• On the left, click on Tax Tools
• Under Tax Tools, click on Tools
• In Tools Center, click on Share my File with Agent
• You will then see a 7 digit "token" number

If using a download/CD version of TurboTax

• Open TurboTax, and your tax return
• Select Online in the menu across the top of the screen
• Click on Send Tax File to Agent
• You will then see a 7 digit "token" number
   

Please return to this post and provide the token number in this thread.
 

@SL1234 @SOMENBOGU 

[pk]

@SL1234 , as I mentioned in an earlier response, I have verified that the issue exists  for both tax year 2022 and 2023 -- I did not check for earlier years.  This seems to be  more of a policy decision to not allow e-file if an unsupported  form is referred and not  called for.  And yes it would be good to allow this  i.e. the recognition that  un-supported  (but required) form  is  being referenced.

[cblegen]

Hi - my token number is 1220001. Thanks for trying to help.

[cblegen]

I'm still having this issue and not sure why this thread says 'Solved' when the issue hasn't been resolved. Does anyone know if it will be fixed or should I start printing out my return?

Also, there is another active thread about this issue called 'Efile with form 3520'.  

[VS73]

I went ahead and sent a paper Form 3520 as well as paper tax filing. Np point waiting for Turbo tax to solve this issue. Hopefully they are paying attention to these threads and fix the issue for next year.

[NBriggs]

This is still a problem, as of April 15 2025 -- marking the number of 3520 filed separately on the 8938, with no other information, results in a "can't e-file your return".  Not only does it prevent you e-filing the federal return, but it prevents you from e-filing a CA state return.  As has been pointed out, you have to file a 3520 ON PAPER, separately, regardless of whether you e-file or print your return, and TT doesn't need to have anything to do with the contents of a 3520.

Is there another place to raise this issue that might actually get it addressed?

[Vanessa A]

This is on the list to be looked at by the software developers.

In the meantime, if nothing on your 3520 affects your return, you can tell TurboTax that you do not have one.  Then you would be able to e-file and mail the 3520 separately.