-$10,200 UEC has broken TT ability to e-file 1040

[Goodguy2k2k]

Unable to e-File (Online 1040)

"Your Federal Return Is Not Eligible for Electronic Filing"

"Tax withheld of $1,112 on form 1040 is greater than or equal to $1,038, the sum of income of following sources:"

- Form 1040 Line 1: Wages, Salaries Tips ($118)

- Schedule 1 Line 7 : Unemployment Compensation ($11,120)

- Schedule 1 Line 8: Other Income... ($-10,200)

TT is broken on this. Will this be fixed? Makes zero sense that TT would not compensate for disparity in tax withheld vs -$10,200 and not allow user to move forward with E-File. Also, the -$10,200 plays havoc with local tax worksheet and does not allow remedy.

Will this be fixed? It's gonna force everyone to file via paper mail in forms???

[Goodguy2k2k]

So TT is broken in this regard:

TT is erring out because (due to the -$10,200 being dropped in) it shows I made only $1038 (less than was withheld by Unemployment for Fed Taxes).  If I would have made a couple hundred more in wages/salaries/tips there would be no error. So TT is broken.

[Mike9241]

 Form 1040 Line 1: Wages, Salaries Tips ($118) why is this in brackets it's income and should show on 1040 line 1 without brackets 

- Schedule 1 Line 7 : Unemployment Compensation ($11,120) same point as for wage should show on schedule 1 line 7 without brackets.

- Schedule 1 Line 8: Other Income... ($-10,200) this should be automatic based on 1099-G entry and will be bracketed automatically.

how did you manage to get negative numbers for certain fields - TurboTax should block them  

[NCperson]

@Goodguy2k2k - the problem is really with the IRS.... I saw this in a memo circulating locally from a tax professional who works with one of the software providers (TaxSlayer) and the IRS.

The IRS has a filter that precludes electronic filing when the unemployment income is less that the federal tax withholdings on Form 1099-G.  It has probably been there for quite a while because it would normally suggest a data entry error.  Who would have thought the IRS would eliminate $10,200 of income!!!!

[Goodguy2k2k]

Thanks and you're probably right.

The problem is: It's gonna force the IRS to have to process even more manual paperwork in a year of total confusion and overwhelming changes for them. Stupid.