As of 03-27-2025 IRS Tax Return is still being Rejected for Form 5695 Error - System issue is NOT fixed

[bluepig2020]

As of 03-27-2025 IRS Tax Return is still being Rejected for Form 5695 Error:

Federal return rejection: This return can not currently be processed for e-filing due to Joint Occupancy on Form 5695Reject Code 5695_Joint_Occupancy.

Let's take a look at your return

Description of error:

This return can not currently be processed for e-filing due to Joint Occupancy on Form 5695

What needs to be done:

This return was not e-filed due to a processing error that will be corrected on March 27, 2025. On or after March 27, 2025 open the rejected return, review it for errors, and resubmit the return for electronic filing. If you do not want to wait until March 27, you may print the return and file by mail.

[rvdinh]

I am in the same boat as you too if that is any consolation.

[CatinaT1]

Please wait until later today or tomorrow when the update takes place. Then you will be able to successfully file.

[kb310]

Any luck yet? I tried multiple times over the past few weeks. Yesterday, I called because of the March 27 "fix" date and it still wasn't working. The gentleman I talked to suggested that I delete the form and redo that section after Turbo tax was updated. I think my last attempt yesterday work but am waiting for the taxes to be accepted. This is frustrating because it's been on my to do list since February when I finished our taxes. 

[bluepig2020]

03-28-2025- Rejected again. Message now says issue won't be fixed until 04-04-2025!!!!!!!!!! 

Let's take a look at your return

Description of error:

This return can not currently be processed for e-filing due to Joint Occupancy on Form 5695

What needs to be done:

This return was not e-filed due to a processing issue on Form 5695, Residential Energy Credits and the associated Joint Occupancy Statement. Resolution of this issue is scheduled for April 4, 2025. On or after April 4, 2025, open the rejected return, review it for errors, and resubmit the return for electronic filing.

[jerinsmommy]

This is happening to me too!  So frustrating!!!  I did my taxes early this year and since I am actually getting some money back - I have been trying to submit since February.  What's the deal??? 😬 

[jerinsmommy]

Did it work?  If so, how did you re-attach the form and resubmit.   My concern is that if I don't file by 3/31 the price goes up.  I might as well just print and mail it to the IRS like the old fashioned way.  This is so annoying that the IRS can get one of their own forms to work!

[jlthompson88]

You're wrong.  It says we can't fix it now until April 4th.  What's wrong with TurboTax?

[Jvu1]

The new date is 4/4/25!  Let's hope that the IRS/Turbo Tax fix it.  Getting too close to the deadline.

[AnnetteB6]

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. 

There is 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)

@kb310 

[Debbie52655]

This sounds like an turbotax issue.  I pd to e-file.  Please either update by 4/11/2925 or give me a refund. I feel like suing because of all the issues and stress this has put me through.  No way am I going through this next year. Sorry software!

[CatinaT1]

I suspect your return is being rejected for a different reason. If it had been rejected previously for Form 5695, that reject was resolved so there is likely another reason for reject. What does it show your return is being rejected for?

[kb310]

It works now:) On April 4, I updated Turbo Tax, deleted the form(Probably overkill), reentered the info and submitted. Both my Federal and State taxes were accepted. Try now if you haven't already.

[Thissucks6]

 No you didn’t help, thanks for nothing. If anyone knows what to do, reach out. It is making me select the highest costs and doesn’t even let me ask for help.  0/10 GARBAGE

[jerinsmommy]

I got tired of this nonsense and actually filed the old fashioned way - I mailed it!  This system is a joke!