1. We use TT Online, 1st-level paid version, about $130+ tax. Have used same for > 6 years, used TT standalone in prior 3 decades.
2. The problem shows up in the absolute last step... e-filing our fed and NY state tax return, after returns were allegeded "final checked" with no error found. Identical probelm experienced in 2022, not in prior years.
3. Clicking the e-file my returns button, an error is presented in the NY State return than must be "fixed." We are presented two options now; a. mail in the return. or, b. fix the return. Choosing Fix it, we get this...
4. The "must fix" alleged problem is reported in this 1099-R Box 14a (the NYS withholding tax) by messaging something like this “...the Box 14a value can not be greater than or equal to the gross distribution...” logical, but the entered value is correct (exactly 10% of the Gross Distribution)! Otherwise put, subject 1099-R Box 14a value is exactly 10% of the Box 1 Gross Distribution (Box 14a value = $440.00, exactly 10% of the true Fidelity RMD Box 1 gross distribution $4,400.00). There is NO problem with the data in Box 14a! The only problem is that TT Online software detects some unknown issue (not displayed) and incorrectly reports an error.
5. In 2022, I worked with a TT Tax expert for about 3 hours, recalling now after attempting many clearling/re-entry of data, we went back to the Federal return, deleted the imported Fidelity Investments 1099-R, added a new 1099-R, and entered all data manually into the new created Form 1099-R. The identical alleged error in my imported Fidelity 1099-R was detected again in 2023. I again called twice for a TT Tax Expert assist in Feb 2023, under his guidance cleared and re-entered the Box 14a value -- all without success. Eventually we got the e-file to work, but the subject 1099-R Box 14a value ($440.) was zeroed during troubleshooting with the "Tax Expert" and my NY State refund was and is $440. short. I was told TT could do nothing now since the fed and state returns were e-filed... we would need wait and see id the returns were accepted or rejected before further action can be taken.
6. A subsequent call to TT Tax experts got no results, except the about $40. paid for the state return e-file costs were refunded.
7. Lastly, I went back to TT Online, selected amend my return, and made the correction to add back the $440.00 state witholding tax fro the Fidelity 1099-R, attempted to e-file again, and recieved the same error defined in step 4 above. I then attempted to mail-in the NY state tax return, and TT Online reported this was not possible due to NY state Tax law that says, and I paraphrase, once an original return is e-filed, an amendment to the original must also be e-filed and can NOT be mailed in. A phone call to NY State Tax and Finance customer service said this is untrue, and that my amended 2023 NY State Return could be mailind in. This mail in was done in early Mar 2023... and I await my adjusted state refund.
8. Bottom line. Looking through many of these discussion, it is apparent that most versions of Turbo Tax software has multiple issues with importing Forms 1099 from multiple finacial activities... Fidelity, Schwab, Morgan Stanley, etc. to name a few.
9. Recommendation: Do not use TT import feature for Form 1099, perhaps other tax forms. Enter 1099 data manually. TT higher level software coder-troubleshooters need to evaluate this problem, as a retired computing engineer and large computer network admin, I'm willing to work with such persons (if any) to resolve your Form 1099 import problems or suspected general financial data importing issues in many verisons of TT Software.
Regards, dj
