EFile rejected with code R0000-058-01. This appears to be a problem with form 7206. Any timeline for when this will be fixed in the desktop version ?

[le-impot]

@AnnetteB6 and @CatinaT1 : I have had similar problems with an unnecessary and incorrectly completed Form 7206 which I have asked for information about in another thread of the TT forum, and have never gotten a response. Can one of you please read this and reply?

My situation: I have none of the conditions that require the filing of Form 7206, but TT included it in my return anyway, in the same incomplete way described by others in this forum. When you look at the form within the TT desktop application, there is the footnote describing that the self-employed healthcare deduction is included elsewhere but not on the 7206, but that footnote doesn't appear in the saved PDF of the return. The amount of the deduction shown on my Schedule 1 was correct. I waited for the promised TT updates, but none of them ever eliminated the Form 2706 from my return, and deleting it was not possible. Eventually, on March 10th, I decided to try to efile to see if I got the error message many have described. I did not--my efile was accepted.

My questions: Does the fact that my return was accepted indicate that the Form 7206 wasn't transmitted after all? Or is there some other explanation as to why mine went through and others are still reporting an error? If the form was transmitted incorrectly, is TurboTax in communication with the IRS to inform them that returns efiled through TurboTax may have this form included erroneously, but that it does not effect the accuracy of the return? Are you planning any other steps to help resolve any future issues that may occur as the result of this TT error?

Please respond to these questions with as much specificity as possible.

Thank you.

[jknr]

Having the same issue with an incorrect(?) form 7206 (blank line 1, but Schedule 1 line 17 has a different, non-zero amount) that I can't get rid of. I have a 1095-A, ticked the check box for self-employed and purchased a marketplace plan... using TT Online so I can't see the form view to confirm or deny the existence of a footnote. All i know is that my review copy right before the filing screens have no footnote.

[CatinaT1]

There are two separate issues with form 7206.

@jknr It looks like you have the issue of 7206 not matching Schedule 1. This is a know issue. You can sign up for updates here: Why isn't my MAGI on Form 8582 not including my full self-employment health deduction?

@le-impot Are you getting a reject?

The development team has given us an update with regard to customers who are receiving the Reject Code R0000-058-01 when trying to electronically file your return.  The resolution to this situation is taking longer than expected and it may not be resolved before the tax filing deadline. 

For reference, this information is from the IRS Instructions for Form 7206: 

Generally, you can use the worksheet in the Form 1040 instructions to figure your deduction. However, if any of the following apply, you must use Form 7206.

• You had more than one source of income subject to self-employment tax.
• You file Form 2555.
• You are using amounts paid for qualified long-term care insurance to figure the deduction.

In order to proceed and get your return filed in a timely manner, please follow this advice:

1 - If you are required to include Form 7206 as a part of your tax return based on the information above, then you need to print and mail your return.  Electronic filing will not be an option if the reject code persists. 

2 - If you are not required to include Form 7206 as part of your tax return, then you can attempt to delete the Form 7206 and try electronically filing your return once again.  If the form cannot be deleted or you still get the reject code, then you need to print and mail your return. 

Use the steps in the following TurboTax help articles to delete Form 7206:

How do I view and delete forms in TurboTax Online?

How do I delete a tax form in TurboTax Desktop (Windows or Mac)?

[jknr]

I signed up for updates there just to be informed, but I don't have Form 8582 whatsoever.

Actually, from those three bullet points you posted, I shouldn't even need a 7206? Only one source of SE income, no form 2555, and no long term care insurance.

[le-impot]

@CatinaT1 :

One of the more frustrating aspects of this entire situation is the the experts on this forum do not appear to actually read customer posts, and as a result their "answers" are often both repetitive and unhelpful.

Please re-read my previous post, as it contains all of the facts and all of my questions. But to recap, I have the same issue as @jknr -- I am not required to file Form 7206, my self-employed health insurance deduction should be calculated using the worksheet. Nonetheless, TT is using Form 7206, and Line 1 is incorrectly blank, although the amount of the deduction on Schedule 1 Line 17 is correct. No I did not get a reject. My efile was accepted. What might this indicate? Is it possible that perhaps the superfluous and incomplete Form 7206 wasn't transmitted with my return even though it is included in the saved PDF version? If that's the case, it might relieve some of my worry. I'd also like to know if TT has communicated to the IRS that returns filed with TT might contain this incorrect form, so as to minimize the potential for future problems for us users.

And also like @jknr , I have no idea what the update link you sent will do for me, as I do not have a Form 8582-the problem is that the figures on 7206 and Schedule 1 don't match.

Thoughts?

[CatinaT1]

I apologize le-impot.  I did read your question, but mistook you for another poster when I went to answer.

I do not have answers to many of your questions. I would suggest you get a Transcript of your return and determine if the form was included and if everything is calculated correctly. If it is incorrect, your return can be amended.

IRS Individual Online Account  

Taxpayers with a Social Security number or an Individual Taxpayer Identification Number can create or access their IRS Individual Online Account to get information they need to file their return.  

With an IRS Individual Online Account, people can: 

• View balance owed, payment history and schedule payments. 
• Cancel scheduled payments – new feature for 2024. 
• Get transcripts. 
• View or create payment plans. 
• See digital copies of some IRS notices. 
• View key data from their most recently filed tax return, including adjusted gross income. 
• Validate bank accounts and save multiple accounts, eliminating the need to re-enter bank account information every time they make a payment. 
• View, approve and electronically sign power of attorney and tax information authorizations from their tax professional.  

[le-impot]

@CatinaT1 : Thanks for this information. I looked at the IRS website regarding getting a transcript and it looks like it will be several more weeks before I can request one, so I suppose I will have to wait until then.

To follow up on your comment about filing an amended return: If Form 7206 was included, it was not necessary. The amount of the Self-Employed Health Insurance Deduction was correctly shown in the right place on Schedule 1 so the resulting tax return is correct, and the only change in an amended return would be to not include a form that was never required in the first place. Is that even possible? I would literally be filing the exact same return minus a form which wasn't used to calculate anything in it in the first place.

[CatinaT1]

If that is the case you would not need to file an amendment.

[jknr]

So, in that case, is there actually an open ticket/bug report for a glitched 7206 with a blank line 1/unnecessary form 7206? My Schedule 1 actually having an amount already would seem to imply 7206 isn't needed to begin with. Again, it can't be deleted - it instantly regenerates if I try.

[stevewhelan]

See my response yesterday. It addresses the regeneration of form problem.

[jknr]

Wild, unless I'm missing something, so the only solutions so far seem to be...

- try to e-file anyway and roll the dice on a rejection, and even if it's accepted you have an inaccurate 7206 to worry about

- wait and hope turbotax fixes their program 2 weeks before tax day

- print paper files, physically pluck the 7206 out, and mail them in

wish I would have known about this before I threw down $190... and the only reason I even caught it before a potential rejection was clicking review/print, because turbotax only keeps celebrating how error-free I am.

[le-impot]

@jknr :

Couldn't have put it better myself! I still have no idea how my efile got accepted when so many other folks are getting rejected, nor whether that's something to celebrate or worry over. I have used TT for literally decades, and to have them blow this major thing and then be so cavalier about fixing it is astounding. I also forked over plenty of money for the software itself, and if I were to also add up my time in trying to chase down some answers it'd be well into the thousands [after all, I am self-employed so the time I spend here is time I'm not billing elsewhere...]. At the very least, I think they should be offering us refunds of our purchase price, and throwing in the Audit Protection they're always trying to upsell for free, since their error may cause our returns to be flagged...

[ckoontz50]

Last option that works:

Enter data in online version - you don’t pay until you’re ready to file

It took me about 8 hours to re-input, download from financial institutions, etc.

There was a learning curve in how to navigate but Turbotax support called back quickly and worked me through it.  I would try to get Turbotax to eat some of the cost of the desktop version (especially if you bought from them)- But a great relief when I got this about 30 minutes after efiling:

TurboTax Update: Federal Return Accepted

[ckoontz50]

And with the 7206 sent (and correct)

[jknr]

Unfortunately I'm using the online version and I've paid, and was about to file, when I found out about all of this. I opened my review copy PDF and was skimming through the forms and found a 7206 with a screwed up blank line 1 (which cascaded resulting in a blank line 14, etc) and somehow, despite all that, I have an actual number that seems to make sense in my Schedule 1 line 17. Then all that brought me here.

So unfortunately my bottom line right now is that my 7206 isn't filled out correctly, no way to modify it, and even though it doesn't seem to be affecting the Schedule 1, I didn't want to try and file with the blanks present and invite trouble. For what it's worth I've managed to get within a few dollars of TT using a different program that does have a filled out 7206. So it's a glitch for sure.

At this point that different program is probably going to end up being what amounts to a contingency plan if we get within a few days of 4/15 with no resolution here. +/- fighting for refunds, partial or not. I'm not paper filing unless it's my absolute last resort.