Federal return rejection Reject Code F8960-019-04 Processing error Form 8960, Net Investment Income Tax. We do not have an estimate for when the problem will be resolved

See post above by @BligBlueLaser 

I got the same error and never heard of it until today.  Curious what we find out and how to fix it within application.  My guess is that is a programming error in application.

I have the same issue. and i don't have any rental property period so i have no clue on this either.. so much for filling early 

I am having the save issue. I have no rental income yet the amount in 4a is being populated with self employment income. 

Schedule 1 does not have this amount, so causing rejection. 

will this be fixed?

I keep getting the same code. I’ve been up now for 24 hours trying to figure out why I’m getting this rejection code and no one seems to have the answers. Hopefully we get answers soon because this is unreal 

I have the same issue. I do have rental income but I've had rental income for years without this issue before. I spoke to 6 different reps over the last 24 hours, no one knows how to resolve and have been giving me many different solutions

if you call support could you please post what you find out ? 

I'm having the same issue as well, and I have no rental income to report either. Agree with the other posters here: if anyone is able to find out some information, it would be GREATLY appreciated if it's shared broadly! Thank you!

I didn't post what support said because it either wasn't helpful or I can't confirm it works. 
Rep #1 - said download the desktop version to manually change the form and resubmit, but hung up on me before we could go down that path. I looked at the form, I need a tax experts help. 
Rep #2 - said download the 8960 form from the IRS website, fill it out and upload it to turbotax then refile. Again I would need a tax expert, she said she would transfer me and hung up. 

Rep #3 - had no idea and couldn't get help so just offered the refund link (which I will probably use after getting this resolved)
Rep#4 - said I didn't need the form and to delete it. I do need the form though. 

Rep #5 - wouldn't even start a conversation with me until I gave her my social, which I felt weird about and I had already given her my phone number, email and name. No one asked for my social before her. I told her this and asked her if she was sure she needed it, she said yes. I just hung up. 
Rep #6 - heard everything I had to say about everyone else. Went straight to supervisor. Supervisor spent mins "researching" to come back and tell me to clear my cache. Eventually transferred to a tax expert (on with them now) 

*spent 40 mins

Has to be a programming error. After days of waiting received the same error message. I have no rental income thus no need for form 8960. Tried to go into Tools (Online Version) and delete Form 8960 and resubmit. This time IRS response was within 30 minutes. Same exact error.....blah blah blah Form 8960. So the Delete Form function clearly doesn't work as well. 

Intuit needs to be on this ASAP.

Most all users with this issue have NO rental property income so the 8960 is not required.

Problem is if you e-file it will always reject since the Sch 1 Line 5 rental will always be blank and form 8960 requires this to be populated. You can only populate it if you enter rental property.

The solution is to DELETE form 8960 BUT Turbotax keeps recreating this. 

They really need to get on this with an update. Seems a simple fix as if there is no rental property there should be no 8960 form.

Re-submitting to the IRS with e-file will eventually exceed the # of attempts then you will be forced to mail which will take months and months to process. 

As a life long TT user its urgent TT fixes this to retain our trust otherwise a lot of people will be looking for other software next year.

holy crap.. what i mess.. have never had issues like this with TT. please let us know what they say.. seems to be more and more people with the same issue 

Pretty typic error message.  

First, no reference in 8960 to “Net Rental Income Or Loss Amount," but my best guess are lines 4a, 4b and 4c.  I have only self employment income, no rental income, but my self employment income is listed on 4a, it is then subtracted in 4b, and then 4c shows $0.  Kind of a head scratcher since the error message itself states that if the rental income or loss is not equal to zero, then it needs to show up on Schedule 1.

Second, no reference in Schedule 1 to Rental Real Estate Loss Amount.  Hmm.  

BUT, the error message itself suggests what may be the problem.  Three conditions are listed as necessary to have different amounts in 8960 and Schedule 1.  Conditions 1 and 3 are inconsistent.  If you are married and filing jointly, the filing threshold amount is $250,000, not $125,000.  Turbotax correctly filled in $250,000.  In my circumstance, lowering the filing threshold amount to $125,000 doesn't change my tax liability, so I forced $125,000 into the form (override function under the edit menu on a Mac) and then tried to refile electronically.  Turbo tax wouldn't let me, so I am left with the option of filing paper.  I understand that the IRS is pretty overloaded with paper due to staffing shortages so I really want to file electronically.  

My thought, then, is rather than calling Intuit, I will call the IRS on Monday and see what they can do.  Not optimistic about that, but I figure it is worth a try.  If that fails, I will paper file and put on my patience hat.  Wish me luck.  I will report back.  Good luck to you.  

Cryptic error message, that is.  

I am having the same problem. I read through the IRS instructions for form  1040 and 8960. From my reading of instructions, turbotax filled the form out correctly. I think the problem is on the IRS end. Question: Did everyone else with this rejection code file a 1099-Misc or 1099-NEC? 

and does anyone know if turbotax monitors these threads?

i have a 1099 nec.. with same issue

Tax expert said during our call he was notified of an official message that they are aware of this issue impacting many people; its brand new. They say they need to make some updates to their forms because there have been changes on the IRS side. He suggested waiting over the weekend and seeing if its fixed Monday/Tuesday or they may have a better handle on it. 

Thanks for the update! Could you post the support person's name and employee ID?

I'm pretty shocked we haven't had a company representative reply here yet with an official statement on the matter. It's obviously a large and widespread issue. The least they could do is acknowledge they know about it and are working on the root cause so we aren't chasing our tails in frustration with their low-level support people wasting our time and their time.

Didn't think to get the employee ID but his name was Shane and/or Anthony. When customer service connected me to him, they introduced him as Anthony. He then introduced himself as Shane. When I questioned him on it he said his display name was Anthony but he goes by Shane (or maybe one of them was his middle name?) or something along those lines. He was very helpful and seemed genuine so hopefully the information he was giving me was the truth. He was looking at my screen and had his video camera on so I do remember his face 🙂

Thank you for the information!  Support was no help to me either.   Told me to watch a video which didn't help at all.

I am having the same issue. Decided to just delete form 8960 and the worksheet, however even though it looked like it was deleted it wasn't when I went back to look at all forms. From what I can tell when I printed a copy of my taxes to pdf..., locate form 8960,  the final line at the bottom of form 8960 should be $0 but instead it is blank (so it is calling it a non-zero)....and there is no way to manually make the blank field $0.

@amatt231That's pretty distressing to hear. It means their support team doesn't even know about the issue as a group let alone how to handle the incident when it's called in terms of the response to the customer. Terrible help desk management/training/awareness.

Once a certain number of incidents come in for this same reject code, it should trigger a root cause analysis ticket in their help desk software that gets escalated for evaluation. At this point, it should become a known outage for their entire support staff.

@LindaS5247 @MichaelG81 @JosephS1 @MonikaK1 @TomK2023 - Can anyone of you provide an official response on this reject code and status update for us, please?

Upon review, instructions to Form 8960 require the inclusion of 1040 Schedule 1, items 3 and 5, in Form 8960 item 4(a).  As such, this is not a Turbotax issue.

See instructions to Form 8960, page 6 - https://www.irs.gov/pub/irs-pdf/i8960.pdf.

That said, I reviewed the IRS website for known issues and solution dates.  The issues is known by the IRS and there is a resolution date of 2/5/2023.  Once fixed by the IRS, we should all be able to file.  

See - https://www.irs.gov/e-file-providers/known-issues-and-solutions (known issues). which notes: as "Business Rules F8960-019-04 and F8960-003 may cause returns to erroneously reject. These business rules need to be modified to reflect the updates to the Instructions for Form 8960 (Tax Year 2022) regarding the Specific Instructions for Line 4a to include Schedule C (Form 1040) amounts reported on Schedule 1 (Form 1040), line 3 and Form 1041, line 3."