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Level 2
February 11, 2023
Question

Form 8960 error saga

  • February 11, 2023
  • 16 replies
  • 83 views

Just noticed TT is claiming a 2/19/23 fix date.

 

I'm wondering: is this based on something TT knows from the IRS or is this just a guess?

 

"

...

What needs to be done:
This return cannot be electronically filed due to a processing error on Form 8960, Net Investment Income Tax. This issue will be resolved on February 19, 2023. On or after this resolution date you may resubmit this return for electronic filing."

16 replies

Level 3
February 11, 2023

Interesting!  One can only hope...  (although rationally I can discern why a date like "February 19" could be identified with any degree of certainty.)

 

I am now convinced more than ever that Turbotax did complete Form 8960 CORRECTLY so I am now waiting (zen-like) for a final green light from the IRS and TT. 

 

I see that a similar thread has now been locked/closed on this issue.  Hmmmm...

 

Hang in there!

Level 2
February 12, 2023

I wanted to post this to that threat, but, alas, like you said, it’s locked. 

Is your error showing the same date?

 

best of luck with your taxes this year,

-A

Level 3
February 12, 2023

Anyone know why that thread was locked?  Lots of good information and conversation...

Level 4
February 19, 2023

My return was accepted on 2/19 after previous rejection.  I had the same issues as everyone here.  I have a Schedule C basically business contractor profit that was not passive income.  That amount was placed by Turbo tax on line 4a of 8960.  (even though I have no real estate profits).  Then on 4b is the exact same amount but a negative value canceling it out and it shows a "0" on 4c.  There is also a negative amount on line 5a "net loss of disposition of property" but I had no property, the amount listed is my total capital gains loss from stocks this year.  Line 5 of schedule 1 is blank.  Line 17 on 8960 does have a positive amount which is 3.8% of my dividends and interest minus my capital gains losses which is the correct amount.  That was auto placed correctly on my 1040.  On my 8960 works form it listed the total amount of business income(profit) on the line "adjustment for business or trade income not subject to net investment tax".   I did notice that a schedule E was autogenerated at some point, so I just deleted that form.   What is interesting is that turbo tax showed no errors, and I filed, and it was rejected.  On the rejection explanation it said try again on 2/19.  So basically, I did not have to change anything other than deleted schedule E.  This time it was just accepted.  Everything looks the same as it did when it was rejected.  So the IRS must have changed something.  But wanted to update people that it did go through today for me.  I still think it is unusual the way lines 4a and 4b are worded that a small self business income is listed there.  Other advice to delete form 8960 is wrong.  if you make over 250,000 married filing jointly and have investment or dividend income you have to do this form.  I am not a tax professional at all.  Just a TurboTax user.  But it went through today for me with pretty much changing nothing.

Level 4
February 21, 2023

It was accepted ? I keep getting calls from TT and they want me to finish , but I tell them I am waiting for the IRS to fix and they go , oh ok . They say nothing about it being fixed already. 

Level 4
February 21, 2023

We refiled late yesterday, Feb 21, and Fed was accepted and so was NY, NJ shows as pending.

Level 2
February 19, 2023
  • Has anyone with the 8960 error code tried refiling today? What was the outcome?
Level 2
February 19, 2023

Has anyone experiencing this error code tried refiling today (2/19)? Was it was successful?

Level 4
February 19, 2023

yes, see my post right above yours and you can see my description.  Yes, it went through and was accepted!

Level 3
February 19, 2023

I just refiled a minute ago.  Didn't change anything (although I notice there were several updates for TurboTax when I reopened the site.)

 

I'll let y'all know...

Level 2
February 20, 2023

I eFiled my federal and California state returns twice with the same return error code in the last 10 days.  Today, I submitted my federal and state returns and they were finally accepted by the IRS and FTB (California) agencies.  Even thought the IRS spread sheet shows this form 8960 error as an open issue, it appears it has been fixed since my returns have been accepted today.  Hoping this saga is over.

Level 2
February 21, 2023

Are we able to e-file it now without getting an error?

Level 4
February 21, 2023

We refiled late yesterday and so far so good.  Fed and NY returns were accepted and NJ is still pending because they are usually slow in general.  IRS bulletin is still not updated to show resolution but they may not update it til March 1.

Level 2
February 22, 2023

Well, the 2022 IRS Known Issues spreadsheet was updated on 2/7 with a projected resolution date of 2/19, but that date has come and gone with no resolution.  Issue does still not have a Date Resolved in the sheet.  Can anyone confirm that this issue has been resolved (and maybe the IRS just hasn't updated their paperwork)?

Level 2
February 22, 2023

Based on my federal and state (California) returns being accepted this last weekend, I would say the IRS has not updated their spreadsheet (surprised?) as I know others have submitted and have had their returns accepted.

Level 2
February 25, 2023

Fantastic news!  Accepted by IRS!  Did you receive your money yet?  This will be the true test if the ‘system’ is working. PLMK, thanks.

Level 2
February 25, 2023

My California State refund has been approved and the IRS website confirms my return was accepted. Use this link to follow your refund. https://www.irs.gov/refunds

Level 2
February 28, 2023

I can also concur mine was denied twice on 1/29 and then again in 2/7 and today 2/27 without changing anything it was accepted!  Glad whatever the glitch was with the irs was fixed.

Level 4
February 28, 2023

I will of course feel better when I know it has been approved and refund on the way.. 

Level 2
February 28, 2023

My California State refund hit my bank today. So I think we can all say this issue is behind us now. 

Level 4
March 5, 2023

My return was accepted on 2/19. I already received my state refund.  But as of 3/5, I see that my refund is has not yet been approved. 
so it has been 14 days.   

Level 2
March 5, 2023

I received my IRS refund on Friday. You can follow up on the IRS website to see the status of your refund. 

Level 4
March 5, 2023

Getting my NY refund this Tuesday!