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How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

My first attempt was rejected, I waited until February 17th per the instructions. I re-filed and it was rejected again. When I follow the steps within the software nothing changes, it just sends me back to re-file. 

hr_oregon
Returning Member

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

Using the CD/Download version... My first attempt was rejected, I waited until February 17th per the instructions and updated TT. I re-filed and it was rejected again. Today I deleted the Oregon form "Fed Tax Liab Wk", which TT automatically replaces with a new one. Re-filed and it was accepted in under 5 hours.

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

In order to work, there should have been a message when you first logged on that TT needed to be updated - if you did not get that prompt, that would explain your second rejection. I have no idea why TT wouldn’t prompt you to update - it was very visible - so much so that I doubt you would have not seen it. I am using a Mac with the latest version of Big Sur OS and accessing TT through Google Chrome. I also had my VPN running and if I had the problem you did, turning it off would have been my first attempt at troubleshooting. Beyond that … 🤷🏽‍♂️ I downloaded TT vs using the CD since the downloaded version would probably be more current, but that could be a faulty assumption. 

afouts12
New Member

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

What did you find out? I haven't been able to get a hold of anyone.

dlillvik
Returning Member

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

OR return was accepted.  Found a problem with inport from last year's taxes.  The 2021 state return wants to know if you filed Joint taxs last year. 

The failure appears to be a catch all reply. I went in and redone my state return.  That is how I found the problem. 

It would be nice, lf phone help had found the error.

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

My Oregon tax return was accepted on the first re-try,  after having done available updates.   I re-filed my Oregon tax form unchanged, as it had been.    My Oregon refund remained the same.    Not itemizing, I had taken the standard Federal and Oregon deductions.   Perhaps that explains such no change in my refund.   Good luck

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

I also refiled without changing my return, it rejected it 3 times and and then the software updated and it changed the amount by 250$ I also took the standard deduction and the $600 charitable donation credit  allowed for  married filing joint, it has to do with the credit you are normally allowed from your federal tax liability on the Oregon form, the federal tax form does not count the stimulus as income, but oregon as a back door way is counting it as income by taking part of all of  that credit away… they say it’s a quirk in oregon tax law.. 🙄 sure, but I also want to say that my return is being manually processed for some reason, I’m not sure if it’s from all the rejections? Also if your return amount didn’t change it could be your income bracket 

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

Well the instructions don’t work if you don’t have a code!!

Next year am deleting Turbo Tax that I have used for 15+ years. They need to get it all together & stop with the BS abt program needs to be updated!!!

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

updating  my status since I started this thread... 

 

I filed Monday the 21st and it was accepted this morning. I did not change a thing, I only waited until after the 17th as the notes instructed me to do so. 

 

I even called a rep and they said they were not sure what is going on with Oregon returns but try after the date.

 

Also note, refiling was simply clicking 3 buttons. I simply went to "revisit", then filed. 

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

I’ve tried to figure out what the problem is with the state taxes. My federal was excepted all information was transferred to state return-tried to see and fix the problem but have not succeeded- can you help?

Katina S
Intuit Alumni

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

See our FAQ to see what you can do to fix your rejected return. If this does not resolve your issue, would you let us know in this forum (without including personal identifying information) the specific rejection code or error message you are receiving?

 

@Cat-scan125

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

I have the same STATE EFILE REJECTION EMAIL but for Kansas instead of Oregon. The rejection email says that form KS_40SVR NEEDS UPDATING but TurboTax doesn't seem able to resolve the issue. Turbotax emails have instructed me to update software and re-efile which I have done 3 times unsuccessfully. Any ideas for me?

CharlieD

Reit12469
New Member

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

This is terrible I have tried multiple times Turbo Tax should have someone to talk to us and walk us thru this. Also do they know how much time and aggravation and worry I have over this??  do they care I am disabled and need help!!!

 

Reit12469
New Member

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

what number do I call?

 

EbonyA
Intuit Alumni

How to Fix Rejected State Return?: Oregon Federal Tax Liability Hold - Oregon Form 40, 40N and 40P Federal tax liability subtraction requires a software update.

We definitely want to help, please reach out to our phone support team for one-on-one assistance @Reit12469.

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