I am using TurboTax 2021 Home & Business Desktop version for Mac.
Last week when I tried to complete Foreign Tax Credit Form 1116 I received an error message that the IRS had not yet completed the form and I should check back later.
Today I updated to Formset 2021.11607. Using EasyStep it now allows me to enter preliminary Foreign Tax Credit information to the point of selecting between a credit or deduction. When I choose the deduction option the EasyStep process stops, it defaults to the credit option, and will not complete Form 1116. I do not get an error message, just the warning “Do Not File” on the blank Form 1116.
Is this a known bug with this update?
Is TurboTax still waiting for the IRS to make Form 1116 available?
Form 1116, Foreign Tax Credit is estimated to be finalized on 03/03/2022
Go to this TurboTax website for IRS forms availability - https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotax_fed_online_individual.html
Form 1116, Foreign Tax Credit is estimated to be finalized on 03/03/2022
Go to this TurboTax website for IRS forms availability - https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotax_fed_online_individual.html
Looking on the IRS website today (01/28/2022) I see the 2021 Form 1116 available now, why would it not also be available in TurboTax?
If the IRS has newly updated/released a form, it may take additional time for it toc be updated in the program.
The tentative date that Form 1116, Foreign Tax Credit for AMT will be available on TurboTax is 2/17/22.
Please see the IRS forms availability table for TurboTax individual (personal) tax products.
You can download the form from the IRS website and complete it yourself and mail in return. That’s an option if you can’t wait until software is programmed, tested and released for use online.
Latest TurboTax update Formset 2021.11681 1/28/22 again includes a notice for Form 1116:
The Foreign Tax Credit Area Will Be Ready Soon
You've done a great job starting your taxes early, but the IRS is still working on finishing up the Foreign Tax Credit (Form 1116) for 2021. That means this area isn't quite ready yet. Check back soon and we'll help you finish up. Let's keep working on other parts of your return.
A little disengenuous to blame the IRS for lack of availability of a form when the IRS has released the form and it is Turbotax who needs to update their logic to accommodate. A clear error message that indicates that that an update is pending to incorporate the logic for form 1116 and targeted for Feb 17 would help instead of leaving users scratching their head on this.
So my ability to file and refund is now held up waiting for Turbo tax to catch up with the IRS.
Seconded completely based on my identical experience. Another suggestion for error messages re. forms/logic not being ready: just point to the link where the expected dates are listed. Would save a lot of folks a lot of head scratching.
Form 1116 will be available to file on 2/17/2022 as per Federal Individual Form Availability Online and Federal Individual Form Availability Desktop.
Form 1116 has been available on the IRS web site for over a week. New TurboTax update installed today, still no Form 1116, and the bogus message in the program remains in place. Lovely customer service, lovely...
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@waggett wrote:
Form 1116 has been available on the IRS web site for over a week. New TurboTax update installed today, still no Form 1116, and the bogus message in the program remains in place. Lovely customer service, lovely...
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As previously stated -
Form 1116, Foreign Tax Credit for tax year 2021 is estimated to be finalized and available in TurboTax on 02/17/2022
Go to this TurboTax website for IRS forms availability - https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotax_fed_online_individual.html
Looks like the date has been pushed back to 2/24/2022 now.☹️
Users, for your own sakes, please take a deep breath and relax. It's only the first week of February.
Yes, but the penalty is accruing daily interest until I file. How hard can it be to add this simple a form?
@DesertRatJim wrote:
Yes, but the penalty is accruing daily interest until I file. How hard can it be to add this simple a form?
What penalty? Taxes owed on a 2021 tax return are not due until April 18, 2022.
The one Turbotax is calculating because my withholding amount was not within 10% of what I owe. First time I've ever run into it.
@DesertRatJim wrote:
The one Turbotax is calculating because my withholding amount was not within 10% of what I owe. First time I've ever run into it.
That is an Underpayment penalty based on the tax payments that were made in 2021. It is calculated on Form 2210 and entered on your 2021 tax return as a penalty. Interest is charged on the underpayment starting on the due date of the taxes owed.
Go to this IRS website - https://www.irs.gov/payments/interest-on-underpayments-and-overpayments
Turbotax still says " ... the IRS is still working on finishing up Form 1116" to explain why this form is not available today (2/14) on Turbotax.
But that is not true, nor has it been true for the last 3 weeks - as detailed by previous posters here.
The problem lies with Turbotax.
Can not Turbotax devote sufficient resources to take care of this in a reasonable timeframe? I suspect it easily can, but is not willing to do so. $$$
The page you linked to says that it will be available on 2/24/2022.
The form has been released in final form by the IRS. TurboTax will have this available as indicated on February 24th and the IRS should be ready to receive it through e-file.
Continue to check the availability of the federal forms depending on whether your are using TurboTax Online or TurboTax CD/Download version. Usually the release date is the same, although on occasion there is a difference.
Form 1116 has been delayed another week until February 24, 2022 from February 17, 2022. This is my last year using TurboTax because of this missing form business in the last several years. I find it interesting that TaxCut (H&R Block) had this form available in January 2022 shortly after it was released by the IRS. Anyone who has an international stock mutual fund will need this form so as to claim a foreign tax credit so they are not paying U.S. taxes on top of foreign taxes. Clearly, the folks at Intuit do not understand the importance of this form to many investors.