My return was rejected due to FED_Taxable_Inherited_IRA but I did not inherit an IRA.

[JantovenNF]

@frisbee5  Thank you for the update.  I give you guys credit that actually speak to TurboTax.  I have a really tough time getting through to anyone, and when I do, they have no idea what I am trying to ask.

[tax layman]

Bizarre IRS instructions for Form 8606:

If you didn’t complete line 8, see the
instructions for that line. Then, enter on
line 16 the amount you would have
entered on line 8 had you completed it.

[cohort2004]

+1 on this issue. Received rejection (Fed, CA, MA) a day after submission with the following email note: FED_Taxable_Inherited_IRA There is a potential issue with the calculation of your Inherited Taxable IRA. Don’t have an inherited IRA and like many others, did a traditional>>Roth conversion. Annoying!!

[B_Bendixsen]

Same message for me...

Description of error:

There is a potential issue with the calculation of your Taxable Inherited IRA.

What needs to be done:

We are reviewing updates to Taxable Inherited IRA calculations. We expect to have these updates done by March 5th, 2021.

I too do not have a taxable Inherited IRA, but did do a "Back-Door" Roth Conversion in 2020.  Wondering if this issue is related.  Like several others on this thread, I too will wait until March 5th as well to see about re-filing.

[nickh88]

@Henro2k, did your refile go through?

[caliclaw]

Same here, same issue, this is Monday March 1st.  Based on the number of people experiencing this issue this is a bug in the software and everyone here deserves some sort of credit for the frustration and waste of time with this.  If this isn't fixed by the 5th let's all find a way to escalate this issue.  Mine is triggered by a Traditional to Roth conversion, NO inherited IRA.  

[Anonymous]

Same issue. Same rejection message. Also had converted ROTH IRA contributions. 

[scvrusher]

Just adding another data point here. Same issue, transmitted my returns yesterday, got the rejection notice today. I did the same Trad IRA -> Roth IRA conversion I do every year and my Form 8606 this year looks identical to previous years. Frustrating.

[gotTaxes54]

Also same issue. I suspect same thing with backdoor Roth. Will wait till the 5th and resubmit.

[wastingTime]

Same issue. Submitted 2/27, got reject message today with same error code. Like many others, I do not have inherited IRA, but do have Roth IRA conversion.

[usertoddbmc]

I probably won’t resubmit (For the third time) until late next week to give TurdbloTax ample time to get out of their own way. For all of you that resubmit on or about March 5th please post how you do, hopefully you’re successful, I’ll do the same. My wife and I contributed to a non-deductible TIRA and then did a Roth conversion as we’ve done in past years, *with NO inherited IRA*. Good luck all.

[RussCR]

I got the same rejection message and I DO have an inherited IRA.  RMDs taken.  No conversions.  Calculations are GUARANTEED, are they not?

[TuTx_Filer]

Yesterday, I had the same rejected federal return error and message (immediately followed by a state reject); however, I did not perform a Roth IRA conversion in 2020 and do not have any inherited IRA's. Concerning my 2020 IRA's, I had the following:

• A 1099-R (distribution code-8 from a traditional IRA for excess contributions both contributed and returned in 2020. This was the full return of an erroneous non-deductible 2020 traditional IRA contribution early in 2020 the day after the contribution occurred (no gains).
• Two form 8606's for taxpayer and spousal non-deductible 2020 traditional IRA contributions that were both contributed to traditional IRA's in the past few weeks. 

IMO - the common link(s) seem to be the 1099-R and form 8606. While the Roth IRA conversion seems common in this thread, I think that may only be caused by the Roth IRA conversion generating similar 1099-R and form 8606 calculations.

Like everyone else here, I will try again after March 5th and go from there. I've been using TT since 2002 and also like many others here, this is the first time something like this has occurred. 

[Henro2k]

@nickh88 No, got rejected again this morning. Same reason. Annoying.. 

[aonorato35]

The entire tax code is bizarre and complicated.  Each time Congress touches it, it becomes more complicated.  Tough for IRS and Tax software companies to keep up with it but they have to do so.  As we speak the new recovery funding bill that Congress will eventually pass will make their jobs even more difficult and cause more complicated tax filing issues.  As a nation we spend about 250 billion each year just on filing federal taxes.  Big waste of money which could go to more constructive things.