Can't file online because IHSS W2 box 1 is 0, as a live-in provider. Any way to avoid the mail-in filing and be done with it online?

[valleynomad]

@xmasbaby0  Thanks for the reply. But the TT error message I got refers specifically to W2 box 1 being 0. It has nothing to do with e-filing deadline. And, in case you haven't heard, the filing deadline for Californians is now Nov 15th. 

[SteamTrain]

@valleynomad 

Well, I see that the CA tax return deadline is November...but I ahven't seen that the Fed/IRS deadline was changed....thus you likely still had to e-file Fed part by the 16th of October.

Whups...You're right....Even the IRS changed the deadline at the last minute...but only for those CA residents in affected disaster areas.

______

It remains to be seen as to whether TTX will do....whether TTX will allow those to e-file their remaining unfiled Fed & CA taxes that late or Not...usually they shut down everything...entirely by the end of October.   And if they (TTX) do allow some new e-files for CA residents, it would likely take another day or three for their system to be updated.

______
You should print out your tax files in the next few days so you are ready to mail them in...just in case.

[xmasbaby0]

It has still not been clarified whether users in CA will have any luck with e-filing beyond the 10-16 deadline.  We know the CA deadline was extended but TT has not said whether e-filing is "extended" for you.    Chances are slim----TurboTax and the IRS start getting ready for the upcoming tax year so they cut off e-filing for the current returns.   Even though your return will be filed "timely"---that might have to be via mail, especially if you get into November.  My advice is do not count on e-filing---and consider it a serendipity if it turns out you can later.

[19adie88]

Any ideas on amending a 2021 return?  The button for selecting medicaid waiver payments after you enter your W-2 information doesn't exist when I go in to try and amend my 2021 taxes.   Amended my 2022's and had no trouble but i'm getting frustrated trying to figure out how to do the same with 2021.    No one ever told us that these payments were "medicaid waiver payments" and that because i'm a live-in care giver that they were tax exempt!   Been on the phone with Turbotax customer service/help for 20 minutes so far, mostly on hold so i'm not thinking they are going to be helpful, unfortunately. 

[ThomasM125 · Accepted solution]

On your 2021 return, you can enter the waiver as a negative "Other Income" amount and it will be subtracted from your wages reported on your W-2 form:

1. From the Personal Income screen in TurboTax, choose Less Common Income

2. Choose Miscellaneous Income, 1099-A, 1099-C

3. Choose Other reportable income

4. On the screen that says Other Taxable Income enter a description (Medicare waiver) and the amount as a negative number   

[19adie88]

THANK YOU!  I spent a total of around 2 hours between 2 different calls with TTX this evening.  The first woman was completely unknowledgeable of everything to do with my taxes.  She kept telling me that the deadline had already passed when I know it hasn't, since my 2021 taxes were accepted on 4/8/22!   The second woman I was on with for 1.5hrs and while she did her best and ALMOST got me to the spot you referenced, we didn't make it there but she was doing everything she and all her resources were telling her to do.   I followed your instructions while still on hold with her and it worked like a charm - i've got them printed, signed and in envelopes going to the P.O. tomorrow!       Hopefully 2023 taxes won't be as challenging now that we know what to do! 

[osang33]

Can this method be applied to the 2024 tax return? 

My situation is that I don't qualify for the Earned Income Credit and my taxes due increases if I remove the W2 received for the Medicare waiver, therefore I prefer to reduce my tax my entering the W2, but I'm unable to e-file?  Is there any other way to include the W2 and be able to e-file?

Thanks.

[CatinaT1]

Yes, you can do this. Ensure you are entering your W2 according to your situation given in these instructions: How do I enter my tax-exempt Medicaid waiver payments from IHSS in TurboTax?

TurboTax can exempt income under Notice 2014-7 per the IRS instructions for Medicaid Waiver payments from IHHS. This Notice provides that certain payments received by an individual care provider under a state Medicaid Home and Community-Based Services Waiver (Medicaid waiver) program are difficulty of care payments and excludable as income. Additionally, you can choose to use this income to calculate Earned Income Credit. Regardless, the income will remain non-taxable.