Federal return rejection Reject Code F8960-019-04 Processing error Form 8960, Net Investment Income Tax. We do not have an estimate for when the problem will be resolved

[randalputnam]

Cryptic error message, that is.  

[taxes38]

I am having the same problem. I read through the IRS instructions for form  1040 and 8960. From my reading of instructions, turbotax filled the form out correctly. I think the problem is on the IRS end. Question: Did everyone else with this rejection code file a 1099-Misc or 1099-NEC? 

and does anyone know if turbotax monitors these threads?

[rcornwell9367]

i have a 1099 nec.. with same issue

[herzogmj]

Tax expert said during our call he was notified of an official message that they are aware of this issue impacting many people; its brand new. They say they need to make some updates to their forms because there have been changes on the IRS side. He suggested waiting over the weekend and seeing if its fixed Monday/Tuesday or they may have a better handle on it. 

[alexclaytor]

Thanks for the update! Could you post the support person's name and employee ID?

I'm pretty shocked we haven't had a company representative reply here yet with an official statement on the matter. It's obviously a large and widespread issue. The least they could do is acknowledge they know about it and are working on the root cause so we aren't chasing our tails in frustration with their low-level support people wasting our time and their time.

[herzogmj]

Didn't think to get the employee ID but his name was Shane and/or Anthony. When customer service connected me to him, they introduced him as Anthony. He then introduced himself as Shane. When I questioned him on it he said his display name was Anthony but he goes by Shane (or maybe one of them was his middle name?) or something along those lines. He was very helpful and seemed genuine so hopefully the information he was giving me was the truth. He was looking at my screen and had his video camera on so I do remember his face 🙂

[amatt231]

Thank you for the information!  Support was no help to me either.   Told me to watch a video which didn't help at all.

[tiredoftaxes2023]

I am having the same issue. Decided to just delete form 8960 and the worksheet, however even though it looked like it was deleted it wasn't when I went back to look at all forms. From what I can tell when I printed a copy of my taxes to pdf..., locate form 8960,  the final line at the bottom of form 8960 should be $0 but instead it is blank (so it is calling it a non-zero)....and there is no way to manually make the blank field $0.

[alexclaytor]

@amatt231That's pretty distressing to hear. It means their support team doesn't even know about the issue as a group let alone how to handle the incident when it's called in terms of the response to the customer. Terrible help desk management/training/awareness.

Once a certain number of incidents come in for this same reject code, it should trigger a root cause analysis ticket in their help desk software that gets escalated for evaluation. At this point, it should become a known outage for their entire support staff.

@LindaS5247 @MichaelG81 @JosephS1 @MonikaK1 @TomK2023 - Can anyone of you provide an official response on this reject code and status update for us, please?

[Em53]

Upon review, instructions to Form 8960 require the inclusion of 1040 Schedule 1, items 3 and 5, in Form 8960 item 4(a).  As such, this is not a Turbotax issue.

See instructions to Form 8960, page 6 - https://www.irs.gov/pub/irs-pdf/i8960.pdf.

That said, I reviewed the IRS website for known issues and solution dates.  The issues is known by the IRS and there is a resolution date of 2/5/2023.  Once fixed by the IRS, we should all be able to file.  

See - https://www.irs.gov/e-file-providers/known-issues-and-solutions (known issues). which notes: as "Business Rules F8960-019-04 and F8960-003 may cause returns to erroneously reject. These business rules need to be modified to reflect the updates to the Instructions for Form 8960 (Tax Year 2022) regarding the Specific Instructions for Line 4a to include Schedule C (Form 1040) amounts reported on Schedule 1 (Form 1040), line 3 and Form 1041, line 3."

[alexclaytor]

Thank you so much for that valuable intel!!!

Hopefully, the TurboTax support group will become aware of this so they can respond to people who contact them with the issue in an appropriate manner.

[Laz23]

.

[Dano18]

Thanks so much @Em53   This has been driving me crazy and there’s NOTHING about it on Google.  Appreciate you posting the link to the known issues.  Now I can check there instead, as the live help on TT knows nothing about it.  Really appreciate you finding and sharing!  Happy filing!  😉

[woodstock2]

Thank you,  thank you,  thank you!!  I've been going over my rejected return all day and couldn't figure out what was wrong.  This is the first time in over 30 years I've had a return rejected and I thought I was losing my mind not being able to find the mistake.  Thanks again!!  

[BligBlueLaser]

Same issue - both state returns rejected because federal return was rejected due to this error.

Based on accounts here of TT "support " on the issue, I'm sure hoping this an IRS issue...