IRS rejected return with Form 7206

[mirassou]

I had a triple whammy...the IRS rejected mine, therefore NY rejected the return as well. My VA return had a different form that TT hadn't yet programmed completely, so TT said I had to file that by mail. So all 180+ pages are going snail mail. Despite these problems, if we take a step back, TT  was still an enormous help. I couldn't even imagine completing my returns by hand.

[maglib]

The response came from a TT employee. I don't work for TT. Did you delete the 7206?
I've tried HRB, I had a lot more issues and higher taxes so i've gone back to TT. Tried it 4x in 12 years.

[ashland_marsh-fr]

Just think if you had bought HRB instead of TT this year and was able to submit online!   This is not a good year for TT......wouldn't it be top-shelf customer service to offer all who had to mail in a rebate on their purchases.  

[ashland_marsh-fr]

Only one entity determines how the math works on a tax return, and that’s the IRS. So unless there’s a programming error, you should get the same numerical “answer” no matter which tax software you use. But you still have to feed the software all of your information, and there are a million ways to do that.   

[maglib]

You would think but, they don't.

There are a lot of complex areas not handled by each software.

Things like business, depreciation, rentals, and interpretation of tax laws all come into play.  They all have lists of things they are working on. Stuff like dependents and college costs and how to deal with it and some grants and scholarships being income.  Much more than you could ever imagine.

Then there are states whom have their own sets of rules.

Often things being worked on is because the IRS delayed final rules or forms or tax law changes that impact people that get changed retroactively.

Data input is a big one, vast majority of people have simple returns but, still have no clue what they are or are not allowed to deduct.  The simpler they try to make it, normally people are lost.  With huge increases in standard deductions under Trump, vast majority should not even bother entering itemized deductions.....

[dwb58]

I downloaded todays update. Line one is still blank so i am assuming this issue has not been resolved!! I really dont want to have to mail these!

[Cynthiad66]

The development team has given us an update about customers who are receiving the Reject Code R0000-058-01 when trying to electronically file their return. The resolution to this situation is taking longer than expected and it may not be resolved before the tax filing deadline.

For reference, this information is from the IRS Instructions for Form 7206:Generally, you can use the worksheet in the Form 1040 instructions to figure out your deduction. However, if any of the following apply, you must use Form 7206.

• You had more than one source of income subject to self-employment tax.
• You file Form 2555.
• You are using amounts paid for qualified long-term care insurance to figure the deduction.

To proceed and get your return filed promptly, please follow this advice:

1 - If you are required to include Form 7206 as a part of your tax return based on the information above, then you need to print and mail your return. Electronic filing will not be an option if the reject code persists.

2 - If you are not required to include Form 7206 as part of your tax return, then you can attempt to delete the Form 7206 and try electronically filing your return once again. If the form cannot be deleted or you still get the reject code, then you need to print and mail your return.

Use the steps in the following TurboTax help articles to delete Form 7206:How do I view and delete forms in TurboTax Online?

How do I delete a tax form in TurboTax Desktop (Windows or Mac)? (edited)

[mbeique]

FYI, I signed up for SMS notification of the e-file status from the IRS.  There is no reject code in the message.  I do have a Form 7206 in my 1040 package.   As a Turbo Tax user since 1996, I am very disappointed in this critical software failure.  I have mailed my return to the IRS (certified)., and I have paid the taxes owed using IRS Direct Pay, which is much more secure than mailing a check as Turbo Tax suggests. 

Since Turbo Tax does not provide a cutomer service mailing address, here is a link to the  Office of the President at Intuit, where you may voice your displeasure.  Maybe Mr. Goodarzi will listen to us if we tell him directly.  Similar to many other software companies, the "Development Team"  is on their own schedule, heedless of their customer's needs:  

https://www.intuit.com/company/contact/office-of-the-president/?cid=executives_intuit_click_us_oop-f...contact_link|_oop

For next year, has anyone out there found a reasonable alternative to Turbo Tax?

[tcupanman]

Has anyone found a solution to this? Based on this thread it appears that there's no alternative but filing by mail.

My return does include Form 7206 (two of them) and I'm getting the same rejection on the efile.

Has anyone successfully received a refund from Intuit for this?

[ashland_marsh-fr]

If anyone is still trying to e-file before giving up and  mailing their forms in, you must follow Deborahwrites1 advice to the letter... if you are just looking at your own forms list, that won't work.  You will not see the ghost forms that may be present.  You must search for Form 7206... if you are not searching specifically for  Form 7206, then you won't find the 'ghost' forms that may be in your file if your like many of us.   Once you delete the ghost forms which won't affect your taxes, then it will be accepted by the IRS.   This should be an 'easy' fix for any competent programmer....remove ghost forms that are not needed..... so it's obvious that the TT programmers are just done with doing any more updates on this in time for April 15th.      Good luck!   Here's the link to Deborahwrites1's information, and I copied it also in case the link is broken (but just search and you'll find it on many threads)     (https://ttlc.intuit.com/community/taxes/discussion/re-is-anyone-else-getting-the-code-r0000-058-01-r...) 

1. Switch from EasyStep to Forms.

2. Click Open Form.

3. Search for Form 7206.

4. I had 5 listed in the results. I clicked on each one. 3 were nothing and ask you to select an existing Form 7206. 1 was associated with my K-1, and 1 was associated with my Schedule C. I deleted the 1 associated with Schedule C and kept the one associated with the K-1. (Two things to note: My 7206 has no relevance, so deleting it wouldn't affect bottom line. 2. After trying to delete it multiple times. It would immediately repopulate.) *If you have a K-1 that is necessary, make sure you don't have another that you should delete.

[chuck-e]

This is no longer an acceptable response, FIX the Problem !

[jyao_mt]

Totally agreed. Asking every customer of TurboTax who falls into this scenario to mail out a paper copy to IRS is just not the right answer, given the complexity of these tax returns. It's absolutely unacceptable! I've been patiently waiting for the bug fix from TT.

[Cynthiad66]

The development team has given us an update concerning customers who are receiving the Reject Code R0000-058-01 when trying to electronically file your return. The resolution to this situation is taking longer than expected and it may not be resolved before the tax filing deadline. For reference, this information is from the IRS Instructions for Form 7206:

Generally, you can use the worksheet in the Form 1040 instructions to figure your deduction. However, if any of the following apply, you must use Form 7206.

• You had more than one source of income subject to self-employment tax.
• You file Form 2555.
• You are using amounts paid for qualified long-term care insurance to figure the deduction.

To proceed and get your return filed in a timely manner, please follow this advice:

1 - If you are required to include Form 7206 as a part of your tax return based on the information above, then you need to print and mail your return. Electronic filing will not be an option if the reject code persists.

2 - If you are not required to include Form 7206 as part of your tax return, then you can attempt to delete the Form 7206 and try electronically filing your return once again. If the form cannot be deleted or you still get the reject code, then you need to print and mail your return.

Use the steps in the following TurboTax help articles to delete Form 7206:

How do I view and delete forms in TurboTax Online? 

How do I delete a tax form in TurboTax Desktop (Windows or Mac)?

@jyao_mt 

[jyao_mt]

The problem is that none of the three bullet items in your response applies to me, yet I get the same rejection from my tax return. Also I tried to manually delete Form 7206 as suggested, only to find that TT regenerates it.

[jyao_mt]

To give myself more breathing room, I filed an extension. However since I didn't see any progress on the software fix, I searched the similar topics here and found some workaround suggestion by Deborahwrites1 on this site. After doing the same workaround by deleting the blank FORM 7206 and ensuring there's only one FORM 7296 which really applies to me, I resubmitted my federal tax return. Sure enough, it got accepted by IRS. Apparently the issue has something to do with the blank FORM 7206.