Qualified Disaster Distribution: TurboTax Update Promised, but when?

[Sail0R100]

When will TurboTax Premier 2019 be updated to resolve this issue:

[macuser_22]

It has been updated.  Are you using the CD/download version?   Be sure that you are up to date.

Did you have a disaster distribution in 2018 or 2019 that you are spreading over 3 years?  Or a 2016 or 2017 disaster claimed in 2016 or 2017?

I suggest deleting the 1099-R and re-enter and answer the disaster questions of they apply.

[Sail0R100]

I am using the CD version.

I have attached a screen shot of the versions of the various components:

I asked turbotax to update the software version.  The response was that it was up to date.

I deleted the 1099R and manually enter the data into a new form as suggested.  The same error messages were generated by the software, as shown in the following picture.

Please provide further instructions

[macuser_22]

Is this about the 8915A or 8915B forms for repaying distributions for 2016 or 2017 disasters?   That has been updated and should work now.

If this is about a 2019 disaster then I do not believe that the IRS has even  started to address the forms necessary to report that.    The latest 1099-R forms and instructions only refer to 2016-2017 disasters.

[macuser_22]

delete

[macuser_22]

I have  done a bit more research on this.   The revised IRS Pub 590B states:

https://www.irs.gov/publications/p590b#en_US_2019_publink100034095

If you received a distribution from an eligible retirement plan to purchase or construct a main home but didn’t purchase or construct a main home because of certain major disasters in 2018 or 2019, you may be able to repay the distribution and not pay income tax or the 10% additional tax on early distributions. See Repayment of Qualified 2018 and 2019 Distributions for the Purchase or Construction of a Main Home , later.

Form 8915-C, Qualified 2018 Disaster Retirement Plan Distributions and Repayments, and Form 8915-D, Qualified 2019 Disaster Retirement Plan Distributions and Repayments, are used to report qualified disaster distributions and repayments. Also report qualified distributions for home purchases and construction that were canceled because of qualified 2018 or 2019 disasters on Form 8915-C or Form 8915-D, as applicable.

That would seem to be the problem.   For 2018 & 2019 disasters, forms 8915-C or 8915-D must be part of the tax return.   Those forms do not even exist yet.    The IRS has not even listed those forms in the draft state and with the IRS Corona virus  shutdown there is no telling when they will be produced.   Normally when there is a draft form, it usually takes 2-3 months before the final forms are released and another 3-4 weeks for the electronic specifications to be given to tax software companies.      It might be a long wait.

[Sail0R100]

>  Is this about the 8915A or 8915B forms for repaying distributions for 2016 or 2017 disasters?

No.  we are working on the Florence disaster (September, 2018).

>  That has been updated and should work now.

Am I correct when I assume that your statement about the software working for 2016 and 2017?   Please respond to this question.

>  If this is about a 2019 disaster then I do not believe that the IRS has even  started to address the

> forms necessary to report that.    The latest 1099-R forms and instructions only refer to 2016-2017

> disasters.

How do I learn when this has been resolved in TurboTax 2019 Premire?

[TerryA]

A disaster distribution taken in 2019 requires new Form 8915-D for which the IRS has not issued a draft yet, as mentioned above. You can monitor the Form's status at the IRS site

https://apps.irs.gov/app/picklist/list/draftTaxForms.html

When the form is released final by the IRS, TurboTax will be updated and released for it.

[jeepdenman]

I saw that for 8915-D has been available for the last week on the IRS website, any idea when it will be available in TurboTax? 

[macuser_22]

Because e-file providers cannot  use paper forms - it transmits encrypted data in the exact format specified by the IRS/State or the IRS/State could not read it. The IRS/State first finalizes the paper form, then writes the e-file specifications and gives that to e-file providers to develop their software. Then the IRS/State must test with the e-file providers and approve the electronic forms before they can be released so that both ends are compatible. That process usually takes several weeks after the paper version has been released - delays can be on either end.

[Syanita75]

Does my 2020 premier turbo tax include the qualified disaster distribution and repayment worksheet? Thanks

[DavidD66]

Yes, your Premier version of TurboTax will include Form 8915 - Qualified 2020 Disaster Retirement Plan Distributions and Repayments for Corona Virus-Related Distributions.  The IRS form is still in "Draft Form", so TurboTax and other tax software providers cannot yet offer it.  As for when it will be available, the answer is very soon after the IRS releases the final version.

[cmarcellus]

So will we be notified when they release the forms?

[Irene2805]

.  For current information on forms availability please click on the applicable link below:

• Federal forms
• State forms

TurboTax Online automatically updates the website when the forms become available.  

In TurboTax CD/Download, you will be prompted to download any updates available when you open the program.  You can also update the program while you have it open by following these steps:

1. Click on the Online link in the black bar at the top of the page.
2. Click on Check for Updates.
3. TurboTax will download and install any updates available.  If there aren't any updates, you will receive the message "Your software is up to date."

[cmarcellus]

Form 8915 - Qualified 2020 Disaster Retirement Plan Distributions and Repayments for Corona Virus-Related Distributions-  isnt listed. The previous forms from other years says its unsupported for efile.