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Level 2
February 24, 2026
Solved

Reject Code F1116-007-02

  • February 24, 2026
  • 2 replies
  • 43 views

My federal return (along with states) was rejected today (2/24/2026) to this error (Reject Code F1116-007-02). The turbotax mentioned that it is rejected due to processing error that will be fixed on 2/27/2026. Is this a turbotax software update issue? I have filed the same form with the same content every year with no issue.

 

Thanks for your  help!

 

 

    Best answer by CatinaT1

    You should be able to efile now. There was a software update.

    2 replies

    Level 12
    February 24, 2026

    Yes, this has to do with an update to form 1116.  This return cannot be filed at this time due to a processing error that will be corrected on February 27, 2026. On or after this date, open the rejected return, review it for errors, and resubmit the return for electronic filing.

    Level 2
    February 24, 2026

    Thank you! I notes on IRS website that sections 24-29 now need to be completed on form 1116. Can I manually edit the form and efile?

    CatinaT1
    CatinaT1Answer
    Level 15
    February 27, 2026

    You should be able to efile now. There was a software update.

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    Level 2
    February 27, 2026

    Thank you for the note! I just tried but i still get the response that there's a processing issue to be fixed on Feb 27. Should I refile anyway?

    Level 2
    February 27, 2026

    I just looked at the return before submission. Section 32 on form 1116 is now filled (0 in my case). So I guess the issue has been fixed. I am going to refile and post the result if accepted by IRS.