TT 2021 Form 8962 - Error calculating repayment limitation?

[BillM223]

For those of you who are seeing their Premium Tax Credit repayment incorrectly limited to $2,700. this issue has been identified and is being worked on. I encourage you to go to this Intuit webpage and sign up to be notified when a resolution is released.

[Anonymous]

You're correct.  Those are employees asking for that information and there are employees working to answer these questions.  @Affordabletaxes2021 is wrong that there is not official customer support here.  While there are ALSO other users answering, there is definitely real customer support available here, and much of it is present in this very thread. 

[Ldjmtv122]

I was just informed that it is an error on TT. They say it will be corrected by 2/3 and then you can go in and refile

[Robinson2703]

The problem is that Turbotax's calculations on line #5 are wrong. Per the instructions page for form #8962, you're supposed to divide line #3 by line #4 (DO NOT ROUND!!) Then, times that number by 100 to get the decimal, THEN DROP EVERY NUMBER AFTER THE DECIMAL. Instead of dropping all numbers after the decimal, the system is rounding to the nearest tenth, WHICH IS WRONG! 

And there is no way to manually change the numbers on form #8962 because the form is computer-generated once you enter the totals from form #1095-A. 

[JPeterO]

What you are talking about may be A problem, but it is not THE problem being discussed in this string.  This string is talking about how TT is applying a limit on the repayment amount of the APTC for folks that have a MAGI of over 400% of the FPL when the repayment amount is not, in fact, limited.  TT seems to have acknowledged this problem, with someone reporting a fix expected in early February.

If you MAGI is over 400% of the FPL, per the form 8962 instructions, you enter 401 on line 5 so there is no issue here with any possible sort of incorrect rounding.  

If you do think there is another problem (which would only happen if your MAGI is less than 400%), then you should start a new string on it and not highjack this discussion with it. 

[pigpen]

so is it showing the correct amount for the refund if your getting rejected for this error or is it the wrong amount?

[chasratian]

I am having the same issue with my return. Submitted my return yesterday received message it was rejected due to line 5 not being equal to line 3 household income. Is turbo tax going to correct this issue or due I need to ask for refund on turbo tax deluxe tax programI just purchased?

[chasratian]

Having same issue does not appear turbo tax is in any rush to correct the problem . Previous comments stated it will be corrected by Feb. 3rd . Appears are only option is to wait or purchase a different tax program

[bugreporter]

Hello everyone,

First thing - Is the calculated percentage on line5 is right? In my case, it is not. No matter what the AGI is, the calculated percentage is always shows up133%. I have already submitted job number 900296 on Tuesday (1/24). Still no update on it. May be my problem and you all having might be related. Not sure.  In any case, let's keep fingers crossed if they fix it in the next update (Wednesday).

[Kayjul37]

Mine also rejected and it has this information attached 

“This return cannot be electronically filed at this time due to a processing error that will be corrected on February 3, 2022. On or after February 3, 2022 open the rejected return, review it for errors, and resubmit the return for electronic filing.”

[PB7781]

Bugreporter,

Do you have any unemployment on your return?  If so, as part of new tax laws the % used for Premium Tax Credit calculation purposes will default down to the 133% even though your true percentage might be higher than that.  So you get the benefit of a better Premium Tax Credit result due to having unemployment compensation in 2021.  

[PB7781]

Just a followup on the 133% default related to unemployment, as of now this special rule applies to 2021 only.  And this is a separate issue from the error regarding the repayment limitation in cases where FPL income is greater than 400%.

[Mitchellskowron]

I am were you able to get this resolved? 

[bugreporter]

Thank You, PB7781 for the additional info.

Mine is a joint return and none of us have that unemployment. I am retired few years back and on Medicare already. This APTC (from 8962) is for my spouse, who never worked. Same situation last year (2020) as well. Given this, just for 2021 it defaults to 133% (percentage of AGI over FPL)? Wow! If it is, that will help me quite a bit. Not filed yet, but will wait for some time and as well as for the response to my token number 900296.

[ecgj8080]

Token # 905668