Turbo Tax Online-Installment Sales Principal "Fill-in Box" not flowing to other forms correctly.

[skeltonj]

2020 Business Income-installment sales principal "fill-in box", does not

• -generate a 6252,
• - or a 4797,
• -Schedule D,
• - Line 7,1040,
• -populate Income Revisit/Edit page
• -or carry to Capital Gain on my state tax return

I have discovered a 6252 was not generated with my 2019 tax return, but all forms were generated correctly for 2015-2018 from the date of the installment sale.

Do I need to amend my 2019 tax return to generate a 6252, since that form carries cumulative principal received? Or does that even matter or not relate to the problem?

[Stantheman6]

I have the same issue... did you find a fix?

[skeltonj]

Not so far.  3 phone calls, each 1-2hrs long.  2 of them have told me I need to upgrade to talk to a CPA!???  It has worked perfectly the last 5 years!

Questions: 

• Is yours only the principal box on installment sales that is not populating forms?  My interest box populates the Schedule B, but the principal box does nothing.
• Is this the first year for your installment sale entries or subsequent years?
• In my conversations with the resolution team, I discovered my 2019 taxes DID NOT generate a 6252, but the previous years did.  This is the first source document that needs to be generated and it is has cumulative data on it.  Therefore, I think that is the problem.  The database is looking for last year's 6252 and it does not exist, so the database gets an error.  I just can't convince someone of this!  They think it is a user problem.
• I was excited to see that I am not the only person with this problem.  Looking forward to your reply, to see if we are experiencing exactly the same thing.  I have to decide my next course of action:  CPA, different tax software, ????

[skeltonj]

I also tried to amend my 2019 taxes, to see if it would generate a 6252.  I thought maybe I  e-filed my 2019 taxes prior to the 6252 form being available and TurboTax failed to make it a "required form" prior to e-filing.  But, the proposed amendment DID NOT generate a 6252, so I cancelled the amendment.  I was hoping I could fix the problem by going back and generating the form last year--NOPE!!

I am using the online version, not the CD.  What version are you using?  My husband uses the CD for his mother's taxes and I believe you can actually open the form and enter the data yourself on the form????  Not sure if that is an option I should try.

I've been contacting TurboTax since January with this problem, hoping to escalate it, but no avail.  I was actually going to try to decide my course of action today on how to proceed from here.  

Please share your thoughts.

[Stantheman6]

I have the CD version and can go in and manipulate the forms to show what I need to.  I guess that is what I will have to do but it's frustrating that Turbo Tax isn't responding to your inquiries.  If I wasn't an accountant and have done taxes in my career, how would I ever know??

It doesn't look like my 6252 was submitted last year either.  So now I have the 6252 but it's not flowing to the 4797.  I get an error when I manually enter the info there.

[Stantheman6]

I do not have interest on my installment sale.  So the info I populate in the principal box creates a 6252 but it doesn't flow to the 4797.

The information on my 6252 is correct even though a form didn't print for 2019,  My prior year amount is correct.

I am going to try to just fill in the boxes I know and move forward.

[Stantheman6]

Got it resolved!  Had to create a "New" installment sale.  Entering in all the information again (including the total of payments received in prior years) and it worked!  I then deleted the first one, which came over from last year's return.  There must be a glitch there.  I was on call with someone from Turbo Tax and we found that solution.  She said it's a known issue but she had not seen any resolutions.  

[skeltonj]

Thank you for your response!  I wished I had waited to see this.  I had even upgraded to the LIVE version on Thursday and talked to a CPA (TurboTax support's solution to me) and she agreed it was a software issue.  So I was dead in the water, until it got fixed, but NO suggestions on How to fix it.

It has been VERY FRUSTRATING with the lack of support.  I kept calling back, bound and determined for SOMEBODY to realize it was a problem that needed fix or to tell me how to work around it.  Lucky for you, you had someone knowledgeable enough to help you figure it out and not just throw up their hands, as I have experienced.  

I decided on my own to try the CD that my husband had for his mother's taxes and basically did them from scratch, which entailed doing what you did and entering the historical principal received as though I was entering the installment sale first time on this software. NO PROBLEM....completed and e-filed within a couple of hours!

Now I am in the process of requesting a refund for what I paid online, since I also had to pay to E-file states with the CD.....we'll see how that plays out.  I was dumb for pre-paying online prior to insuring the taxes were ready to e-file!

Thanks again for keeping me updated on your progress.  Nice to know I wasn't crazy all along and that it indeed was a software error.

[skeltonj]

So....I'm guessing since we basically did their job and figured out how to move forward with the problem, they wouldn't be willing to let us file taxes for free??  Or pay us a consulting fee??  HAHA 🙂

[The Reefer Sneefer]

That solution works if you know what you sold the property for and prior income/ principle paid. My sale was so many years ago, I don't have that info.

The problem is the IRS rules changed and they want that info in Part One filled out each year. :(

[pumpkindoodle]

Ugh, I just discovered the same issue as well--just received a payoff of the balance on my installment sale that was working properly in TurboTax from the sale year (2012) to 2018, and then poof, since 2019, it appears 6252 has failed to generate. I trusted this software to do its job, so it's only now, as I was going back to figure out what's been reported, that I realized it never created 6252 for 2019, 2020, nor 2021! Interest does seem to be flowing properly, just not the principal.

Does this mean I need to go back and amend those 3 years using the hack provided above (entering a new installment sale)? How annoying!

[ReeferSnaafer]

I saw that TurboTax calculated the principal, I entered the principal amount to long or short term capital gain. I didn’t have the required info to generate a new form so that’s what I did.