When will the IRS Form 7203 for software become available? Without it, I cannot file either my business or personal taxes.

[Anonymous_]

3/31/2022

See https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotax_fed_online_individual.html

[lmr57]

Once the form 7203 is available, will we be able to efile our personal return through Turbo Tax Home and Business? 

[DoninGA]

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@lmr57 wrote:

Once the form 7203 is available, will we be able to efile our personal return through Turbo Tax Home and Business? 

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The Form 7203, S Corporation Shareholder Stock and Debt Basis Limitations is not used or supported in any of the personal TurboTax desktop editions, including Home & Business

The Form 7203 is not supported in the TurboTax Business edition.

 

[lmr57]

I thought the form was going to be available in the program by March 31, 2022.  If it is not supported, then does that mean that every individual using Turbo Tax Home and Business or other personal TT program with S-corporation distributions needing a Basis Statement (form 7203) can no longer efile their returns?  That is a real problem if that is the case.  What do TT experts suggest in this case because paper mailed forms will take forever to process.  I purchased the program specifically for efiling.

[DoninGA]

@lmr57 Where did you see that the Form 7203 would be available in the Business Edition?

The form is not even listed in the available forms for an S Corp in the TurboTax Business Forms availability website - https://care-cdn.prodsupportsite.a.intuit.com/forms-availability/turbotaxbusiness_fed_windows_scorp....

Additionally the form could never be used with a personal federal tax return Form 1040.  Only the Schedule K-1 issued by the S Corp is entered on a personal tax return.

[lmr57]

Form 7203 S corporation Shareholder Stock and Debt Basis Limitations is a new form for 2021 that needs to be included with form 1040 if an individual has schedule E attached with income from an S-Corporation and also received distributions.  

Your response makes me wonder if you know what this form is.

I need to know when the form will be available for personal returns filed through Turbo Tax - specifically Home and Business and if the form will also be able to be efiled with the TT personal return.  Can anyone answer that as I need this informaiton.

[Anonymous_ · Accepted solution]

Form 7203 is used to figure potential limitations of a shareholder's share of an S corporation's deductions, credits, etc.

[lmr57]

So does this mean that Turbo Tax will not allow e filing of the form 7203 that is required?  That seems crazy to me that everyone that purchased any turbo tax personal software with S-corporation distributions or other items requiring form 7203 now, will not be able to e-file.  Is that correct?  No way am I mailing my return as too many are unprocessed and that is why I purchased turbo tax.  Any suggestions 

[Anonymous_]

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@lmr57 wrote:

So does this mean that Turbo Tax will not allow e filing of the form 7203 that is required? 

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Probably it does.

When the old basis statement needed to be prepared and filed, the return had to be printed and mailed.

[lmr57]

This is so disappointing.  I can not believe this is how intuit turbo tax handles this.  

[Anonymous_]

This is not limited to TurboTax, @lmr57. Users (professional preparers) are experiencing something similar with Intuit's professional software versions.

[stonekold1]

replying to my original question, or adding to it.  To file my personal taxes, I need to enter K-1, but my accountant cannot provide me my K-1, until they can complete the Form 7203, which they cannot do until the IRS provides their software system with that form electronically.  So, for me, I am just using TT for my personal income tax, and my accountant files my business income tax, but again, I cannot file my personal until I include the K-1 info, and that cannot be done until my accountant gets the 7203 form.  I was viewing some snarky answers, so needed to clarify my original question.  The form is available right now, but not in electronic/software form, and allegedly wont be until March 31st.  Typical IRS, they knew about this last year, yet it takes them six months to figure it out, now we all have to file extensions because of their incompetence.

[lmr57]

I know as I have been reading a number of posts on this form.  I wonder if many are e-filing their returns and then waiting for the IRS to request the form 7203.  Obviously having the form 7203 completed manually and just holding on to the form.  It just seems like mailing the returns, especially now, is the worst possible answer.

[Anonymous_]

I generally agree, but it is important to file a complete (and accurate) return in order to start the statute of limitations on assessments (three years in most instances). 

I would not want to get into a situation where the IRS is arguing that they can audit me years later because I did not file one required form.