Will my 2023 tax return be rejected for online filing because I had to override incorrect turbotax calculations of my AMT carryover and carry forward?

[hjfunk]

2023 Turbotax incorrectly calculated my AMT capital loss carryover and capital loss carry forward. To correct them I had to override 3 carryover amounts and 2 carry forward amounts. Hundreds if not thousands of turbotax generated returns must be affected by the this problem. Will my 2023 returnee rejected for online filing because of these overrides? Or has turbotax informed the IRS of this problem so that the IRS will not rejected my return for online filing because of these overrides?

[NCperson]

Your tax return wouldn't necessarily be rejected for online filing, as that is based on the IRS data scrub rules.  You will know pretty quickly when you efile.  and if it is rejected, paper filing is an option. 

However, since you are overriding data in Turbo Tax, it can invalidate their warrantee.

what makes you believe the calculations are incorrect? 

[TomD8]

"Hundreds if not thousands of turbotax generated returns must be affected by the this problem."

If that were so, then this forum would likely have been flooded with similar questions, which it was not.  Are you sure TurboTax is wrong?

[rjs]

Did you do true overrides by using the override function in forms mode, or do you mean that you changed the amounts in the TurboTax interview? With a true override, the value will be displayed in red instead of black in forms mode. A true override will prevent e-filing. You wouldn't even get far enough to be rejected by the IRS because TurboTax would not transmit the return to the IRS. But entering different amounts in the interview would not automatically cause the IRS to reject the return.

An override can cause the automatic calculations to break in unexpected ways, even in places that you think are not related to the override. That's why an override cancels the accuracy guarantee.

[hjfunk]

Turbotax showed the line 5 amount (the 2022 Schedule D, line 7 amount) of the AMT  capital loss carryover from 2022 to 2023 form as $564,120 when the correct amount was $1,567,739. The line 5 amount for the regular tax was correctly shown as $1,562,909.

Turbotax showed lines 2 and 4 of the AMT carry loss carryover as zero when the correct amount was $ 3,000.

Turbotax showed the the AMT capital loss carryover to 2023 as zero when the correct amount was $954,696. Turbotax correctly showed the regular capital loss carryover as $949,866.

Turbotax has recognized that there is a problem with its AMT carryover and carry forward calculations. In Turbotax 2023 it has provided a "TY21 [to} TY 22 conversion AMT capital loss carryover adjustment smart worksheet" and  a "2022 Capital Loss Information Smart Worksheet" with lines A through C in an attempt to deal with the problem.

In 2023 tax help it says "If required, entries in the AMT column on lines A through C of the Smart Worksheet may be changed without overriding."

That is not correct. I could not changes lines A through C without overriding and I  could not get lines A through C to propagate into the 2023 carryover form from 2022 to 2023.

So I overrode as necessary to make the 2023 carryover and carry forward forms correct.

Turbotax would not have provided the smart sheets, and the information that line A through could be changed without the changes being considered as overrides, if there is no problem.

I cannot believe that I am the only person to have this problem.

Can I get a response from a Turbotax employee who monitors the Community postings?

[rjs]

To clarify, we are talking about lines A, B, and C in the "2022 Capital Loss Information Smart Worksheet" at the top of the Capital Loss Carryover Worksheet in 2023 TurboTax. The "TY21 -> TY22 conversion AMT capital loss carryover adjustment smart worksheet" is at the bottom of the Capital Loss Carryover Worksheet.

I am able to change the amounts on lines A, B, and C in the AMT column without overriding. I don't know why you can't.

Make sure your software is updated.

What color are the numbers on lines A, B, and C before you override?

Are you using TurboTax in Windows or on a Mac? I am using Windows. (If you are using Windows, on the menu bar at the top left, click Help (not Help Center), then "About TurboTax ...," then click the Components tab. On the first line, what is the version number for TurboTax.exe?)

You might want to call TurboTax support about not being able to change the entries on lines A, B, and C. With your permission, they can look at your tax return. We here in the community can't do that.

[hjfunk]

To my surprise, my return was accepted for online filing.