Harlan Lunsford wrote:
- quote -

about.

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Funny case today. Single elderly lady had to pay 393$ last year, which
was her 2007 tax. She then got a stimulus payment of 393$. Zero sum game.

for 2008, her tax was 408$, which entitled her to another $15 recover
rebate credit, so she ended up this morning writing a check to IRS
for.... $ 393! Same as last year. I had to laugh as I explained it
to her.

ChEAr$,
Harlan Lunsford, EA n LA

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Harlan Lunsford wrote:
- quote -

269 & 273 vs just send the return to error resolution.

I think it works this way:
A return without dependents that has an ESP received amount other
than zero on the worksheet that does not match the IRS database
triggers the reject. Anything else... no reject... just error
resolution.

E.g., A return with dependents always goes to error resolution if
the RRC is screwed up. A return that just leaves the ESP received
field at zero on the worksheet also goes to error resolution.

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<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

Alan wrote:
- quote -

(snipped....)


And it works well, too. This morning I downloaded 23.07, installed and
reopened a client's return who I thought according to Taxwise previous
prnouncement upon 23.06, would be separately calculated later on, in the
future. Everything calculated correctly, carrying forth the extra 600
to page 2. Client was extra happy.

All's well that ends well.

ChEAr$,
Harlan Lunsford, EA n LA

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<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

Okay... one more time. Here is the latest as explained by Taxwise
and the conference results with the IRS.

Question:
Why doesn't TaxWise calculate the recovery rebate credit to Form
1040, 1040A, or 1040EZ?

Answer:
This credit will calculate to Form 1040, 1040A, or 1040EZ again
with TaxWise version 23.07.

Based on the original conference call last Friday, consulting
with CERCA, other software vendors and our banking partners, we
made a change to the way TaxWise handles the RRC credit to avoid
more returns going to error resolution and possibly causing
funding delays. This was added to the 23.06 patch.

Based on the RRC Conference Call today, the IRS stated that they
do not have a problem with the Rebate Recovery Credit
calculations on returns that are falling out to Error Resolution.
They also stated on the call that the maximum amount of time for
the return to resolve is one deposit cycle.

They further clarified the initial 'issue' that they described on
Friday. Their current position is that only returns that had an
amount on Line 70 that was different from the IRS calculation
were falling into Error Resolution. The above condition
(calculated amount of RRC not matching return amount of RRC) is
the only condition, according to IRS, that a return would go into
the Error Resolution system.

Based on the information that was presented today, any return
that is due an additional RRC, which we are forcing to zero, will
fall out to Error Resolution.
We are currently reversing the changes that we made to the RRC
calculations in 23.06 and putting the calculation back as before.
Note: None of the other changes made in the 23.06 update will be
changed; we are only making a change to the Rebate Recovery
Credit calculation. Any amount now calculated on Worksheet 5 will
flow to the appropriate line on the 1040, 1040A and 1040EZ forms.

We will most likely post this to both the support site and EFC
later today, January 28, 2009.
This will also require new Bank Deliverables as well.

Reminder: Some of your banking partners have already announced
that they will not loan on refunds that have RRC in the refund.
If the amount on line 70 does not match what the IRS has on file,
it will fall to error resolution and the IRS deposit will be
delayed by one funding cycle.

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<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >