Hi Sebicap,
I use Pro-Series Pro. I don't know if you ever got a clear answer to your question. I deal with a lot of 1040NR. In fact, that's 90% of my clients and I think I may have a workaround for you.
Here is what I do on the 8288-A Wks when I have a FIRPTA withholding that results in a refund to the client of the excess withholding. I still manage to E-file and the IRS refunds the money directly on the clients bank account.
By the way, this process works whether or not I/the client have received back from the IRS the stamped Form 8288-A. In circumstances when I don't have it, I simply use the Final Settlement Sheet (or HUD-1 on some states) issued by Escrow. On it, it shows the amount of the FIRPTA Withholding.
For privacy reasons, the IRS blacks out the Withholding agent TIN.
Use "11-11111" as the substitute TIN for the withholding agent's tax ID. It makes no difference if it is an individual with an SSN or an ITIN who does the withholding, or if is it a company with an EIN.
You will get an error message. That's ok. You want that error message.
Once you've completed all the other steps related to preparing the file for e-filing, do the final review. The only error message that remains should be the error related to the wrong TIN for the withholding agent.
Next steps are on the E-filing Center:
- Your e-file MUST have an attachment to it. Attach a PDF of the cover letter and the Form8288-A received from the IRS to your client file. In the attachment dialog box, select "Other" for the type of the attachment, then insert a description of the attachment. I typically use "LastName_Form 8288-A". When you use the HUD-1 from Escrow, the same description applies.
- Start Electronic Filing process. On mine, the dialog box shows that the "Convert and Transmit selected returns/extensions/payments" option is selected. Below that, there is another line with a checkbox for "Enable conversion error checking". I UNCHECK that box.
- Then I proceed to E-file. The software processes the E-filing file without performing the error check.
I've done this several times on multiple year versions of Pro-Series, including today on Pro-Series22 without issues. Hopefully, it works for you too.
Franck K
