Has anyone else experienced an issue with the new field "credit for sick and family leave claimed on employment tax return"? I've entered the wage expense in total that ties to the W3 but upon entering the other income field for the tax credit they received, my M-1 line 1 does not tie to net income on books. In order to tie to NI per books, I have to do an additional M-1 input under tax-exempt income income on books not on Schedule K. Is that correct?
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I see on the Schedule M-1 input screen you can use -1 to override the M-1 automatically generated. It seems like the M-1 for income on schedule K not recorded on books is only needed if you have a situation where the credit claimed on a 2020 941 will be refunded in 2021. Then for 2021 you would need to do a reversing M-1 when the income is actually received. If all credits were received in 2020 then the M-1 doesn't seem necessary and can be overridden.