100% charitable contribution

[rlumcpa]

For 2020 and 2021, IRS rule was a taxpayer could deduct up to 100% of adjusted gross income for charitable donations. In discussion with Lacerte tech support they said it was automatic. However, IRS has denied any amount in excess of the 60/50% rule for a client. I assume the amount they deny gets carried forward though they do not specifically state so in their notice.  I did respond to the IRS and included the calculation from Lacerte but the excess was still denied.

Has anyone used the 100% rule and was there something I was supposed to check off in Lacerte? If an election was needed what screen would that be?

[TaxGuyBill]

I know that Intuit software was not making the election in 2020 (at least for a while), but I guess I had assumed they fixed it for 2021.  Is the election showing up on Schedule A?

Instructions for Schedule A:

Include any contributions that you elect to treat as qualified contributions in the total amount reported on line 11. Indicate the election by also entering the amount of your qualified contributions on the dotted line next to the line 11 entry space.

https://www.irs.gov/instructions/i1040sca#en_US_2021_publink100030403

[rlumcpa]

Yes, to both years. I am wondering if the IRS cannot see additional amount in an e-filed return.

[TaxGuyBill]

Last fall I read that somebody claimed that the IRS computers were not set up in 2020 to 'see' the 100% amount.  *IF* that actually was true (it was not from anything 'official') I guess I had assumed that was corrected for 2021.

At any rate, contacting the IRS should be able to resolve the problem.

[rlumcpa]

Thank you for your comments. I do appreciate you taking the time to respond.