Form 8997 - Qualified Opportunity Zone Fund

[rbarmache]

As a 20+ year user of Lacerte, I am extremely disappointed in the programming for the Statement of Qualified Opportunity Zone Fund (From 8997).  In the year of investment, you enter all investments in Part II.  OK.  The problem is that this does not complete Part IV which is the same exact information needed for QOF at Year End.  Instead, you have to enter the exact same information again choosing Part VI in the first input.  I was completely unaware of this which caused this form to be completed incorrectly on the returns I filed last year.

My even more important gripe with Form 8997 is in the subsequent year filings.  The instructions require this Form to be completed every year these investments are held, which is typically 10 years for most people!  For this reason, this form should proforma each year allowing us to use check boxes to indicate any changes.  IT DOES NOT, AND LACERTE HAS NO PLANS TO DO THIS AS OF MY CALL WITH THEM TODAY.  Additionally, there are ZERO diagnostics to even alert us to make sure this form is completed so the taxpayer does not get their entire deferral disallowed by the IRS.  This is a MASSIVE oversight on Lacerte's part in my opinion.  They do it right with the CA Form 3840 when we have to report the 1031 exchange deferrals every year until the properties are sold triggering CA tax, but for some reason, they completely missed the mark on this Form.

Please vote for this since the ramifications for our clients can be disastrous if we get it wrong.

[JABCPA]

100% AGREE WITH THIS.  MASSIVE FAIL WITH HUGE RAMIFICATIONS