Election to take casualty loss in preceding tax year. All election boxes checked, but ProConnect still put casualty loss on Sch A in current tax year. How to fix this?

[mikesheridanclt]

Client has casualty losses from federally-declared disaster in 2022, but wishes to make the election to take this casualty loss in the preceding tax year (2021) under IRC 165(i). The appropriate boxes were checked in ProConnect to make this election, which has also populated the election statement; however, 2022 Schedule A still shows the qualified disaster loss, for the current tax year, which I believe is an error. We may need to find a way to manually override this, unless we are missing a technical manner to remove this qualified loss from the current tax year, as making the election should not result in the qualified loss on Sch A/1040 for the current tax year, as the client will be amending their 2021 return and taking the casualty loss there, by virtue of having made this election. We aren't certain whether this is a failure on our part to find the right fields or boxes in ProConnect, or whether there's a glitch in the system. If anyone has advice or tips, that would be greatly appreciated. If it is a glitch in the system, does anyone have an idea how a manual override on Schedule A can be made? Thank you so much!

[itonewbie]

This is not a glitch.  That's because you are supposed to make the election on the 2021 amended return instead.

By entering the details on the 2022 return, you're telling the system that the taxpayer is electing to take the deduction for a loss that occurred in 2023.