Taxpayer is a partner with a K-1 and has 965 tax. He is making 965(h) election spread out over 8 years.

[sariscpa]

Taxpayer is a partner with a K-1 and has 965 tax.  He is making 965(h) election spread out over 8 years. The deferred amount is supposed to be reported on Schedule 5 Line 74 d with "TAX" on the line.  Proseries has no way to do this other than overriding and it creates an error preventing efile.

[Kathi_at_Intuit · Accepted solution]

Thank you for waiting for me. I have checked on this and the override would be the workaround. What I would do is check the Final Review, make sure that you have addressed everything that needs to be, turn off the error checking and e-file the return. We cannot guarantee that it will be accepted, however, it is possible. If it is not accepted, it would have to be paper filed.

Turning off error checking for Electronic Filing

https://accountants-community.intuit.com/articles/1606821-turning-off-disabling-conversion-error-che...

[itonewbie]

Did you prepare F.965 and F.965-A?

[sariscpa]

Yes, manually and uploaded them as a pdf

[sariscpa]

Also uploaded a pdf of the Transition tax statement and 965(h) election schedule of installments.  I also purchased a license for Lacerte which supports the forms, but they are not final yet as of today 4/12/19.  I will use Lacerte just to verify calculations.  I have 40 clients affected by this.

[itonewbie]

@Kathi_at_Intuit Would you have a resolution or workaround for this in PS?  Thanks!

[Kathi_at_Intuit]

Let me check, it may take a few, however I appreciate the patience.

[itonewbie]

Thanks!