Does anyone use override function in ProSeries Professional software to prepare and E-file Schedule E for rental property for grantor trust?

[VIC888]

Hi ProSeries Community, I have questions regarding grantor trust e-filing. When I use ProSeries Professional software to generate Schedule E for rental properties for a grantor trust, the net rental income goes to Page 1 of 1041 which is incorrect. In order to pass e-filing error, I use the override function to delete numbers shown on 1041, page 1, the e-filing error goes away, and I can print the grantor trust along with Schedule E. However, I wonder if this is a correct way to file grantor trust along with Schedule E. Although the grantor trust tax return printout seems correct to me, I still worried whether the e-filing conversion is exactly the same as the printout to be transmitted to IRS and state tax agency. When I go to do e-filing, there's a message reminding me that there are overrides in the grantor trust tax return. Does anyone ever use the same method as I do for grantor trust with Schedule E for rental properties? 

[Just-Lisa-Now-]

Ive never done a grantor trust, letter but I found this, I think you might be entering things in the wrong place

https://accountants.intuit.com/support/en-us/help-article/federal-taxes/entering-income-deductions-a...

[VIC888]

Thank you Lisa, I also found this article from intuit help. Based on this article, it seems like we don't need to attach Schedule E to the grantor trust, only enter the rental income and expense on this grantor letter. I really want to see how ProSeries users prepare and e-file grantor trust with rental properties. I have been preparing grantor trust with other type software, the other software did generate Schedule E and grantor letter for me to submit along with 1041; however, using ProSeries, I don't know what to do is correct for prepare and e-filing grantor trust with rental properties. 

[Just-Lisa-Now-]

Hopefully someone more familiar with the process within PS adds to the conversation.

[Terry53029]

Normally you don't prepare a return for a grantor trust, because a grantor trust is disregarded for federal income tax purposes. You normally just do a schedule E on the grantor's 1040

[VIC888]

Thank you Lisa, I have also called ProSeries Support to see whether the override will be affecting the correctness of the grantor trust e-filing. However, I still don't get any confirmation. 

[VIC888]

Hi Terry, thank you for your reply. The grantor trust has its own EIN and receive Form 1099Misc under its EIN, I do file grantor trust and allocated income for grantor to report on grantor letter, as well as attaching necessary schedules to the grantor trust. 

[Terry53029]

I have seen several grantor trust get a EIN, but they should not until grantor passes. I just ignore any forms using EIN, and put them on grantor's 1040, and instruct client to change his investments to his SS.