Form 8962

[MARYNAV]

I am working in 2020 Pro Series and the "Tax Family" on Form 8962 is not including the dependents listed on the return.  Last year it did but this year it is just including the taxpayer.  Is this a bug?  I can't override it to be 3 which is the correct number in the tax family.  I can't see any special box that should be checked to make this flow through and the cross reference for this line doesn't show up.

[TaxGuyBill]

Have you verified the dependent is showing up the 1040?

Have you gone through the error-check/review to get rid of any errors?

Make sure you check the box that the taxpayer can NOT be claimed as a dependent (on the first "Info" page).

[Just-Lisa-Now-]

You have all the people showing on the 1095-A that you filled in?

[MARYNAV]

I have checked for errors.  The only glitch in this is that the taxpayer is the non-custodial parent who had the dependency exemption released to him on Form 8332 (which has been completed with the return).  The kids are on his 1095-A as well.  I have the kids as code "N" dependent child who did not live with taxpayer due to divorce.  He had the same exact situation last year and his tax family was 3 with all of those same codes.

This year it just has that his tax family is 1 which puts him above 401% of the poverty limit and he has to pay back the entire advance premium credit.  I am not sure if this year has a bug or last year had a bug.  I can't pin down anything definitive on if they can be included his tax family or not.  It is an additional $13,000 in taxes.

[MARYNAV]

Hi Lisa 

They are all on the 1095-A.

The only glitch in this is that the taxpayer is the non-custodial parent who had the dependency exemption released to him on Form 8332 (which has been completed with the return).  I have the kids as code "N" dependent child who did not live with taxpayer due to divorce.  He had the same exact situation last year and his tax family was 3 with all of those same codes.

This year it just has that his tax family is 1 which puts him above 401% of the poverty limit and he has to pay back the entire advance premium credit.  I am not sure if this year has a bug or last year had a bug.  I can't pin down anything definitive on if they can be included his tax family or not.  It is an additional $13,000 in taxes.

[Just-Lisa-Now-]

TaxGuyBill is the resident ACA expert, he should be able to help you decipher this.

[TaxGuyBill]

I tested it, and it is an error in the programming for this year.

You may want to call Support and report this error.

[MARYNAV]

Thanks Bill.  I will do that and post what I find out.  

[MARYNAV]

I spoke with someone on Monday morning who agreed there was an issue and she was pushing it to Tier 2 for Resolution.  She gave me a case number and when I called back this afternoon hoping for an update the gentlemen who I spoke with said the case number didn't help him because it wasn't his case.  I had to go through the whole thing again.

I just spent an hour on the phone with him and he insisted that the tax family was guided by how many people were included in the MAGI and it didn't have anything to do with the number of dependents or the number of individuals on the 1095-A and that there isn't a problem with the software.  2019 same exact same situation and his tax family was 3.  This year his tax family is showing up as 1 which makes him above the Federal poverty level and is costing him $13,000 in taxes.  Obviously I can't file it this way and I can't override the line.  I am not sure what I am going to do to get this correct other than filing the tax return by hand.  Very frustrating.

[TaxGuyBill]

Most likely it will be fixed from your first call.

Unfortunately, Intuit is not quick at fixing things.  In the past, the standard turn-around time was about 3 weeks.

It's sad that someone at Customer Support will insist on something that is not true.  Although he is correct it is not based on the number of people on the 1095-A, it IS based on the number of people on the tax return.  Both the Law and the Instructions are quite clear on that.

[MARYNAV]

Thanks for the response.  Hopefully, they will get to this fix soon or at least confirm with me that they are going to fix it.  I appreciate your feedback.  It helps to know that someone else agrees with me!

[MARYNAV]

Just wanted to update you.  Pro Series finally fixed the bug in the program on Form 8962 and the taxpayer finally has 3 in his tax family!

[TaxGuyBill]

Great, thanks for the update!