Washington Families Tax Credit

[JdCramer]

Does Proseries Support the Washington Families Tax Credit?

[qbteachmt]

I see this listing:

https://workingfamiliescredit.wa.gov/apply/apply-using-tax-preparation-software

And this note: Applications open February 1, 2023

[TaxToad]

Will this be added to ProSeries for 2022?  I see that the other Tax Software packages offered by Intuit now offer the WFTC.  I don't like to tell a client that they have to go apply for this credit on their own because this is the only Intuit product that doesn't include the ability for me to apply for my client.

[qbteachmt]

Did you click that link? The Intuit products are listed there. I would keep checking it, too, for updates. Right now, Pro Series is not listed.

[TaxToad]

Pro Series is still not a listed option under Intuit.  

I thought, perhaps, someone at Intuit might know if they're planning to include it in an upcoming update.

[BobKamman]

But the real question is, will this be taxable on 2023 returns?  And will the state be issuing 1099-MISC for payments of $600 or higher?

Start asking now, and maybe you'll have answers by this time next year.   

[TaxToad]

It will probably be taxable income.  California is sending out 1099-MISC forms for their "Middle Class Income Tax Refund" payments that they issued.

[BobKamman]

No kidding!  I never would have known

[TaxToad]

Actually, it is given a general welfare exclusion from gross income when you enter the 1099-MISC and check the box for "Yes" California MCTR.  (I just tested that out.) So hopefully, Washington's WFTC will receive the same treatment. 

[sjrcpa]

@TaxToad 

We've been having this discussion

https://proconnect.intuit.com/community/proseries-tax-discussions/discussion/mctr-middle-class-tax-r...

[TaxToad]

Thanx!  I checked it out and I'll keep up with it to see how it resolves.

[JdCramer]

I was specifically told no after being on the phone for over 45 minutes and being passed around to different departments.

Personally not happy

[TaxToad]

Thanx for going through that.  I tried to call but got cut off before I even got past the recordings.

I'm also not happy about it.  Makes me feel like we're the ugly stepchildren.

[BobKamman]

You wanna know why you feel like an ugly stepchild?

Because you're an ugly stepchild.

Not fair of face, like California and New York subscribers who pay the same price but get dozens of complicated forms.

Maybe you need to figure out how to get sent to the Principal's office.  So you can talk some sense into the Principal while you're there.  

[TaxToad]

Well, I'm actually a California Tax Preparer but my peeps keep fleeing the "Golden" State.  So I have to keep learning new tricks.  

I wish there was a way to talk some sense into the Principal but I think it's a lost cause.  So I just slave away and dream that some day I'll get to retire.

[BobKamman]

Well, see, there's the problem.  Intuit simply has no resources left after all the work they have to do for you California Remainers.  

[IntuitGabi · Accepted solution]

At this time, ProSeries is not supporting the Washington Families Tax Credit for tax year 2022. 

ProSeries users are able to log into ProConnect using their ProSeries log in to complete their clients returns there (click here for ProConnect pricing). 

If this credit is something you'd like to see in the program for next year, utilize the ProSeries Idea Exchange. Post, share the link of the Idea on this thread, and others can vote and comment. 

More information on filing at https://workingfamiliescredit.wa.gov/apply 

I hope this helps! 

[TaxToad]

Thank you for letting us know that Intuit will not provide this to ProSeries only.  I don't feel inclined to pay extra to file a return in ProConnect that is already included in my ProSeries.  Clients will have to be advised that Intuit does not provide us with this capability despite the fact that they provide it to their other Tax Professionals and that they will need to navigate Washington's system on their own.

[sjrcpa]

@IntuitGabi 

And they'll have to pay the large ProConnect PPR fee to prepare this?