Direct Deposit on State returns

[Spanky]

I strongly recommend, once again for next tax season, that on State Returns, especially NJ returns, on the Information Worksheet Part VIII, Direct Deposit, the YES or No boxes should be left blank and to give us an error that a box needs to be checked off.  Such an easy fix.  And while doing so, remove having to check YES or NO on Worksheet K, Use Tax Calculation.  Just check off NO like you do in the Direct Deposit Section. I know for me, I'm checking off NO 100 percent of the time.  Just a wasted, unnecessary step to take.  Thank you!!.   

[BobKamman]

Imagine yourself as director of the New Jersey Division of Taxation.  Your job includes approving commercial software before developers can use it for e-filing state income tax returns.  Intuit comes to you and says, "we want to automatically check NO on every return, for the question that asks about Use Tax." 

What would be your response?

[IRonMaN]

I'm guessing that the director is going to say, I'm glad that you brought that up.  We are now going to require all software developers to have that box automatically checked yes.🤔

[IRonMaN]

But while we are on the subject, do you automatically check no, or do you actually ask the client that question before preparing the return?

[Jim-from-Ohio]

Ohio has that question about use tax.. over all these years, all the return I think I had two clients told me they had to pay use tax

[Spanky]

Hey people, not looking to make a Federal case out of this, only a State case!  If the State of NJ, which by the way, is one of the horrendous states in assisting tax preparers, requires the preparer to check off a box for sales tax, no reason the same can't be done for Direct Deposits.  Obviously, the state wants to mail out checks.    

[BobKamman]

On the state returns I do, the Yes box for direct deposit is checked if it is checked on the federal worksheet, and then there is a box that needs to be checked to indicate that the funds won't eventually go to a foreign account.  Which of course they will, when someone buys an iPhone or Lenovo computer and the money goes to China.  But let's not talk about divestment.  My New Jersey client retired and does not have to file returns now, so I am not familiar with the situation.  Are you saying that even if the federal worksheet is filled out for direct deposit, the same information must be entered on the NJ worksheet?  

[Spanky]

Guess some of you misunderstood what I said.  I never said the YES box should be automatically checked off.  I said the Yes and No Box should be left blank and to give us an error message to make sure we check off one of the boxes.  Often times I have clients that owe on the Federal end, yet receives a refund on the state end. I would want them to receive a direct deposit.  And please don't say I should take more time to review everything on the return.  I do my best to review everything.  And if I were the current director of the Division of Taxation of NJ, I would fire myself.  However, if I were the Director, on day one, the first thing I would do is hire more technical telephone support to answer the phones, so us accountants with questions don't immediately hear, "Due to heavy call volume, we're unable to answer you call at this time.  Please call back another time. Good-by" (CLICK.)  That's baloney.  The second thing I would do is require the tax preparer to check off either the Yes or No box for Direct Deposits!  And while I'm at it, the IRS isn't doing us any favors by enforcing this April 15th deadline.  That date is no longer realistic in the world we live in!  Sadly, I have a ton of extensions because my clients just don't receive all their tax info early or even before April 15th.  Enjoy your summer!