Tax Penalty is wrong on ProSeries 2024. Need to double check Line 38 1040 and Line 8 Form 2210

[KRS1]

The software is inadvertently pulling the wrong amount to line 8 of form 2210.  It should be using the prior year's tax as shown on the carryover worksheet line 6, column 1.  The quick zoom takes you to the proper line, but it is ADDING an extra 10% to the amount and showing the incorrect amount on line 8 of form 2210.  To fix the error you have two options: overwrite line 8 of 2210 with the proper amount as shown on the carryover worksheet line 6. To e-file the return, you will need to tell it ignore the error and it will allow the return to be e-filed.   The alternate option is to check box C on the top of form 2210 and let the IRS calculate the penalty and send the letter to your client.  You could give your client a heads up of the upcoming letter. 

[Jim-from-Ohio]

The 2024 program is loosely based on the 2023 program engine and is not fully updated yet for 2024.  The early release of the 2024 program is not ready for prime time yet and will be updated.

[IRonMaN]

The 2210 is listed as being finalized on January 16th.  I would check back when it is finalized.  If it is still wonky after that date, then it would be time to blow the whistle to call a foul on #2210.

[TaxGuyBill]

I haven't tested it, but any chance it is adding 10% to meet the requirement of 110% for higher income taxpayers?  Or does the carryover worksheet already take that into account?

[KRS1]

You are correct. The software on Line 8 of form 2210 is correctly adding 10% to the prior year tax as required by the IRS for higher income taxpayers.  Thanks for your help.

[GeorgiaRe Tired]

I also had the IRS recalculate this. I'd like for Proseries to look into this. 

[Intuit_Ruben]

Have you reached out to Proseries Support already? 

[TaxGuyBill]

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@GeorgiaRe Tired wrote:

I also had the IRS recalculate this. 

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Did the client pay the tax-due before April 15th?  If so, did you enter the payment date?  The IRS will recalculate it if they pay before April 15th and you don't enter the payment date.

[GeorgiaRe Tired]

Yes.  He paid with the return.  There's no detail in the IRS letter other than the balance differences.