Safe Harbor Election for Rentals (250 hour rule)

[socaltax]

Is there going to be a safe harbor election added to the Proseries software for the 250 hour safe harbor election for rental properties?

[IntuitCharlene]

I've looked into the new Safe Harbor Elections that you are referencing. 

To get the calculation to work in ProSeries you would simply fill out the Qualified Business Income Deduction Info Smart Worksheet at the bottom of your Schedule E Worksheet. 

If the IRS needs an election statement to go with it, this election statement has not been added to ProSeries 2018 so it would need to be added on the Preparer Notes worksheet or via a PDF Attachment. 

https://accountants-community.intuit.com/articles/1605889-individual-using-preparer-notes-for-e-file... shows you how to use the Preparer Notes. 

https://accountants-community.intuit.com/articles/1606302-attaching-pdf-files-to-federal-or-state-in... shows you how to add a PDF attachment to the return. 

[IntuitJim]

Yes, we will be adding a Section 199A Trade or Business Safe Harbor Statement for Rental Real Estate (pursuant to Notice 2019-07) to all 3 products (ProSeries, Lacerte, ProConnect Tax Online). You can print the statement for the taxpayer signature then attach as a PDF to e-file with the return. We expect the statement to be added in the next week. 

[MrMojo]

Any word on when that 199A election form will be included in 2018 ProSeries?

Will it be added in the 1040 Individual Elections Summary sheet?

Thanks!

[Marc-TaxMan]

Yes, where will that statement appear?

[Marc-TaxMan]

Hi Jim:  How are you guys doing on the Safe Harbor Stmt?

And the 706 typo fix?

And the printing crisis?

And why is there no list of known problems and ETA on solutions, other than soon?

[Taxmanandy]

I have aggregated several properties and Lacerte creates a Sec199A Renatal Real Estate safe harbor statement for each rental property. I would think if we did an aggregation that the statement should list all aggregated properties on one statement not individual statements

[Marc-TaxMan]

Hi Jim:  Is the Safe Harbor released yet?  Hidden somewhere?

[TrumpJ]

Is this statement for the 250 Hour Safe Harbor Rule available yet in ProSeries?  If so, where is it?  I am unable to locate it.

[Marc-TaxMan]

JIM:  Please give us an ETA on Safe Harbor

[Kathi_at_Intuit]

Let me check on this.

[IntuitJim · Accepted solution]

Lacerte and Tax Online now include the statement and the planned release date for ProSeries is March 6. In the interim, you can type a statement to print, sign and attach. Apologize for the delay. Like customers, our teams are working very hard to incorporate all the tax reform changes in product. Thanks for your patience.

[Marc-TaxMan]

Funny:  Lacerte + PTO (?) has it now.  ProSeries is 2 weeks out.  Hmm.  TurdoTax has it now?

[Michelle]

Since Lacerte and Tax online have it now, will you post a pdf of what they have so that we can use it.

[Kathi_at_Intuit]

This is what it looks like in PTO and Lacerte:

[MrMojo]

Please ADD that Statement to the K-1 Partnership/S-Corp worksheets as well!

Thanks!

[SNOWY86303]

I've found the election statement.  Cannot find  how to attach it to the federal/state tax returns, since it appears to be part of the Lacerte elections and doesn't appear as a separate PDF to attach.

[Kathi_at_Intuit]

In Forms view in Lacerte, you would be able to print the election to a PDF and then attach it to the return. In Lacerte if you were to type in the upper right "PDF attachment" it would bring up this knowledge base for you:

Attaching PDF Documents to an E-file Return

https://accountants-community.intuit.com/articles/1606113-attaching-pdf-documents-to-an-e-file-retur...

[AndyReynolds]

I keep hearing for ProSeries there will be a safe harbor election in the software, and it will be out in a week. It's been a month! Where is it?

[IntuitBoris]

ProSeries has it released.

On the QBI Deduction Info wksht, there's a checkbox right below the yes/no question whether it's QBI to indicate it qualifies for safe harbor. 

[AndyReynolds]

I was expecting to find the statement to attach to the return by going Forms\look up 199A. It was not clear to me that checking off that box BELOW the A - Is this a qualified trade or businees,  that I had to check off the next box "This rental qualified as abusiness under safe harbor 2019-07, AND BY CHECKING THIS OFF, the statement gets automatically generated...  This is slightly a diferent approach to adding statements, which was not clear to me. Thanks so much!

[David Stone]

Is this election statement available for Form 1065, Form 8825 (Real estate income) available yet? If yes, how do I navigate to this election to the PDF pring out? Thank you.

[atwood]

Once again, ProSeries lags Lacerte and online.  The lagging software.

[Stella503]

Is there a reason why Proconnect is not doing a formal statement to sign for the 2019 tax year as they provided for 2018?  The only response I received was to type it up myself for this year.