Schedule M reject nightmares

[Y2KEA]

Anybody getting these?

I had one return rejected because TP & spouse claimed they both got it. I figured out the Spouse did not get it & resubmitted. It was accepted.

Now I have another reject because IRS thinks this person got a payment. They are only 51 years old & get no SS. The resolution to this seems to be to call SSA & get a letter stating they got no payment & mail it in with the return.

This is going to be a real headache if this nonsense continues.

[AZ-Tax]

How old was the couple that both thought they recieved it?

Where both 65 yrs or older? Did they think each recieved the $250 individually?

[taxea]

The only way to avoid this is to have the client provide documentation that they received it.

[Jesse]

Quick Alert

Subject: Form 1040, Schedule M - Error Reject Code 1132


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Error Reject Code 1132 occurs when the amount of the Economic Recovery Payment reported on Line 10 of the Schedule M does not match a data file that identifies if an agency (SSA, RRB or VA) issued an Economic Recovery Payment to the taxpayer(s) in 2009.

If the taxpayer cannot recall if they received the payment, advise the taxpayer to contact their respective agency to resolve the discrepancy before resubmitting the return claiming the Making Work Pay and Government Retiree Credits.

- Social Security Administration: Toll-free number is 800-772-1213. General ERP inquiries can be answered by the SSA Web site: http://www.ssa.gov/recovery/.

- Veterans Administration: Toll-free number is 800-827-1000. General ERP inquiries can be answered by going to the VA Web site: http://www4.va.gov/recovery/.

- Railroad Retirement Board: Go to the RRB Web site at http://www.rrb.gov/recovery/ for more details.

If the taxpayer contacts the agency and a discrepancy did occur, then the agency must provide the taxpayer with a letter confirming the discrepancy. These taxpayers should not claim the Making Work Pay and Government Retiree Credits when filing their original return, but instead will need to file an amended return to claim the Making Work Pay and Government Retiree Credits. They must attach a copy of the agency letter confirming the discrepancy.
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I have a couple in their 40's, she has wages, he is on full social security disability. He received the $250, she did not, efile return rejected. I changed the return as if both received the $250 and was accepted. Waiting for them to contact social security and we'll need to amend as it doesn't sound as if there is anything else we can do.

It should be easy enough to document the did receive it, but how do you document they did NOT receive it?

[Y2KEA]

It should be easy enough to document the did receive it, but how do you document they did NOT receive it?

My point exactly. How do you prove something in the negative?

In my first case the spouse is collecting SSDI, so I assume she did not get the payment. I resubmitted it that way & it was accepted. Maybe she did get the payment but who knows. I think the SSA/IRS relationship as akin to the blind leading the blind.

In the second case, the TP is 51, has wages & no SS/SSDI/pension etc.

I think I will increase my fee for this form to cover the aggravation factor.

[Chief]

SchM

This is going to be an interesting year for all of us. I had a return reject with code of EFC. I think it had something to do with my software filing center. I reproccessed it and it went through. Each year gets at little more complex.

[taxea]

According to the SSN site SSI qualifies for the benefit.

[Redneck]

VA pension

Your 51 year old client could possibly be on a VA disability pension. I had a client that was on the VA pension and he did not tell me because the pension was not taxable. When he check back on his bank statements he had received the 250 from the VA.

[taxmom34]

how about SSDI, that is different from SSI?

[Y2KEA]

how about SSDI, that is different from SSI?

In the context of this thread, they are the same thing.