Filing Form 982?

[dan doshan]

Anyone aware if it is possible to get 2 form 982's into the system so one could possibly e-file. Have 2 cancellation of debt and as I understand you need a separate 982 for each. Appears you can only get 1 in the program.
Big Store Software.

[MilTaxEA]

In what program? Mine does not have that limitation.

Edit: After double checking, my software actually does have this limitation.

[dan doshan]

How do you get 2 982's in your software. Maybe that will give me a hint on how I can.

[MilTaxEA]

Woops, I guess I spoke too quickly. I though I had done 2 982's in the past, but I just checked with my software (TaxWorks) and it does *not* allow me to add another form. I also checked with my eval copy of Drake and that has the same limitation.

If I needed to attach another 982, I would fill out a PDF form and attach that when I e-file. My software has the ability to attach PDF statements as needed.

[MilTaxEA]

The IRS e-file spec pub 1346 states that you can file a maximum of 1 Form 982 per tax return. So I guess this is a limitation of any software.

[dan doshan]

Woops, I guess I spoke too quickly. I though I had done 2 982's in the past, but I just checked with my software (TaxWorks) and it does *not* allow me to add another form. I also checked with my eval copy of Drake and that has the same limitation.

If I needed to attach another 982, I would fill out a PDF form and attach that when I e-file. My software has the ability to attach PDF statements as needed.

That's a thought although I would have no idea how to do that. Wonder if it could qualify as an 8453 attachment. I doubt it but will check.

[dan doshan]

Starting to drive me a little crazy. I know I recall reading in Pub 4681 and or Instr. for form 982 that if you had say two different cancellation of debt exclusions that you would prepare a separate form 982 for each. That was what led to my original question. The software would not let me do 2 separate 982's. Now when once again perusing Pub. 4681 they give an example where you can check both boxes .. principal residence exclusion and also the box for insolvency exclusion if you are applying both.
Thought that was just wonderful because then it would seem we could e-file. Until it appears that the software will not let me check more than one box. So now seems back to two separate 982's and mail in. Plus getting a little confused about a few other aspects of the whole thing.

[AJsTax]

You do not do two forms

on the same tax return. If there are multiple 1099-c then you combine the results.
What do have to do is do a worksheet if you are trying to prove insolvency for each cancelled debt. That takes a lot of time! The thought being that each time a debt is forgiven the numbers on the worksheet change, which is true. I had one last year with nine worksheets.

[dan doshan]

I was using the qualified residence exclusion for one of the cancelled debts and the insolvency exclusion for the other. I do see in the instructions that one could check both boxes and total the amount of canceled debt excluded. However, my software would only let me check one box. It then indicated that if there were another exception to prepare another form 982. But again, the software would not allow me to input 2 form 982's. Maybe there was some trick to handle but I could not figure out anyway to do it so we could e-file.

I did end up processing as a mail in and did 2 separate 982's but guess as long as we were mailing the return in I should have just done the one 982 and combined the amounts.

[taxea]

That's a thought although I would have no idea how to do that. Wonder if it could qualify as an 8453 attachment. I doubt it but will check.

Dan if your software allows you to open a separate box for details off each line, you could list each
COD separately there. I don't guarantee this won't cause "Darling" to spit out a letter but it is the way I do it. Haven't gotten a love note from Darling yet but until Director Shulman and his merry band of programmers gets the "real-time" issue correct we will all have to put up with their little Darling.
If you do it this way for each line that requires an entry the program will calculate the amounts that need to be reported.