Thinking about switching to Taxslayer Pro.. Opinions please!

[dtlee]

Box 2a is transmitted in the e-file record to the IRS. That has been true since the first returns were e-filed and is still true today.

Sorry that it has taken so long. I did not want to simply tell folks to read through Publication 1346 and the four pages I extracted are too big to attach.

Here are the fields transmitted with a Form 1099-R to the IRS:

Extract from Publication 1346, Part 2

Please note the fields referenced in the IRS correspondence I received have not changed. Field 0110 is the box 1 amount and Field 0120 is the box 2a amount. These are transmitted when the 1099-R information is transmitted to the IRS. As Bees notes, these are not part of the 1040 record (which would begin on page 19 of Publication1346, Part 2). However, they are part of the 1099-R record and are transmitted with the tax return.

[dtlee]

Drake also puts a signature line on the 8867. Was that to correct an error?

I do not think you can assume that everything that any company or person does is always done for the same reason or for only one reason.

Drake does some things because their federal programmer likes it that way. Drake does some things because their customers have demanded it (right or wrong). Drake does some things because their accounting arm would like the feature. Drake does some things to comply with their understanding of the code and regulations. Drake does some things to correct an error.

I have never said in any message on any forum anywhere that Drake only makes changes to correct an error. I have said on many forums many places that Drake has made changes to create an error. Just because I said they corrected this does not mean I believe (as many of their customers do) that everything that Drake does is correct.

When Barbara Goines from the IRS first taught us about e-filing (and she is now since retired) she told us that the monetary fields on the 1099-R, W-2, W-2P, and W-2G would be transmitted with the return and needed to be entered exactly as shown. There are fields that she taught us were not mandatory (like the Account number fields on the 1099-R and the second line address fields on the W2 and 1099-R), but certain amount fields (like wages and winnings and taxable pensions distributions) must be entered accurately.

I am sure that there have been changes since those days (like the elimination of the W-2P) and there is little documentation of what the IRS does and does not consider critical on these records. For example, the Account Number field is transmitted but there is nothing I have seen anywhere (except from that early training) which indicates whether or not this is of any value to anyone if entered or not entered. Plus, many software packages require us to enter certain fields in a codified way to allow the package to carry the amounts to other forms even though the values are not used by the IRS.

That is why I contacted the IRS directly to determine if they no longer use this field for matching purposes or require it to ever be entered. They do. They want it. They want it entered as it is on the source document.

Drake does not do everything correctly and does not make every change to correct an error nor does any other software company.

[Bees Knees]

Box 2a is transmitted in the e-file record to the IRS. That has been true since the first returns were e-filed and is still true today.

Having a coded line for it does not mean IRS matches it with anything. I use to think the name and address of the recipient of a W-2 and 1099-R needed to be entered exactly as it appears on the W-2 and 1099-R. Those are coded lines as well, but do not have to be entered exactly as they appear on the form. I have been ignoring those for years now and never had an e-file return rejected for it.

[dtlee]

Having a coded line for it does not mean IRS matches it with anything. I use to think the name and address of the recipient of a W-2 and 1099-R needed to be entered exactly as it appears on the W-2 and 1099-R. Those are coded lines as well, but do not have to be entered exactly as they appear on the form. I have been ignoring those for years now and never had an e-file return rejected for it.

Hence the reason why I contacted the IRS for clarification as noted in my other messages.

[David1980]

I think as long as you follow the guidelines set forth in IRS publication 1345 you're fine. That if they really cared they'd specifically state such. While what you've said is true that the 1099-R gets transmitted and whatever you keyed in box 2a will be transmitted I'm unconvinced it needs to match anything.

So, I agree to disagree. Let's move on.

[spanel]

We are way off topic!!

Please start a new thread... otherwise..

More Opinions about the Tread topic please.


Chris

[oceanlovin'ea]

That is just what I was going to say....we have gotten off the original question. I have used TaxslayerPro since I started my own business. I was not sure what to use and when to the IRS Forum. Taxslayer had a booth there. I went to a presentation and thought it looked easy to use and reasonably priced so I bought it. I have never been sorry.

I know the point of being easy to use is from a person's point of view. I find it easy to follow through on a return as things kind of go in order as on the tax return. I don't find myself in a spot that I say "where do I go next?"

Tech support has always been super. Answer phones quickly. Help you through something. I haven't gone to their seminars for the past few years but I am sure that some of my questions would be answered if I went and saw the changes in person. They do have a manual in the program if you run into a problem.

I was going to change to Drake a couple of years ago because they offered a client writeup with their program. But I didn't like the look of the reports....looked like an old-fashioned typewritten report. So I didn't change. I am going to try Taxslayer Books this year. (Trying to get away from QB)

I do about 175 returns a year, including some 1120-S returns. Haven't had any problems. Give them a try. Think you will be satisfied.

Linda, EA