Quick Alert Irs AMT

[Redneck]

ATTN: Software Developers, Return Transmitters and Authorized IRS e-file
Providers/EROs

EROs can submit most returns when the e-file system opens on January 11 but
there are a few forms the IRS will be unable to process due to processing
changes required by the "AMT patch." As a result, the following forms should
not be transmitted for PATS testing and cannot be e-filed until further
notice.

*Form 5695, Residential Energy Credits
*Form 8396, Mortgage Interest Credit
*Form 8859, District of Columbia First-Time
Homebuyer Credit
*Form 8863, Education Credits
*Schedule 2 (Form 1040A), Child and Dependent
Care Expenses

However, you may continue to test your software without these forms and pass
PATS testing. You may test the above forms at a later date when the changes
to these forms have been implemented.

EROs may prepare and hold tax returns containing one or more of these forms
until the IRS can accept them. EROs must advise taxpayers that the returns
will not be e-filed until the IRS can accept the five forms mentioned above.
The stockpiling rule does not apply in this situation.

The IRS e-file specifications reflecting the legislative changes are
available to software developers and transmitters for download on IRS.gov
and the Electronic Filing Bulletin Board System.

In addition, Form 8886, Reportable Transaction Disclosure Statement, will be
unavailable for PATS testing and for submitting through live e-file
production until further notice.

More details will be shared as they become available regarding the date IRS
will accept returns containing one or more of the forms described above.

The IRS issued news release IR-2007-209 announcing guidance to help tax
filers in 2008 affected by late enactment of the AMT patch. The news release
is available on IRS.gov.

[erchess]

Am I right in understanding

that a 1040A with the child care credit must be held up but that a 1040 with the child care credit can fly? That doesn't make sense to me but then since taxes are involved perhaps it isn't supposed to make sense.

[joanmcq]

Heck, I never file 1040As. except for the occasional EZ, everyone gets a 1040.

[RLymanC]

Form 1040

I received a call years ago because I was e-filing all form 1040 returns when 1040A and 1040EZ could have been used...ever since I have been e-filing the correct form.

This list of form delays ( 8863/1040A Schedule 2) may cause a few 1040X's, not many I hope.

In this case I may use from 2441...:>)

[erchess]

Ryman

What penalties did the IRS threaten you with if you had continued to file all 1040s?

[ChEAr$]

The comment above

by RLyman is very interesting. Never heard of anything like that before.

I've been using 1040 forms exclusively since 1975. In today's efiling environment
it doesn't matter atall, since economy of space is not an issue.

[ecb34691]

Have never had a problem in 12 years. We only e-file as 1040's, no A's or EZ's. We price as if it was an EZ or A.

[newbie]

I received a call years ago because I was e-filing all form 1040 returns when 1040A and 1040EZ could have been used...ever since I have been e-filing the correct form.

This list of form delays ( 8863/1040A Schedule 2) may cause a few 1040X's, not many I hope.

In this case I may use from 2441...:>)

Who actually called and what did they say? I have always checked the box in my software to file 1040 even if eligible for 1040A or EZ and didn't think it was a problem.

[RLymanC]

e-file 1040

Sorry I can't answer your questions, as it happened years ago.

All I can tell you is I received a call from an IRS agent wondering why all my e-files were form 1040 forms (had my software defaulted to 1040). I told him that I didn't know that it made any differance when e-filed. His response was, you should really e-file the proper from, so say's me...OK we can do that, thanks for the call.

There was really no problem with the agent, it seemed like he was just curious as to why I was filing 100% Form 1040's, and asked that I file the proper form in the future..

[WhiteOleander]

I thought the rule was that the "full" 1040 was the default form. But, if the taxpayer qualified to use the 1040A or 1040EZ, they could.

[Bees Knees]

There was really no problem with the agent, it seemed like he was just curious as to why I was filing 100% Form 1040's, and asked that I file the proper form in the future..

I would have informed the agent that the 1040 is the proper form and that Forms 1040A and 1040EZ are optional, per IRS instructions to those forms.

[joanmcq]

I'll do the EZ if its one W-2 or something, but I never do the 1040A. I'm too used to looking at the 1040, the A just confuses me. Also in my software (ATX) I have to pick the form to use, and its a pain if I'm rolling over a client and they've just sold stock or something so now they need a 1040 instead of an A. Too much of a pain.

The people that will really be screwed up are the TurboTax filers, since TT defaults to the least for requrired for the info entered. So people that qualify for the 1040A will be held up because the Schedule 2 isn't available, whereas if they came to us, we could have them filed a month earlier.