Latest Updates for VITA (Hold Ctrl and press F to get a search box)
2024-04-28 Extensions (link)– Info is given in the linked document for filing federal extensions and NC extensions.
NC extensions are automatic if the federal extension is accepted. If there is no accepted federal extension, the NC extension must be mailed.
When a NC return is finally submitted after an accepted federal extension, there’s a box to check in the state Basic Info to indicate that there was a federal extension.
2024-04-06 QuickGuide for TaxSlayer NC VITA– The end-of-season QuickGuide has been posted with some new/corrected information and links.
It also has a preview of a new feature for those who simply want to know where/how to enter things into TaxSlayer, HOW TO ENTER into TaxSlayer tips are now green and underlined.
Those who use a downloaded copy may want to download the new edition.
2024-03-24 Before Starting a Tax Return – And After – This time of year we may tend to operate on auto pilot and rush through returns. It might be good to review a few of the basics.
2024-03-17 Health Section Question on 100% of the Federal Poverty Line (FPL)– Are we remembering to check YES for this question when appropriate?
Taxpayers with household MAGI below 100% of the Federal Poverty Line are not supposed to have to repay any of the Advanced Premium Tax Credit. MAGI for this includes AGI, Tax-exempt interest, and Social Security income not included in AGI, and Foreign earned income.
Unfortunately, this requires a manual entry by the preparer (checking YES to the FPL question).
Since the question is irrelevant and ignored by TSO if the income is at least 100% of the FPL, the safest approach is to ALWAYS check YES.
2024-03-03 Printing Direct DEBIT and Deposit Information– Direct DEBIT and Direct Deposit information for federal and STATE returns are now printed at the end of the “Client Listing Form Summary” (which is the first form in the Quality Review print set). For Direct Debit, it includes the routing #, account #, amount, and date of Direct Debit.
Some sites may want to print this for taxpayers to review.
2024-03-02 Schedule C – Common Errors (link)– 1. One common error is starting the Schedule C without checking SCOPE ISSUES – such as …
• Marketplace Insurance (1095-A) if (1)eligible for Premium Tax Credit AND (2)other health insurance premiums are ≤ net profit. Ignoring/omitting the SEHI in these cases is not an option to get around being out of scope.
• Business use of home
• net loss
2. Forgetting that all self-employed individuals are required by IRS to report ALL income and ALL allowable expenses.
3. Forgetting that mileage to/from a contract site is NOT an acceptable expense, unless it is to a temporary work location outside your metropolitan area.
4. Omitting Self Employed Health Insurance (SEHI) as an adjustment to income, entered in TaxSlayer on the Sch C entry page on the General Expenses page under Health Insurance and/or LTC premiums. • For the SEHI adjustment, the sole proprietor (person with the Sch C) is eligible to include health insurance premiums paid during any month he/she was not ELIGIBLE to participate (even if the sole proprietor did not actually participate) in any type of health insurance plan subsidized by any current employer (their own, their spouse’s, or that of a dependent or under 27 child).
• Insurance from a former employer does not disqualify the individual for SEHI.
• SEHI includes premiums for health and long-term care (LTC) insurance coverage for the self-employed individual (taxpayer or spouse) and for the other spouse, dependents, and non-dependent children under age 27 at the end of the tax year. It includes all parts of Medicare (and when Medicare premiums are used for SEHI, they must be removed from the Social Security entry page).
2024-03-02 Schedule A – Common Error (link)– One common error in NC for the few itemizers we have is neglecting to enter the information needed for the STATE SALES TAX DEDUCTION. See the red link to find the convoluted way to get to the sales tax worksheet.
2024-03-02 Surprise IRS Inspections– One thing the IRS is looking at is whether the Intake/Interview & Quality Review form is completed completely and correctly. ALL Yes/No questions on the first 2 pages MUST be answered Yes or No. Any UNSURE answers must be resolved Yes or No. The preparer should initial any changes.
• The preparer is responsible for completing the GRAY SECTION at the bottom of page 1 for DEPENDENTS.
• Use the additional comments space to document decisions, bank info, etc.
2024-03-02 Filing Status Errors (link)– A key point in NC is that a legal separation must be “sanctioned by a court in the form of a decree or judgment”. This is rare in NC. A legal separation agreement between two spouses that is “filed” with the clerk of court is not a legal separation FOR TAXES UNLESS it is also SIGNED BY A JUDGE. • Just because the spouse left home many years ago and has disappeared doesn’t mean the taxpayer can file SINGLE. • Since it’s rare in NC for a legal separation to be signed by a judge, it’s a good practice to ask to see a copy of the separation agreement with the judge’s signature.
• Without a legal separation signed by a judge, the only way for a married taxpayer to qualify for HOH is to live apart from the spouse the last 6 months of the year and support in your home a DEPENDENT CHILD who is your own child, stepchild, or foster child. A grandchild does not meet the test.
2024-02-25 Medicaid Waiver Payment (link)– In the link, TaxSlayer gives the WORKAROUND for entering Medicaid Waiver Payments on a W-2. While the IRS tells payers NOT to include Medicaid Waiver Payments (MWP) in box 1 on a W-2, TAXSLAYER REQUIRES US TO ENTER ALL W-2 MEDICAID WAIVER PAYMENTS IN BOX 1 – even if the paper W-2 does not have it in box 1. • Then we can remove all of the Medicaid Waiver Payments from taxable income by entering the TOTAL amount of W-2 MWP in the MWP box below box 14, (We can enter ALL or NONE in the box. Entering a portion of the Medicaid Waiver Payments is not an option.)
• And we can check the box “Select if you want to include Medicaid Waiver payments in the calculation of earned income.” to count for EIC.
• Usually it is best for the taxpayer to make the MWP not taxable AND count toward EIC. But we need to try all options to see which option is best for the taxpayer (considering the SUM of the refund/amount owed for BOTH federal and state returns).
• See D-12 in the 4012 Resource Guide
2024-02-04 QuickGuide for TaxSlayer NC (download link)– The QuickGuide has been tweaked with some new/corrected information and links. Those who use a downloaded copy may want to download the new edition.
2024-02-04 Head of Household Cheat Sheet– This cheat sheet has been updated to help clarify the 5 ways to qualify as Head of Household.
2024-02-03 Energy Credits Require Preparers to Enter the Address for the Energy Credit– The tax credit for Residential Energy Property Expenditures, Form 5695 has a button to Add Address. Preparers MUST add the address to avoid a REJECT – even though the address page is MISLABELED as “Qualified Fuel Cell Property Entry”.
2024-02-02 “Potential” Change in Child Tax Credit to increase REFUNDABLE child tax credits to $1800/child for TY2023– The key points now are:
(1)If there is a dependent child under age 17 on a tax return, TaxSlayer will automatically calculate the child tax credit (based on current law).
(2)If there is a retroactive change in the law, the IRS is confident they can/will make any adjustments automatically – without any amendments or further action by preparers or taxpayers.
(3)As a precaution, PREPARERS are asked to check a RETURN TAG for “Child Tax Credit” on any return with a child tax credit (so the returns can be quickly located in the future).
2024-02-02 Hold Prior Year 2021 and 2022 Returns IF There Is Any Federal Withholding – Currently the IRS is rejecting these returns. TaxSlayer recommends holding these returns until the IRS fixes the problem. They also recommend a RETURN TAG be created and used for these returns, so the returns can be filed after the IRS implements a fix. Watch the TaxSlayer Blog for an announcement of the fix.
2024-01-14 Problems with Taxvolunteers Links = TEMPORARY FIX– An effort has been made to apply a temporary fix for Taxvolunteers links so they will open in the browser instead of downloading. REFRESH the web page screen before trying the links.
If you find any links not working (or downloading instead of opening in the browser), please email details to info@taxvolunteers.com.
2024-01-13 Problems with Taxvolunteers Links– Taxvolunteers has been using links which open PDFs in the Chrome browser’s built-in viewer. This week, Google changed these links to download the file instead, regardless of Chrome settings. A high priority ticket has been opened with Google to address the issue.
In the meantime, a few Taxvolunteers links have been changed to open the PDFs in Google Drive preview mode. Many volunteers will not notice the difference, but this mode has less functionality. For example, fill-in forms such as the intake booklet and worksheets cannot be filled in, and in some cases, internal links may not work.
For now, if the additional functionality is needed (like filling in a form), volunteers can open the link (opening it in preview mode) — and then click on the printer icon to re-open the PDF in the browser.
A solution is being sought for taxvolunteers links that download — other than opening the downloaded documents (and later deleting all the unneeded downloads). We hope Google will issue a fix — sooner rather than later.
2023-12-29 QuickGuide for TaxSlayer NC– The new QuickGuide now has 1900+ links to help us navigate quickly within the QuickGuide and to resources from the IRS, Colorado Resource Toolbox, and volunteers in NC.
• The QuickGuide is set up to be an ALPHABETICAL ONLINE DICTIONARY of tax forms and tax topics for Tax-Aide & TaxSlayer.
• The “Find” column tells us what to type in the TaxSlayer “Form Finder” search box to find the form/topic’s TaxSlayer’s entry page.
• The “Where to Enter” column tells us the path to navigate the TaxSlayer left column to find the form/topic’s TSO entry page.
• The “4012” column tells us where to find more info in the 4012 Resource Guide – and has a link to that page in the 4012.
• The “1040” column tells us where an entry into TaxSlayer flows to form 1040 and the 1040 Schedules.
• There are 750+ entries in the QuickGuide. There are links on the first page to help us navigate directly to 50+ entries in the QuickGuide.
If you do not see the form/topic you’re looking for, click thelink closest (alphabetically) to the one you’re looking for.
For example, if looking for “Child Tax Credit”, click the link for “Child Care”. Then SCROLL to “Child Tax Credit”.
2023-11-17 Link and Learn– The Link and Learn rollout is delayed. The certification and test portions of the site should be available in one week. Link and Learn Lessons, and other portions of the site, are expected to be available around December 1.
2023-11-17TaxSlayer Blog “What We Know” (link) – To find a list ofSOME of the issues (errors) in Practice Lab and TaxSlayer, check the blog. For example, the LTC on Sch A and form 8863 for education credits are currently not working correctly. If you find an error not on the list, please contact TaxSlayer support at support@vita.taxslayerpro.com. They may add an issue to the list to be fixed – or they may tell you it’s a “known issue” not on the list.
2023-11-07 Practice Lab 2023– Practice Lab 2023 is now available for instructors and others who want to start on the tests or practice returns. Expect errors. As the IRS releases final instructions and forms, TaxSlayer will be updating Practice Lab. Patience. There’s no ETA for adding state returns to Practice Lab.
2023-11-07 TaxSlayer Blog– The best way to keep up with Practice Lab and TaxSlayer issues and changes is to check the TaxSlayer blog. If you want email alerts about new posts, click on any individual post and scroll to the bottom. Here you will find an opportunity to “Subscribe to the VITA/TCE Feed”.
2023-11-03 QuickGuide for TaxSlayer NC VITA– A new DRAFT of the QuickGuide has been posted. It is always a work in progress (with human errors). PLEASE take time to send needed corrections to suggestions@taxvolunteers.com. Help find the errors before January.
• While the QuickGuide includes info to help NC preparers, most of the entries are related to the federal tax return. Volunteers in other states can ignore the NC references.
• The QuickGuide is not a resource to be studied. It is more like an alphabetical dictionary where we look up a form or a topic when we have a question while preparing a tax return.
• The QuickGuide is designed to be an electronic resource, used on the computer – with links to navigate quickly.
2023-10-06 IRS Test Book Form 6744 Available – Volunteers preparing for the coming tax season might want to know that the IRS test book has been posted.
In recent years TaxSlayer Practice Lab has been available the second week in November, and the IRS Link & Learn test site was made available about 10 days later.
2022-10-06 IRS Pub 4012 – The IRS Pub 4012 Volunteer Resource Guide for VITA volunteers was posted.
2023-07-26 STATE AMENDED Returns Must Be PAPER Returns in TaxSlayer– TaxSlayer confirmed again this week that STATE AMENDED returns cannot be e-filed in TaxSlayer (even in states that accept e-filed amended returns). Of course, this could change in the future. • Although TaxSlayer may show state return info on the E-file Submission Page, amended state returns will NOT be transmitted electronically and original (unamended) state returns will NOT be retransmitted. • All state amended returns must be sent in as PAPER returns. • Neither direct deposit nor direct debit are available for NC paper returns (original or amended).
2023-03-31 Lump Sum Social Security – After completing the lump sum Social Security worksheets in TSO, the software will calculate which is better for the taxpayer. When it is more beneficial to use the Lump Sum Election method, it will be marked on the 1040 line 6c – and the worksheet will generate. When it is not more beneficial, the worksheet is not used – and the box on 1040 line 6c is not checked.
2023-03-29 Federal Direct Deposit and Debit with AMENDED Tax Returns – TSO has implemented Direct DEPOSIT in AMENDED returns for TY2022. Direct DEBIT is available for amended returns in TSO for TY2021 and 2022. (Info in the 4012 Resource Guide is out of date.)
2023-03-29 Cautions with Direct DEBIT – • Payment date can be set up for the due date of the return or earlier. If filing the return after the due date, the direct debit date must be the same date as the date the return is being transmitted (or be within the previous five days of that date). • Click the “Populate amount owed” for Direct Debit in the E-file/Bank Account section. If a change is made in the return that changes the amount owed, “Populate amount owed” should be clicked again. • If a taxpayer has DIRECT DEBIT, it is suggested that QR print the first page of the QR print set for the taxpayer – and triple check the debit date, amount, and bank account numbers with the taxpayer.
2023-03-29 Tracking Federal Direct DEBIT– To inquire about or cancel your payment, call the IRS e-file Payment Services 24/7 at 888-353-4537 – but please wait 7 to 10 days after your return was accepted before calling.
Cancellation requests must be received no later than 11:59 p.m. ET two business days prior to the scheduled payment date.
2023-03-26 TSO Printing Problems with NC Estimated Vouchers– It appears that TaxSlayer has fixed the NC estimated payment vouchers problem! If your site should have a problem, please contact TaxSlayer ASAP – 800-421-6346 (need EFIN or SIDN and last 4 of taxpayer SSN) or support@vita.taxslayerpro.com
(If you email TaxSlayer Support, you might cc info@taxvolunteers.com)
2023-03-02 TSO Printing Problems for NC– Sites have reported a number of cases of not being able to create a PDF of the return to print for taxpayers. Many of these have a common factor – VOUCHERS FOR STATE ESTIMATED PAYMENTS. If the vouchers are removed, the returns can be printed. TaxSlayer is aware of the problem.
NC estimated vouchers can be produced at the following site: https://eservices.dor.nc.gov/vouchers/nc40.jsp
Unfortunately, there are some other NC returns without state estimated vouchers that also cannot be printed. If your site runs into this, please contact TaxSlayer ASAP to help them diagnose the issue causing the problem – 800-421-6346 (need EFIN or SIDN and last 4 of taxoater SSN) or support@vita.taxslayerpro.com
2023-02-26 Energy Credits Change for TY 2023-2032 (link)– Energy Credits are and will continue to be NONREFUNDABLE. When there is no calculated tax on form 1040 line 16, there is no energy credit. Disappointing to taxpayers who were told they would get a credit for their investment in insulation, windows, and SUPER energy efficient furnaces, water heaters, heat pumps, etc.
• ForTY2005-2022, there was a TOTAL combined credit limit of $500, with limits on individual items. Once the $500 limit was reached over these years, no more credit. Details on the credits and entry into TSO can be found in the QuickGuide under 5695 (the form number for the credits).
• ForTY2023-2032, the credits are 30% of each project, with limits. The overall total ANNUAL limit for an efficiency tax credit is $3,200.
This breaks down to a total limit of $1,200 for any combination of home envelope improvements (windows, doors, skylights, insulation, electrical) plus furnaces, boilers and central air conditioners.
Any combination of heat pumps, heat pump water heaters and biomass stoves/boilers are subject to an annual total limit of $2,000.
For more details, see https://www.irs.gov/pub/taxpros/fs-2022-40.pdf.
2023-02-19 QuickGuide for TaxSlayer NC VITA– A new DRAFT of the QuickGuide has been posted. It is always a work in progress (with human errors). PLEASE take time to send needed corrections to suggestions@taxvolunteers.com. • The QuickGuide works best as a downloaded copy opened in Acrobat Reader with links going to the exact row you need. However, you could miss updates and corrections that may come later.
2023-02-04 NC Part-Year Resident Tax Returns in a Nutshell– A new 1-page cheat sheet hasbeen created to help us deal with part-year resident returns. Key points are … (1)Use a pencil to manually complete both columns and all three sections of the Part-Year/Nonresident Worksheet. (2)All TSO entries for Income, Additions to Income, and Subtractions to Income for the time the taxpayer lived in NC (in Col B of the worksheet) are entered in the section ofTSO mislabeled as “Income Subject to Tax“.
(3)Do not manually enter taxable Social Security anywhere. TSO will handle it automatically.
2023-02-04 Simplified Method & Calculator Instructions– TaxSlayer clarified yesterday that they don’t really carryforward the Simplified Method Worksheet. The recommendation in the linked cheat sheet now is to bypass the TSO Simplified Method Worksheet (as many have already been doing).
There is also a strong suggestion to add a TSO “NOTE” for “Simplified Method”.
In the description, type in
(1)Annual exclusion = $_______,
(2)Exclusion final year= TY_____.
(3)Exclusion for final year = $_______.
Also write the same info on the big tax envelope to help next year’s preparer.
2023-01-29 QuickGuide for TaxSlayer NC VITA– A new DRAFT of the QuickGuide has been posted. It is always a work in progress (with human errors). PLEASE take time to send needed corrections to suggestions@taxvolunteers.com.
• While the QuickGuide has needed instructions for NC preparers regarding NC specific issues, the vast majority of the QuickGuide is focused on the federal return . Those in other states can ignore the NC references. • The QuickGuide works best as a downloaded copy opened in Acrobat Reader with links going to the exact row you need. However, you could miss updates and corrections that may come later.
2023-01-29 Education Benefits in a Nutshell– A new 1-page cheat sheet has been created to help us deal with education credits and scholarships.
2023-01-29 Preparer Name, Phone #, and Email in E-File Section of TSO– If you have taxpayers watching you enter info into TSO, the e-file section currently displays the preparer’s name, phone, and email.
• In preparer setup, the ERO can change the last name of all preparers to just the first initial of the last name so that only preparer initials show (with the phone and email).
• Preparers can hide the preparer info by clicking the icon with 3 lines above the Taxpayer Name. This may need to be done twice while in the e-file section.
2023-01-21 Tax Filing Season Dates –The Internal Revenue Service recently announced that it will begin accepting individual income tax returns on Monday, January 23.
NC DOR anticipates that they will begin accepting returns by February 3. It will be early March before they can begin processing and validating return information and issuing refunds.
The filing deadline for the IRS and for NC is April 18, 2023.
2022-12-24 The IRS Delays 1099-K Changes Until TY2023 – The IRS announced a delay in reporting thresholds for third-party settlement organizations set to take effect for the upcoming tax filing season. HAPPY HOLIDAYS!
2022-12-20 NC TY2022 Tax Law Changes – The NC Department of Revenue has released the 2022 Tax Law Changes publication.
2022-12-16 Practice Lab Issues – Posted and Not Posted– TaxSlayer normally posts in their Blog issues that affect a wide number of sites. When you find something not working in Practice Lab, PLEASE report it to Support@VITA.TaxSlayerPro.com.
Following are some current Practice Lab issues that have not yet been posted in the Blog:
Issue 7483 Sales tax deduction incorrect for Queens borough (New York City)
Issue 7487 Two places to enter income for an incarcerated taxpayer
Issue 7488 982 Reduction of Tax Attributes form not populating Part 1 – Line 2
Issue 7490 2021 VITA/Pro – LTC premium not calculating correctly for adult dependent
Issue 7493 2022 Practice Lab – 1099-Misc incorrectly displays Nonemployee Compensation at the top
Issue 7496 VITA – Print set default not showing on client list print options
Issue 7499 VITA – PL 2022-1099-Div Menu referencing wrong boxes on the 1099-div form
Issue 7501 Leaving box unchecked for 8332 will still generate full child tax credit.
2022-12-16 Pub 17 – The IRS has posted pub 17 for TY2022.
2022-12-15Practice Lab Issues (link) – Practice Lab appears now to provide correct answers for the Advanced Test.
Three “known issues” not currently listed in the blog may affect practice returns that have (1)Form 982 for Cancellation of Debt on a principal residence or (2)a 1099-MISC for Medicaid Waiver Payments or (3)medical miles that can’t be split for Jan-June and July-Dec.
2022-12-11 Latest VITA Updates Notification – If you would like to be notified when something is added to this Latest VITA Updates page, send an email to vita@taxvolunteers.com and say “Notify me.” Please indicate if you want updates related to NC.
2022-11-30 TaxSlayer BLOG POST EMAIL NOTIFICATIONS for New Blog Posts– TaxSlayer has implemented a new system for sending out VITA/TCE email notifications for new TaxSlayer Blog posts. The TaxSlayer Blog includes Release Notes, Breaking News and a lot of informative information to help us navigate TaxSlayer and tax season. Effective 11/29/2022 at 1:00 PM EST. Anyone that subscribed to our blog post prior to this date and time will need to complete the subscription process. To sign up for email notifications, there is a place to enter your email and click “Sign Me Up” if you scroll down toward the bottom of any blog post and look on the right side of the screen.
2022-11-19 IRS Link & Learn Test Site Temporarily Closed– Link & Learn support says …
We have temporarily disabled the testing system to resolve issues that have been identified. We will relaunch the system as soon as possible.
2022-11-16 IRS Link & Learn Test Site Open – Tests can now be taken at Link & Learn. BEWAREUSING PRACTICE LAB FORTESTS. Do not rely on Practice Lab to provide the correct answers for the tests. The IRS has not published a number of needed forms, so TaxSlayer can’t add them to Practice Lab. Using information in the QuickGuide and the 4012 Resource Guide (modified by the NTTC) is recommended for instructors and others taking the Advanced Test early. The TaxSlayer blog lists SOME of the things not ready for 2022. Go to the blog and search for FUTURE UPDATES and for WHAT WE KNOW.
2022-11-13 QuickGuide for TaxSlayer NC– A new feature has been added to the QuickGuide. The 4012 column now has links directly to specific pages in the 4012 Resource Guide.
• For example, the 4012 column in the QuickGuide tells us that more information on “$0 AGI return” can be found on page A_4 in the 4012. Now those using Chrome or Adobe Reader should be able to click the A_4 and go directly to page A_4 in the 4012.
• Using Chrome, the 4012 may open in the same tab (where you can click BACK to the QuickGuide) or in a new tab – depending on the Chrome settings on your computer.
• If destination links stop at the Cover page, then check your browser extensions. The Adobe Acrobat extension is known to stop the links to destinations. Disabling or removing the Adobe extension may solve the problem.
2022-11-08 Practice Lab TY2022– TY2022 is available in Practice Lab for those eager to start – and those who want to help find the early release bugs.
TaxSlayer says “Please note that certain calculations could change as the IRS continues to finalize instructions for tax year 2022.”
2022-11-01QuickGuide for TaxSlayer NC for VITA– A DRAFT of the unofficial QuickGuide for TaxSlayer has been posted for TY2022. “Eagle Eyes” are needed to find needed corrections. PLEASE send corrections to suggestions@taxvolunteers.com. (If it’s a tax law correction, please cite the specific reference supporting the correction.) • The QuickGuide is not a resource to be studied. It is more like an alphabetical dictionary where we look up a form or a topic when we have a question while preparing a tax return. • The QuickGuide is designed to be an electronic resource, used on the computer – with links to navigate quickly. QUICKGUIDE LINKS • Links on the first page to speed up navigation. • Links on each page for “Back to Top” to get back to the first page
• Links within the QuickGuide to related topics within the QuickGuide
• Links to cheat sheets, guides, and other state and national resources
• If there’s any problem with all links, try a different zoom. Usually Window Width works. QUICKGUIDE COLUMNS • The ”Find” column tells us what to enter in TaxSlayer’s “Enter the Form Number” search box. Both form numbers and keywords work. Often this is the quickest way to get to a TaxSlayer entry page. • The “Where to Find” column tells the TaxSlayer route to get to the TaxSlayer entry page. • The “4012” column tells which pages in the 4012 Resource Guide have more information on the topic. • The “Highlights & Notes” column has answers to common questions on tax law and entry into TaxSlayer.
Volunteers in other states can ignore the NC references – or request an Excel version that can be tailored to another state.
2022-10-29 Pub 4012 Resouce Guide – The 4012 Resource Guide was posted earlier this month.
2022-10-01 IRS Test Book Form 6744 Available – Eager beavers might want to know that the IRS test book has been posted.
The IRS version of the 4012 Resource Guide is expected to be posted soon.
Last year TaxSlayer Practice Lab was available the second week in November, and the IRS Link & Learn test site was available November 19th.
2022-05-13 Latest VITA Updates Notification – If you would like to be notified when something is added to this Latest VITA Updates page, send an email to vita@taxvolunteers.com and say “Notify me.” Please indicate if you want updates related to NC.
2022-05-05 Amended Return – Getting an Original Return Printout – If the return was e-filed at your site, a copy of the original federal and state return is available through the Office Client List page. Go to client list>client tools>Client Status. Go to the upper left corner and select View Old Layout (under Enter Return). Then click on the printer icon beside the transmission line for the original return.
2022-05-05 Export Chrome Bookmarks for Backup – It’s a good idea to periodically export your Chrome bookmarks on your home computer to a folder where you can find them (as a backup) – in case your bookmarks ever disappear. It’s possible for Chrome bookmarks to disappear after a Windows update.
It might be a good idea to periodically export Contacts, too.
2022-04-14 NC FAQ on Filing an Extension for NC – A taxpayer who receives an automatic extension to file a federal individual income tax return will be granted an automatic state extension to file the N.C. individual income tax return, Form D-400.
If a federal extension has not been accepted, then the NC D-410 extension application can be completed in TaxSlayer. As of 4-14-2022, Taxslayer does not support e-filing the NC extension at this time, so it will have to be paper filed.
2022-04-10 New for TY2021: Possible EIC for MFS – According to footnote 4 on page I-2 in the 4012 Resource Guide, “Taxpayers can claim EIC who are married, not filing a joint return, had a qualifying child living with them for more than 1/2 the year and either lived apart from their spouse for the last 6 months of the year or are legally separated according to state law under legal separation agreement or a decree of separate maintenance and didn’t live in the same household as the spouse at the end of the year.”
Unfortunately, this is not handled automatically in TaxSlayer for taxpayers considered married who do not qualify for HOH. Preparers must check the box in Basic Info that says “Filing Married Filing Separate and meets the requirements to claim the EIC”.
2022-04-09 Fix for Chromebook Scrollbars That Are Too Thin or Disappear – Scrollbars on Chromebooks are sometimes difficult or impossible to find (particularly for pdf printouts opened in Chrome). The fix is to copy chrome://flags/#overlay-scrollbars and paste it into the Chrome Browser address bar and press Enter. When there, change “Overlay Scrollbars” from Default to Disabled. A restart of Chrome will be needed for the change to take effect.
If you should ever want to go back to the way it was, repeat the process — but choose Default.
2022-04-02 1099-G Box 5 – TSO form 1099-G is missing box 5 for RTAA (Reemployment Trade Adjustment Assistance) Payments. Enter box 5 income under Income>Less Common Income > Other Income Not Reported Elsewhere >Other Income. Describe as “1099-G Box 5 Income”.
Enter any State Withholding under Payments and Estimates>Other State Withholding.
2022-04-02 1099-G Box 6 – TSO form 1099-G box 6 for Taxable grants does not carry to form 1040. Complete the 1099-G to match the hard copy. Then enter the box 6 income under Income>Less Common Income > Other Income Not Reported Elsewhere > Other Income. Describe as “1099-G Box 6 Income”.
Withholding entered on the 1099-G does carry where it should.
2022-03-21 Latest VITA Updates Notification – If you would like to be notified when something is added to this Latest Updates page, send an email to vita@taxvolunteers.com and say “Notify me.” Please indicate if you want updates related to NC.
2022-03-20 Broker Statements (video link) – Two main points about broker statements: First, we can use subtotals from a single broker statement to save a lot of time – using the adjustment code M.
Do not try to combine subtotals from multiple broker statements.
(2)Information needed for state returns is often found buried in the back of the broker statement:
(a)whether the Federal Tax-exempt interest or dividends are taxable by the state
(b)whether any Interest from Federal Obligations (which are not taxable to the state) is included in 1099-DIV Box 1 dividends on a broker statement.
(c)the amount of foreign income when foreign tax was paid (needed for NC foreign tax credit)
2022-03-18 Paper Returns: New Info and Reminders (link) – (1)A North Carolina state paper return no longer needs to include a copy of the federal return – IF the federal tax return reflects a North Carolina address.
(2)When printing the return, use the “Paper File Copy” print set (instead of the NC print set).
(3)Staple to the front bottom left of your federal return all W-2s and any 1099 or W-2G that has withholding.
(4)Staple to the front bottom left of your NC return only forms that have withholding (W-2s, 1099s, and W-2Gs) – AND any 1099-R that would qualify for the Bailey or Military exclusion.
2022-02-19 TaxSlayer Blog “What We Know” (link) – TaxSlayer posts in their Blog a “What We Know” list of “active” issues where the programmers have fully vetted the issues and are working on the programming side to resolve. In addition, TaxSlayer also has an internal list of “Known Issues” that have been reported and tickets created, but the issues have not gone through a vetting process. Unfortunately, when we run into a TaxSlayer error not included in What We Know, we have to call or email Support to find out if it is already a known issue.
2022-02-16 TaxSlayer NOTES – A Great Tool – The TaxSlayer “Notes” tool is a great tool to add important reminders for following tax years. Some important reminders might include:
• Eligible for the Military or Bailey exclusion on the NC tax return – or not eligible (noting the year the taxpayer started work for the state or federal government for the Bailey exclusion)
• Simplified Method or Dependency Qualification or other Bogart calculator printout included in the tax envelope.
• Identity Theft PIN – Reminder to ask for the new PIN sent in January each year
• QCD – Taxpayer makes contributions via QCDs
• Capital Loss Carryover
• Vouchers printed for estimated payments
• Taxpayer usually itemizes deductions
• Return rejected – IF something needs to be done to avoid the same issue next year (such as when EIC or CTC was rejected in a previous year and Form 8862 required)
• Marketplace Insurance, Education Credit, or anything next year’s preparer might miss
2022-02-10 NC Periodic Error in E-file Printset – After clicking “Print” in the e-file section of a return and choosing the “NCTA one copy”, we need to check the pdf. If the first page that opens has the taxpayer’s name and address (instead of the usual 8879), close the pdf and try printing the NCTA copy again.
2022-02-06 Google Voice – AARP posted new/updated documents to help with Google Voice. The Google Voice FAQ document says that caller ID should show “Tax Aide” (after Feb 16?) – and that these Google Voice accounts will be purged after tax season.
2022-02-06 CDC Coronavirus Self-Checker – A link to the self-checker is included on each Chromebook under the Tax-Aide links. When checking off symptoms listed in the checker, AARP volunteers are instructed to answer relative to their personal baseline health situation, while always erring on the side of caution. This guidance is intended to ensure ongoing health situations (e.g. chronic conditions like asthma or arthritis) themselves do not stop volunteers from participating.
2022-02-06 NC Part-Year Resident Checklist – The part-year resident checklist has been tweaked to clarify that W-2 wages for time in NC are NOT manually entered on the state return. TaxSlayer will allocate W-2 earning correctly if the state was entered at the bottom of each W-2 (even if nothing was withheld).
Those who want practice can try the NC PARTYEAR Practice Problem return.
2022-02-06Student Loan Debt Forgiveness– Taxpayers eligible for this should not receive a 1099-C, and the debt is not reported on the tax return.
2022-02-05EIP and Advance Child Tax Credit (ACTC) Payments– When entering these payments, be sure to enter only the payments received directly by the taxpayer and spouse. Do not include any payments made to dependents or anyone else.
Taxpayers qualify for full repayment protection and won’t need to repay any excess amount if their principal place of abode was in the United States for more than half of 2021 and their modified adjusted gross income (AGI) for 2021 is at or below the following amount based on filing status for 2021:•$60,000 MFJ or Qualifying Widow(er); • $50,000 HOH; and • $40,000 Single or MFS.
2022-02-05Chromebook Browser Setting for EROs and Others E-filing Returns– Fixed by AARP on all Chromebooks 2-4-22. Printing on the E-file Submissions page should work for everyone.
2022-02-04100% Cash Contributions >60% AGI Workaround– After cash contributions are entered as usual in itemized deductions, go to the Gifts to Charity page and select “Limitation on Charitable Contributions Deduction”. When that page opens, enter the total amount of eligible cash contributions in the box labeled “Qualified 100% Cash Contributions Made in 2021”.
2022-02-03 Tax Slayer error with some HSA adjustments – TaxSlayer does not calculate the correct Adjustment to Income for taxpayers with Health Savings Accounts in two cases: 1) A tax return (MFJ) where each taxpayer has a Health Savings Account and have one or more months of family High Deductible Health Plan (HDHP)coverage, and 2) a tax return with one Health Savings Account where the taxpayer has some months of family and self only HDHP coverage. In either case, a tax preparer must manually calculate the correct Adjustments to Income, then input those Adjustments in TSO to generate the correct forms 8889 and Adjustment to Income.
See the cheat sheet for a calculator and a video on how to overcome this problem.
2022-02-02Tricky TSO Entry for Those Eligible for the Advance Child Tax Credit– For those eligible for the child tax credit and did NOT receive any Advance payment, open form 8812 and check YES/NO to the first question and SKIP THE OTHER 2 QUESTIONS. (COVID-19 section>Advance Child Tax Credit is form 8812.) For those who received Advance payments, also enter the amount received and the number of children the payments were based on.
2022-02-02 Tricky TSO Entry for Child and Dependent Care REFUNDABLE Credit– In order to get the Refundable credit, we must first open form 8812 (Federal Section>COVID-19 Relief>Advanced Child Tax Credit) and check Yes. Did you have a principal place of abode in the United States for more than half of 2021?
2022-01-30 _Cheat Sheets Index– To simplify finding cheat sheets quickly, a one-page index to major cheat sheets has been created. While several of the cheat sheets are designed for NC, most are applicable to all states.
2022-01-29 Things Entered in More Than One Place for NC Returns– Most errors on NC returns are made on items that require manual entries in more than one place for the same number: (1)the new exclusion for Military retirement, (2)Bailey exclusion, (3)foreign tax credits, (4)Savings Bond interest, and (5)Federally tax exempt interest/dividends taxable by NC. The new cheat sheet lists exactly where these entries are made and where they show up in the PDF of the NC tax return. The sheet can be passed from the preparer to QR to save time for QR.
Sometimes errors are made by entries on the state return that should not be there. PLEASE do not make any entry on the NC state return unless instructed to in the NC Full-Year Resident Checklist.
2022-01-18IRS Advance Child Tax Credit website– IRS has launched a new page called – Understanding Your Letter 6419 – which includes a link to the letter itself as well as links to FAQs on the letter and all matters related to the Advanced Child Tax Credit.
For taxpayers who filed MFJ in TY2020 and received Advance Child Tax Credit payments, the IRS will send a letter to each spouse separately “split between the spouses” (in case they do not file MFJ in TY2021).
Note that a taxpayer who does not find and bring Letter 6419 may be able to get the information contained in the letter by calling 800-908-4184, assuming the call gets through.
2022-01-17Tricky TSO Entry for Child and Dependent Care REFUNDABLE Credit– Inorder to get the Refundable credit, we must first go to Federal Section>COVID-19 Relief>Advanced Child Tax Credit and check Yes. Did you have a principal place of abode in the United States for more than half of 2021?
2022-01-16Taxpayer Handout: After Your Tax Return is Done – What’s Next?– Often taxpayers have questions after their tax returns are completed. What do I need to do when I pay by check? What options do I have if I can’t pay the tax owed before the deadline? Where’s my refund? What if I get a letter from IRS?
Answers to these questions, along with reminders of what to bring next year are included in the linked document.
2022-01-14Practice Lab What We Know– TaxSlayer known errors in the software can always be found at this link.
2022-03-21 Latest VITA Updates Notification – If you would like to be notified when something is added to this Latest Updates page, send an email to vita@taxvolunteers.com and say “Notify me.” Please indicate if you want updates related to NC.
