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2026-03-15 IRS Paper Check Refunds & Payments + IRS Notice CP53E (link) – Taxpayers who do not provide Direct Deposit information for refunds will receive IRS Notice CP53E – telling them to provide the bank information within 30 days.
• The linked document could be given to taxpayers who insist on paper check refunds. It shows an example of the IRS Notice and lets them know that they will eventually get their paper check refunds.
• The document also quotes an IRS Fact Sheet that says “For now, mailed payments to the IRS, including cash, checks and money orders, will still be accepted and processed.”
2026-03-15 Overtime Deduction – Are we missing some of the overtime deductions?
• If there’s no calculated tax on the 1040 line 16, then the deduction will not help.
• When taxpayers have tax and a W-2, we need to ask if the W-2 includes any overtime.
. If so, we need to determine how much overtime –
. and how much of the overtime is eligible for the deduction.
• While some W-2s list “Premium” or “Qualified” Overtime in box 14, many just put “OT” or “FLSA Overtime” – or don’t list anything.
. We have seen “FLSA Overtime” that turned out to be the overtime premium.
• We need to check December PAYSTUBS to be sure. If the overtime is significant, it might be worth the wait to get the paystubs.
2026-03-06 Lump Sum Social Security – Are we missing these?
With the Social Security Fairness Act, there are a lot more lump sum payments this year – and they’re easy to miss – with a short line on the bottom left of the SSA-1099 that might say “Benefits for 2024” – and a dollar amount.
After completing the lump sum Social Security worksheets in TaxSlayer, the software will calculate which is better for the taxpayer (as income at the 2024 tax rate or the 2025 tax rate). When it is more beneficial to use the Lump Sum Election method, it will be checked in the box on the 1040 line 6c. When it is not more beneficial, the worksheet is not used – and the box on 1040 line 6c is not checked.
2026-03-03 QuickGuide for TaxSlayer – Federal+NC – The TY2025 QuickGuide has been updated for a number of topics.
For example, the “Tips Deduction for Self-Employed” section on page 207 has been updated in the new IRS instructions (p 104).
• Qualified tips a from a Sch C cannot be more than the net profit (Sch C line 31) REDUCED by
.. …(1)the related self-employment tax deduction and
…..((2) the related Self-Employed Health Insurance (SEHI) deduction,
.. …As of 3-1-2026 THIS MUST BE CALCULATED MANUALLY.
• Enter QUALIFIED TIPS on the Deductions/Additional Deductions/No Tax on Tips page .
• ANOTHER MANUAL ENTRY: The tip income used for the deduction must be excluded from Qualified Business Income. Enter as a negative QBI adjustment on Schedule C>Qualified Business Income Deduction (separately for each Schedule C).
PLEASE send corrections for the QuickGuide to suggestions@taxvolunteers.com.
Be specific with what the correction needs to be. Screenshots, specific wording, and supporting references help. Corrections are appreciated.
2026-02-20 TaxSlayer Issues and Contacting TaxSlayer (link) – If you have a problem with TaxSlayer, first check the TaxSlayer Blog “What We Know”. Only Federal and State issues with a potentially broad impact are posted there.
• For issues like TaxSlayer slowness or just not working as it should, check the TaxSlayer BLOG here. If there’s no blog post, call TaxSlayer at 800-421-6436. They need to know.
• If you have an issue that is not listed, you might first check with your local/district/state leaders. If the issue is not resolved, you can call or email TaxSlayer Support: support@vita.taxslayerpro.com 800-421-6346 (need EFIN OR SIDN)
• During tax season, TaxSlayer Support hours are
. Monday – Friday: 8AM to Midnight (Eastern)
. Saturday: 8AM to 8PM (Eastern)
. Sunday: 8AM to 8PM (Eastern)
• TaxSlayer generally cannot investigate an issue if you fix the error before you contact them. They need to see the error for themselves — before you fix it.
2026-02-20 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).
5. Entering TIPS incorrectly both for income (always included in the first box of the TaxSlayer Sch C income screen) and for the new deduction. See the QuickGuide for more detailed info.
2026-02-20 Sale of a PERSONAL RESIDENCE – Main Home or Second Home (link) – 3 Recommendations:
1. Use the Colorado Resource Toolbox Home Sale Worksheet (created by Jeff Bogart)
2. Use the Home Sale Worksheet
3. Use the Home Sale Worksheet
• The worksheet helps us quickly (often 10-15 minutes) navigate the complexities of a home sale (main home or second home) – and the scope issues involved.
• Then it shows us exactly what to enter into TaxSlayer as a Capital Gains transaction.
• Note that normally we do not need to spend time ferreting out all of the detailed costs for adjustments and improvements to reach the maximum $250,000/500,000 exclusion.
2026-02-19 IRS Pub 4012-A – The IRS Pub 4012-A Volunteer Resource Guide for VITA volunteers was posted. This is Pub 4012 with the updates from Pub 4491-X integrated.
2026-02-13 DoorDash Tax Information (link) – The Dasher Guide to Taxes offers instructions and links for getting the info needed for DoorDash driver tax returns.
• DoorDash drivers are told that “Due to recent No Tax on Tips changes, your DoorDash tip income will be reported separately from your 1099. You’ll receive this information via email from DoorDash by January 31.”
• “DoorDash will send mileage estimate emails by January 31 to US & Canada Dashers active during the year who dashed by Car and had on-delivery mileage.”
• Qualified Tips reported on 1099s generally seem to range from 35% to 60% of total income reported on the 1099s.
• Before spending time on digging out the info on Qualified Tips included in the 1099s, remember that the new tips deduction will not provide any benefit to taxpayers who don’t have tax on the 1040 line 16 after taking the Standard Deduction (and senior deduction, for those 65 or older).
2026-02-13 Uber Tax Information (link) – The Uber Guide to Tax Information offers instructions and links for getting the info needed for Uber driver tax returns.
• An Uber example is given in the QuickGuide under “Rideshare Uber Example” (currently on page 165)– with instructions for TaxSlayer entry.
• Uber tells drivers “You can also choose to receive 1099 tax forms even if you’re below the 1099-K threshold. To do this, opt in by updating your W-9 form in the Uber Driver app or web driver portal.”
• To find the amount of the Qualified Tips included on the 1099, drivers are told to look at Table 3 Gross Trip Earnings on page 2 of the 2025 Annual Tax Summary document,
2026-02-12 TaxSlayer Checkbox Not Yet Available to Indicate an SSN is “NOT VALID FOR EMPLOYMENT” for Taxpayers – TaxSlayer stated in today’s Partner Call that they hope to have a checkbox within a week or two to indicate that an SSN is “NOT VALID FOR EMPLOYMENT”.
• This does not affect US citizens and Resident Aliens (Green Card holders). It is rare that our sites see Social Security cards that have “NOT VALID FOR EMPLOYMENT” printed on them.
• Currently the software calculates deductions and credits for them that they are not eligible to receive.
• An SSN valid for employment is a requirement at the time of filing (including extensions) for many credits and deductions: EIC, CTC, Senior Deduction, No Tax on Tips, and No Tax on Overtime.
• TaxSlayer already has a checkbox for this in the Dependent/Qualifying Child Information.
2026-02-12 1099-R Box 2a “Taxable Amount” Cheat Sheet – The Box 2a taxable amount on a taxpayer 1099-R either has a number in it (even if “0”) – or it is empty/blank or UNKNOWN.
• Page 1 of the cheat sheet addresses common situations with a number in box 2a.
When Box 2a has a number (even if $0) and box 7 is code 7 or 4, we enter the amount we see into TaxSlayer Box 2a – unless we are given a reason not to. Two reasons not to enter the amount we see are IRA Rollovers and those needing form 8606.
• Page 2 of the cheat sheet addresses situations with box 2a blank or UNKNOWN such as when the Simplified Method or PSO deduction apply – and box 7 codes 6, N, Q, and W.
• 2026-02-12 Link to These Updates – The link is provided for those who might want to check the updates between emailed updates.
2026-02-08 EIC Not Showing for Eligible Taxpayer? – One requirement of EIC is that the tax payer and qualifying child must have lived in the United States more than half the year.
• New this year is a CHECKBOX in TaxSlayer Personal Information below the “Resident State” that is defaulted to be checked.
“Main home (and spouse if filing joint) was in the United States”.
• The checkbox is can be seen on the front of the 1040 on the right-hand side under “Spouse’s social security number”.
• However, some returns with SAME SITE carryforward from 2023 to 2025 have been found not to be checked. We don’t know if any other returns are affected.
• It might be a good idea to make sure the box is checked – looking at the 1040 or in TaxSlayer Personal Information.
2026-02-06 Electronic 1099-Rs from OPM (link) UPDATED –
NEW: OPM now has set up a new way to DOWNLOAD an electronic copy of the 1099-R without logging in to a retiree’s account. See the link above.
The Office of Personnel Management (OPM) has notified retirees who have provided an email address that they will receive their 1099-R forms electronically — unless they call or login to their OPM account to request a paper copy.
Sites may want to (1)find ways to alert taxpayers ahead of time to bring PAPER copies of their tax forms and/or (2)develop a plan on where/how electronic documents can be printed for these and other taxpayers who bring in their tax documents on their phones.
2026-02-05 Banner Life Insurance Company EIN = 521236145 – The company sent out 1099-Rs with an incorrect EIN — and will send out corrected 1099s. The corrected number above (same as last year) will avoid a reject.
2025-02-03 Late Breaking News: Returns to Defer or Hold – CORRECTION
Impacted Taxpayers are ALL self-employed taxpayers who are eligible for the “no tax on tips” deduction.
• We have now been advised to defer the completion of these tax returns until mid-March – or until we are notified that TaxSlayer has made needed adjustments.
• The IRS made some last-minute changes, and Tax-Slayer needs time to adjust the software.
• We might prepare the returns as far as we can, place them ON HOLD with notes in the Notes section or an Activity Log.
• We will contact the taxpayers once the software has been updated.
• If a taxpayer has a minimal self-employed TIPS deduction, an option for the taxpayer might be to forgo the TIPS deduction, go ahead and file the return, and avoid another trip to the site.
2026-02-01 Eliminate Errors on NC Returns with Jerry’s Cheat Sheet in a Nutshell (link) – This cheat sheet points out things that require a second entry for NC – mostly for NC adjustments/credits. It also points out the need to DOCUMENT QCD and PSO in the return.
Note that QCD and PSO are now entered on the 1099-R under box 2 where it says “Click here for options” (same place as the Simplified Method documentation and carryforward).
Preparers at one site fill out Jerry’s Cheat Sheet when any of the double entries are needed for NC – and pass it on to QR.
2025-01-30 3 Ways to Reduce Errors This Tax Season –
1. Double check entries and check (√) them off on the paper tax form – to eliminate omissions (like skipping withholding) and typos.
2 Learn and Avoid the Pesky Details (link) – The Pesky Details cheat sheet is a collection of common errors on returns. Some of the items are simply the correct way to enter things in TaxSlayer (such as “Click here for options” under box 2 on a 1099-R for the Simplified Method, QCD, and PSO).
Some are time savers – saving time for BOTH the preparer and Quality Reviewer.
And a few are just for NC.
3. Look things up – Unless we are certain how to deal with a taxpayer tax form, we should take a minute and look it up. Using the 4012, QuickGuide, and cheat sheets can save us time in the long run and increase accuracy.
2026-01-27 Paper Checks (link) – Page 3 of the IRS “Fact Sheet” for A5 says …
• Providing electronic payment information for refunds is voluntary. If taxpayers do not provide this information and no exception applies, their refunds could take longer to process.
• For all taxpayers with missing information, the IRS will send a CP53E notice in the mail requesting a response within 30 days, either to provide banking information or to explain why such information cannot be provided.
• If there is no response to the notice and there are no other issues with the tax return, the refund will be released as a paper check after six weeks.
• A2 on page 4 of the Fact Sheet says “For now, mailed payments to the IRS, including cash, checks and money orders, will still be accepted and processed. However, over time, the IRS will fully transition to electronic methods.”
• For specific guidance for taxpayers who want a paper check or if incorrect bank information was sent to IRS, see Notice from Taxpayer Advocate Service (link).
2026-01-25 NC Property Tax Relief – Do We Want to Screen for These? (link) – NC taxpayers 65 or older (or classified as totally and permanently disabled) who own their home and have TOTAL INCOME (including all Social Security and nontaxable income) less than $38,800 qualify to get a discount on their county property tax. This is called Property Tax Relief.
In addition, veterans with a service-connected, total and permanent disability (and their surviving spouses) can also be eligible for a discount — regardless of age or income.
A sample FLYER/POSTER is linked here. Needs to be downloaded to customize.
2026-01-22 Electronic 1099-Rs from OPM (link) – The Office of Personnel Management (OPM) has notified retirees who have provided an email address that they will receive their 1099-R forms electronically — unless they call or login to their OPM account to request a paper copy.
Sites may want to (1)find ways to alert taxpayers ahead of time to bring PAPER copies of their tax forms and/or (2)develop a plan on where/how electronic documents can be printed for these and other taxpayers who bring in their tax documents on their phones.
2025-12-31 TaxSlayer Blog “What We Know” (link) – To find a list of SOME of the issues (errors) “with broad impact” in TaxSlayer, check the TaxSlayer blog.
2025-12-31 22 States Are Now Available in Practice Lab) – The STATE section of Practice Lab is now available for Alabama, Arizona, Arkansas, Connecticut, Delaware, Georgia, Hawaii, Illinois, Iowa, Kansas, Kentucky, Louisiana, Maine, Montana, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Pennsylvania, Utah, West Virginia.
2025-12-31 NC State Return Checklist (link) – Since NCDOR has not released their forms or instructions for TY2025, the state section of TaxSlayer is expected to operate just as it did last year – for now.
As far as we know, little has changed on the NC tax return.
2025-12-31 TaxSlayer Blog “What We Know” (link) – To find a list of SOME of the issues (errors) “with broad impact” in Practice Lab, check the blog.
For example, there are some problems with the new TIPS deduction.
If you find and verify 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.
2025-12-16 QuickGuide for TaxSlayer – Federal+NC – The second DRAFT of the 2025 QuickGuide has been posted. The QuickGuide is an alphabetical electronic resource designed to be used like an electronic dictionary – to look up tax forms and topics.
*** New features (including bookmarks), tips, and instructions are listed at the top of the first page.
PLEASE send corrections to suggestions@taxvolunteers.com. Be specific with what the correction needs to be.
2025-12-15 Link and Learn Test Site Now Open – Hopefully, the earlier errors have been eliminated. It appears that test certifications were erased for those who passed tests when the site was briefly open a couple of weeks ago.
Returning volunteers must login using the email address and password used to access the system last year. Volunteers who forgot their password must use the forgot password link (as shown below) and follow the system prompts.
New volunteers must click on the Create new account button and follow the system prompts. All required volunteer profile items must be completed to properly set up a new account.
2025-11-04 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.
2025-11-04 Practice Lab 2025 – Practice Lab 2025 is now available for instructors and others who want to start on the NTTC Workbook exercises or returns for the tests.
EXPECT ERRORS. Do not expect all of the changes from the OBBBA to be included in Practice Lab at this point.
As the IRS releases final instructions and forms, TaxSlayer will be updating Practice Lab. Patience.
State returns are expected in Practice Lab at the end of December or early January.
2025-11-04 Links to Resources at TaxVolunteers.com/vita – TaxVolunteers.com is a gateway with links to training and tax prep instructions and guides from Tax-Aide’s National Tax Training Committee (NTTC) and from NC Tax-Aide.
2025-11-04 QuickGuide for TaxSlayer – Federal+NC – The first DRAFT of the QuickGuide has been posted. This is an alphabetical electronic resource to be used like a dictionary – to look up tax forms and topics.
Corrections will be appreciated.
2025-11-04 NC State Tax Training and Prep Resources – Links to practice returns and resources specific to NC are provided.
2025-03-27 Note from NCDOR Concerning Duplicated State Withholding – “If the taxpayer chooses to file an amended return and the Department also discovers the error and makes the correction, there will be no negative impact. If an amended return is received and reviewed after we have made a correction, then the agent reviewing the amended return will see it and know there are no further adjustments needed for the withholding.”
2025-03-27 Payments for NC Amended Returns with Duplicated State Withholding – TaxSlayer announced Monday that NC is one of the states where amended returns are needed for impacted returns.
Taxpayers may want to pay by check or online (instead of Direct Debit) – and they may want to wait to pay until closer to the filing deadline if they were originally expecting a state refund.
2025-03-21 TaxSlayer Blog Post on Returns with Duplicated State Withholding (link) – TaxSlayer posted instructions on what to do with the impacted returns – state by state.
However, many states have not reached a decision. Only a few states have indicated they will adjust the impacted returns automatically.
• Note that TaxSlayer has already deleted duplicate state records for 1099-R returns with duplicated state information that HAVE NOT e-filed.
• We suggest that sites run the reports one more time to be sure all impacted returns are shown.
• Revised (3-27-2025) : NC is now one of the states where the Department of Revenue recommends amending the impacted returns.
• Hope your site is one of the sites with a report showing a blank page – with 0 impacted returns!
2025-03-19 Identifying Returns with Duplicated State Withholding – TaxSlayer added a new report identifying tax returns with duplicated state withholding.
• TaxSlayer tells us the report gives a complete list for the site.
• EROs and Administrators can find the report under Management Reports > Production Detail Reports > Site Production 1099-R State Duplication Report.
• In NC, it is suggested that taxpayers be immediately notified and their returns amended – as NC volunteers were told yesterday.
• TaxSlayer tells us they will announce the report on their BLOG after they finish working with the various state departments of revenue. The hope is that some states may be able to handle the issue without an amendment.
2025-03-18 QuickGuide for TaxSlayer – Fed+NC (link) – If/when you find something in the QuickGuide out of date, incorrect, or unclear, PLEASE email suggestions@taxvolunteers.com with the specifics.
It will also help if you include:
(1)the “Form or Topic” in the first column,
(2)the correct wording for what should be in the QuickGuide, and
(3)supporting references (if it’s not obvious).
2025-03-18 Time to Amend NC Returns with Duplicated State Withholding – We have learned that NCDOR will not be able to correct all the returns with duplicated state withholding.
• First we need to contact the identified taxpayers who have been affected and explain the issue.
• Then we need to immediately amend and E-FILE the returns. NC TY2023 and TY2024 amended returns CAN BE E-FILED.
• Page 4 of the Amended Returns TY2019-TY2024 in TaxSlayer gives instructions for an NC ONLY AMENDED RETURN.
• Page 5 shows how to confirm that the e-filed NC State return was ACCEPTED.
• If you need to see the original e-filed return, go to client list > client tools > Client Status. Go to the upper left corner and select View Old Layout (under the blue Enter Return button). Then click on the printer icon on the right side beside the transmission line for the original return.
• If you need to amend a return that was e-filed with the duplicated state withholding — AND the return has already been corrected, simply add the duplicate state withholding back to the return – and then amend the return.
2025-03-16 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.
2025-03-15 TaxSlayer Issues and Contacting TaxSlayer (link) – If you have a problem with TaxSlayer, first check the TaxSlayer Blog. Only Federal and State issues with a potentially broad impact are posted there.
• If you have an issue that is not listed, you might first check with your local/district/state leaders. If the issue is not resolved, you can call or email TaxSlayer Support:
support@vita.taxslayerpro.com 800-421-6346 (need EFIN OR SIDN)
• During tax season, TaxSlayer Support hours are
. Monday – Friday: 8AM to Midnight (Eastern)
. Saturday: 8AM to 8PM (Eastern)
. Sunday: 8AM to 8PM (Eastern)
• TaxSlayer generally cannot investigate an issue if you fix the error before you contact them.
They need to see the error for themselves — before you fix it.
2025-03-09 Returns with Duplicated State Withholding – TaxSlayer has said “We are now in the process of identifying impacted returns that have been previously filed and working with the states to determine next steps (whether states will auto-adjust or if amended returns should be filed).”
NCDOR has said “We are hopeful that we will be able to resolve the issue with adjustments from our side instead of amended returns but have not been able to finalize that decision yet.”
They are hoping to have a detailed plan of action this week. Stay tuned.
2025-03-09 Railroad Pensions – Hopefully, everyone knows that a Railroad retiree’s pension always requires the Simplified Method to determine the taxable amount.
• If married, the annuity is ALWAYS JOINT.
• After running the Annuity/Pension Exclusion Calculator, we enter the information into the TaxSlayer Simplified Method worksheet so that the Simplified Method will be documented in the tax return — and to enable carryforward of everything except the amount previously recovered.
• Note that the pension for the RR retiree’s spouse is FULLY TAXABLE (Taxable Amount = Total Gross Paid)
• By law, Railroad pensions are not taxable by any state.
2025-03-09 Possible Time Saver in the E-file Section – When trying to go to the BANK ACCOUNT page or the SUBMISSION PAGE, click on the words above the radio buttons. Experienced volunteers and TaxSlayer support staff have reported that this is sometimes quicker than clicking the buttons.
2025-03-09 Searching for Capital Loss Carryover – When a returning taxpayer who may have a capital loss carryover does not bring the prior year return, some sites have created a printset for a single form (the “Schedule D Capital Loss Carryover” page). From the Client Status page, we can “print” the page to pdf and quickly see the carryover amounts.
If there is no carryover, then TaxSlayer will bring up a blank page.
2025-03-03 URGENT! TaxSlayer Is Sometimes Duplicating State Withholding on Some Forms in NC, OH, and possibly other states – There were multiple reports today that TaxSlayer is sometimes duplicating (doubling) state withholding after QR goes into the form to check it.
We know it has happened with 1099-Rs, but we’re not sure yet if other forms may be affected.
Recommendations:
1. Write down the state refund (or amount owed) before Quality Reviewing every return.
2. If you check a form and everything is correct, click CANCEL instead of CONTINUE.
3. If the state refund (or amount owed) changed, then go back into the form and delete the duplicate state withholding. Then check the refund (or amount owed) to see if has been corrected.
4. Sites may want to double Monday’s returns by using the QR PRINT SET and checking the state withholding on the form images (at least the 1099-Rs).
2025-02-26 NC Property Tax Relief – Are We Screening for These? (link) – NC taxpayers 65 or older (or classified as totally and permanently disabled) who own their home and have TOTAL INCOME (including all Social Security and nontaxable income) less than $37,900 qualify to get a discount on their county property tax. This is called Property Tax Relief.
In addition, veterans with a service-connected, total and permanent disability (and their surviving spouses) can also be eligible for a discount — regardless of age or income.
2025-02-24 Capital Loss Carryover (link) – TaxSlayer announced this morning that capital loss carryover is not currently working.
2025-02-24 Caution with 1099-Rs That Have “0” in Box 2a – TaxSlayer announced this morning that this issue has been fixed. Hopefully, ….
2025-02-22 Caution with 1099-Rs That Have “0” in Box 2a – TaxSlayer has opened issue #2975, “REVISITING Form 1099-R Menu Causes Box 2a to Populate with Amount from Box 1”.
When a preparer has entered “0” (for a code G or H rollover or for codes N, Q, W), and the preparer or QR goes back through the 1099-R again (without changing anything) – and clicks CONTINUE, TaxSlayer is changing Box 2 to the amount in Box 1.
Two suggestions:
Preparers: Instead of typing “0” in Box 2, just leave it BLANK.
QR: Instead of clicking CONTINUE after checking (but not changing anything in) the 1099-R, click CANCEL or click on something on the left navigation bar. (Of course, if QR makes a change, then click CONTINUE.)
2025-02-21 Capital Loss Carryover (link) – TaxSlayer clarified today that capital loss carryover will only have carryforward from 2023 to 2024 IF (1)your site prepared the 2023 return and (2)you access the 2023 return and re-save it by going through E-file and clicking “Save & Exit” on the Submission page – before the 2024 return is started. Good luck with that.
It might be a good idea to screen for capital loss carryover by checking prior year returns 1040 line 7 to see if the maximum $3000 was subtracted. If so, then we need to find carryover losses at the bottom of the Capital Loss Carryover Worksheet (lines 8 and 13) in last year’s return.
2025-02-20 Mailing Instructions and Labels for NC Taxpayers (link) – Taxpayers sometimes get confused on what to write on their tax payment checks and where to mail what. Some sites try to help taxpayers by giving them verbal or written instructions and/or pre-addressed envelopes. Maybe the linked instructions and address labels will be of help.
2025-02-19 QCD – New Documentation in TaxSlayer (link) – TaxSlayer implemented a new “documentation” spot for a QCD, adding QCD to Simplified Method and PSO under the 1099-R Box 2 where it says in red “Click here for options.”.
After we Click here for options, we click “Begin” for Qualified Charitable Distribution.
Then we enter the amount of the QCD and click CONTINUE. “4b: QCD” will print at the bottom of the 1040.
Unfortunately, for now we still have to MANUALLY ADJUST THE TAXABLE AMOUNT – just as we always have.
2025-02-15 Known Issues in TaxSlayer (link) – TaxSlayer posts a list of verified Federal and State issues with a potentially broad impact.
Today this includes Issue 2543: Capital Loss Carryover from prior year not pulling from prior year return.
If you have an issue that is not listed, you might first check with your local/district/state leaders. If the issue is not resolved, you can call or email TaxSlayer Support: support@vita.taxslayerpro.com 800-421-6346 (need EFIN OR SIDN)
2025-02-15 New Wrinkle for NC Bailey Exclusion (link) – With the migration of 401-k accounts for NC state government employees/retirees from Prudential to Empower, we now need to check the bottom of 1099-Rs from both companies for the magic phrase “NC VESTED AS OF 8/12/1989”.
Pensions from NC state & local government vested by 12 Aug 1989
1099-Rs issued by NC Retirement System for state and local
government (including Prudential or Empower state 401-k plans)
ALWAYS indicate eligible pensions at bottom of the 1099 with
“NC VESTED AS OF 8/12/1989” (No note, no Bailey)
2025-02-11 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.
2025-02-11 Head of Household Cheat Sheet (link) – This may be a good time to review the 5 ways to qualify as Head of Household.
2025-02-11 Schedule A – Common Error – One common error in NC for the few itemizers we have is neglecting to enter the information needed for the STATE SALES TAX DEDUCTION. Under Itemized Deductions>Taxes You Paid, we need to click SALES TAX YOU PAID and enter the (1)zip code, (2)# of days lived in the zip code (366 in 2024), (3)the local sales tax rate, and (4)Save. TaxSlayer will automatically complete the state rate.
Unfortunately, TaxSlayer will then display SALES TAX PAID on a blue line – usually with “$0.00” underneath. The $0.00 is NOT the amount of the sales tax deduction. (It is the amount of “Sales tax paid on large purchases”, which is 0 unless the preparer entered an amount for sales tax paid on a vehicle, etc.)
We have to look at the Sch A printout to see the actual sales tax deduction calculated.
2025-02-11 Medicaid Waiver Payment Cheat Sheet (link) – Most of us don’t see this very often – but when we do see it, we need to know what to do.
2025-02-08 Sale of a PERSONAL RESIDENCE – Main Home or Second Home (link) – 3 Recommendations:
1. Use Jeff Bogart’s Home Sale Worksheet
2. Use Jeff Bogart’s Home Sale Worksheet
3. Use Jeff Bogart’s Home Sale Worksheet
• The worksheet helps us quickly navigate the complexities of a home sale (main home or second home) – and the scope issues involved.
• Then it shows us exactly what to enter into TaxSlayer as a Capital Gains transaction.
• Note that normally we do not need to spend time ferreting out all of the detailed costs for adjustments and improvements to reach the maximum $250,000/500,000 exclusion.
2025-02-08 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).
2025-02-08 Broker Statements – Looking Up Percent of Funds Not Taxable by the State (link) – Volunteers in NC have put together links to various broker sites for information on the percentage of interest from their funds from U.S. Government Obligations – and are therefore not taxable by the state.
Once on a site, you might use Ctrl+F to search for a fund you find on the broker statement.
2025-01-27 Filing Requirements – Who Must & Should File (link) – PLEASE remember that INCOME below a threshold is not the only reason to file a tax return. There are many reasons.
Often taxpayers with low incomes SHOULD file to get a CREDIT – like the Earned Income Credit.
2025-01-26 Still Struggling with Any of These on NC Returns? – Watch the Video (right side of linked page) –
• US Obligations Interest – including Savings Bonds, US Treasuries, etc.
• Federally tax exempt interest
• NC Adjustments – including Bailey exclusions
• NC Part-Year or Nonresident returns
• Broker Statements – including things to look for related to NC
2025-01-25 Schedule C Scope Change (link) – The IRS has increased the scope limitation for Schedule C expenses from $35,000 to $50,000.
2025-01-25 Medicaid Waiver Payments (MWP) – TaxSlayer has changed their handling for the new Form W-2, box 12, code II (Medicaid Waiver Payment not included in box 1). However, we are waiting on additional information and possibly additional enhancements from TaxSlayer. We recommend that sites do not file tax returns for taxpayers with a W-2 containing a box 12, code II until we know TaxSlayer’s programming is complete.
2025-01-25 Link and Learn Form 13615 Volunteer Agreement – If all passed tests do not show up on the Volunteer Agreement, click REGENERATE AND SIGN AGAIN. Then at the bottom of the next page, click “I agree to sign …” and “Sign Form 13615”. Then you can download the signed form.
2025-01-19 Jerry’s Cheat Sheet in a Nutshell – Things with 2 Entries in TaxSlayer for NC (link) – This cheat sheet points out things that require a second entry for NC – mostly for NC adjustments/credits. It also points out the need to DOCUMENT QCD and PSO in the return – so that QCD or PSO will print at the bottom of the 1040 page 1.
Note that PSO also requires another entry on the 1040 under box 2.
2025-01-17 Client Form Listing Summary Added to TAXPAYER COPY Printset – A wish come true! TaxSlayer recently added this summary to the taxpayer copy printset. The form is an excellent document to use after the Quality Review to get taxpayers to double check information.
The form includes (1)all of the Basic Info,
(2)a list of forms in the tax return,
(3)a quick summary with income, deductions, AGI, tax, credits, payments, refund or amount due,
(4)ALL of the details of any Direct Deposit/Debit (that the taxpayer could check and initial), and
(5)Income Forms Summary showing each income form with gross income , taxable income, and withholding,
2025-01-15 Viewing Link & Learn Test Results Now Available – The Volunteers can now review the results of their tests on the Link & Learn certification site, even if they failed to do so immediately after taking the test. From the Home page, click on “My Learning” in the top menu. For failed tests where the retest has not yet been taken, click on “All Incomplete” in the Incomplete section. For completed tests, click on “Transcript” in the Complete section. Find the lines with “- Test” at the end of the name. The status will be “Passed” if either test or retest was passed, or “Not Passed” if the volunteer failed both the test and retest. Click on the three vertical dots at the far right. Click on “Review Assessment” to see the results of the test. Click on “Review Exam” to see the results of the retest. Those options only appear when the test or retest has been completed. The results page may be printed using the “Print” icon in the upper right, or by using Ctrl+P in most browsers.
2025-01-13 TaxSlayer Carryforward (link) – TaxSlayer updated their list of items that are carried forward from the prior year for returning taxpayers (and those who agreed to global consent).
The new cautions/warnings for a prior year IP PIN and 1095-A should greatly reduce rejects.
A few things that some may not realize include:
• ALL of the information entered into the TaxSlayer Simplified Method Worksheet under box 2 on the 1099-R.
• Sch C business code
• State and Local Refunds – appropriately ONLY for those few who itemized the prior year
Carryforward information NEEDS TO BE DOUBLE CHECKED.
Taxpayer phone numbers, email addresses, and dependents may change.
Payer names, addresses, and even TINs sometimes change from year to year.
And, of course, if an error was made in the prior year, it will be carried forward.
2025-01-11 Simplified Method & Calculator Instructions (link) – Updated: With TaxSlayer carryforward implemented, both the IRS and Tax-Aide recommend completing the TaxSlayer Simplified Method Worksheet inside the 1099-R entry page under box 2, where it says “Click here for options” in red.
• The completed TaxSlayer worksheet will be transmitted with the return.
• We need to VERIFY the “amount previously recovered” ONE TIME with the Annuity/Pension Exclusion Calculator to verify that the amount previously recovered is correct. (Reason: If the amount previously recovered is omitted or entered incorrectly, TaxSlayer will carryforward an incorrect amount every year.)
2025-01-11 Pesky Details (link) – The Pesky Details cheat sheet has been updated with the new information on the handling the Simplified Method and on documenting disaster relief in the federal and NC state returns (and other minor updates)
2025-01-11 TaxSlayer NOTES – A Great Tool (link) – The TaxSlayer “Notes” tool is a great tool to add important reminders TO HELP NEXT YEAR’S PREPARER. The list of suggested NOTES has been updated. Some have been removed due to TaxSlayer carryforward.
Notes for the current year (for QR, for example) are probably more helpful written on the Intake Booklet.
2025-01-04 Pesky Details (link) – The Pesky Details cheat sheet is a collection of common errors on returns. Some of the items are simply the correct way to enter things in TaxSlayer.
Some are time savers – saving time for BOTH the preparer and Quality Reviewer.
And a few are just for NC.
2025-01-04 MFS Without Spouse SSN – Most of us already know that we use the fake SSN 111-00-1111 and PAPER FILE the federal return. NCDOR encourages us to E-FILE the NC state return. (There’s no place on the NC state return for the spouse SSN.)
2025-01-02 Simplified Method & Calculator Instructions – Now that TaxSlayer includes carryforward for the Simplified Method AND calculates the combined age, guidance now is to complete the Simplified Method worksheet inside the TaxSlayer 1099-R under box 2.
• Also, this is the only way to document the Simplified Method in the tax return.
• Unfortunately, TaxSlayer does not calculate the amount recovered in prior years, so we still need to use Jeff Bogart’s Annuity/Pension Exclusion Calculator in the Colorado Resource Toolkit.
2025-01-01 IRS Identity Protection PIN Letter cp01a_Example – The linked sample letter from the IRS might be used when asking taxpayers if they have an IRS Identity Protection PIN.
It also has information on how the taxpayer can retrieve the 6-digit number either online (with an IRS account) or by phone (within 21 days).
2024-12-27 Instructions for Taking the IRS Tests (link) – Please note that the IRS 6744 test book gives these instructions for taking the certification tests (at the end of the Reference Materials section on page 2):
“Please complete this test on your own. Taking the test in groups or with outside assistance is a disservice to the customers you volunteered to help.”
2024-12-27 NC State Return Checklist (link) – The STATE section of TaxSlayer is now available for Arizona, Illinois, Indiana, Iowa, New Hampshire, New Mexico, North Carolina, Ohio, Oregon, Utah, Washington.
Since NCDOR has not released their forms or instructions for TY2024, the state section of TaxSlayer is expected to operate just as it did last year – for now.
As far as we know, little has changed on the NC tax return.
2024-12-26 QuickGuide for TaxSlayer – Fed+NC (link) – A new DRAFT of the QuickGuide has been posted.
Corrections will be appreciated.
2024-12-26 TaxSlayer Enhancements/Changes (link) – Returning volunteers may want to watch the video or go through the 2024 TaxSlayer Enhancements User Guide.
TaxSlayer has made some useful improvements that should help reduce errors and rejects.
Tip: Fill out the TaxSlayer GUESTBOOK with your Name & Program Type, check the box for “Remember me”, and click Submit.
2024-12-26 “Major” Disasters in NC and Other States (link) – The Casualty Loss Screening Tool can help taxpayers determine if they might be eligible for a tax break for their casualty loss. Returns with casualty losses are out of scope for Tax-Aide and VITA.
● The IRS has extended the TY2024 filing date for FEDERAL returns for all NC residents to May 1, 2025.
● NC Frequently Asked Questions for Tax Relief for Victims of Hurricane Helene (link)
NCDOR announced there will be no PENALTIES for NC tax returns filed by May 1, 2025 for taxpayers who resided or were located in NC.
However, INTEREST relief applies only to “Disaster Counties”. Those counties include Alexander, Alleghany, Ashe, Avery, Buncombe, Burke, Cabarrus, Caldwell, Catawba, Cherokee, Clay, Cleveland, Forsyth, Gaston, Graham, Haywood, Henderson, Iredell, Jackson, Lee, Lincoln, Macon, Madison, McDowell, Mecklenburg, Mitchell, Nash, Polk, Rowan, Rutherford, Stanly, Surry, Swain, Transylvania, Union, Watauga, Wilkes, Yadkin, Yancey
2024-12-03 QuickGuide for TaxSlayer – Fed+NC – The first DRAFT of the QuickGuide for TY2024 is available for those starting before January.
• The QuickGuide is an UNOFFICIAL volunteer effort, subject to human errors. Corrections are appreciated.
• 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 the link 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”.
• Again, corrections are appreciated.
2024-11-05 Practice Lab 2024 – Practice Lab 2024 is now available for instructors and others who want to start on tax returns for the tests or practice returns. Expect errors. As the IRS releases final instructions and forms, TaxSlayer will be updating Practice Lab. Patience.
State returns are expected in Practice Lab at the end of December or early January.
2024-11-05 2024 Practice Lab: Known Issues – 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 blog post and scroll to the bottom. Here you will find an opportunity to “Subscribe to the VITA/TCE Feed”.
2024-11-05 Links to Resources at TaxVolunteers.com – TaxVolunteers.com is a gateway with links to training and tax prep resources for federal and NC tax returns.
2024-11-05 QuickGuide for TaxSlayer – Federal+NC – The first DRAFT of the QuickGuide has been posted. This is an alphabetical electronic resource to be used like a dictionary – to look up tax forms and topics.
Corrections will be appreciated.
2024-09-24 IRS Pub 4012 – The IRS Pub 4012 Volunteer Resource Guide for VITA volunteers was posted.
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”.
2024-02-03 “Potential” Change in Child Tax Credit – How Much Might the Credit Be Increased? – The Washington Posts offers a calculator to ESTIMATE the increased amount of the credit. The amount of the increase varies by number of qualified children and AGI.
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 the link 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.
2023-11-17 TaxSlayer Blog “What We Know” (link) – To find a list of SOME 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 has been 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 of TSO 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.
2022-12-15 Practice 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. BEWARE USING PRACTICE LAB FOR TESTS. 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.”
2022-11-01 QuickGuide 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.
2022-10-29 Pub 4491 Training Guide – The VITA/TCE Training Guide was posted earlier this month.
Many will likely be interested in the section on Important Tax Changes for 2022.
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.
2022-07-09 IRS Webinar on Identity Verification Process to Access IRS Online Services – Maybe this IRS webinar at 2 PM Easter time on Tuesday, July 19 will give us some pointers to help our taxpayers?
Registration is required.
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.
2022-02-06 Student Loan Debt Forgiveness – Taxpayers eligible for this should not receive a 1099-C, and the debt is not reported on the tax return.
2022-02-05 EIP 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.
2022-02-05 Chromebook 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.
2022-02-04 100% 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.
2022-02-02 Tricky 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.
2022-01-18 North Carolina Tax Preparation Training Resources – There’s a new red button on the top row of taxvolunteers.com to reach the NC Tax Training Resources Index.
NC
2022-01-18 IRS 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.
2022-01-17 Tricky 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, check YES/NO to the first question and SKIP THE OTHER 2 QUESTIONS.
2022-01-17 Tricky TSO Entry for Child and Dependent Care REFUNDABLE Credit – In order 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?
2022-01-16 Taxpayer 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.
2022-01-14 Practice Lab What We Know – TaxSlayer known errors in the software can always be found at this link.
2022-01-09 Chromebook Google Meet Video Mic Permission – Tips are given for those whose microphone and video are blocked for Google Meet.
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.
