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Author: TMFPMarti Big funky green star, 20000 posts Home Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 118626  
Subject: Update on the Stimulus Credit Date: 1/29/2009 12:10 AM
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Just picked this up in misc.taxes.moderated:

Question:
Why doesn't TaxWise calculate the recovery rebate credit to Form
1040, 1040A, or 1040EZ?

Answer:
This credit will calculate to Form 1040, 1040A, or 1040EZ again
with TaxWise version 23.07.

Based on the original conference call last Friday, consulting
with CERCA, other software vendors and our banking partners, we
made a change to the way TaxWise handles the RRC credit to avoid
more returns going to error resolution and possibly causing
funding delays. This was added to the 23.06 patch.

Based on the RRC Conference Call today, the IRS stated that they
do not have a problem with the Rebate Recovery Credit
calculations on returns that are falling out to Error Resolution.
They also stated on the call that the maximum amount of time for
the return to resolve is one deposit cycle.

They further clarified the initial 'issue' that they described on
Friday. Their current position is that only returns that had an
amount on Line 70 that was different from the IRS calculation
were falling into Error Resolution. The above condition
(calculated amount of RRC not matching return amount of RRC) is
the only condition, according to IRS, that a return would go into
the Error Resolution system.

Based on the information that was presented today, any return
that is due an additional RRC, which we are forcing to zero, will
fall out to Error Resolution.
We are currently reversing the changes that we made to the RRC
calculations in 23.06 and putting the calculation back as before.
Note: None of the other changes made in the 23.06 update will be
changed; we are only making a change to the Rebate Recovery
Credit calculation. Any amount now calculated on Worksheet 5 will
flow to the appropriate line on the 1040, 1040A and 1040EZ forms.

Phil
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