Form 8936 Qualified Plug-In Electric Drive Motor Vehicle Credit STILL not ready on TurboTax

[bro1999]

Has anyone successfully filed their tax return online and claimed the EV tax credit via TurboTax or any other online preparer? I was told that TurboTax had finally updated form 8936 a few days ago, so I went and knocked out my tax return last night and hit submit. In the morning, I found a rejection message in my inbox (as well as my state return getting auto-rejected due to my federal rejection) with the following explanation:

"Your tax return is on hold pending ongoing updates to calculations on Form 8936, Qualified Plug-In Electric Drive Motor Vehicle Credit. We plan to have the updates to the form done on February 20th, 2019."

So anyone planning on submitting their tax returns on TurboTax should wait till the 20th to do so. I am also wondering if this is TurboTax specific, or if it affects all tax prep sites. TT's calculation for my Bolt's credit was $7,500 instead of the $1,875 it's supposed to be. I had to manually change it to $1,875.

 

[tommylee95]

same here with turbo tax. will see what happens on the 20th.

 

[Tam]

...Has anyone successfully filed their tax return online and claimed the EV tax credit...

The rejection theme from TurboTax has been repeated every year at this time of the year. That despite the form has been available on the IRS website:

https://www.irs.gov/pub/irs-pdf/f8936.pdf

In the past, I've used H&R Block to file them in January (for my own 2017 and 2018 filings) with no problem (even before the current form appeared on IRS site). Others with H&R Block in the past also reported successful early returns as well.

 

[bro1999]

The rejection theme from TurboTax has been repeated every year at this time of the year. That despite the form has been available on the IRS website:

https://www.irs.gov/pub/irs-pdf/f8936.pdf

In the past, I've used H&R Block to file them in January (for my own 2017 and 2018 filings) with no problem (even before the current form appeared on IRS site). Others with H&R Block in the past also reported successful early returns as well.

Ok, so TurboTax just seems to TurboSuck. Good to know.

 

[Tam]

Ok, so TurboTax just seems to TurboSuck. Good to know.

I think it's just more conservative. The advantage of being slow is to make sure all bases are covered.

Others like TaxSlayer.com, FreeTaxUSA.com, H&R Block... have been more aggressive and would just go ahead and process the filings in January without waiting for a publically approved form appearing on the IRS website in February. It's not a conservative move but there have been no reports of problems with those aggressive companies so far.

 

[jcoop]

I think it's just more conservative. The advantage of being slow is to make sure all bases are covered.

Actually I agree with bro1999, it's "TurboSuck" when it comes to Form 8936. They said it would be rady 2/12, then it was 2/14, now it's 2/20.

I've been using TT for +20 years, and never a problem. I filed in early Feb in 2019 when I got my first Tesla and that tax credit was not a problem.

Now all of a sudden in 2020 TT can't complete what appears to be a very basic form? I'm going to resubmit my (1) Fed + (2) States this morning that got rejected, and cross my fingers hoping it works this time. I installed a ton of solar panels on my roof in 2019 to offset my (2) Tesla's, so this is holding up a huge refund.

 

[jcoop]

UPDATE, TT really sucks!!!!!

The website version is still not calculating my credit correctly. It says $1,875, when it's supposed to be $3,750.

I had my M3 delivered in May 2019, before the credit was cut in half to $1,875 on July 1, 2019.

 

[jcoop]

Not sure if I found an error in TT, but I had to enter $7500 in the following screen in order to give me the $3,750 tax credit I was due since I had delivery prior to July 1, 2019. I guess I'll find out if what I did was correct if it gets rejected again, or if I get audited as a result of this confusing TT entry on their website.

 

[raptor5244]

Not sure if I found an error in TT, but I had to enter $7500 in the following screen in order to give me the $3,750 tax credit I was due since I had delivery prior to July 1, 2019. I guess I'll find out if what I did was correct if it gets rejected again, or if I get audited as a result of this confusing TT entry on their website.

Same here. I updated TT, which supposedly fixed the calculation. It looks right on the form now but it still was rejected again this morning.

 

[jcoop]

NOTE TO ALL: TT has still NOT fixed the problem, so you might want to sign up at this link to get an update when it will be fixed. Just spoke with TT Supervisor and she said "might fixed by this Monday" the 24th, what a joke.

Sign Up Form - TurboTax Support

 

[raptor5244]

Update: Resubmitted again and now it was accepted. Finally...

 

[Chooven]

Well we know math is hard.

Update: Resubmitted again and now it was accepted. Finally...

did it have the correct amount or was it half what the credit should be?

 

[raptor5244]

Well we know math is hard.

did it have the correct amount or was it half what the credit should be?

It calculated correctly now based on the purchase date you enter. Just leave the default $7,500 in that field that auto populates. You will see on the 8936 form that it will multiply the 7500 by the phase put percentage based on the date of purchase. The result will be $3750 or $1875.