New
ITIN CTC
ProSeries doesn't know how to work with a Form 1040 when a taxpayer is applying for an ITIN for a dependent.
I tried two times to fill out the Form 1040 for a client with this situation and the two times have been rejected by the IRS. I expended a lot of time talking with different Proseries representatives, even a Supervisor, I shared screens with all of them and nobody found a solution., also I expended a lot of time (hours) talking to the IRS.
1.-ProSeries Basic doesn't have the Form W7, which is a big mistake because W7 is an official IRS form as the rest of forms.
2.- When someone is applying for an ITIN can't put any info in SS#, the IRS accepts this but not ProSeries.
3.- The IRS requires a check marck in the Dependent Section in column 4, the second column. ProSeries doesn't do that, the Supervisor that talked to me after trying too many different options told me that I have to put a fake SS# and later when I print out the form white out, this number, to me this is not acceptable.
4.- The system calculated the 3,000 for Child Tax Credit on line 28 and not the ODC in the amount of 500 on line 19, coming from Scheule 8812. The Sch 8812 explains that from 2021 to 2025, any child that have an ITIN can't qualify for Child Tax Credit, only for the ODC, you can find all these new rules in the 8812 Form and Instructions.
5.- I included the Sanitize file, and the Forms 1040 and 8812 did it manually by myself, filling out from the IRS website, of course not from ProSeries which is impossible.
6.- My best recommendation is that Proseries includes in the information worksheet a question about if you are going to claim an ITIN for a dependent or spouse and from there your programmers have to create all the inter relations between the forms and schedules.
7.- For all these situations I wasted a lot of hours, with the client, with the IRS and with Proseries, I've felt terrible with my client and myself. Of course, I returned to the client what he paid for this service, but worse than this is my reputation.
