Level 7

Question

Local sales tax computed incorrected

Forum|Forum|5 years ago
January 10, 2021
3 replies
26 views

In certain situations, you need to use sales tax as part of the itemized tax. However, the ProConnect computed sales tax wrong. I know it because I compared it with the IRS sales tax calculator, and the numbers are different, some times it is quite large. I further discovered that that is due to the local tax that the ProConnect omitted altogether. After I put in the local rate, then it is the same as the IRS value.

I reported this via chat, but I do not know where the issue stands, and that is why you should vote for the idea that we should be able to create a case.

I would like to post this problem here seeking comments before I post this as a bug in the idea exchange board. It is a bug instead of enhancement because we generally expect it to work. Intuit may not agree with me and most often they don't, but for me if you press the gas panel and you expect the car to run but it doesn't, it is a bug, but if you want it to fly, it is an enhancement.

ProConnect Tax

This topic has been closed for replies.

George4Tacks

Level 15

You are absolutely correct. I believe this is another major difference between ProConnect and Lacerte. Lacerte has an ability to set up many Options, including local sales tax rate. That is useful when the major of clients are in the same table area. Where I live, even that does not really work and I need to go in and set the rate EVERY YEAR for EVERY CLIENT, which is what you need to do in ProConnect IF sales tax is really an item that affects the return.

Ideally the software would take care of this via the zip code of the client, but since more taxpayers would use state tax over sales tax, the likelihood of that being implement is probably slim to none.

Answers are easy. Questions are hard!

itonewbie

Level 15

@puravidapto Take a look at this thread. If it doesn't help, please provide the relevant details about your case and the expected outcome.

https://proconnect.intuit.com/community/proconnect-tax-discussions/discussion/sch-a-line-5a-general-sales-tax-forced-optional-sales-tax-table/00/61578

---------------------------------------------------------------------------------Still an AllStar

puravidaptoAuthor

Level 7

I understand that if you put the correct local tax rate, things come up okay. It should be automatic as PTO knows where the taxpayer lives.

-- Click here to vote.

itonewbie

Level 15

@puravidapto wrote:
I understand that if you put the correct local tax rate, things come up okay. It should be automatic as PTO knows where the taxpayer lives.

No, it doesn't know where people live. What you have entered are only the mailing address at the time of filing and state residency during the tax year in question (but only if state return is required). There are not sufficient details for PTO to determine the locality and the period of residency, except for jurisdictions where local returns are required.

Of course you can have additional input fields built in just for that purpose but that's different from saying that PTO already has the details needed to automate the computation. Costs/benefits of the programming and its ongoing maintenance would be a consideration - and that would be for Intuit to decide.

---------------------------------------------------------------------------------Still an AllStar

IRonMaN

Level 15

In retrospect there evidently was a time and a place for Intuit’s thumb down voting system. Maybe we should think about voting on whether or not that should be resurrected from the grave 😜

Slava Ukraini!

puravidaptoAuthor

Level 7

If you oppose the idea, you can always add a comment to state your reason and ask the company will never implement the idea. For me, the automatic feature saves me many times. It often occurs to me after I filed a return, I thought of "did I do this", "did I do that", and when I checked, thanks God, it was automatic.

I argue with reason. I do not know what you are against, so I cannot argue but provide an alternative way for thumb down.

-- Click here to vote.

itonewbie

Level 15

@puravidaptoDon't get us wrong. It's totally within your right to submit your requests. There's no question that requests such as this, if implemented, could be helpful and would benefit everyone.

Given the limited resources Intuit would allocate to development, from experience, however, and knowing there are outstanding issues that have yet to be resolved, one would hope Intuit will prioritize what is more critical and impactful.

Similarly, genuine bugs should take precedent over enhancements. A bug is what causes an error and that includes faulty tax logic, which may be obscure or difficult/impossible to fix by users without causing other issues, like the ones related to multi-year sourcing for §911, scaledown ratios for FTC of fiscal year jurisdictions, and CT-2210 annualization of PY residents, just to name a few. Enhancements, on the other hand, are those that are good-to-have, things that could improve user experience. This request would be one example and a request to automate the highly complex computation as well as flow of PFIC could be another. A clear distinction needs to be made between a bug and an enhancement - unfortunately, Intuit often treats bug reporting as just another enhancement request.

---------------------------------------------------------------------------------Still an AllStar

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