Level 5

Question

Form 1116 efile reject code F1116-012

Forum|Forum|2 years ago
October 2, 2023
6 replies
49 views

Is anyone having a problem efiling a return with a Form 1116---reject code indicates using the smart worksheet to input detail for Line 2. I have done this--you receive an error if this is not completed. Return is still being rejected.

ProSeries Professional

Just-Lisa-Now-

Intuit Community Champion

Does the return have Form 1116 Sch B included? That B needs to be saved as a PDF and attached to the return or it will be rejected.

Be sure when you attach it, in the Type of attachment you choose 1116 in the list, you need to scroll UP in that drop down list to find 1116.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

J

JMadAuthor

Level 5

yep, I have completed that step. And it's not referring to the Schedule B. I have filed so many 1116's with the line 2 expenses. There is a "smart sheet" above that you need to give an explanation which I have also done. Keeps rejecting.

B

beanctr72

Level 3

YES!!! I am having the same issue on two of my 1040's. I have already added the explanation statements as well as attached the 1116 Sch B (different issue) and cannot get the returns to go through. I am stumped.

J

JMadAuthor

Level 5

I phoned Proseries yesterday and first was told to do a proseries repair and update my windows--which I had already completed but had to do again. Then to try and efile again and if still an issue than I would need to call back and they would escalate. Of course that did not help so I called back and spent over an hour on the phone all to be told that since there was a circle instead of a checkmark in the forms box, I was doing something wrong on my end and I needed to finish completing the 1116! I tried to explain to this person that except for these explanation stmts, Form 1116 is not a form we fill in. She said I might need zeros somewhere---SERIOUSLY????IIII I have filed many returns previously that have the same type of scenario and now...as we approach a deadline, this occurs. She would not escalate this any further because she said it is on my end. So tired of paying so much money for software with zero support. I wish someone could get a valid answer to this issue and QUICKLY.

B

beanctr72

Level 3

POST UPDATE: It didn't work after all.... Sorry. 😞

I found the solution!!! You have to enter something in the State Income Tax Allocation Smart Worksheet box that's just above Line 2(a)(3) in the 1116 Comp Wks. Totally not obvious and definitely not what the reject instructions state.

J

JMadAuthor

Level 5

Unfortunately your resolution did not work. I was hoping!

Skylane

Intuit Community Champion

@1569 Gabi, we've been seeing numerous issues with the 1116 and attachments. Anything that can be done to elevate this? Thanks

If at first you don’t succeed…..find a workaround

A

Anonymous

This is what I'm able to find at the moment: F1116-012 from 2013 Business rules
Missing document "If for any country in Form 1116, Line 2 'ForeignIncRelatedExpensesAmt' has a non-zero value, then [ForeignIncmRelatedExpensesStmt] must be attached to Line 2"

Part 1 line 2: "Expenses definitely related to the income on line 1a (attach statement) "
"... if you are reporting foreign business income on line 1a, include on line 2 business expenses such as supplies and advertising incurred as part of operating the foreign business. " From 1116 Instructions
Help article: Attaching PDFs to business returns for e-filing in ProSeries Professional

If you continue to have troubles contact us.

J

JMadAuthor

Level 5

I am aware of this...this is what the reject explains. There is a smartbox above line 2 with an "explain" button that you click on to put an explanation. That creates an attachment to the return. I have done this all filing season but now...at the 11th hour of the last deadline, Proseries has some sort of glitch and it is bumping the return. NOONE at Proseries is able to help and they won't escalate the issue. THe only way to attach a pdf to the 1116 is for the Schedule B.

L

lalaurence

Level 3

Yes, we are having the same issue as well, and with no assistance from ProSeries. Basically, he said we'd have to paper file.

M

Michelle7

Level 4

So strange because I have the same info in other 1040 returns with no error. Very frustrating that Proseries has known about this for almost a year (based on this discussion).

Rob-W

Level 2

This worked for us:

We entered the Form 1116, Line 2 "Expenses definitely related" on Line 5, "Losses from foreign sources", instead. The Line 6 totals remain the same. To cover ourselves, we add the following note to both Line 2 and Line 5 and tick the box, "Print this note as part of the tax return for filing":

These are definitely related expenses that normally are entered on line 2. Trouble is, there is a ProSeries tax software glitch associated with the line 2 required statement that prevents efiling when an amount is entered on line 2. Therefore the expenses are entered on line 5 as a workaround to permit efiling.

We hope this is helpful, and we hope ProSeries is able to sort out this issue with the IRS soon and fix it in the software.

B

beanctr72

Level 3

Thanks so much for your help Rob - this worked for me!!! Really appreciate you taking the time to reply and help out on this!

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