Misleading Warning on 2441

[FedupCPA]

Just a heads up because this caused some confusion in my office:

Client self-employed, has childcare. After standard deduction and exemptions, there was no taxable income, so therefore, no child care credit is available. All Good. When we go into Check Return to check for any omissions or errors, the following warning popped up:

"Form 2441 will not be transmitted. IRS requires either a credit, taxable benefit, or dependent care benefit amount from form W2 to e-file the form".

Client had no W2, but we still wasted 10 minutes or so trying to figure out if we had done something wrong. Finally determined that it is just a very poorly worded warning. Why am I not surprised with this stellar product?! So, if anyone gets this, it's not dire.

[Lee B]

You may have an older corrupted form, per the ATX board it was a problem earlier this week. i updated my forms yesterday for the first time this week and my data entry seems to be faster and the print manager is loading noticeably faster. Still on 12.9.

[FedupCPA]

I update my forms every day. Still on 12.9 and the program is crap.

[jainen]

>>Form 2441 will not be transmitted<<

i don't understand your objection. The form is not eligible for e-file with that data. You filled out the form, so if there is still some particular reason you need to file it you have to use paper. Don't blame ATX for telling you so--it seems like a good thing to know.

[FedupCPA]

I am not objecting, I am merely letting people know that this warning pops up even when it is not relevant. It caused us to waste time trying to figure out what we had done wrong with the return, when in fact there was nothing wrong. With the problems we have had with the software, we suspect everything and triple check everything, so this popping up was confusing. We figured that the wording is poor.

[Don in Upstate NY]

Just for the record, there are occasions when you fill out a 2441 even if is not required or beneficial. Here in New York we have a state Child Care Credit that is refundable. And of course the data for that form flows from the federal 2441. So you fill out the 2441 knowing that is will not reduce your federal tax (which is already zero), but will give you money back from the state. And, as the ATX warning says, the 2441 form will not be e-filed, but the state version will.

[Pacun]

I deal with three states. ONLY DC will give you child care credit. I do not intent to overkill the horse if I see the tax liability is 0 after the exemptions on the other two states, I don't enter that info. I don't even bother to get that info from the client. I keep it in records as proof that the children were present in the US but that's it. The wording in ATX might be poor, but if the program would transmit that form, the IRS could clearly read: You are a schedule C filer, I barely believe you can survive with the money you are reporting and on top of that you paid child care.

[BulldogTom]

Just a question, do you keep the form in the return just for the data it contains (EIN's of care providers, addresses, crap that the clients never remember) or are you keeping it for a different reason?

I charge by the form, so I eliminate forms not needed in the return.

Tom

Hollister, CA

[HV Ken]

Just a question, do you keep the form in the return just for the data it contains (EIN's of care providers, addresses, crap that the clients never remember) or are you keeping it for a different reason?

I charge by the form, so I eliminate forms not needed in the return.

Tom

Hollister, CA

For me, yes. With the Billing Manager, you can change the rate on the form to 0 and keep it in the return for the reasons you mentioned.