Update from Illinois. Any impacted IL returns can be resubmitted at this time.

“We have corrected the problem with our code that was causing returns to erroneously reject for Business Rule IL1040-4000-2.  The correction has been tested and was deployed to production at around 2:00 PM CST. You will need to retransmit the returns that were rejected by us for IL1040-4000-2 yesterday and today.

We are also in the process of running through the returns that we held since shutting down the acknowledgement process this morning. It should take less than 30 minutes to run the backlog of returns through.”

Software vendors received the below correspondence from Illinois today. Illinois will provide another update once impacted returns can be resubmitted for processing.

“We are aware of the issue with erroneous rejects for Business Rule IL1040-4000-2. We made a coding change yesterday and deployed it to production around noon. As you know by the rejections you are receiving, there is an issue with the code. We have stopped the acknowledgement process until we have a correction in place. I will email you all again once we have made the correction and deployed it.”

Update 2/27/2019

Software vendors just received the below messaging from Arizona Department of Revenue. It seems the state may have implemented changes without allowing vendors adequate time to implement these updates internally. AZ is in the process of rolling back updates. Any impacted AZ returns with Reject Code 603 or 636 can be resubmitted at this time.

“Business Rule 603 and 636 Communication: We apologize for the inconvenience and the late notification on these changes. We will roll back the changes within the next few hours, to provide you with more time to implement them. We will send another notification when the changes have been rolled back.  We plan to relaunch these changes on March 28, 2019.”

We have opened Issue 2993 regarding the below Arizona reject code some sites have received. Please hold impacted AZ returns until we mark this post as resolved to resubmit impacted AZ returns.

Reject Code: 603 – ATT – If the itemized indicator is checked, a Federal Schedule A must be attached to the Arizona XML; ATT – An AZ Schedule A series or Federal Schedule A, Itemized Deduction form, was not attached to the return.

Question:  How should I have my Office Settings so the preparer does not print on the 8879 or on 1040 page 2?

Answer:  Select ERO Name Only from the Signature on Form 8879 drop down box and select Hide preparer Name on 1040 Print

Question:  What does marking Disable Third Party Designee Prefill do?

Answer:  It prevents the preparer information from populating the third party designee information in the e-file section.  The section will remain available in the event a third party other than a volunteer preparer needs to be designated.

Question:  If I select Hide Preparer Name on 1040 print will it also hide the preparer name on the state return?

Answer;  Currently no, but we are working on a solution that will incorporate the use of this option at the state level.  When this feature is completed and in production the state name will not be printed on the state return if this is selected.

2/21/2019 – This is now resolved.

We have opened Issue 2818 to correct a display issue showing on the Submission page of some returns. The below is only a display issue and no fee is actually assessed or required prior to submitting VITA/TCE tax returns. We apologize for any confusion this may have caused.

We anticipate having this display issue resolved with our next deployment this week.

Update – The latest IL schema was updated in the software before IL was ready to begin accepting the new schema electronically. As of 2/19, these IL returns with Reject Code -9999 can be resubmitted.

We have received several support contacts regarding Illinois Reject Code -9999 regarding an Invalid State Schema shown below.  We have opened Issue 2841 to work with IL to determine what may be causing this particular IL reject. If you have any IL returns rejected for this reason, please hold those returns until we provide an update on this post.

Update from Kentucky – 2/14/2019

“We resumed sending acknowledgements this morning.  Please give us until Monday, 2/18 to catch up processing before checking on outstanding acknowledgements.  We apologize for the inconvenience this has caused and appreciate the patience you have shown us.”

Update from Kentucky – 2/11/2019

“We are in the process of making a change to MeF that involves the acknowledgement process.  We have stopped sending acknowledgements until it is verified that the change will  not negatively  impact the acknowledgement process.  We anticipate resuming acknowledgements on Wednesday, 2/13/2019.”

Kentucky has only downloaded a small batch of returns that have been submitted.  They are walking them through their system to ensure that everything is working properly.  They are hoping to be current by the end of the week.

Software vendors received the below messaging from MA DOR.

“Please be advised that reject code F1-1172 which had been incorrectly rejecting some returns has been fixed. F1-1172: The Schedule E-1, line 20, loss amount must equal Schedule E-1, line 23, losses amount for royalties. Any incorrectly rejected returns can now be resubmitted.“

Scenario:  The taxpayer is filing MFS and they are eligible for the Refundable Sales Tax Relief credit on HI (like a low income credit) and the spouse’s AGI is zero or not know, the Hawaii return must be filed via paper.