Update From OH (3/13/26) – “We successfully began processing submissions again last evening after 6pm and acknowledgements started going out after 7pm.  If you were holding submissions back, you can now resume the transmission of submissions.”

Software vendors received the below message from OH this morning. Once corrected, we will be resending any impacted rejected returns.

“We are experiencing an issue after the implementation of error codes OH-IT1040-164 and OH-IT1040-165 and it is resulting in incorrect rejections for all Ohio IT 1040 submissions. We are going to be halting the processing of IT 1040 submissions shortly.  For any submissions rejected for error codes OH-IT1040-164 and OH-IT1040-165, they will need to be re-transmitted once we advise we are ready to accept returns again. 

We’ll communicate once we are ready to start processing IT 1040 submissions. 

We apologize for the inconvenience and appreciate your cooperation.“

Software vendors received the below messaging from Oregon. Note: The update in TaxSlayer will be deployed Monday morning.

Here is the link to the FAQs:  Oregon Department of Revenue : Oregon Kids Credit return adjustments : Individuals : State of Oregon.

Here is the link the press release: Newsroom – Department of Revenue

The below message was issued to vendors from PA. In short, you will not see this credit, if eligible, anywhere in the software for 2025. PA is handling everything downstream after the return is filed.

“Below is an update regarding the New Working PA Tax Credit (PA-40):

As most of you already know, a new refundable tax credit was recently enacted in Pennsylvania effective for tax year 2025. Unfortunately, due to the timing of the legislation, we are not able to change the PA-40 forms and instructions for tax year 2025. Because we were not able to add a new line or use an existing line on the PA-40 form, the department will be automatically calculating the WPTC for taxpayers who file a PA-40 and have claimed the Federal EITC on their 1040 return.

• Information regarding the credit can be found on our web site HERE.

The credit will be calculated at the time the return is processed and added to the existing Total Payments and Credits (Line 24) on the PA-40 return. The credit will not be added separately or calculated separately. Taxpayers who are receiving a refund will receive one refund from the state that includes the addition of the calculated credit. There will not be a delay in refund return processing due to us calculating and adding the WPTC for taxpayers who qualify for it.

Taxpayers who have a balance due, should submit their balance due payment as calculated at the time of filing and the department will refund any excess credit amount to the taxpayer after calculating the credit. If a taxpayer does not owe a balance and does not have a refund, a refund will be issued to the taxpayer after the calculation and addition of the credit by the department. All taxpayers who receive the new WPTC, will be issued a letter notifying them of the credit. The letter will be generated to the taxpayer at the time the PA-40 return is processed.

We understand that this change will add complexity for the upcoming tax year, and we do intend on updating the PA-40 form and instructions for tax year 2026 and after.

1/20/26 – All states are open.

We have released the first version of the following states. This list will be updated as additional states become available.

• Alabama
• Arizona
• Arkansas
• California
• Connecticut
• Delaware
• Georgia
• Hawaii
• Idaho
• Illinois
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Missouri
• Montana
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Pennsylvania
• South Carolina
• Utah
• Virginia
• West Virginia

Are tax calculations in the states finalized?

• No, this is an early version of states. As we receive finalized tax law and e-file changes from the states, we will be updating the state software. This will be a continual and ongoing process through early to mid January (which is typical of any tax year).

Are state prints finalized?

• No. As we received approved prints for the state forms, we will remove the “Do not Mail” watermark.

My state is not on the list, when will it be available?

• We will continue to post states as we receive approvals and/or communications from the states.

All software vendors received the below messaging from Delaware. There will be a delay in receiving DE acks from 9/18-10/6.

“DOR is implementing their final phase of our system modernization.  Our systems will be down from 9/18-10/6,  During this time, you may continue to file your modernized e-file returns. Acknowledgements will be issued for all filed returns when our system is back on-line.“

Message from Michigan Treasury.

4/15 2:15 PM: We are slowly working through the backlog. We apologize for the delay in service and will keep you posted on our progress.

4/16 8:00 AM: We made good progress yesterday and continue to work through the backlog today.

MICHIGAN TREASURY UPDATE – April 15, 2025

MeF Individual Income Tax

Michigan is experiencing delays in processing individual income tax production returns. We are working to resolve the issue and apologize for any inconvenience this may cause you and your customers.

Original Post found HERE.

How to identify if your site(s) has impacted returns:

Log into your site and go to the “Reports” menu. Under “Other Data Reports“, click on “Management Reports“. Look for the “Site Production 1099R State Duplication Report“. Inside the “Site Production 1099R State Duplication Report“, choose Tax Year 2024 and then select your EFIN under the “EFIN Selection” tab. Click “Run Report“.

Note: ONLY impacted returns will display. If your site report is blank, your site DOES NOT have any impacted returns and there is no further action.

What is an “Impacted Return”:

Impacted returns are returns where a 1099-R was present, state withholdings were duplicated AND the return was electronically filed AND accepted. Note: TaxSlayer has already deleted duplicate state records for 1099-R returns with duplicated state information that HAVE NOT e-filed.

Next steps if your site(s) has Impacted Returns:

Find your state in the list below and follow the guidance provided. Note: If your state is NOT listed, we have not received guidance from your state and no action is needed at this time. The below list will be updated as state guidance is received. IL, ME & OH will NOT have any impacted returns due to existing state business rules to reject 1099-R returns with duplicate state withholdings.

• Should a Federal Amended Return also be filed? An amended Federal return should only be considered if the Federal return used Itemized Deductions instead of the Standard Deduction since state withholdings are an Itemized Deduction.

Note: If your state indicates an amended return needs to be prepared and filed, when amending, review all 1099-R’s present in the return and delete all duplicated state details.

Alabama – Amended Alabama returns need to be prepared and filed.

Arizona – Amended Arizona returns need to be prepared and filed.

Arkansas – Arkansas is automatically adjusting impacted returns. No amended return is needed.

California – Amended California returns need to be prepared and filed.

Colorado – Amended Colorado returns need to be prepared and filed.

Connecticut – Amended Connecticut returns need to be prepared and filed.

Delaware – Delaware is automatically adjusting impacted returns. No amended return is needed.

District of Columbia – Amended DC returns need to be prepared and filed.

Georgia – Amended Georgia returns need to be prepared and filed.

Hawaii – Amended Hawaii returns need to be prepared and filed.

Idaho – Amended Idaho returns need to be prepared and filed.

Indiana – Indiana is automatically adjusting impacted returns. No amended return is needed.

Iowa – Iowa is automatically adjusting impacted returns. No amended return is needed.

Kansas – Kansas is automatically adjusting impacted returns. No amended return is needed.

Kentucky – Amended Kentucky returns need to be prepared and filed.

Louisiana – Amended Louisiana returns need to be prepared and filed.

Maryland – Maryland is automatically adjusting impacted returns. No amended return is needed.

Massachusetts – Amended Massachusetts returns need to be prepared and filed.

Michigan – Amended Michigan returns need to be prepared and filed.

Mississippi – Amended Mississippi returns need to be prepared and filed.

Missouri – Missouri is automatically adjusting impacted returns. No amended return is needed.

Minnesota – Minnesota is automatically adjusting impacted returns. No amended return is needed.

Montana – Amended Montana returns need to be prepared and filed.

Nebraska – Nebraska is automatically adjusting impacted returns. No amended return is needed.

North Carolina – Amended North Carolina returns need to be prepared and filed.

North Dakota – North Dakota is automatically adjusting impacted returns. No amended return is needed.

New Jersey – Amended New Jersey returns need to be prepared and filed.

New Mexico – Amended New Mexico returns need to be prepared and filed.

New York – New York is automatically adjusting impacted returns. No amended return is needed.

Oklahoma – Amended Oklahoma returns need to be prepared and filed.

Oregon – Oregon is automatically adjusting impacted returns. No amended return is needed.

Pennsylvania – Amended Pennsylvania returns need to be prepared and filed.

Rhode Island – Amended Rhode Island returns need to be prepared and filed.

South Carolina – Amended South Carolina returns need to be prepared and filed.

Vermont – Amended Vermont returns need to be prepared and filed.

Virginia – Amended Virginia returns need to be prepared and filed.

West Virginia –  West Virginia is automatically adjusting impacted returns. No amended return is needed.

Wisconsin – Amended Wisconsin returns need to be prepared and filed.