17095: 2021.02.04 - Drake20 Updates

Arkansas Update 6

• S Corporation Package:
  • Depreciation related to rental real estate income reported on federal Form 8825, Rental Real Estate Income and Expenses of a Partnership or an S Corporation, is no longer included on line 20, "Depreciation," of AR Form 1100S, S-Corporation Income Tax Return.

Arizona Update 9

• Individual Package:
  • The amount of credit used in prior years on Form 323, Arizona Credit for Contributions to Public Schools, will now be rounded to the nearest whole number, preventing a parse error for element "CtrbMdFePdPblcSchl."
  • EF Message 921 is no longer generated when there is a refundable credit for Form 308-I, Credit for Increased Research Activities - Individuals, and no other credits are included in the return.
  • The program has been updated to comply with the latest AZ tax laws and regulations.

California Update 10

• Individual Package:
  • CA worksheet SDI (CAWK_SDI), Excess SDI (or VPDI), has been updated to use the amount in box 16, "State wages, tips, etc.," of CA Form W-2 when calculating the total amount of gross wages subject to SDI withholding.
  • The spouse's signature date is now generated as expected for CA Form 8879, e-File Signature Authorization for Individuals.
  • An update prevents reject "F5402EZ-960" when "Dependent of another" is marked on federal screen 1.
  • Certain EF Messages have been updated to prevent a parse error for nonresident returns that are also a depended of another.
  • An update prevents a parse error for element "PreparerName" being invalid when certain characters are included in the preparer name.
  • Schedule S, Other State Tax Credit, has been approved and activated for printing.
  • An update prevents a parse error for element "AddressLine1Tx", "PolicyAllocation", and "PASRepayment".
• Individual and Fiduciary Packages:
  • A program update prevents a parse error for element "State" being invalid when "TX" is selected from the "Other State Abbreviation" drop list on CA screen S. 
• Individual, Corporation, S Corporation, Partnership, and Fiduciary Packages:
  • The list of valid county codes for CA screens 593 has been updated based on the latest published information from the state.
• Corporation Package:
  • Certain EF Messages have been updated to prevent CA Form 100, California Corporation Franchise or Income Tax Return, returns from being e- filed when federal Form 1120-H, U.S. Income Tax Return for Homeowners Associations, is included on the return and there is no PDF copy of the federal return attached to the CA return.

Georgia Update 1

• Individual Package:
  • When the check box "SSN" has been selected on federal screen 99N, the box "SSN" on pages 3 and 4 of GA Form 500, Individual Income Tax Return, will be marked also.
• All Packages:
  • The following forms have been approved and activated for printing:
    • IT-CA, Georgia Job Tax Credit
    • IT-CCC100, Tax Credit For Cost Of Qualified Child Care Property
    • IT-CCC75, Tax Credit For Cost Of Operations 
    • IT-FC, State of Georgia Department of Revenue Film Tax Credit 
    • IT-IC, State Of Georgia Investment Tax Credit 
    • IT-QJ, Georgia Department of Revenue Application For Georgia Quality Jobs Tax Credit
    • RD-1061, Georgia Department of Revenue Power of Attorney and Declaration of Representative,
• Fiduciary Package:
  • Form 501, Fiduciary Income Tax Return, has been approved for e-file. 

Iowa Update 7

• Individual, S Corporation, and Fiduciary Packages:
  • IA reject X0000-006, "The state XML data must conform to a supported schema version, XML Error Reject and Stop Active," has been resolved and will no longer be generated when IA amended returns are e-filed.
• Individual Package:
  • An issue that caused random numbers to appear on IA screen PEN, Underpayment Penalty, when the return was calculated has been corrected. 

Louisiana Update 4

• Individual, Corporation, and S Corporation Packages:
  • The following forms have been updated and activated for printing: 
    • R-210R, Underpayment of Individual Income Tax Penalty Computation 2020 Taxable Year
    • IT-540ES, Estimated Tax Declaration Voucher For Individuals
    • LAEX-WK, Worksheet for S Corporation Exclusion
    • R-8453, Individual Income Tax Declaration for Electronic Filing
    • R-6906A, Corporation Franchise Tax Initial Return
    • LA620FIT, Federal Income Tax Deduction Worksheet, 
• Partnership Package:
  • Form 565, Partnership Return of Income, has now been approved for e-file.
• Individual Package:
  • When a federal disaster credit entered on LA screen EH, an "X" will now be printed on line 9 on page 2 of Form IT-540, Louisiana Resident return, or line 10D of Form IT-540B, Louisiana Nonresident and Part-Year Louisiana Resident return. Prior to this update, the federal disaster credit was added back to the federal tax liability but the box was not being marked.
  • On the LA EH screen, line 33 ("Code 49E") is now a marked as a direct-entry field. Prior to this update, it was marked as an override field but functioned as a direct-entry field. 

Michigan Update 6

• Corporation Package:
  • e-File is no longer allowed when line 9d, "Total sales of the corporation/UBG," of Form 4891, Michigan Corporate Income Tax Annual Return, is negative, preventing a parse error on element "TotalSalesCorporation."
  • An update resolves a parse error on the element "NameofShareholder." 
  • Line 20, "Taxes on or measured by net income," of Form 4891, Corporate Income Tax Annual Return, has been updated to include only the amount of state and local income taxes deducted on line 17, "Taxes and licenses," of federal Form 1120. Prior to this update, overpayment amounts for the following tax year were included on this line.
• Individual Package:
  • Line 48, "Divide line 47 by 366 and enter percentage," of Form MI-1040CR, Homestead Property Tax Credit Claim, now displays the intended ratio of days occupied as a percentage when the amount is a whole number, resolving a parse error on the element "Sold."
  • Form MI-2210, Michigan Underpayment of Estimated Income Tax, now uses the 10% penalty rate for line 24 on page 3, Part 3, "Figuring the Penalty," if a prior period overpayment is applied against a current year's taxes.

Montana Update 7

• Corporation Package:
  • Form CIT, Montana Corporate Income Tax Return, has been approved for printing.

North Carolina Update 4

• Individual Package:
  • Line 26b, "Penalties," of NC Form D-400, Individual Income Tax Return, now calculates the maximum 25 percent penalty as expected when the return is filed the following year after the due date.
• All Packages:
  • Form NC-478 Schedule, Pass-through Schedule for NC-478 Series, has been approved and is now available for printing. 
• Fiduciary Package:
  • Form D-407, Estates and Trust Income Tax Return, has been approved for e-file.
• S Corporation Package:
  • The amount for line 1, "Share of corporation income (loss)," of Schedule K-1 (Form CD-401S), Shareholder's Share of N.C. Income, Adjustments, and Credits, can now be overridden on line 3, "Deductions from income (loss)," of NC screen K1 so long as the override amount entered creates a difference of $1 or less for line 1. 

New York Update 6

• Individual Package:
  • EF Message 0715 will no longer be generated and prevent e-file as per Drake Tax receiving approval for additional testing outlined by the New York DoTF. 
  • Form IT-215, Claim for Earned Income Credit, has been updated to conform to the latest instructions outlined by the New York DoTF. 
  • NY screen "Use Prior-Year Earned Income to Compute the NYS/NYC EIC," has been added to the program. This screen is used when prior-year earned income is used to calculate the federal EIC. A link to this screen can be found on NY screen EIC.
  • The following adjustments from Form IT-558, New York State Adjustments due to Decoupling from the IRC, will now be included on line 8, "Business income or loss," on Form IT-215, Claim for Earned Income Credit:
    • A-008: Depreciation for qualified improvement property
    • A-009: Modifications of limitations on business interest
    • S-003: Depreciation for qualified improvement property
    • S-005: Modifications of limitations on business interest
  • Special condition code "P3" will now be generated on line G, "Enter your 2-character special condition code(s)," on page 1 of Form IT-201, Resident Income Tax Return, and line F, "Enter your 2-character special condition code(s)," on page 1 Form IT-203 when prior-year earned income is used to calculate the EIC.
  • EF Message 0716 will now be generated when prior-year earned income is used to calculate the federal EIC and prior-year earned income from 2019 has not been entered for Form IT-215, Claim for Earned Income Credit.
  • Form IT-209, Claim for Noncustodial Parent Earned Income Credit, has been modified to conform with the updated instructions outlined by the New York DOTF. A new screen, "Form IT-209..." (available from a link on NY screen EIC) is now available when prior-year earned income is used to calculate the federal EIC.
  • The following adjustments of Form IT-558, NYS Adjustments Due to Decoupling from the IRC, will now be included on line 15, "Business income or loss from Worksheet B" of Form IT-209:
    • A-008: Depreciation for qualified improvement property
    • A-009: Modifications of limitations on business interest
    • S-003: Depreciation for qualified improvement property
    • S-005: Modifications of limitations on business interest
  • Special condition code "P3" will be printed on line G , page 1, of the IT-201 when prior-year earned income is used to calculate the noncustodial credit or EIC on the IT-209. NY Return Note 492 will be generated when prior-year earned income is used to calculate the federal EIC and not included in the noncustodial credit calculation when the IT-209 is present in the return.
  • Changes have been made to Form IT-213, Claim for Empire State Child Credit, to conform with the recent changes made by the New York DOTF. 
  • Line 4a of worksheet "NY213_C, Worksheet C-Additional Child Tax Credit amount," and line 2 of worksheet "NY213_B, Line 11 for Worksheet B," will now include the following adjustments from Form IT-558, New York State Adjustments to Decoupling from the IRC: 
    • A-004: Exclusion for certain employer payments of student loans
    • A-008: Depreciation of qualified improvement property
    • A-009: Modifications of limitations on business interest
    • S-003: Depreciation of qualified improvement property
    • S-005: Modifications of qualified Improvement property
  • Special condition code "P3" will be printed on line G, page 1, of Form IT-201 when prior-year earned income is used to calculate the Additional Child Tax Credit amount on line 7 of the IT-213.
  • Form IT-216, Claim for Child and Dependent Care Credit, has been updated to conform with recent changes made by the New York DoTF. Lines 6, "Enter your earned income," and 7 "Enter your spouse's earned income," will now include the following adjustments from Form IT-558, New York State Adjustments to Decoupling from the IRC:
    • A-004: Exclusion for certain employer payments of student loans 
    • A-008: Depreciation of qualified improvement property
    • A-009: Modifications of limitations on business interest
    • S-003: Depreciation of qualified improvement property
    • S-005: Modifications of qualified Improvement property
  • Form IT-216, Claim for Child and Dependent Care Credit, will no longer be generated when line 16, "Enter the smaller of line 14 or 15," of Worksheet 1 - Dependent Care Benefits (NY216WK1) is "0" (zero). Prior to this update, Form IT-216 would calculate the dependent care credit even when line 15, "Enter the qualified expenses you incurred and paid," of NY216WK1 was "0."
  • The following forms have been approved by the NYC Department of Finance and are now available for printing:
  • NYC-1127, Return for Nonresident Employees of the City of New York Hired on or after January 4, 1973 
• Corporation Package:
  • Form NYC-2.4 ,Net Operating Loss Deduction (NOLD), was updated to match new format from the NY Department of Finance.
• S Corporation Package:
  • EF Message 0316 now gives directions on correct data entry (if no NY receipts, mark the "No receipts required..." check box on NY screen 5) to prevent reject 07120: "RCPTS_ALL_AMT cannot be 0 or blank when NO_RCPTS_IND is not checked"
• All Packages:
  • The additional preparer information from federal screen 2848 will now be printed on the New York state and New York City Form POA1, Power of Attorney when the "Use 2848 Information" check box is selected on a second NYPOA1 screen. (Open NY screen POA and click the "Representatives" link to open the NYPOA1 screen.) Press "PAGE DOWN" to generate the second NYPOA1 screen. 

General Program Update 18

• In View/Print, bank forms have been removed from the Federal tab.
• In View/Print, the Bill has been removed from the Federal tab.
• CSV display is improved when exporting via Tools>File Maintenance>Export Client/EF Data.
• Improves form ordering when printing Ohio forms from Basic View.
• Improves Drake Documents folder customization created via Setup>Printing>Drake Documents.

West Virginia Update 4

• Individual Package:
  • Schedule M, Modification to Adjusted Gross Income, now calculates the correct total for line 47, Column B. Prior to this update, amounts included on line 31, Column B, may have been included twice in the total of line 47, Column B.
• Corporation Package:
  • WV corporation tax returns can now be e-filed. 
• Corporation, S Corporation, Partnership, and Fiduciary Packages:
  • Form NRW-2, Statement of WV TAX Withheld for Nonresident Individual or Organization, can now be e-filed with the tax return and is available for printing.