17297: 2021.07.08 - Drake20 Updates

New York Update 31

• Individual Package:
  • Form IT-2104, Employee's Withholding Allowance Certificate has been updated to conform with the 2021 version of the form. It will now be available for printing. 
  • Programming changes prevent reject, "B-Ack Internal Error," when Forms IT-201, Resident Income Tax Return and IT-203, Nonresident and Part-Year Resident Income Tax Return, are e-filed and two federal Schedules C are present but the program produces only one for printing.
  • Drake Tax was updated to conform with the updated instructions issued by the NYC DOF for part-year employees when filing Form NYC-1127, Return for Nonresident Employees of NYC. Attachment Pro Forma IT-360.1 (NY360EMP), is now generated when part-year employment dates are entered for the employee on NYC screen 1127. New screens EMP1 and EMP2 are now available as overrides for the new attachment. 
• Individual and Fiduciary Packages:
  • The estimated tax worksheets were updated to conform with the updated instructions for Forms IT-2105, Estimated Tax Payment for Individuals, and IT-2106, Estimated Tax Payment for Fiduciaries. Part A of Chapter 59 of the Laws of 2021 replaced the highest personal income tax bracket and rate for 2021 with three new brackets and rates for individuals, estates, and trusts. The following worksheets have been added to Drake Tax:
  • Individual Worksheets for Form IT-2105:
    • NYES_WK7-Estimated Tax Worksheets 11 and 12
    • NYES_WK8-Estimated Tax Worksheets 13 and 14
    • NYES_WK9-Estimated Tax Worksheets 15 and 16
  • Fiduciary Worksheets for Form IT-2106:
    • NYFESWK3-Estimated Tax Worksheets 4 and 5
  • No penalty will apply to any shortage in estimated tax payments that is attributable to this change, provided any shortfall is included in the 3rd-quarter estimated payment due September 15, 2021. 
• Fiduciary Package:
  • Line 3, "New York City adjusted gross income," of the New York Adjusted Gross Income worksheet (NYAGI), with Estimated Income Tax Worksheets NYESFWK1, NYESFWK2, and NYESFWK3, generates only the fiduciary share of any modifications from Schedule C of Form IT-205, Fiduciary Income Tax Return. Prior to this update, the total amount of NY source income was generated on the NYAGI worksheet instead of the fiduciary share of modifications.