Preparation and Franchise/Network Fees



Why does the bill show fees withheld from the bank product?

On the BILL,

"Preparer Fees to be withheld from bank product" consist of

  • Your tax preparation fee, which you set

"Miscellaneous Fees to be withheld from bank product" consist of

  • Your Franchise/Network fee (if any), entered on the ERO screen
  • Audit protection fees (the cost of the product, and the Audit protection document prep fee and franchise/network fee, if any)

If you do not want bank product withholding to appear on the bill, go to Setup > Options, to the Billing tab, and clear the option box for Show preparer fees withheld from bank product. Deselecting the option results in a balance due, since the bill does not show the fees to be withheld from the bank product.

Where Does The Franchise/Network Fee Appear In A 1040 Return?

The Franchise/Network Fee (a multi-site fee indicated on the ERO screen) is charged if there is a bank product. It appears in View on the BILL, the Bill Summary (BILL_SUM in Drake15 and prior) (if enabled) and bank INFO page.

  • The BILL must be set to show form details. Select an option on the Billing tab at Setup > Options to display form details, such as Show forms, form prices and total.
  • The Bill Summary must be enabled on the Optional Documents tab at Setup > Options.

Why am I not getting the correct amount of tax preparation fees withheld or deposited on my bank products?

In view mode, look at the bank INFO sheet

  • EPS_INFO
  • RB_INFO
  • TPG_INFO
  • RA_INFO
  • RF_INFO

Note the tax preparation fee amount. Your normal tax preparation fee may be modified from

  • the BILL screen
  • the Fee Override field on the demographics screen (screen 1)
  • the Tax preparation fee override on the bank screen

Check those three places to determine the sources of the tax prep fee shown on the bank INFO sheet.