e-File Required

TN FAE 170 is required to be e-filed unless the taxpayer has requested and been approved for a hardship exception. Due to this requirement, even if you have chosen the paper-file option on the federal COMM screen, the result letter will still show that the TN 170 will be e-filed. The letter cannot be changed, however, the TN Instruction page will show the paper-file instructions in case the taxpayer is eligible for the hardship exception.

The TN DOR has details about how to be considered for a hardship exemption on their website.

Payments for Schedule E

Except for an amount paid with extension, prior year payments flow from the ES screen. On the left side of the ES screen, for estimated taxes paid in the current tax year, select TN from the St/City drop list. In the Type drop list, select FR - State Franchise Tax FR - State Franchise Tax. The payments appear on TN FAE 170 PG 2 in View/Print mode.

Schedule G (Real and Tangible Property)

Tennessee Form FAE 170, Schedule G amounts flow from entries made on the federal 4562 screens, which carry to Form 1120, Schedule L in View/Print mode.

Overrides for Schedule L at the federal level can be made using the L and L2 screens. If you need to change the way that assets are reported on just TN Form FAE 170, Schedule G, use the override fields on TN screen G.

If you need to apportion assets between multiple states, the APPT screen should be used (see Drake Tax - 1120, 1120-S, 1065: Multistate Apportionment for more information about this feature).