Burke Posted April 13, 2020 Report Share Posted April 13, 2020 I have an issue with the penalty calculation on VA. Taxpayer underpaid during 2019 and it is calculating penalty correctly. However, when I go to create efile, I get a red warning that this form has to be attached as a pdf file due to "one or more exceptions is being claimed." NO exceptions are being claimed, but it is populating on page 1 and part 2 with last year's tax liability. Is that the problem? I tried removing it from page 1, but it still shows on page 2 under First Exception, and when I tried to remove it from Page 2 (had to override), the message still appears. This exception does not qualify as last year's liability is more than this year's. If I delete the form from the return, the penalty goes away entirely. I don't remember having to ever attach this form as a pdf file before, even earlier in this year's tax season. Is it new? Quote Link to comment Share on other sites More sharing options...
Possi Posted April 13, 2020 Report Share Posted April 13, 2020 I think it is because of the new deadline. There isn't a penalty for late payment until June 1. They will charge interest but not penalty. On mine, I zeroed out the penalty, got rid of the form, and informed the client that they might get a love letter. If they do, send it to me before paying it so I can check it. VA has been in the dark ages all frikkin season. 1 Quote Link to comment Share on other sites More sharing options...
Hahn1040 Posted April 13, 2020 Report Share Posted April 13, 2020 I had this problem before any of the extension/deadline issues. The first time, I tried everything I could think of to get rid of it, but since there were no exceptions being used, there was no way. So, i just make a pdf of the form and attach it. It seems absolutely insane since the form is already a part of the state return. Why does it need an attached pdf? It takes a few extra minutes to make the pdf, but then it is satisfied and allows me to e-file. A problem with getting rid of the form is that sometimes when you open the return again, it pops back in even though you had told it to go away. And for me, most all of my clients rather pay the penalty when they file rather than receive that letter in a few weeks (this year probably months). Inevitably the have forgotten all about the warning that they may receive a bill, so they go into a panic and call me exclaiming: "I thought I paid all my taxes! Now they want more!" Quote Link to comment Share on other sites More sharing options...
Christian Posted April 13, 2020 Report Share Posted April 13, 2020 Darn thing is irritating as h---. I rarely deal with it and my pdf files are invariably too large so I just let them mail it. How is it ATX cannot get this penalty form through the efile system since it is a valid Virginia fom. Quote Link to comment Share on other sites More sharing options...
Burke Posted April 13, 2020 Author Report Share Posted April 13, 2020 4 hours ago, Possi said: I think it is because of the new deadline. There isn't a penalty for late payment until June 1. They will charge interest but not penalty. I thought that only applied to the time period from May 1 to June 1. Are you saying ALL underpayment penalties are waived for the whole year? I am considering eliminating the form altogether, but I want to do a bank debit by 5/15/20 for the amount due which is fairly substantial not counting penalty which is minimal. So it would be nice to get a correct figure! I think I will just do the pdf. Sounds to me like a program error where the info should NOT appear on Page 2. ATX??? Quote Link to comment Share on other sites More sharing options...
Burke Posted April 20, 2020 Author Report Share Posted April 20, 2020 On 4/13/2020 at 3:59 PM, Hahn1040 said: A problem with getting rid of the form is that sometimes when you open the return again, it pops back in even though you had told it to go away. This is also happening to me. It's ridiculous. Quote Link to comment Share on other sites More sharing options...
Possi Posted April 24, 2020 Report Share Posted April 24, 2020 On 4/13/2020 at 5:39 PM, Burke said: I thought that only applied to the time period from May 1 to June 1. Are you saying ALL underpayment penalties are waived for the whole year? I am considering eliminating the form altogether, but I want to do a bank debit by 5/15/20 for the amount due which is fairly substantial not counting penalty which is minimal. So it would be nice to get a correct figure! I think I will just do the pdf. Sounds to me like a program error where the info should NOT appear on Page 2. ATX??? I'm sorry, I just saw this. No, the penalty waiver for VA is only from MAY 1 - JUNE 1. 1 Quote Link to comment Share on other sites More sharing options...
TAXMAN Posted April 26, 2020 Report Share Posted April 26, 2020 Did I read they will still charge the interest? Quote Link to comment Share on other sites More sharing options...
Hahn1040 Posted April 26, 2020 Report Share Posted April 26, 2020 All income tax filing deadlines remain the same, including the May 1, 2020 individual income tax filing due date. However, Virginia does already have an automatic, 6-month extension to file (7 months for certain corporations). If you file during the extension period, make sure you still pay any taxes owed by June 1, 2020 to avoid penalties. Late payment penalties will not be charged if payments are made by June 1, 2020. In addition, Governor Northam has submitted a budget amendment to House Bill 29 and House Bill 30 to waive interest on income tax payments originally due during the period from April 1, 2020 to June 1, 2020 if payment is made by June 1, 2020. If approved by the General Assembly at their April 22 reconvened session, this waiver of interest would apply to TY 2019 final payments and extension payments. Any addition to tax otherwise applicable to estimated payments for the first quarter of TY 2020 would also be waived, provided the payment is made by June 1, 2020. Have not seen that they have voted to waive the interest... so as it stands now.. interest but no penalty if paid Ma1- June 1 https://www.tax.virginia.gov/news/coronavirus-updates Quote Link to comment Share on other sites More sharing options...
Hahn1040 Posted April 27, 2020 Report Share Posted April 27, 2020 Just out from VA tax: Important Information Regarding Virginia's Income Tax Payment Deadlines: Interest Waiver for Certain Tax Payments in Response to the COVID-19 Crisis Virginia Tax is announcing that certain income tax payments originally due during the period from April 1, 2020, to June 1, 2020, may now be submitted to the agency without the accrual of interest as would otherwise be required for late payments. This waiver of interest only applies if full payment is made on or before June 1, 2020. For a taxpayer filing on extension, at least 90% of the total tax liability must be paid by June 1, 2020, in order for the interest waiver to apply. If the interest waiver applies to such a taxpayer, no interest will accrue on the amount of tax paid by June 1, 2020, but interest will accrue from the original due date to the date of payment on any amount left unpaid after June 1, 2020. 1 Quote Link to comment Share on other sites More sharing options...
Burke Posted May 3, 2020 Author Report Share Posted May 3, 2020 JUST FYI: ATX fixed the problem with the alert , and the 760C is now calculating with no error issues or PDF requirement. Quote Link to comment Share on other sites More sharing options...
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