Question

Returns with a negative amount received on Schedule D are not eligible for electronic filing under Alabama?

Forum|Forum|6 years ago
March 25, 2020
4 replies
0 views

I have losses from trading securities on my Schedule D, why can I not efile AL State because of this?

Who doesn't have trading losses?

A

Anonymous

negative amount received? why are proceeds negative? if a stock became worthless the proceeds are 0 and the cost is the cost.

L

lildudeAuthor

There are 3 columns being used by me.

(D) AMOUNT RECEIVED, (F) COST OR OTHER BASIS, and (H) NET PROFIT or (LOSS) (COLUMNS D and E less COLUMNS F and G)

For example, it cost me 2 dollars for an item property, It became worthless and the proceeds were 0.

(D) = 0, (F) = 2, (H) = -2. Because of the negative value turbo tax says Alabama won't let me efile. Nor will Turbo tax let me manually add the value as (2) in the form item which would indicate a loss.

fanfare

Employee

some states, like NJ, don't let you deduct a final total of -2. you must enter -0-.

Maybe AL is the same. TT should handle it.

B

Bog2

I have the same issue.

It even states you can print and mail it in to state with this issue. Just can't efile.

Turbo Tax can't seem to resolve.

Yes, you can have negative Schedule D on federal. Mine is due to a capital loss on K-1.

The issue is that it won't let you file electronically...but it keeps looping on the error and won't let you go past it in order to file by mail.

Did you ever solve?

V

vinodkone

I have the same issue. Federal return seems to be fine with negative value in proceeds (looks like TT fixed it) but the AL state return is throwing up an error in TT. It asks me to paper-file instead of e-file because of this issue. Has anyone found a workaround to e-file the state return in this case?

fanfare

Employee

negative proceeds is snot the same as losses (negative gains)

proceeds can't be negative.

you cant receive negative dollars for your sold security.

J

jkttax

Yes. Everyone gets it - you can't sell something for negative dollars. Useless comment.

Apparently you didn't really try to figure it out.

When I first called TurboTax I was assured by the man that "it must be a new rule for Alabama since TurboTax said so". I was skeptical - his response made no sense to me and told him - "I'll research this and if I find it is a TurboTax problem, I won't be surprised and that may impact my decision to use it in the future".

What's really happening (for me at least) is that TurboTax was erroneously entering a negative amount in column (d) on Alabama's schedule D. THIS IS/WAS A TURBO TAX PROBLEM. My entry came about due to sales of contracts/straddles / Form 6781.

I called TurboTax back and they said, amazingly, that the problem had been fixed "5 days ago". Yet, my TurboTax said it was up to date. Even after de-installing and re-loading a new version (sent to me by the helpful ttax lady), My version still said it was up to date and still had the problem. I ultimately resorted to editing schedule D myself to fix the problem. Had to make stuff up, but result in the essential correct outcome. Not good.

R

ronald3rg

Change cost basis to the $ amount thats reflected negavite minus the(-) and put 0 on amount received. THis is essentially displaying your loss in a way the program understand it fixing your problem.