• Account Management
  • Update Firm Information
  • Update Addresses
  • Update Login Information
• PPR/ EF Activity
  • Increase PPR Balance
  • Client E-File Status
  • SBBT Funding Status
• Product Information
  • Download Products
  • Order Status
  • Product Licensing
  • Release Dates
• Support
  • Support Home
  • Top Support Topics
  • Newsletters
  • Phone Support

ProSeries Frequently Asked Questions

California Form 100S, Line 1 Incorrectly Includes Federal Form 8881 Credit

Products Affected:

• ProSeries/California S Corporation
• ProSeries Express/California S Corporation

Situation

California Form 100S, S Corporation Franchise or Income Tax Return, line 1 includes the Credit for Small Employer Pension Plan Startup Costs from federal Form 8881.

Workaround

You can manually make the necessary add-back adjustments as described below.

For the Federal Reconciliation Method

1. On the Form 100S Other Additions and Other Deductions Worksheet, Part II, Other Deductions, line 14, Other Expanding Table, enter the add-back deduction.
2. On Form 100S, page 5, Schedule K, line 1, column D, California ordinary income (loss) override to increase the loss or reduce the income by the amount of the add-back.
3. On Form 100S, page 5, Schedule K, line 19, Nondeductible Expenses Worksheet column D, override to reduce the California Nondeductible expense by the amount of the add-back.
4. If the suspend Calculations Schedule L and M-1 checkbox is NOT checked, on Form 100S, page 4, Schedule M-1, line 3, Expanding Table, override the entry Pension Plan Start-up Cost Credit and replace the description and amount by entering a space.

For the California Computation Method

1. On Form 100S, page 3, Schedule F, line 20 Other Deductions Expanding Table, enter the add-back deduction.
2. On Form 100S, page 5, Schedule K, line 19, Nondeductible Expenses Worksheet column D, override to reduce the California Nondeductible expense by the amount of the add-back.
3. If the suspend Calculations Schedule L and M-1 checkbox is NOT checked, on Form 100S, page 4, Schedule M-1, line 3, Expanding Table, override the entry Pension Plan Start-up Cost Credit and replace the description and amount by entering a space.
4. On Form 100S, page 4, Schedule M-2, line 5, Expanding Table, override the entry Pension Plan Start-up Cost Credit and replace the description and amount by entering a space.

This situation has been reported to our development team.

Did this information help you? Yes     No Does Not Apply     Comments about this page:   Note: You will not receive a personal response to your comment.