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So basically I'm a new business. I bought H&R Block's Premium tax software to file my return. I fill out the form, and at the very end I get an error message saying "This product is not yet approved by the IRS for electronic..." and it takes me simply to an overview of the form.

I contacted their support and they said the 1120 form is simply not finalized, even if I mailed it. I see two red flags with that 1) I'm nearing the deadline, and 2) This form has been around for awhile.

I wanted to ask the community what their experience is with this kind of problem before I just get a penalty on my first tax season?

Thanks.

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This form is due March 15. This year, the 15th is Saturday, so the deadline is Monday March 17th.

Keep in mind, the software guys would have two choices, wait until every last form is finalized before releasing, or put the software out by late November when 80%+ are good to go.

Nothing is broken in this process. Keep in mind that there are different needs depending on the individual. I like to grab a copy in early December, and have a preliminary idea of what my return with look like. I'll also know if I'll owe so much that I should send in a quarterly tax payment. The IRS isn't accepting any return until 1/31 I believe, so you've lost no time.

When you open the program, it usually ask to 'phone home' and update. In a couple weeks, all should be well.

(Disclosure - I have guest posted on tax issues at both TurboTax and H&R Block's blogs. The above are my own views.)

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  • I agree the companies have no choice. In some recent years congress has made adjustments to tax laws on new years eve, or even New Years Day. Then the IRS needs time to create the forms, before the companies can make their adjustments. The October shutdown in 2013 also played a role in this years delay. – mhoran_psprep Jan 19 '14 at 15:11
  • Thanks. What happened was I kept reading that x was due on the 31st from variuos docs. And when I asked what's happening, the tech guy gave no explanation. All he said was the IRS hasn't finalized anything, so I was like "oh boy, the 31st is coming." and he ended it there. – Stephen J Jan 23 '14 at 15:58
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The forms get updated every year, and the software providers need to get approved by the IRS every year. "Form is not yet finalized" means that this year form hasn't been approved yet. IRS starts accepting returns on January 31st anyway, nothing to be worried about.

Why are you nearing a deadline? The deadline for 1120 (corporate tax return) is 2 and 1/2 months after your corp year end, which if you're a calendar year corp is March 15th. If your year end is in November/December - you can use the prior year forms, those are finalized.

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  • Various documents, half of them say march, is why I was worried. – Stephen J Jan 23 '14 at 15:59

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