Release Notes for 6-in-1 Version 2015-035

6-in-1 Estate Administration Software, v2015-035 February 4, 2015

We’re delighted to announce first release of 6-in-1 Estate Administration Software for 2015.

08/29/2015 (10:20 am): Standalone and Server versions uploaded again to website (yesterday’s upload apparently was only 67% complete).

08/28/2015 (10:00 am):

e-file Status Report #2014-25

Version 2015-240 just posted. If you still need to e-file any returns by the 9/15/2015 extension date, we encourage you to download this version.

To date, 60 firms have e-filed 1,442 returns, as follows:

US: 1,020
NJ: 30
NY: 45
PA: 347

The SDK/Software Developers’ Kit error (based on an issue known to the IRS since March but only recently communicated to us) was resolved by SDK v5.3 that we received last week from the IRS. We incorporated this version into the software several days later. All 22 such returns have now been resubmitted by the affected firms and have been accepted by the IRS.

The only known remaining issues are the following:

1) 10 returns were marked as “Duplicate” when, in fact, the first submission was accepted by the IRS. Yesterday, the IRS sent us the Submission IDs for the accepted returns. We will work early next week with the affected firms (via GoToMeeting) to set the status to “Accepted” in the 6-in-1 software.

2) One NY IT-205 has a value on Page 1, Line 34, that requires an attached “Wage and Tax Statement”. We will be addressing that issue within the next several days.

There are still occasional odd data conditions that arise, and we deal with them on a case-by-case basis. As always, we look forward to ensuring that you get all of your extended 2014 returns e-filed and accepted by the 9/15/2015 due date.

03/05/2015 (9:00 am):

You can view a copy of the entire set of 2015 Release Notes by clicking on the pdf file listed above:Release_Notes_2015_063.pdf

Comic Relief
www.ShipSnowYo.com: can place order for Boston snow to be shipped overnight to anywhere in the country (6 lbs or 22 lbs). This website will add add a little levity to your intense tax work this time of year.

e-file
You can now validate your returns just as you did last year, but not yet e-file them. Now that we have completed our exhaustive review and analysis of the PA-41, with its more-than-complicated instructions for Schedules A and B, we will be focusing almost exclusively on completing e-file testing (1041, NJ, NY, and PA). Most preparers are providing beneficiaries with their K-1s, but holding their returns until e-file becomes available.

We have continued our discussions with the IRS (initiated on 2/3/2015) about the “stockpiling” rule, and expect to hear further on Friday 3/6 or Monday 3/9. Once the IRS figures out what department is responsible for addressing this issue, it may become moot, e-filers will e-file, spring will arrive, and 2015 returns will be upon us before we know it!

PA-41
1) Please see the PA-41 Chart (pdf file listed above). This is one of the best ways to understand fully the flow of income to the 1041, and via the 1041 to the PA-41 (with additions, reductions, and moves to other schedules).

2) Please see the PA-41 Comments (pdf file listed above). See in particular discussion of $250 penalties for various failures to file (PA-41) or provide/attach (RK-1s, NRK-1s).

Changes from 2015-048 to 2015-063:

709
Page 4, Details button: now correctly navigates to 2014 version of the Details screen, then back to the 2014 version of Page 4.

PA-41
Pre-2014 returns: corrected some issues relating to statements and subtotals for interest and dividends, by restoring old behavior (pre-2014) while preserving new behavior (for 2014 and later).

Schedule B: the Line 5 total now includes the U.S. Obligation portion of Line 4.

Print Options: now include a statement for Schedule B, Line 7, when it includes two types of income (i.e., PA and non-PA Obligations). Also display “See attached statement” in the Description field on Line 7 in this scenario.

View: now includes above statement for Schedule B, Line 7.

Schedules A and B: for transactions that are partially taxable (non-PA Obligations) and partially exempt (PA Obligations), now include the exempt portion on both the addition and the reduction lines (so that this income is a wash).

Help screens: expanded help text in various help screens. Be sure to click on nearby help buttons if you have questions on various aspects of the program.

RK-1/NRK-1: note the sections on “Foreign Address Standards” (page 1 of the RK-1 and NRK-1 instructions).

Capital Gains Distributions/Short-Term: Code 18.97 now behaves just like 26.15, by suppressing amount from PA-41, Schedule B, Line 8 (because now included on Schedule B, Line 1, which comes from the 1041, Line 2).

1041
Schedule I, Line 72, text label: now prints on the non-blank version of Schedule I, Page 3 (was inadvertently set to “Do not print”).

Schedule D, Page 2 (non-blank version), Part V, Lines 28 and 33, text labels: now correctly display $2,500 and $12,150 (rather than $2,450 and $11,950). This was only a text display issue. Calculations were not affected.

Numbers screen: Line 24e now gets cleared if you recalc with “Clear overrides” box checked.

Penalties
$100 for each incorrect/missing K-1 or beneficiary TIN
$250 for each reporting requirement intentionally disregarded
$1.5m maximum per calendar year

Codes and Categories

We have added several codes and categories to handle the new distinctions required by Schedules A and B of the PA-41:

Codes:
1) Interest: 18.84, 18.85, 18.86, 18.91, 18.92, 18.93, 18.94
2) Dividends: 19.84, 19.85, 19.86, 19.87

Categories:
1) Income: Dividend K-1…
2) Income: Interest K-1…
3) Income: Exempt Dividends… Descriptions modified to refer to three types of Obligations for state income tax purposes: U.S. (exempt), THIS State (exempt), and State/Local (fully or partially taxable)
4) Income: Exempt Dividends… Same as above
5) Dividend Reinvestments: Taxable FED and STATE, Exempt FED and STATE, Exempt FED/Taxable STATE

Transact
2013 Capital Gains/Losses: restored checkboxes A-F for Form 8949 classification purposes (logical inadvertently suppressed this section for 2013 transactions).

PAF Screen: added “Exempt” amount field, and moved “% Exempt” field to the immediate right of the “Exempt” field. “% Exempt” field displays only for transactions that could be fully/partially taxable for PA purposes.

PAF Screen: in the upper left, added a copy of the Amount field from the Main screen. This can be helpful when the amount is split between Taxable and Exempt. A future version will read “Gross Amount” at the top.

Beny Allocations: clearing beneficiary information (with “<=Clear=>” button) will now remove the red block that signified a mismatch between a beneficiary previously selected in Transact and a newer version of that beneficiary record now used in the Beneficiaries file.

PA-41 Adjustments: green button on main Transact screen also available on PAF screen in Transact. Clicking on Transact/Advanced will now take you back to the main or PAF screen (from which you chose PA-41 Adjustments).

PAF Screen: can now navigate directly to PA-41, Schedule A or B (buttons at top).

Beneficiaries
Grid: cash bequests made to a surviving spouse now properly appear in the 0% column on the PA-1500 Tax Allocation screen. This is an uncommon scenario, but happened to emerge within the past two weeks.
Grid: arrows at top of pre-residue columns (click to display asset allocation reports) now default to sorting by beneficiary (within schedule).
Grid: above state-level asset allocation reports again display the state inheritance values for all transactions.

CT-706 NT
Page 2, Part 3: now correctly displays amount in Column C for life insurance on the life of the decedent.

M-706 (MA Estate Tax)
Page 1: Added field for Executor’s telephone number.
Page 2: Added lines to Part IV for penalty, interest, and tax payments (in addition to payments made with extension).

NJ Inheritance/Estate Tax
Schedule “B_00” (Closely Held Businesses) now mapped to Schedule E-6 of the NJ Estate Tax Return.

NJ Inheritance Tax
Schedule E (Beneficiaries): Total of rightmost column (Interest of Beneficiary in Estate) now displays total of all beneficiaries, not just the amount assigned to the last beneficiary on the schedule.

NJ-1041
Address now correctly displays attorney address when you toggle from Executor to Attorney.

NY IT-205
Tax paid with voucher (NY): confirmed advice received from the NY Department of Taxation two years ago (report this tax on Line 30, Estimated Tax Paid).
Tax paid with voucher (US): for consistency, could report this on Line 24a, Estimated Tax Paid. Raised this with the IRS, but did not get a definitive answer.

Accounting (PA)
Proposed Distributions: language at bottom (“balances subject to increase/decrease…”) now optional. Will display only if you check box on the right panel of the Print Options screen.

02/17/2015 (6:00 pm): 6-in-1 update 2015-048 is available for immediate download. It is a cumulative upgrade. If you downloaded 2015-044 (Friday, 2/13/2015, not announced), 2015-048 will serve as a “minor” update (no Transact file, and therefore must faster to complete).

Alternate download link:

6-in-1 Downloads Page

02/13/2015 (6:05 pm): 6-in-1 update 2015-044 is available for immediate download.

02/04/2015 (11:35 pm): 6-in-1 update 2015-035 is available for immediate download:

Standalone: 2015-035-v10 (note: there is no “035a” for the standalone version)

Server: 2015-035a-v10-server

It includes the following:

709: Pages 1-5 and related worksheets

1041: Pages 1-2, C, D, E, ES, F, I, J, K-1, V, 1116, 2848, 4562, 4797, 5227, 6252, 8582, 8821, 8879-F, 8949, and 8960

State Fiduciary Income Tax: CT, DE, IL, IN, MA, NC, NJ, NY, OH, PA, VA, WI

PA-1500:
Revised versions of Pages 1-2 released on 12/17/2014. Existing form still acceptable at Registers of Wills throughout Pennsylvania. Both 6-in-1 and I-Tax versions have passed testing with the PA Department of Revenue.

Includes the 2015 interest rate (.000082 daily, or 3% annual), plus slots for interest rates through the year 2020.

New Schedules AU (Agricultural Use Exemption) and C-SB (Small Business Exemption) are also included.

NY ET-706: New versions for decedents dying between (1) 1/1/2014 and 3/31/2014 and (2) 4/1/2014 and 3/31/2015. The latter has a rather complicated “cliff” or “notch” calculation that has been incorporated in the software.

Notes:

Full approvals received for nine of the 12 states, including four that came in on Thursday, 1/29/2015

IL: approval pending on the IL-1041 K-1-T
IN: approval pending on Pages 1-2 (the Department is waiting for an update to its machine-testing software)
OH: approval pending on Pages 1-5 (the Department released its final nine vendor samples for testing on 1/12/2015)

In each case above, if there are no changes required to the versions as they initially ship, we will provide you with codes for IL, IN, and OH to remove the “Do Not File” watermarks.

Modernized e-file (“MeF”): our team has been working on this for several months. We will be supporting MeF 1041, NJ, NY, and PA. As we wrote in previous e-mails, all three states will “piggyback” on the 1041 filing. In other words, when you e-file your 1041, you will need to e-file your corresponding state return at the same time. Both returns will go to the IRS, which will validate the state return before handing it off to the state. Any acceptance or rejection results will then come directly from the state. If, for some reason, you will not need to e-file a state return, we will provide a checkbox to allow the 1041 e-filing without the corresponding state e-filing.

We will keep you posted as we move through the testing process with the IRS and the three states.