e-file Alerts for 2024 Editions of Tax Preparer

Supplemental instructions for IRS e-file

Click on the subject below for more information.

•  IP address. See our explanation on when you might have to make an entry for this item on our e-file form, and tips on getting the address automatically.
•  Entering relationship on Dependent Worksheet. The list of IRS-accepted entries is more restrictive than you may expect.
•  Entering business or employer Name Controls. 4-character name controls are required for W-2, W-2G, 1099-R, and Care Provider (for 2441) Worksheets.
•  Preparing a decedent return. The IRS has special requirements for e-file.
•  2-letter Foreign Country Codes. The name of a foreign country must now be entered as a 2-letter code as listed here.

Setup for E-file Output Location

E-file output from Tax Preparer is always stored in a folder named E-FILE that is a subfolder of the folder where you installed Tax Preparer. Since Tax Preparer is installed, by default, in the standard Windows folder for programs, the proper entry for DATA PATH when setting up your transmission sofware is:

•  For computers running under 64-bit Windows: "C:\Program Files (x86)\HowardSoft Tax Preparer\E-FILE"
•  For computers running under 32-bit Windows: "C:\Program Files\HowardSoft Tax Preparer\E-FILE"

Most recently-purchased computers are 64-bit computers. However, if you are not sure whether yours is a 64-bit computer or not, you can easily tell by looking at the contents of your main drive with Windows Explorer or File Explorer. If the root directory of your C-drive contains a folder named "C:\Program Files (x86)" in addition to one named "C:\Program Files" then you have a 64-bit computer. But if you see only the folder "C:\Program Files" then you have a 32-bit computer.

IP address

The IRS requires that all e-file providers supply the IP address that identifies the internet provider they use for transmission to a third party (NTS) or the IRS. If your computer has an active internet connection, this is done for you automatically when you generate e-file output. However, if you are either generating e-file output on a computer that has no active internet connection or you using a remote computer, you must determine the IP address of the computer you will use to send the return to our 3rd party transmitter and enter that address for "ERO's IP address (auto if blk)" on screen 8 of Tax Preparer's e-file form. To do this, go to the computer you will be using to transmit and access Current IP Address. The appropriate IP address will appear in boldface to the right of a bold "IP Information:" label. This number must be entered in our software exactly as it appears on the screen. It will consist of four numbers separated by periods. CAUTION: If you neither enter an IP address nor have an internet connection while generating e-file output, you will not be able to generate ELECTRONIC Filing Output!

Beware IRS restrictions on entries for Dependent Relationship

A common reason for a return being rejected by the IRS is that your entries for the relationship of a dependent (at line 6c of Form 1040) do not match the restricted set of entries allowed by the IRS for e-file. The only entries that the IRS will allow for e-file are: FOSTER CHILD, STEPCHILD, GRANDCHILD, GRANDPARENT, PARENT, BROTHER, STEPBROTHER, HALF BROTHER, SISTER, STEPSISTER, HALF SISTER, AUNT, UNCLE, NEPHEW, NIECE, NONE, SON, DAUGHTER, and OTHER. Case doesn't matter, but you must NOT have a leading space in your entry, and such common entries as MOTHER, FATHER, GRANDSON, GRANDDAUGHTER, GRANDMOTHER, and GRANDFATHER are not allowed. ADOPTED is also disallowed; you must enter SON or DAUGHTER instead.

Beware required name Control entries

You can ensure a trouble-free first transmission if you learn and understand the following information about name controls. The IRS requires that special "name controls" be provided for names of taxpayers, dependents, parents, and even businesses. These name controls are 4-character codes derived from the full names they represent, and are used by the IRS in place of the full name in the IRS's own automated software. For most of these entities Tax Preparer generates the name control for you when you just view the relevant form or worksheet. However, there is one important area where the name control is not automatically generated because of the nature of the IRS requirements: name control for business names.

Name control for a business name is a required entry on four of our worksheets:

•  Employer's name on W-2 Worksheets (accessed at line 7a or 7b of our Form 1040)
•  Payer's name on W-2G Worksheets (accessed at line 21 of our Form 1040)
•  Payer's name on 1099-R Worksheets (accessed at line 15a or 16a of our Form 1040)
•  Care providers name on Care Provider Worksheets for Form 2441

For all these worksheets you must enter valid name controls or your return will be rejected by the IRS. The complex rules for determining the proper entries to make are found in IRS Pub. 1346. However, we have condensed those instructions into a 5-page document Instructions for Entry of Name Controls for Businesses. (CAUTION: You MUST complete the entry on our W-2 Worksheet for "Employer's e-file name control" in accordance with these instructions or else the return will be rejected with IRS Reject Code 0122.)

How to save this document to your desktop. You can place an icon for the document on your screen, so that you can read the document merely by clicking the icon, as follows:

•  Right-click the highlighted document title, above.
•  From the subsequent menu, left-click the item "Save Target As."
•  At the top of the subsequent window, left-click the box labeled "Save in."
•  Now choose the location "Desktop" then click the "Save" button.

Your desktop should now contain an icon labeled "NameCtrl" or "NameCtrl.pdf." When you click this icon, the document will be displayed on the screen by Adobe Acrobat Reader. (If you don't yet have Adobe Acrobat Reader, which is the same program you need to read our on-screen manuals and IRS publications, go to the public Downloads page of our Public Website to get your FREE PDF Viewer: Adobe Acrobat Reader.)

Beware special entries required for decedent returns

The IRS imposes several special requirements on e-filed decedent returns, and failure to heed them will cause the return to be rejected:

•  Do NOT enter anything in our Special Handling Indicator. For a paper return you would enter DECEASED and the name of the deceased person in our special line at the top of screen 1 of Form 1040. But for an e-file return you must leave the entry blank because the entry is reserved in e-file for combat-related special handling.
•  Enter DECD at end of surname of deceased taxpayer(s) unless exception below applies. Unless the exception below applies, you must enter a space then the word DECD at the end of your entry for last name. The software will then automatically format the e-file name (at the bottom of screen 1 of Form 8453) in accordance with IRS rules. CAUTION for California e-file: Before you generate e-file output for Form 540 returns, you must remove the DECD you added here from the translated return.
•  EXCEPTION: If filing jointly and spouse has the same last name, enter DECD after first name and initial of the deceased person. This case may require some extra effort on your part because first names are automatically shortened when necessary for the combined e-file name to be no longer than 35 characters. Once you enter space DECD at the end of your entry for the appropriate first name, check the resulting combined e-file name at the bottom of Form 8453, screen 1. If DECD does not appear, you will have to abbreviate the rest of the entry until it does. CAUTION for California e-file: Before you generate e-file output for Form 540 returns, you must remove the DECD you added here from the translated return.
•  Enter date deceased in the standard format for dates. You must enter the date in the standard mo-dy-year format for the appropriate spouse, using only numbers and dashes or slashes.
•  Indicate surviving spouse if filing jointly. For e-file, the IRS requires that the last return of the deceased taxpayer be filed by the surviving spouse if the return is filed as married filing jointly. The answer to our question Filing as surviving spouse? on the last screen of Form 1040, page 2, must therefore be Yes in order for the return to be accepted by the IRS.
•  Indicate personal representative if not filing jointly or both spouses are deceased. For e-file, the IRS requires that the last return of the deceased taxpayer(s) be filed by a personal representative unless a joint return with a surviving spouse. The answer to our question Personal representative on the last screen of Form 1040, page 2, must therefore be Yes in order for the return to be accepted by the IRS.
•  In care of (or other add'l) must have an entry for ALL decedent returns. This is the entry at the top of screen 3 of Form 1040 page 1 for additional addressing information. You must enter here the name of the person responsible for filing the return. For a married taxpayer survived by a spouse, you should generally enter here the surviving spouse's full name. For an unmarried taxpayer (or married but both spouses are deceased), you should generally enter the executor of the estate or the deceased taxpayer's personal representative. (When a Form 1310 exists for the return, an entry appears automatically based on your entries on Form 1310.)
•  Form 1310 required for some refund returns. This form is used for a 3rd party to claim a refund for a deceased taxpayer. For refund returns, Form 1310 is always required for the tax return of a deceased taxpayer unless the return is a joint return with a surviving spouse or there is a court-appointed or certified personal representative (lines A and B on Form 1310). Conversely, there must NOT be a Form 1310 for the return if line A or line B of Form 1310 applies, but only if line C applies. (Form 1310 is built into the Premium Level only, so you will not be able to e-file a return that requires Form 1310 if you use the Standard Level.)

Because of the above requirements there may be some decedent returns that cannot be e-filed. This is unavoidable and a direct result of overly restrictive IRS specifications for e-file.

CAUTION for California e-file: If you use our California Supplement to e-file a decedent Form 540 return, you must first remove the DECD you entered for the federal return. You must also enter the executor's name and the type of representative on screen 2 of Form 540.

Foreign Country Codes

To be used for all foreign country entries throughout the return. (Countries are alphabetized below, not their codes.)