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Error: Form 8867 Paid Preparer's Due Diligence Checklist

This diagnostic occurs when you have claimed a credit mentioned in the error but haven't completed the required Form 8867
Paid Preparer's Due Diligence Checklist
.

Error message

Form 8867 Paid Preparer's Due Diligence Checklist: You have taken the Child Tax Credit, Additional Child Tax Credit, or the Credit for Other Dependents but have not completed the required Form 8867. Go to Organizer / Credits / Child Tax Credit / Form 8867 / Paid Preparer Selection and generate a Form 8867 by selecting Yes under the include column for the applicable paid preparer that did the work on this credit. Then fill out the Form 8867 organizer that generates below the paid preparer selection screen. The penalty for failure to meet the due diligence requirements with respect to returns and claims for refund is $635 per credit per return.

Solution

  1. Go to
    Organizer
    Credits
    .
  2. Go to the
    Child Tax Credit
    (or the credit you are taking), then the
    Form 8867
    folder.
  3. Go to the
    Paid Preparer Selection
    folder.
  4. In the
    Include
    column, select
    Yes
    for at least 1 preparer.
  5. When you select
    Yes
    , a folder will show following
    Paid Preparer Selection
    with the name of the preparer you selected.
  6. In that folder, enter the information for
    Form 8867
    .
  7. Do a full recompute, then recreate the e-file.

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