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Cannot NetFile when carrying forward charitable donations

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I have donations that I do not want to claim, but rather carry forward. When I create a new page "optimization of donations", there is no option to "carry forward to use next year" as suggested in the comments on that page. 

 

When I select "do not claim the donations", I get an electronic filing error saying "you have entered an amount for donations made to the United Nations, its agencies, and certain registered foreign charitable organizations on line 334 of schedule 9 and no amount is claimed on line 340 of schedule 9. The amount claimed at line 340 of Schedule 9 cannot be less than the lesser of the following 2 amounts: a) The total of lines 329, 333 and 334, and b) 75% of the net income."

 

Sure enough, Ufile does not populate line 340 as the error indicates. (It does not use the value from line 5 which is the total eligible amount of charitable donations"). I can't get past this error.

 

If I let MaxBack decide how to distribute your family's charitable donations, it claims all of my donations, which I do not want. It does not take into consideration the fact that I have sufficient foreign tax credits for foreign earned income to alleviate the need for the donations claim. That is why I need to carry all of the donations forward.

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I am having the same problem. I wrote to support who gave me instructions on how to carry forward amounts ... from previous years.

 

This is an issue they had last year as well: http://community.ufile.ca/index.php?/topic/6093-cant-select-option-for-carrying-forward-donations/

 

I've been using Ufile since 2010 but I think this will be my last year. It's gone downhill in terms of usability and customer support.

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With today's update, the Netfile error is no longer reported when I request no claim for donations.

 

I don't know whether Schedule 9 is properly filled out because line 340 is still empty. But at least I can now Netfile.

 

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Hi,

 

For UFile purposes the software will display a taxpayer's full donation amount (if applicable) on Schedule 9 Fields 329, 333, and 334.  The software will then optimize the claim on Field 340 and only claim the amount needed to reduce the balance owing to Nil.  Any difference between the two amounts is carried forward to a future year to be claimed when needed.

 

Due to CRA Error Code 2507 UFile must generate the diagnostic you are encountering.  If not CRA's system will reject the Return none-the-less.

 

CRA's position is that taxpayers should only enter the needed amount on Field 329, 333, and 334 and then remember to carry forward the difference.  This is not an ideal solution.  UFile believes the full amount should be reported so that the difference can be properly carried forward by the software.  CRA is currently looking into the situation and determining whether Error Code 2507 should be repealed (so that such returns can be successfully NetFiled).

 

The only solution for now, if for example, Field 329 shows $1000 and Field 340 shows $400, is to:

 

- Change the donation amount from $1000 to $400 (the optimum amount that should be claimed).  This will circumvent the Diagnostic and Error Code 2507.

 

- NetFile the return.

 

- Once accepted changed the donation amount back to $1000 from $400 and re-calculate to make sure you record the proper $600 carry forward.

 

This allows you to NetFile your return and to carry forward the proper donation amount.  Hopefully in the short term future CRA will repeal the Error Code and the above solution will no longer be required.

 

I hope this explains the issue and that you have a great day.

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