TaxAct does support the e-filing of pass-through income reported on PA Schedules RK-1 and NRK-1; however, does NOT support the e-filing of pass-through income reported on Federal Schedule K-1.
If the taxpayer received a PA Schedule RK-1 or Schedule NRK-1, then the taxpayer must indicate that within the Pennsylvania Q&A. If you are seeing the Electronic Filing Qualification Alert which states the following, more than likely this is due to the fact that you have not marked the PA Schedule RK-1 or Schedule NRK-1 selection within the Pennsylvania Q&A.
Your return is not eligible for Pennsylvania Electronic Filing. You have a Federal Partnership or S-Corp K-1 which reports income on your Pennsylvania return. You must file a paper return.
To access this section of the Q&A to enter/review the information from PA Schedule RK-1/NRK-1:
If you select "PA Schedule RK-1" or "PA Schedule NRK-1," then you should now be eligible to e-file the state return.
Conversely, if you are seeing this Electronic Filing Qualification Alert and did NOT receive a PA Schedule RK-1 or Schedule NRK-1 (and only received a Federal Schedule K-1), then you are not eligible to e-file the state return and will need to mail a paper return.
Note. This is a Pennsylvania e-file limitation, not a TaxAct e-file limitation.