Diagnostic Errors vs Validation - Which is Correct?

Question:

Why Do I Have 'Reject'  Diagnostic Errors, but Validation Passes? Which is Correct?

Answer:

They are both correct.

Diagnostics and Validation, while similar, are two different pieces to the e-file process.

Validation is checking that our XML is correctly formatted per the IRS requirements. It does not check for business rule requirements - things like required data in specific circumstances, or that a value can't exceed a set number, etc.

Diagnostics are to check against the business rules (that the IRS defines).

To ensure a return will be accepted, clear any diagnostics that are critical ('Reject') and then validate your return.

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