1040-SR 2025 IRS refund was different amount for Senior Tax on Social Security Benefit worksheet.

Forum|Forum|3 months ago
April 20, 2026
3 replies
1107 views

I have a problem with my refund coming back short by $1483/=. TurboTax gave a 0 taxable amount for join filing seniors where the total benefit was around $48,852/=

IRS has a worksheet which comes up with 55% as taxable income after taking into account Qualified dividend + IRA distribution (RMD) + capital gain etc which are considered for arriving at the Taxable Social Security Benefit.

Something wrong with the Turbo Tax tool? I am not sure. I am trying to dig into more information from IRS on how they came up with that number.

Anyone who faced a similar situation? I have been on hold with the IRS for almost 2 hrs and the line got disconnected.

Do they sent any documentation on how they came up with this? Any help would be appreciated.

DoninGA

Level 15

After you completed entry of the SSA-1099 for the Social Security benefits received in 2025, there was a following screen asking you if you lived in any of the foreign countries listed. If you selected Yes or skipped over this screen, the TurboTax program would not have calculated any taxes on your Social Security benefits entered on the Form 1040 Line 6a. Resulting in a 0 being entered on Form 1040 Line 6b.

sureshbkAuthor

Level 2

In response to question, I entered as NO. I live in USA.

That was a news to me. If you are a US Citizen and live in another country, you don't have to pay tax on social Security? Are you sure?

https://thefinancebuff.com/social-security-taxable-calculator.html

This gives a needed help to understand the SSI tax after talking into account the Standard Deduction + 12000 Senior (recent bill passed which will be valid till 2028). It also takes into account the Capital Gains income + Interest income from investments.

This is were TurboTax did not do a good job.

Vanessa A

Level 15

I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:

TurboTax Online:

Sign into your online account.
Locate the Tax Tools on the left-hand side of the screen.
A drop-down will appear. Select Tools
On the pop-up screen, click on “Share my file with agent.”
This will generate a message that a diagnostic file gets sanitized and transmitted to us.
Please provide the Token Number that was generated in the response.

TurboTax Desktop/Download Versions:

Open your return.
Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” *
This will generate a message that a diagnostic copy will be created. Click on OK and the tax file will be sanitized and transmitted to us.
Please provide the Token Number (including the dash) that was generated in the response.

*(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)

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3drummers

Level 2

I agree with this user, Turbotax still calculates my 2025 Federal taxable Social Security benefits at zero. The IRS taxed 67% of my benefits due to my income. We received the full enhanced deductions for seniors, but the IRS changed my return to add back 67% of my Social Security benefits income as taxable. I was able to replicate the IRS result by downloading and using IRS Publication 915, (Worksheets A and 1). I see no schedules like this in turbotax even today. April 21. This has been a major headache requiring hours of my time.

Vanessa A

Level 15

Are you able to send a diagnostic copy of your return using the instructions above so I can look into this. As DoninGA stated above there is a screen after you enter the SSA-1099 that asks you if you lived in one of the above countries and or if you lived in the US. If you answered in a manner to say you do not live in the US but you do live in one of those countries, your social security would not have been included in taxable income.

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3drummers

Level 2

Full time US - always. This is not the issue. The issue is the deductibility of Social Security benefits. Turbo tax seems to think benefits are fully excluded from earnings for a joint return greater than $150,000. Not true. Worksheets A and 1 in IRS Publication 915 tell you what your Adjusted Gross Income is according to the IRS and it may be different higher Turbotax.

3drummers

Level 2

Same issue. The IRS referred me their IRS Publication 915 at irs.gov/forms. Using Worksheet A page 4 and Worksheet 1 page 7 I was able to calculate the IRS AGI