My refund amount went down

[ThomasM125]

@Mike256 There are two issues here, the first being are you entitled to the stimulus payment, and the other being was the return completed properly. Without knowing what your responses where in TurboTax, I can't help you with whether the return was prepared properly. If you are not due the stimulus payment, however, the IRS will not pay it to you and it wouldn't be fair in my mind to expect TurboTax to pay it either, as the payment comes from the government, not TurboTax.

TurboTax has an accuracy guarantee that will reimburse you for mistakes that the program makes, you can use this link to apply for compensation if you feel something was no calculated properly in the program:

 https://ttlc.intuit.com/community/charges-and-fees/help/how-do-i-submit-a-claim-under-the-turbotax-1...

[Mike256]

OK,

 I'll play with you!

If you would've taken the time to actually read my complaint, you wouldn't be asking the same questions that I already have answered. Are you based in India or South Africa maybe?

I did not qualify for the stimulus payment, I make over 100K per year. I never asked for the payment nor did I receive one. 

My return was prepared accurately. 

It was YOUR program that said I should have received the stimulus payment, not me. 

Line 30 "Recovery Rebate Credit" on the return YOUR program added $143.00

This held up my return for months.

The IRS pulled this back along with $62 for trying to cheat the system.

I know that you have no intention of standing behind your mistake and I have no intention of ever using your service again. I can screw up my taxes less on my own, I don't need your help!

The link that you sent me clearly states that your100% accuracy guarantee does not and will not apply. 

Accuracy Guarantee Claim Submission

Submit Your Case for Review

Please select the tax year for which you are having an issue:

      Select a Year 2020 2019 2018 2017                                Earlier   

If you are submitting a claim for the most current tax year after April 15, have you received a notice from the IRS or other taxation authority?

Yes No

Does your notice state you have penalties and/or interest?

Yes No

If your notice does not include penalties or interest, your situation is not covered under the Accuracy Guarantee Terms & Conditions. The IRS sends a variety of notices each year, if you have been contacted by the IRS, click here to download and install the Audit Support Center. The Audit Support Center will provide step-by-step guidance to:

• Find out why the IRS contacted you
• Determine what the communication from IRS means
• Prepare your next steps

If you have further questions regarding your notice after downloading and reviewing the Audit Support Center, click here to Contact Us.

Say goodbye to another long time client!

[Mike256]

Cat got your tongue?

[chongwj]

I'm in a similar situation as I received a letter from IRS notice CP 12 tax year 2020 today saying The last name of one or more individuals claimed as a qualifying dependent does not match our records. One or more individuals claimed as a qualifying dependent exceeds the age limit. Your adjusted gross income exceeds $75,000 ($150,000 if married filing jointly, $112,500 if head of household). The amount was computed incorrectly.” the amount was computed incorrectly (683D)

[Taxes]

Come on let’s tell the truth here!

I did respond that I had received all payments, and the software still added the 1,100 Recovery rebate credit.

[RonboSandanista]

Since I file jointly, the amount was $2400. Thankfully my refund was larger than that, which in a way makes me feel good. I didn't end up giving the government a very large loan, and I didn't have to pay $Thousands more, like almost always before. Thank you for posting this, it explains the CP12 perfectly that I got from the IRS.

[loretta1112]

This is the 1st year that I have had an issue with turbo. I put in the correct amount that I had received both of my stimulus checks. However with all of the confusion, it gave me an additional 1200 .  If I answered yes , then the software had a glitch and still allowed the recovery rebate. So because of this I now owed .  11 of my friends had the same issue. Hey Turbo Tax you let us down. Your programmers dropped the ball this year.....

Disappointed customer of 10 years.. I'm done.... goodbye

[wgggarrett]

We received notification today that the amount of our refund was lower than was on our 1040.  Can you explain the reason for the difference   

[xmasbaby0]

@wgggarrett TurboTax does not get any information from the IRS after you file your tax return so no one can explain the reduction in your refund.  We can only offer guesses.  Many people made mistakes with the recovery rebate credit resulting in reduced refunds.  Or you could have had some other mistake or debt owed that reduced your refund.   The IRS will send a detailed letter in several weeks.

Did you enter  ALL of the stimulus money that you had already received correctly in the recovery rebate credit section when you prepared your 2020 return?  The IRS cross checks and if you did not enter all of the money you received, they recalculate your refund.

MY REFUND WAS LESS THAN I EXPECTED

There can be a number of reasons why your refund was less than the amount you expected. First of all, look carefully at your actual tax returns.  There is sometimes confusion about the amount of refund to expect when users misinterpret the “summary” they saw in TurboTax. The amount of your refund is on your tax return.  Federal refund is on line 34 on Form 1040  State tax forms are all different so we cannot tell you what line to look at on your state form.  BUT it is important to actually LOOK at your tax return forms yourself and see the amounts of your tax refunds and/or tax due.  A lot of confusion would be avoided by doing that.

TurboTax does not receive feedback from the IRS regarding money that was offset from your refund.  If you owed back taxes, child support, student loan debt, etc. you will receive a letter of explanation from the IRS in several weeks.  The WMR site will contain a message regarding your offset.  It is also possible that the IRS caught a mistake you made and reduced your refund. 

A possible reason for the reduction could be that the recovery rebate credit was completed incorrectly and you may have entered the amount of stimulus already received wrong, which could have reduced the refund you thought you were seeing.

 It is also possible that your state reduced your refund for debts owed in your state—if the state reduced your state refund you will receive a letter from the state.

https://www.irs.gov/uac/tax-refund-offsets-pay-unpaid-debts

 IRS Treasury Offset Program Call Center at 1-800-304-3107

Be aware also that your Federal refund and state refund do NOT come together.  Federal and state tax returns are processed by two completely separate entities.  There is no rule as to which one will come first,

Did you choose to have TT fees deducted from your Federal refund?  (Remember that if you did that, you also agreed to an extra refund processing fee of $39.99)

How can I see my TurboTax  fees?   

https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online

 https://www.irs.gov/uac/tax-refund-offsets-pay-unpaid-debts

https://ttlc.intuit.com/community/refunds/help/what-is-a-refund-offset/00/26301

Reduced Refund      https://www.irs.gov/taxtopics/tc203

 NOTE: You can contact the IRS Treasury Offset Program Call Center at 1-800-304-3107 to ask if they have an offset for you on file. TurboTax would not have that information.

https://turbotax.intuit.com/tax-tips/tax-payments/who-can-garnish-an-income-tax-refund/L7cPPzDyc

[hoytmarshall2]

I'm in the same boat.

Because TurboTax did something incorrectly, my refund was 4 months late, and a reduced amount when it came.

I really believe this is TurboTax's fault, and they should be offering compensation for their mistake.

[xmasbaby0]

@hoytmarshall2 Do you have any details that support your idea that the software did something incorrectly?   Lots of people using many of the various tax software programs made mistakes with the recovery rebate credit, resulting in reduced refunds.  The IRS cross checks any return with an amount on line 30 for the credit, and if you received EIP payments, the IRS knows it and reduces your refund.  If you think the IRS is mistaken and you did not receive an EIP payment that you tried to claim a credit for, you can have the payment traced.

LOST 1st or 2nd  STIMULUS CHECK

Q F1. I received my payment by check, but it was lost, stolen or destroyed. How do I get a new one? ...

A1. If you received your payment by check and it was lost, stolen or destroyed, you may need to request a payment trace so the IRS can determine if your payment was cashed. See How do I request a payment trace to track my first or second Economic Impact Payments?

If a trace is initiated and the IRS determines that the check wasn’t cashed, the IRS will credit your account for that payment, but the IRS cannot reissue your payment. Instead, you will need to claim the 2020 Recovery Rebate Credit on your 2020 tax return if eligible.

Note: If you are filing your 2020 tax return before your trace is complete, do not include the payment amount on line 16 or 19 of the 2020 Recovery Rebate Credit Worksheet. If you do, you may receive a notice saying your 2020 Recovery Rebate Credit was changed, but an adjustment will be made after the trace is complete and it is determined your payment has not been cashed. You will not need to take any additional action to receive the credit.

If you do not request a trace on your payment, you may receive an error when claiming the Recovery Rebate Credit on your 2020 tax return. Since the payment was issued to you, you may not be eligible for any credit.

If you were issued a payment and have not received it, see How do I request a payment trace to track my first or second Economic Impact Payments? 

[loftisn7]

Had the same issue and now I have an IRS correction stmt and an additional payment.  This may result in using a different tax software provider.  

[Doe20]

I had the same issue, but I checked my bank statements, and the IRS website which stated I should have received the 3rd payment March 17th 2021, which I didn’t, and to be sure I checked from statements March-May  and did not see a deposit of $4,200. Plus all the things it listed in the letter you received, I received and it doesn’t apply. I feel like it’s an IRS error. It’s so hard to get ahold of them through the 332 ext they give. It’s a very frustrating situation. 

[xmasbaby0]

@Doe20 

LOST THIRD STIMULUS CHECK

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-economic-impact-payment-topic-j-p...

[Doe20]

Well my number 13 line box a was selected which screwed me from getting my 3rd stimulus check because that box stated that I’m married filing jointly (which I’m not). I don’t recall selecting this box and Turbo Tax didn’t catch it although I file as “HOH” every year including this one and “single”. So now I’m trying to figure out how to do an amended file