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If your refund is enough to cover your TurboTax fees PLUS the extra “refund processing” fee of $40 ($45 in CA) and your forms are ready then when you are in the FILE section you can choose to have your fees deducted from your federal refund by a third party bank, who will take out your fees and send you the rest of your refund after the IRS issues the refund.
Please make note that if your refund takes too long to arrive (IRS delays, etc.) then you will also be agreeing that the TurboTax fees can be extracted from your bank account even before your refund is issued by the IRS. This comes as an unpleasant shock to many people every year.
If you can possibly pay your fees upfront using a debit or credit card, it will save you that extra fee and even more importantly, the possible aggravation and delays that are often the result of poor handling/poor customer service by that third party bank. We see way too many instances where refunds are delayed for months when users choose refund processing. There have been lots of complaints; there are a number of things that can go wrong when you use refund processing. I suggest avoiding that situation if at all possible.
And....you can never pay state tax due from a federal refund, so do not expect that. The state tax due has to be paid directly to your state.
What is Refund Processing Service?
How can I see my TurboTax fees?
Please see these links for form availability dates
Federal form availability
Forms availability
My refund is well over the limit, and we have used the Pay with Refund option for years. This is the first year that it says not eligible. Is there a glitch? As when I talked to the customer service tax experts on Thursday last week they couldn't give me a reason on why it was not available.
TT doesn’t approve the loan, there’s a third party bank that handles that. They’ll send a letter explaining denial.
The same thing is happening here... I've had the option for almost a decade now, and to say I am ineligible is a slap in the face.
Same problem here. Customer service has no answers.
I called customer service as well and they gave me the run around. I explained to them that I have been using this feature for at least a decade as well, and my refund is always over tax fee amount. I also mentioned that other people were experiencing the same issue and they said "we haven't heard any complaints".
These were their (ridiculous) recommendations: Clear the browser history, clear the cache, check to see if your computer/phone/app requires any updates. I did all of those things and it's still not working. Next I will try using Google Chrome instead of Safari.
If that doesn't work I'll be going to H&R Block. I hope the technical issue is solved soon for everyone.
This issue is occurring for some when trying to file and pay TurboTax with your refund. We are investigating this issue. However, if you would prefer to file now, you can do so by switching to pay your TurboTax fees with a credit card instead of using the pay with my refund option by following these steps.
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