State Taxes Denied after paying Turbo Tax!

[leigh7ray]

I filed both Fed & State on 1/31/22 and Turbo Tax said both where accepted. I paid you know the "FREE" fees to have Turbo Tax file just to wait until 6/3/22 to be told that my state was denied. Where is my refund TURBO TAX!? Why did you not catch this? So I paid you to receive absolutely NOTHING, basically gave you free money. Oh not to mention that TURBO TAX did not catch something else on my Fed Taxes. I am still waiting for part of a refund that I should have received. Please explain to me why I paid to have my state to not even get anything back!???

[xmasbaby0]

No one in this user forum can see your account or your tax return.  You used software to prepare a do-it-yourself tax return.   The software does not have any way to know if you are answering the questions on the screens correctly or completely.   If you leave out income, enter something incorrectly, etc., TT cannot know that or "catch" that.    Only the state can tell you what they changed on your return.   Neither the IRS or states tell TurboTax anything after you file your return.   As for the fee to prepare a state return----the fee is not determined by whether you are getting a state refund.  You pay the fee to prepare a state return because you used the state software, whether you are getting a refund, no refund, or even if you owe tax due to the state.

We do not know what happened with your federal refund.   The IRS may have reduced your refund if you made any errors on that return.   Many people made mistakes with the recovery rebate credit and/or the child tax credit this year, resulting in reduced refunds.   The IRS will send you a letter explaining why your refund was less.

Meanwhile there are some things you can check for until the  IRS letter arrives.

You have not mentioned any specific amounts.  Sometimes we can make an educated guess as to the reason for your reduced refund if you mention specific amounts--for example if your refund was short by $1400 per person---it is likely to be a mix up regarding the 3rd EIP payment.    If you received the 3rd stimulus check of $1400 per person in 2021 then you got letter 6475 from the IRS about it.   You needed to enter the amount you received.   If you already received that money then line 30 on your Form 1040 should have been blank.

  If it is short by $1800 or  $1500 or  a multiple of that amount  ---   maybe a mixup regarding the advance child tax credit payments. If you received monthly child tax credit payments of $250 or $300 per month between July and December of 2021, then you got letter 6419 from the IRS, and you were required to enter the amount of the advance payments.   Only the remaining amount of the CTC should have been on line 28 of your Form 1040.

The IRS knows how much they sent to you for the 3rd stimulus check and they know how much they sent for advance child tax credit payments.   If you answered something incorrectly on your tax return then the IRS made a correction that resulted in a reduced refund for you. 

The IRS will send you a letter that explains why your refund was reduced.   Meanwhile it might help you to check your online IRS account.

https://www.irs.gov/payments/your-online-account

https://blog.turbotax.intuit.com/tax-refunds/why-is-my-tax-refund-not-what-i-expected-49240/

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-round-economic-impact-payment-top...

If you need to trace a payment that the IRS says has been issued to you, mail or fax a completed IRS Form 3911, Taxpayer Statement Regarding Refund.

Updated IRS FAQ about recovery rebate credit

https://www.irs.gov/pub/taxpros/fs-2022-27.pdf

[Critter-3]

Does "accepted" mean my refund is approved?

Not yet. Accepted means your tax return is now in the government's hands and has passed the initial inspection (your verification info is correct, dependents haven't already been claimed by someone else, etc.).

After acceptance, the next step is for the government to approve your refund.

First they look for things like back taxes and unpaid child support. If they find any debts, they'll offset (reduce) your refund to cover the outstanding amount. Once they are satisfied that you have no outstanding debts, they will approve and then issue your refund.

Think of the e-filing/refund process along the lines of applying for a job; although the employer (government tax agency) has received (accepted) your job application, they still have to review (approve) your application before they grant you an interview (refund).

Related Information:

• My return is accepted but still not approved. Is there a problem? Should I be worried?
• When will I get my IRS tax refund?
• What does Accepted mean?
• Why does Where's My Refund say "approved" but TurboTax still says "accepted"?
• My return got accepted. What happens next?