Turbo tax 2016 Deluxe: I did not get child tax credit

[dushyantkumar1]

I have filed tax using Turbotax Deluxe 2016. I believe that Turbo tax did not guide me properly for the child tax credit. Consequently, I got my return reduced by $1000. 

I have original file (filed with IRS), as well amended tax return (not filed).

I would appreciate your help regarding revision of tax for 2016. I hope that some knowledgeable TURBOX support would help me under their100% accuracy guarantee.

Regards,

Dushyant

[NCperson]

you must file the amendment within  three years of the date you filed the 2016 tax return to maintain your eligibility to amend, so for most people that is April 15, 2020.

the Turbo Tax guarantee only covers the interest and penalties if there is a software 'bug'.  if there is an input error by the user, the guarantee does not cover that. 

What are the circumstances of your child (age, who did they live with,etc.) that makes you believe you are eligible for the tax credit? is it possible that your answers mean that the child is not eligible? just a thought. 

suggesting running your scenario through the IRS website tool to confirm that you are certainly due the credit as that will define your 'next steps'.

https://www.irs.gov/help/ita/does-my-childdependent-qualify-for-the-child-tax-credit-or-the-credit-f...

[xmasbaby0]

Hmmm....If you claimed your dependent correctly on your tax return--and that child had to be under the age of 17 for all of the tax year--then the software automatically gave you the child tax credit.  The CTC was not a refund--it could reduce your tax owed by up to $1000.   If you owed less than $1000, then you would not receive the full amount of the credit.  You seem to believe you should have had an extra $1000 in your tax refund.  

Perhaps you can provide some more details (without any personal information) so that someone here can help you understand.  What do you think was done incorrectly on your 2016 tax return?  How were you not guided properly?  Did you enter your child's date of birth and Social Security number correctly?  

You say you have prepared an amended return.  What did you change when you amended?  You have until mid-April of 2020 to mail that 1040X to the IRS if it improves your refund.

[dushyantkumar1]

Dear NCperson,

Thanks a lot for the prompt response.

We moved to USA back in March of 2016 (my wife, my son, me) and we stayed remaining part of year. We have been continuing our stay in USA, though starting 2017, we usually stay out of country for a month each year.

While filing tax for 2016 using Turbotax Deluxe-2016, I had my social secirty no, itin no of my wife. However, my son did not have itin no. So, I did call TurboTax as my software version allowed technical support. I was asked by tax support to leave it blank and get itin number while submitting in person. I followed the advice.

Just today when I was talking to TurboTax support, I was referred to this document:

https://www.irs.gov/pub/irs-prior/p972--2016.pdf

and I shown the text:

"Taxpayer identification number needed by due date of return. If you do not have a social security number (SSN) or IRS individual taxpayer identification number (ITIN) by the due date of your 2016 return (including extensions), you cannot claim the child tax credit or the additional child tax credit on either your original or an amended 2016 return, even if you later get an SSN or ITIN. "

Now, I believe that my case should fall under 100% accuracy protection. Back it 2017, I clearly told tax support about my issue (no having itin number), also asked if I could get extension. I was told that I did not need extension and I could submit it in person. So, tax support caused $1000 loss for me.

Since I believe that fault was with tech support, I am thinking of approaching Better Business Bureau, if TURBOTAX does not honor its 100% accurate guarantee. 

Please advice on how to approach turbo tax with this issue. 

Regards,

Dushyant

[dushyantkumar1]

Dear @xmasbaby0 

For amended return, I included Child tax credit of 8812 .

We were in USA for 8 months of the year, during which I was employed in USA. Of course, I am still the resident of USA.

[xmasbaby0]

So you are saying you would have waited to file if you had known the ITIN would make a difference in getting the CTC?  Did your child have an ITIN by October 15, 2017?

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

[NCperson]

also, were you subject to the phaseout that begins at $110,000 (MAGI) for joint returns in 2016?  if so, it may not have mattered..... just a thought...... good thought by @xmasbaby0 - hard to claim it's TT issue if there was no ITIN by the extended deadline. 

[dushyantkumar1]

@xmasbaby0 

Yes, I would have waited till my son would have got ITIN. But, TURBOTAX support never gave me the right advice, even after I contacted and had phone support. Also, I believe that my issue was very generic and would have been experienced by any foreigner with dependent moving to USA for employment. So, it was a glaring flaw in the support.

It was not just about getting ITIN; but, also getting child tax credit.

Yes, I had my son's ITIN by October 2017.

[dushyantkumar1]

@NCperson 

No, I was not subjected to $110,000 for the joint return.

How can I approach Turbotax to honor its 100% accurate guarantee? People like me buy TurboTax just to have peace of mind.

[DoninGA]

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@dushyantkumar1 wrote:

Since I believe that fault was with tech support, I am thinking of approaching Better Business Bureau, if TURBOTAX does not honor its 100% accurate guarantee. 

Please advice on how to approach turbo tax with this issue. 

Regards,

Dushyant

---

The 100% Accurate Calculation Guarantee covers any TurboTax calculation where if there is an error then TurboTax will refund any penalties and interest that has been paid due to the error.  TurboTax will not pay any taxes owed.

Assuming that you were not assessed any penalties or interest then the Guarantee would not be applicable in this case.  You may be able to get a goodwill refund for the 2016 TurboTax edition you used, but that would have to be discussed with TurboTax support.

See this TurboTax support FAQ for the 100% Accurate Calculation Guarantee - https://ttlc.intuit.com/community/charges-and-fees/help/what-is-the-turbotax-100-accurate-calculatio...

[NCperson]

suggest asking them if they have notes (many companies will have this) in their files where the issue  was discussed back in 2017.  BEFORE you tell them why you are calling, ask them to read the notes to you.... if they say the agent told you not to worry about the blank, you have a stronger case to complain.  if there is no mention of that (or states you are obtain the ITIN before filing) you are out of luck. 

the way I read the guarantee, it doesn't cover bad information from the agent. 

[xmasbaby0]

Good luck--and please be aware that all of us who are replying to you are volunteers.  We are not employed by TurboTax.

[dushyantkumar1]

@DoninGA 

I lost $1000 because of wrong advice by TurboTax. That is equivalent to the penally for me.

I am not a tax expert. That's why I needed advice from TurboTax support back in 2017. Plus, I am sure that my expectation was exactly what majority of TurboTax customer assumes by 100% accuracy guarantee.

[dushyantkumar1]

@xmasbaby0 

Of course, I understand that you and others are volunteers. I am very thankful to all of you responding to this post.

Could you suggest the email to approach TurboTax about my claim? Or should I complain to BBB directly?

[dushyantkumar1]

Dear @NCperson 

Thanks a lot for helping me out.

I plan to approach Turbotax. However, I do not know how to approach other than tax support.