After filing my 2019 Federal and Minnesota Income Tax Returns, TurboTax Deluxe printed out instuctions and 4 quarterly Federal 1040 ES tax vouchers of $428/quarter. My return calculated that I would get a Federal Tax refund of $430 and a Minnesota refund of $1565. Why are these vouchers printing out? I didn't underpay my federal taxes. I called the support line on this and they could not explain what triggers this response. I should state that, due to my taking Social Security payments for the first time this year (Federal tax is deducted, not MN state), I made two quarterly income tax payments to the State of MN last year. I indicated this in the TurboTax return. The program shouldn't suggest I make estimated Federal income tax payments without a reason? Anyone think I should make the payments?
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The blue bar on TT over my accpect date is now completely full, does that mean my tax return is completed or is it just telling me my 21 days is complete? @KatrinaLO
The blue bar is used as a guide to track your refund status. The bar will fill in as your tax return begins processing. When the blue line is complete, this means that your tax return has been accepted by the IRS and you have an estimated date.
TurboTax tracks whether your federal tax return as been accepted or rejected, and will provide an estimate on when you can expect to receive your tax refund. Please see the following FAQ for additional information on how to track your federal refund:
Your reply referenced the following paragraphs:
“We'll automatically include four quarterly 1040-ES vouchers with your printout if you didn't withhold or pay enough tax this year. We do this to head off a possible underpayment penalty on next year's taxes.
You may get these vouchers if you're self-employed or had an uncharacteristic spike in your income this year. For example, you sold stock or took a large distribution from your retirement plan.
You're not required to make estimated tax payments; we're just suggesting it based on the info in your return. If you feel they're not needed for next year's taxes, you can shred them.”
This reply does not answer my question because:
1. I am receiving refunds for both Federal and State income tax for 2019.
2. I am not self employed, I am retired.
3. My Gross income dropped from last year.
The only thing different about the year 2019 is that I began to draw Social Security in April. Since Social Security doesn’t withhold MN State Income Tax, I set up quarterly, automated estimated MN income tax payments. When using 2019 TurboTax Deluxe, it asked if I had made any estimated tax payments. I responded yes and then filled in dates and amounts for the two I had made in 2019. So, is this what caused the generation of Federal vouchers? Should I disregard them?
You may disregard them but they probably generated because you made entries in the section as you mentioned. You can check the form 1040-ES in your returns to see the calculations for those vouchers. If calculations appear correct based on your estimated 2020 income, you can use the vouchers to make payments or have taxes withheld from your social security or retirement to cover the projected tax liability.
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