Turbotax Stimulus Tool is messing up my 3rd stimulus in 2021! (I used the tool last year, early 2020, to submit stimulus direct deposit info.))

[carrielee88]

Using the Turbotax Stimulus tool is now preventing me from getting my 3rd stimulus check in 2021. Is there anyone at Turbotax who cares enough to help? Details:

After using your tool, which instead of being a true "stimulus tool" as it was named and promoted/advertised), the tool actually submitted a tax return with $1 income. This becomes clear at the end of the process using the Stimulus Tool. 

This caused the IRS to *not accept (reject)* my "real" tax return when I tried to submit it --because I made more than $1 in 2019. Turbotax notified me by email tha the "real" return was rejected and told me I must file 1040x by mail, which I did. (I was hoping Turbo would make arrangements with IRS to let those of us who used their "Stimulus Tool, to submit the 1040x online. (There were many rules and procedures changed due to Covid, so I was hoping that adding an electronic option for 1040x would be one of them. This would have saved the IRS from processing all these paper returns.)

But the rule stayed the same, send 1040x only by mail and wait until the backlog was processed by IRS. I mailed my 1040x prepared on Turbotax for free, and immediately paid my tax amount due to the IRS. I checked the IRS website a few days later--and they did indeed receive my tax payment for 2019. I thought all was well.

But they set aside my 1040x I just found out, after contacting them by phone. I had not received Stimulus 3, so I felt something was wrong. (I received the other stimulus payments only a few days after they were signed into law last year.) 

IRS rep said the 1040x was the wrong form to use. I should have used a plain 1040--(even though that form was rejected online.) I don't know why they cannot simply process 1040x--becasue it was a logical form for me to use under the ever-changing rules from last summer. And the 1040x was the correct path, according to Turbotax as well. 

So now I don't know when I'll see my 3rd stimulus, because IRS has my 1040x, but won't process unless I send a 1040. I am being penalized because I used the Trubotax Stimulus Tool. (A few days after I used it in 2020--the IRS made their own tool!!!! But I had already used the "trustworthy" tool from the "experts" at Turbotax!

Bottom line, Turbotax used the wrong method to send our stimulus (direct deposit account numbers) to the IRS disguised as a tax return for $1. This caused all this delay for me. I may never get my 1400 3rd stimulus. Or I might be able to apply for it next year -- with my 20210 taxes (not 20200. This places me in a horrible financial situation. It could have been prevented if Turbotax had coordinated their tool with the IRS--or if Turbo had not taken it upon themselves to make their own tool. I'm sure the IRS direct tool, made available a week or two later--worked just fine.  

Is there anything Turbotax can do to get the IRS to process the form they have in their hands (my 1040x), so that I won't have to send them the same info on a 1040 form, and wait more than a year to possible get my $1400 3rd stimulus?

I am going to try calling IRS again and maybe a different rep will give ma a different option, but I doubt it will work. 

Turbotax-Intuit please help!!!! You've already lost a class action about charging filers for free services--don't let this end up in the courts as well. I'm sure there are many in my position.

I don't know if I can trust Turbotax in future, if they leave all of us who used their Stimulus Tool hanging like this!

-- from a formerly loyal Turbotax user

[#2]

Using the Turbotax Stimulus tool is now preventing me from getting my 3rd stimulus check in 2021. Is there anyone at Turbotax who cares enough to help? Details:

After using your tool, which instead of being a true "stimulus tool" as it was named and promoted/advertised), the tool actually submitted a tax return with $1 income. This becomes clear at the end of the process using the Stimulus Tool. 

This caused the IRS to *not accept (reject)* my "real" tax return when I tried to submit it --because I made more than $1 in 2019. Turbotax notified me by email tha the "real" return was rejected and told me I must file 1040x by mail, which I did. (I was hoping Turbo would make arrangements with IRS to let those of us who used their "Stimulus Tool, to submit the 1040x online. (There were many rules and procedures changed due to Covid, so I was hoping that adding an electronic option for 1040x would be one of them. This would have saved the IRS from processing all these paper returns.)

But the rule stayed the same, send 1040x only by mail and wait until the backlog was processed by IRS. I mailed my 1040x prepared on Turbotax for free, and immediately paid my tax amount due to the IRS. I checked the IRS website a few days later--and they did indeed receive my tax payment for 2019. I thought all was well.

But they set aside my 1040x I just found out, after contacting them by phone. I had not received Stimulus 3, so I felt something was wrong. (I received the other stimulus payments only a few days after they were signed into law last year.) 

IRS rep said the 1040x was the wrong form to use. I should have used a plain 1040--(even though that form was rejected online.) I don't know why they cannot simply process 1040x--becasue it was a logical form for me to use under the ever-changing rules from last summer. And the 1040x was the correct path, according to Turbotax as well. 

So now I don't know when I'll see my 3rd stimulus, because IRS has my 1040x, but won't process unless I send a 1040. I am being penalized because I used the Trubotax Stimulus Tool. (A few days after I used it in 2020--the IRS made their own tool!!!! But I had already used the "trustworthy" tool from the "experts" at Turbotax!

Bottom line, Turbotax used the wrong method to send our stimulus (direct deposit account numbers) to the IRS disguised as a tax return for $1. This caused all this delay for me. I may never get my 1400 3rd stimulus. Or I might be able to apply for it next year -- with my 20210 taxes (not 20200. This places me in a horrible financial situation. It could have been prevented if Turbotax had coordinated their tool with the IRS--or if Turbo had not taken it upon themselves to make their own tool. I'm sure the IRS direct tool, made available a week or two later--worked just fine.  

Is there anything Turbotax can do to get the IRS to process the form they have in their hands (my 1040x), so that I won't have to send them the same info on a 1040 form, and wait more than a year to possible get my $1400 3rd stimulus?

I am going to try calling IRS again and maybe a different rep will give ma a different option, but I doubt it will work. 

Turbotax-Intuit please help!!!! You've already lost a class action about charging filers for free services--don't let this end up in the courts as well. I'm sure there are many in my position.

I don't know if I can trust Turbotax in future, if they leave all of us who used their Stimulus Tool hanging like this!

-- from a formerly loyal Turbotax user

[ThomasM125]

You cannot amend a return that was never accepted by the IRS, so if your 2019 tax return was never accepted for whatever reason, you will need to file the original return to take care of your filing obligation for 2019.

To get your 3rd. stimulus check, however, you can simply file a tax return for 2020.

When you prepare your tax return for 2020 in TurboTax, you will be prompted to enter how much you received for your stimulus and then the program will calculate the amount of stimulus due you based on your income, number of dependents and payments already received. If any additional stimulus is due you, it will be used to reduce your 2020 income tax liability, and the balance will be refunded to you.

You will see the options when you are done entering your tax information and proceed to the review process.

You can file a tax return in 2020 to get your stimulus check, even if you aren't required to otherwise.

[carrielee88]

HI ThomasM125 - I appreciate your helpful answer, however that does not change the fact that I was told the wrong thing and now my 3rd stim is delayed. My tax return for 2019 was filed and accepted when I used the Stimulus tool. Then-- when I tried to submit a regular 1040 (again via Turbo) for my true income-- it was rejected due to the IRS already having a 2019 return on file for me. Turbo informed me my return was not accepted and I needed to do 1040x by US Mail. I did so, and now you guys are telling me this is wrong.  I was able to do 1040x for free on Turbotax, then print it and send it in.

It was a confusing time, and I realize rules and deadlines were changing often and quickly. However, Turbo told me my 1040 with correct income was NOT accepted due to IRS already having a 1040 return for my Social Sec # for 2019. (This is because the Stimulus Tool was not just a Stimulus Tool, It was a tax filing from Turbo to IRS for a $1 income. That must have been the "work-around" Turbo figured would work best to deliver stimulus direct deposit-- but at that time, it was accepted as a valid return.) It blocked me from filing my real, valid 1040. I was then indeed instructed to send an adjusted return. 

Here is the Message From TurboTax I got when I submitted my real 1040 for 2019 (screenshot is avail if you'l like me to send it to you, just give me an email where I can send it). Here's what it says:

"Your transmission did not go through. 

 We could not efile your return for the following reason:

Duplicate Social Security Number: A tax return with the same Social Security number has already been submitted.  In other words - it appears as though you are trying to submit your return twice. If you need to change your return, you'll need to file an amended return, on paper, by mail. ..."

I followed those instructions, but now IRS has informed me this is wrong. They informed me only after I did some major digging on their website. I had been checking my IRS account repeatedly (the IRS account where you check to see if they rec'd your payment and you can order transcripts if you need them). They got my payment for 2019 immediately, according to my account, but no other paperwork was noted.

Finally, I searched "amended return status" on IRS website. (No I did not think to do this earlier, because all my info is typically found on my account page.) There, it showed they have a separate "amended return tracker" which showed they had rec'd the 1040x in July 2019 and hadn't yet processed it--not saying why.  It said "sorry for the inconvenience" and gave the customer service phone number on the page.  (This info was never noted on my IRS account page, nor did I get a letter saying I did anything wrong in filing my 2019 taxes.)

When I called the phone number given, the IRS rep said I should either wait for a letter from IRS (after already waiting nearly 1 year) or send a plain old 1040 for 2019--as you just advised me.  (Keep in mind, the 1040x they have in their hands already has my whole 1040 attached to it!)

1040x made sense to me at the time, because 1) it was what the message from Turbo said to do and 2) because I was indeed correcting my $1 IRS-accepted tax return, because I did not make $1 in 2019. When you correct tax returns, you use 1040x, generally. At least that is what us non-professionals think. 

But I will send another copy of the  2019 1040 now, (without a 1040x attached) as you and the phone rep advise.  Still, there has been a big delay and lots of anxiety on my part. (And it would be nice if IRS would just make a note on the 1040x form they have about the Covid confusion), place it in back of the 1040 documents it already has from me, and process the 1040. Or if they had noted the 1040x as received in my IRS account with all my other info, payment, etc. Or if they had sent me a letter about my "error". Or if they had done all this a year ago. )

IRS sent me (via direct deposit) the December stimulus, only 2 days after the President signed the order -- so I was really surprised this one was/is such a problem. 

I only hope, that when IRS gets my 1040 for 2019 in a few days, they don't reject it saying "you should submit 1040x."

Thanks for reading this long note--(I have a disability which causes memory problems, so I tend to write a lot, take a lot of notes and screenshots, etc.) And thanks for your assistance.

[ThomasM125]

I'm not sure what is going on with your 2019 tax return, but it has little effect on your stimulus payments. They are based on your 2020 tax return. So, all you need to do to get your stimulus payments is complete a 2020 tax return and enter on it how much stimulus money you received for the first two stimulus payments, and any 1st and 2nd stimulus payments due you will be sent as part or all or your refund on your 2020 tax return.

The payments people received based on their 2019 tax returns were just deposits, the actual amount due them is based on their 2020 tax return. So, you could not file a tax return for 2019 and still get the full amount of stimulus money paid to you if you file a 2020 tax return.