Turbotax says I have "Additional Medicare Tax (Form 8959)" and need to upgrade. This is wrong and I don't want to upgrade. How can I finish the filing without upgrading?

Forum|Forum|4 years ago
March 29, 2022
3 replies
4 views

I got to the end of the flow in turbotax free, but I'm being told I have to upgrade due to form 8959 which only Deluxe can handle. My income was not high enough for this to be applicable (by a long shot). I am a bit miffed getting blocked by a hard up-sell for unneeded services at the end of the whole process. How can I work around this?

TurboTax Free Edition Online

SForrestLO

Level 11

If the software detects that your tax situation requires expanded coverage, it will prompt you to upgrade to a version that supports the forms you need so we can maximize your tax deductions and ensure you file an accurate return.

You can see these Turbo Tax FAQs for more information.
Why do I have to upgrade from Free Edition?
https://ttlc.intuit.com/community/upgrading/help/why-do-i-have-to-upgrade-from-free-edition/00/26379

You can also delete the form.

This Turbo Tax FAQ will show you how to delete a form.
https://ttlc.intuit.com/community/accessing/help/how-do-i-view-and-delete-forms-in-turbotax-online/00/25593

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ryan-delaneyAuthor

Level 2

I'm sorry, but you did not answer my question. I do _not_ need expanded coverage. TurboTax is in error.

garokiam

Level 2

Looks like Turbotax is wrongly showing an extra tax owed, just so you can upgrade and remove it. Sounds very illegal.

HeatherPLO

Level 14

@ryan-delaney

Please reference the above Help Articles that @SForrestLO provided. The software will prompt for an upgrade if there is a form that Free Edition does not cover. The Free Edition is for very simple returns with no schedules or certain forms.

If you have further billing questions, please reach out to us directly using the Help Article here. This ensures you will get to the correct department as quickly as possible.

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dmertz

Level 15

It seems that you've entered something that makes TurboTax think that your Medicare wages are above the threshold. There are no user-entered fields on this form, so its only reason for being present would be because of an incorrectly entered amount in box 5 of TurboTax's W-2 form. Go back and check your W-2 entries for a missing decimal point. If you correct that entry, TurboTax will automatically remove the unneeded Form 8959.

daroy73

Level 2

I made less than 50,000 and I have double checked all decimals. I am still getting this message.

DoninGA

Level 15

@daroy73 wrote:

I made less than 50,000 and I have double checked all decimals. I am still getting this message.

You are seeing this because the amount of Medicare taxes withheld in box 6 is Not exactly 1.45% of the Medicare wages in box 5. Remove any cents for the Medicare wages and see if the upgrade message goes away.

OR -

Delete the w-2 and re-enter. Make sure the amount in box 6 is 1.45% or less of the amount in box 5.