@LiDiPi wrote:
It is showing that I OWE over $700 in taxes. That isn't correct. If you do it by hand, they are using my total income to figure out what I owe. NOT my taxable income. I need a way to fix this problem. I'm MFJ and only I have an FSA, not my spouse. I currently cannot file because of this problem. I'm not paying money that I don't owe. Is there a way to report the REASON for the taxable income difference so that the program does what it is supposed to?
You might just owe tax because you did not have enough withholding.
There are no problems with Turbotax handling medical FSAs. The amount should already be removed from your box 1 W-2 wages. If you think your wages are reported incorrectly, you need to contact your employer and get an explanation or a corrected W-2.
(For example, suppose your gross salary is $1000/week, or $52,000 per year. You pay $100/ month in pre-tax medical insurance premiums ($1200/year). You contribute $100/month to a 401k ($1200/year). And you have a $2600 medical FSA. Your box 1 wages should only be reported as $47,000, because the pre-tax items should be subtracted from your wages.)
If your W-2 is wrong you have to talk to your employer, not Turbotax.
