Issue: Turbotax is putting $5,000 in Form 2441, line 12, even though I typed $6,534.30 for box 10 of my W-2. This is causing my taxable income to be under-calculated.
Details:
My W-2 Box 10 shows $6,534.30 (composed of a $5,000 DCFSA and a $1,534.30 FEEA subsidy paid by my employer (a Federal agency) directly to my child's daycare center), exceeding the allowable $5000.
My employer did not include the excess $1,534.30 in my Box 1 wages.
Per IRS Form 2441 instructions, Line 12 must reflect the total benefit received from the W-2 ($6,534.30), so that the excess can be calculated on Line 26 and added to my 1040 Line 1e as taxable benefits.
The Bug: TurboTax seems to cap Line 12 at $5,000, which results in the extra $1,534.30 of taxable income "disappearing" from the return. I'm worried this will create a mismatch between my filed return and the W-2 copy the IRS has on file and result in an underpayment penalty.
I submitted a copy of my return under token [removed]-17190725 if anyone at Intuit cares to take a look. Otherwise, if anyone has an ideas/workarounds, I'm all ears. I really wanted to get this thing filed tonight!
PS: I see the workaround where I can add the excess back as "other income" on schedule 1, but I am concerned his will still result in a mismatch with the IRS system that is expecting me to report the excess on Form 2441.
