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After you file
That error could be coming from one of the forms you imported; you may have multiple forms listed. Delete all the 1098-Es you have on your tax return. Then re-enter the one 1098-E manually. When you enter it manually, it will ask for the address - be sure to enter the correct state code. You can't edit the state code from the review screen. You have to go back to the form to make the changes.
How to delete forms in TurboTax Online
How to delete forms in TurboTax Desktop
Check the 2-letter state code for that zip code. Make sure the city and state match up to the zip code. This error happens when the state code doesn't match what is on file with the IRS. TurboTax follows the IRS for acceptable zip codes. If the state code does not match the correct state, you will get an e-filing error. Correcting the state code is usually the fix.
- Check that the 2 letter state abbreviation is correct here USPS Two–Letter State and Possession Abbreviations (most common error)
- Make sure you've entered the ZIP code in either 5-digit or 9-digit format, for example, 12345 or 12345-6789.
- Look up the correct ZIP code for the street address in question.
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