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After you file
Hi @NCperson ,
Thanks for your comment.
Re: "unless you communicate with the IRS via form 2210, the underpayment penalty calculated by Turbo Tax is the same way the IRS would calculate it. "
My MAIN BEEF with TurboTax is this: I wanted the alleged penalty to be assessed by IRS directly, without any hand-holding from TurboTax (which is also a** kissing IRS!)
And sadly, this software HAS BLATANTLY PREVENTED me from doing so, against my wishes.
I wish to be in control and no hand holding from overzealous piece of cr*p software that licks IRS's ...
Is there a way to fix this? I've already e-filed my 2024 tax return about 3 weeks ago.
But postponed paying the tax that I owed since then. And yesterday, April 4th 2024, before deciding to finally paying what I owe (and reported in TurboTax in that line 37), I told to myself: Let's do one more check and quickly go through the PDF copy of the same tax return that TurboTax has e-filed already, on behalf of me. And to my surprise, when I subtract all the tax that I have paid over the course of 2024 tax year (including my voluntary additional tax payment of about $10K made in December 2024), FROM the total tax owed for all income, I notice that the result does NOT match the balance showing as owing by TurboTax in the tax return. Because of a $251 underpayment penalty sneaked by TurboTax, BEHIND MY BACK - even when I told TurboTax during the Interview-style Questionnaire, that I want TurboTax to keep its hands off from that penalty calculation and let instead IRS calculate (and potentially bill me for) it - WAS ADDED to the actual tax balance owed!
After seeing the discrepancy, I decided to pay through an e-payment scheduled through IRS's "My Account" web site, all the balance MINUS the $251, that is, I decided to pay only the actual tax owed without any "penalty" assessed by an overzealous, IRS a**-licking TurboTax software piece of crap.
And then as a 2nd step, I decided to create an amended 2024 tax return, again through TurboTax (thinking that all hope was not lost). But in the amendement workflow, TT has never asked me IF I have paid the originally stated balance, and HOW much. It asked only some illogical, unclear question such as "when will you pay the original balance? You can leave this field blank if you do not wish to pay before the extension period begins" or something like that. I entered in that date field, the date when I initiated the payment (which is without $251 bogus, IRS a**-licking "penalty" added by TT), which was April 4th 2024.
The amended return indicated zero tax owed, and zero refund. It DID NOT show though, any penalty, and its 1040 form shows the correct amount that I should've paid in the 1st place via the originally e-filed 2024 tax return, and no more bogus $251 additional penalty.
So that was the only difference.
I also had to indicate a reason for the existence of such 2024 amended return, which I did.
I stated in that field something like "The total tax owed was incorrect, due to a TurboTax bug. The correct total tax owed amount should be xyz (which is the balance showed in the orig return MINUS $251)".
Then I have e-filed such amended return, on the same day (April 4th 2025).
Is there a hope that IRS will see the amended return in a timely manner (i.e. before the April 15th 2025 tax deadline), and in a way that it would take over / override the original return, to the extent that it will no longer show the $251 penalty added to the total amount owed?
The IRS's "My Account" still doesn't show my balance for 2024. It shows "information not yet available", even after having waited for more than 3 weeks after my original 2024 return was e-filed. It does show that return's data in the Tax Records / Transcripts. In which one can see the total balance as was reported by TT software (it does not even show a separate line with the actual tax figured owed - it shows only the tax + penalty as one line, and the penalty on the next line).
So my question is: Can I hope that this 2nd e-filing that I did for 2024 tax year, which is an amended 2024 tax return will take over the 1st one, before April 15 2025, and leading to a current account balance showing on IRS "My Account" web site as $0.00 (from a previous balance of what TurboTax said but without $251, and which would become $0.00 by the virtue of my April 4th 2025 scheduled payment which is again without that $251 amount)?
OR, IRS will not see the amendment in a timely manner, and still show -$251 as outstanding balance? In such case, can I afford waiting after April 15 2025 and pay that ONLY if IRS asks me to? Or will I be subject to additional interest, which would start to accrue beginning with April 16th 2025? So my question is: IF IRS deems that what TT said as total balance as "correct" and I am bound to that, and sees that I did not pay the remaining $251, will it consider it part of the overall tax liability and subject immediately to interest? Or I will have some room to breathe and be subject to about 30-days additional grace period from IRS to pay what is considered a separate thing aka an "underpayment penalty"?
I guess it's the time for me to look for a better tax software out there, going forward! H&R Block, here I come!