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Why was my Federal taxes owed taken from my State return
Months ago I filed my returns and ended up owing $686 in Federal taxes, while receiving a return of $1596 from the state of Wisconsin. Of course the TurboTax page shows it as a net return of $910. No big deal, I’d get the $1500 return and just pay the $686 right away.
I finally get my state return a few months ago and it’s the $910. I was very confused and thought maybe they paid the federal, but didn’t think that was possible. Today I get a letter from the IRS stating I owe $686 + a 5 month late fee. I’ve been using TurboTax for years and never had any problems. I’m honestly just confused. I thought maybe I made a mistake on my taxes, but I didn’t receive anything in the mail regarding amendments and it’s such a leap for the missing number to be exactly the same if there were any offsets (which there shouldn’t have been).