I just received a vague notice from the IRS about needing to pay my deferred Self Employment Tax for 2020 tax year. They also denied applying my Turbo Tax calculated 2020 refund to my 2021 estimated payments.
Doing some research it appears Turbo Tax defaulted to deferring my Self Employment tax. I was not aware that I had elected to pay this at a later date. The Turbo Tax Filling instructions show my future estimated payments due and refund applied, but it does not show that I need to pay self employment tax.
Is the IRS correct in not applying my refund which is contrary to what Turbo Tax filing shows?
I am guessing the IRS is applying the refund to the deferred self employment tax, but that would not be a deferral would it. Also if this is the case am I late on paying my estimated by the amount of the refund they did not apply?
Why doesn't Turbo Tax filing instructions show the payment dates and amounts due for the deferred Self Employment tax?
