cardinal_jake
Returning Member

Deductions & credits

Ok. I will try to clarify. I filed my taxes early, before the law changed, and because I had unemployment income taxed I had to pay the IRS taxes due (as an example, let's day I paid $500 in taxes due). I paid those due taxes.

 

Later, the law changed and I discovered that unemployment income would be tax free (my unemployment income was below the $10,500 limit). I corrected my return which showed I was now due a refund (for an example, I was now owed $1,000 from the IRS). However, I did not file an amended return because I received an email from TurboTax which stated not to file an amended return.

 

Then, I received a refund from the IRS (for an example it was the $1,000 amount). I did not get credit for the taxes I had paid earlier ($500 for example).

 

My question is why wasn't that amount added to my refund? If I had waited and not filed my taxes when I did, I would be owed a $1,000 refund as the example. But I paid taxes due before the law change and only received back the $1,000 example from the IRS. I believe I should receive $1,500 back per the example ($1,000 refund plus $500 I paid in taxes before the law changed).

 

I contacted the IRS and explained the situation when I received the example $1,000 refund, and they explained they were not sure how they would handle people in my situation and were waiting on further guidance.