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TurboTax calculates Form 8960, Line 9b based on a formula that considers your total investment income, total adjusted gross income (AGI), and state, local, and foreign taxes paid. However, Line 9b is zero if you do not itemize your deductions. Since you're taking the Standard Deduction, TurboTax does not include state taxes paid in the calculation.   Regarding your Net Investment Income Tax (NIIT):   Your AGI is $300,000, meaning your excess over the threshold is $50,000.  TurboTax correctly applied the 3.8% NIIT, resulting in a tax of $1,900. You paid state tax on the $50,000 at 5%, which amounts to $2,500. Normally, state taxes paid on investment income can be deducted on Line 9b, but only if you itemize deductions. Since TurboTax is showing zero on Line 9b, it likely means that state taxes paid are not being deducted because you are using the standard deduction. If you were to itemize, a portion of your state tax paid could be allocated to reduce your net investment income, potentially lowering your NIIT.   Itemized deductions include things like mortgage, interest, state taxes paid up to $10,000, medical expenses in excess of 7.5% of your AGI, charitable contributions etc..  You may enter these in the deductions and credits section of your return. Once entered, TurboTax will decide which is the better deduction for you to take. If you didn't enter itemized deductions, then the standard deduction amount will  be applied by default.    

Thank you! Is there any way to dismiss the message? I find it very annoying because it constantly takes up the top portion of the screen regardless of where I am in the app:   If not, do you have any idea of when it will go away on its own? Please advise.

If this is your home, you would enter the interest paid as an itemized deduction (if you are itemizing and not taking the standard deduction)  To do this you would select Deductions and Credit>>Your Home>>Mortgage Interest.  You will then select that you did not receive a 1098, but you will be able to enter your mortgage interest. 

You are still selling a business asset and it must be reported as indicated. It's understood there is no depreciation or amortization because you created the book of business. Simply leave that field blank. Make sure you enter a date acquired when you started the business or a later date if you choose, assuming you had the business long term. Likewise cost would be zero because you created the book and did not buy it.   This will end up on Schedule D after Form 4797 (for sale of business assets).

I also have a big problem getting to an amended 2024 return.  Opening the desktop premier version, the only icon screen option is a "Continue" link where it shows my 2024 return was accepted.  No link for an amended return.  How can this be resolved quickly?

You have until midnight on April 21st to resubmit your extension. Make sure your name, date of birth and SSN are correct. Most of the times the rejection is due to a mismatch between your name, SSN and date of birth.   What if my federal extension was rejected?

For the 2025 tax year you file form 3115 with your timely filed 2024 tax return.  It's timely filed if it is filed by the due date including extensions.  So you will include 3115 with the return that you file later this year in order to have the new accounting method recognized for 2025.   @sgfreedom 

If you are using TurboTax Desktop, you will need to correct your return and/or update your program by following the on-screen instructions.   If you continue having issues, you can check some of our common solutions.  If your tax return can't be e-filed for some reason, TurboTax will let you know.   If your issue continues, contact us again and give us more details.  

Scholarships that pay for qualified educational expenses (QEE - tuition, fees, books and other course materials) is tax free.  Scholarship amounts that exceed QEE is taxable income, on the student’s tax return. Room & board are not QEE. If box 5 of the 1098-T exceeds box 1, TurboTax (TT) will treat the difference as taxable income, unless you enter additional QEE at books and other expenses.