All Posts

Tho technically correct, the answer is misleading.  You CAN use QCD to reduce your taxes (if you are 70 1/2 or older): * Say you are withdrawing $50,000/year from pre-tax IRA for living expenses * Say you contribute $5000/year to a charity * You are paying, assuming 20% income tax bracket, $1000 tax on that $5000 of your withdrawals that went to a charity * IF, instead, you withdraw $45,000/year for living, and do a QCD to your charity, you have saved the $1000 in taxes that you would have otherwise paid on that extra $5000.

You would not include them on your 2025 taxes, but if you made a profit on the sale, you will report this sale on your 2026 return and you should make an estimated payment by June 15th to cover the    As to how much you will have to pay, depends on how long you held the property, your other income, your tax bracket and your profit.     You can use the IRS Tax Withholding Estimator to help you determine how much you should pay. 

Is this for state?  If so, which state?  If you do not own any business, then you may be able to delete the form that is asking you for the pass through entity tax.  But, it depends on which state and which form.  Please provide as much detail as you can.  It sounds like a question may have been answered yes instead of no. 

I appreciate your replies and information. Thank you. I have one last question, a family member with a similar but slightly different situation. They need to report all 1099–Q distributions as non-educational. Their child no longer lives at home, is not claimed as their dependent, has not been a student for over two years and therefore does not have a 1098–T. With the glitch with 529’s in TurboTax, how would they go about reporting the full distribution so that they can properly pay taxes on that amount? (They are using the online version only for the first time). I just want to be sure I’m sharing the correct information with them for filing.

@sureshbk After you completed entry of the SSA-1099 for the Social Security benefits received in 2025, there was a following screen asking you if you lived in any of the foreign countries listed.  If you selected Yes or skipped over this screen, the TurboTax program would not have calculated any taxes on your Social Security benefits entered on the Form 1040 Line 6a.  Resulting in a 0 being entered on Form 1040 Line 6b.

For most working interest oil producers, you would multiply your gross income by 15% to determine your percentage depletion.   More info from the OnDemand Tax Guidance within TurboTax:   Percentage Depletion Is calculated by taking a certain percentage, based upon the type of mineral, by your gross income from the mineral property during the year. Gross income includes the amount received for the minerals but not amounts paid for rents and royalties for the property. The deduction using this method cannot be more than 50% of your taxable income from the property without taking into account the depletion deduction. Percentage depletion generally does not apply to oil and gas wells.    Small Producers Exemption: Generally, small oil and gas producers and royalty owners can use percentage depletion at a rate of 15%. The deduction is limited to the lessor of your taxable income from the property without regard to the deduction for depletion, or 65% of your taxable income from all sources without regard to the deduction for depletion.   Depending on the purpose of the extraction, the depletion rate may be different, in a range from 7% to 22% (see 26 U.S. Code § 613 - Percentage depletion for a complete list). 

I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:   TurboTax Online:   Sign into your online account. Locate the Tax Tools on the left-hand side of the screen. A drop-down will appear. Select Tools On the pop-up screen, click on “Share my file with agent.” This will generate a message that a diagnostic file gets sanitized and transmitted to us. Please provide the Token Number that was generated in the response.   TurboTax Desktop/Download Versions:   Open your return. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” * This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us. Please provide the Token Number  (including the dash) that was generated in the response.   *(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)  

Please provide more details?  What is the erroneous number?  What should the number be?  What do you see wrong with it?   If it is medical expenses, remember they are only deductible for the amount that is over 7.5% of your AGI. 

Token:  75745339-22178636   On my South Carolina tax form there seems to be an error on how line 31is calculated.  Turbo Tax reported I owe $420.  The state reviewed my taxes and stated I owe $320.  So I will be getting a $100 refund. 

Did you receive a rejection letter? In most cases, these include a rejection code that helps determine what needs to be fixed.    Otherwise, check this tax year 2025 post for possible fixes to Form 5695: Fed and State filing rejected due to form 5695    The best option is to review all your answers to the interview questions for the Residential Energy Credit (if you're logged into TurboTax Online, use this link to Go To Form 5695).

https://thefinancebuff.com/social-security-taxable-calculator.html   Take a look at this calculator.  Social Security will be taxes between 50% to 85%.  We cannot take that as 0 taxable income. This is were the turbo tax failed to calculation properly.

In response to question, I entered as NO.  I live in USA.   That was a news to me. If you are a US Citizen and live in another country, you don't have to pay tax on social Security?  Are you sure?   https://thefinancebuff.com/social-security-taxable-calculator.html This gives a needed help to understand the SSI tax after talking into account the Standard Deduction + 12000 Senior (recent bill passed which will be valid till 2028). It also takes into account the Capital Gains income + Interest income from investments.   This is were TurboTax did not do a good job.  

Was this issue resolved?     If not, I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:   TurboTax Online:   Sign into your online account. Locate the Tax Tools on the left-hand side of the screen. A drop-down will appear. Select Tools On the pop-up screen, click on “Share my file with agent.” This will generate a message that a diagnostic file gets sanitized and transmitted to us. Please provide the Token Number that was generated in the response.   TurboTax Desktop/Download Versions:   Open your return. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” * This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us. Please provide the Token Number  (including the dash) that was generated in the response.   *(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)   @smontalban001