All Posts

You can use the Social Security  lump-sum action to reduce the amount of your taxable social security, even possibly to zero. Legal fees are not deductible. What is a Lump-Sum Social Security Payment? The lump-sum election has always worked correctly in TurboTax. Have all tax returns available for each year included in the lump sum payment (shown on your SSA-1099).   This can be handled on your tax return for 2025. The Form SSA-1099 should show a total amount in box 5, and then the amount that is designated for each year in box 3. Worksheet 4 is included after Worksheet 2 is completed for each year.   Be sure to select "lump-sum" method of reporting in this situation which is all done on the tax return for the year of receipt of the benefits.  Enter the appropriate amounts for each year when you start that section of your return.   Continue to add each year for all years listed in box 3. There is no amendment required. Open your TurboTax Return > Search (upper right) > type ssa1099 > Click the Jump to.... Link or Click on See more > the click on social security benefits in the FAQ Select Yes you received benefits > Complete your SSA-1099 > Continue > Yes I received at least one lump sum payment for 2023 or earlier > Continue Type a year from your SSA-1099 > Enter the amount received for that year > Continue If you received a Form SSA-1099 for the earlier year enter the box 5 amount, if not enter zero or leave it blank > Continue Enter the filing status for the earlier year > Continue > Select whether you lived with a spouse in the earlier year > Continue > Enter the information from the earlier year return > Continue > Add another lump sum payment (another year from box 3) if applicable or Click Done Continue to follow the screens until you are back at the Income Summary page Also enter a zero if your Social Security benefits weren't taxable or there were none in the earlier year(s) (such as for a spouse). If you are using the TurboTax Desktop version review the Lump-Sum Social Security Worksheet in Forms.  You can also review 'Earlier Year Lump-Sum Worksheet' for each year.   Legal Fees: You are required to report the amount of the money used to pay the attorney even though it didn't actually come into you hands.  It is part of the award you received regardless of your payment for attorney fees.   Treatment of Payments to Attorneys - IRC 6041 and 6045 state that when a payor makes a payment to an attorney for an award of attorney's fees in a settlement awarding a payment that is includable in the plaintiff income, the payor must report the attorney's fees on separate information returns with the attorney and the plaintiff as payees. Therefore, Forms 1099-MISC and Forms W-2, as appropriate, must be filed and furnished with the plaintiff and the attorney as payee when attorney's fees are paid pursuant to a settlement agreement that provides for payments includable in the claimant's income, even though only one check may be issued for the attorney's fees. Click the link above for more information. Can I deduct legal fees on my taxes? Review the information here to see if you qualify for any deduction of those fees. Typically it's only if it's for business use. If the law suit settlement was not awarded in relationship to a business activity you had, then it must be reported as other income. Are legal settlements taxable? Where do I enter an award from a taxable legal settlement? @akboneau  [Edited: 04/16/2026 | 1:45 PM PST]

In the following discussion, "you" refers to the plan administrator who is creating the 1099-R, not the taxpayer who receives the 1099-R.   The IRS encourages you to designate an account number for all Forms 1099-R that you file. However, the IRS requires the account number in these three cases: The account number is required if you have multiple accounts for a recipient for whom you are filing more than one Form 1099-R.  The account number is also required if you check the “FATCA filing requirement” box. The policy number of the life insurance contract under which benefits are paid is required if you are reporting a payment of reportable death benefits. So not showing an account number may be perfectly fine, unless you (the taxpayer) know something you haven't told us.

I do not have the permissions or ability to initiate any discounts or refunds.  Thank you again for your patience in waiting for the development team to correct the situation so that you could file an accurate return.   Take a look at the following TurboTax help article to learn about the refund policy and how to request one:   How do I request a refund for my TurboTax product?   @wenger317 

If the mileage deduction calculated is not as expected, check your entries. If you have less than 100% business use of your vehicle, make sure you are using the business miles and not the personal miles to calculate the deduction.   The IRS 2025 standard mileage rates are set at 70 cents per mile for business use, 21 cents for medical or moving purposes (military only), and 14 cents for charitable organization service. The business rate is an increase from the 2024 rate of 67 cents. TurboTax calculates the mileage deduction based on the number of business miles entered by the user and the standard mileage rate.   If you are still having this issue, please provide more information about the steps you took to enter business vehicle expenses.   See this TurboTax tips article for more information.  

Click on this link, @csullyfilm  and click the box that says Use Refund Tracker (that is the new Where's My Refund link).   The option on the left is to create an IRS account but the option on the right will allow you to track your federal IRS refund.      IRS Refunds   You’ll need this information from your tax return:   Exact refund amount Social Security number or ITIN Filing status (married, single, etc.) Tax year - be sure to choose 2025

No. You should not try to correct your Form 1099-R. You must enter the information exactly as it appears. In the follow-up interview, TurboTax will ask if you "transferred the money to charity". Indicating that you did when asked, will trigger the tax-free QCD treatment on your tax return.   A quick note on the codes: Code T is correct for a Roth IRA distribution when the bank doesn't know if the account has been open for 5 years. While you can do a QCD from a Roth IRA, it is usually not the best tax move. Since Roth withdrawals are often already tax-free, using a Traditional IRA for your donations is usually better because it allows you to satisfy your Required Minimum Distribution (RMD) without adding to your taxable income.    Click What do all the codes in Box 7 of the 1099-R mean? to learn more about the type of distribution you received.

Yes, a Form 8379 can be used with your 2025 return if you meet the criteria. It will not cover any prior year return only the current tax year. How do I file Form 8379: Injured Spouse Allocation? You may be an injured spouse if you file a joint return and all or part of your portion of the overpayment was, or is expected to be, applied (offset) to your spouse's legally enforceable past-due federal tax, state income tax, state unemployment compensation debts, child support, or a federal nontax debt, such as a student loan. A Notice of Offset for federal tax debts is issued by the IRS. A Notice of Offset for past-due state income tax, state unemployment compensation debt, child support, or federal nontax debts (such as a student loan) is issued by the U.S. Treasury Department's Bureau of the Fiscal Service. Contact the Bureau of the Fiscal Service to confirm ( 800-304-3107) any of the mentioned debts. 2024: You must file Form 8379 within 3 years from the due date of the original return (including extensions) or within 2 years from the date you paid the tax that was later offset, whichever is later. For 2024, it must be filed with an amended tax return for it to be applied for that return. How do I amend a tax return for a prior year? How do I view, print or download a prior year tax return?

Yes, the child would claim the scholarship on his own taxes.  Unless the amount of the scholarship less the tuition is greater than the $15,750 standard deduction, none of it will be taxable to the student.

Your proof of payment is when the IRS debits your bank account.   Call IRS e-file Payment Services 24/7 at 888-353-4537 to inquire about or cancel your payment, but please wait 7 to 10 days after your return was accepted before calling.

Thank you for the information. Our problem is that the majority of funds used were for non-educational expenses so we absolutely have to report them and pay taxes on that amount. I’m unsure how to report non-educational expenses appropriately since it never asks.

It can happen based on various factors including the amount of earnings you had in 2025 versus 2024. Compare your returns line by line for 2024 against 2025 to get a clear picture of where the difference might be. Once you have additional details we can provide details for your specific situation. CA Earned Income Tax Credit

To quote TurboTax Expert MinhT1,  Form 480.6C is intended for non-residents of Puerto Rico. It covers investment income that has been subject to Puerto Rico source withholding. This form is for information only.   I do not know if this income is taxable in the US (it might be in an IRA, for example), so if it is, it is up to you enter the amount in TurboTax. There is no data entry screen for the 480.6C itself in TurboTax.

If you didn't get an email from TurboTax that your return was Accepted, check the Where's My Refund? site to see if the IRS has any record of a return for you.  If not, you may want to Request an IRS Transcript if you suspect identity theft.   @WILLIAMSON907 

It depends. The rules for deducting alimony are noted below, review to see if you qualify. Can I deduct alimony I paid to my ex-spouse? You can deduct alimony paid to a former spouse as long as the divorce or separation agreement was executed by December 31, 2018. There can be no modifications or updates to the agreement after that date.   AGI must be from your original 2024 tax return (amendments are not used if applicable).  

You can go to the Form W-2G or Gambling winnings section under Income to report prize winnings.   In both TurboTax Desktop and TurboTax Online, after you enter any Forms W-2G, the next screen asks: "Let's look for winnings not reported on  W-2G".   There, TurboTax provides entry fields for non-W-2G gambling winnings and for other types of prize winnings. Line 8 of the Form 1040 states, "Additional income from Schedule 1, line 10". Schedule 1 contains a large number of items, some of which add to income and others which are subtracted from income and includes the gambling income.   If you received Form 1099-MISC, you can also choose to enter it in that section under Income and identify that it was not income from working so that it doesn't get misclassified as self-employment income:   Select Income from Form 1099-MISC under Wages and Income. Enter the payer information and dollar amount Enter a description for the payment When asked about Uncommon Reasons, select that none apply or select one that adequately explains the reason When asked about the frequency of payment, select received in 2023 When asked "Did (description) involve an intent to earn money?" answer No (that is, it is not earned income and therefore not subject to self-employment tax) Form 1099-MISC is used by business payers to report certain types of miscellaneous compensation, such as rents, prizes, awards, healthcare payments, and payments to an attorney to the IRS and to the recipients of those payments.