All Posts

@AmyC  all true AS LONG AS the scholarships are "unrestricted" in their use.      Restricted scholarships MUST BE applied to QEE before determining if there is QEE remaining to create AOTC on the parent's tax return.    Unrestricted scholarships CAN BE applied to QEE (and to create the AOTC, don't apply it, but rather use up to $4000 of QEE on the parent's tax return to create AOTC as you explain).   for example, if the QEE is $15,000 and there is $15,000 of scholarships that are all restricted in their use to tuition, then the $15,000 need to be netted against each other.  Then, there is no QEE remaining and therefore no AOTC opportunity.     

If you reported your direct rollover by entering Form 1099-R, TurboTax would not be saying you have an excess contribution.  In order for TurboTax to indicate you have an excess contribution is for you to have entered an IRA contribution.  Even if the rollover was not entered correctly, it would not show as a "contribution".  Navigate to "Deductions & Credits" >> " Traditional and Roth IRA Contributions" and review that section.  If you did not make an IRA contribution and there is a Traditional IRA contribution in the program, you need to delete it.     

@phantom-kitty-mny wrote:  It said my refund would be here today and it isn’t. I was told it would in today and it wasn’t and no one has been able to help me. Told by whom?    What is displayed at the IRS "Where's My Refund" tool? https://www.irs.gov/refunds What message is shown there?   Also, did you choose any option that uses a third-party bank to first receive the refund, such as the "pay fees out of refund", or "Up to 5 days earlier" offer, or Refund Advance?

line 2a should be what's on the actual form there is a section later on that asks the amount of the distribution (line 1) that is the RMD, This must be entered, Later it asks about the amount of the QCD made which can not exceed the RMD amount you entered. .     

Yes.  How do I enter my overtime pay in TurboTax?   Federal tax laws now let you deduct overtime pay. The overtime premium—the extra you earn above your regular rate—is now tax-deductible for some taxpayers. For example, if you earn $20 per hour, your overtime rate is $30. The $10 difference is the overtime premium. With tax law changes for 2025–2028, you don't have to pay federal income tax on that extra $10.     You can deduct up to $12,500 per year ($25,000 if Married Filing Jointly).

Yes.  You are allowed an automatic 2-month extension to file your return and pay federal income tax if you are a U.S. citizen or resident alien, and on the regular due date of your return: You are living outside of the United States and Puerto Rico and your main place of business or post of duty is outside the United States and Puerto Rico, or You are in military or naval service on duty outside the United States and Puerto Rico. If you use a calendar year, the regular due date of your return is April 15, and the automatic extended due date would be June 15. If the due date falls on a Saturday, Sunday, or legal holiday, the due date is delayed until the next business day. Even if you are allowed an extension, you will have to pay interest on any tax not paid by the regular due date of your return.   IRS automatic extension

Hi,    Thanks for the reply but it seems like these steps don't apply to TurboTax desktop edition.   I think the issue is that TurboTax is requiring a payer's federal ID number, but I don't have one for these legal settlements.   I searched for "1099 misc" in the "Seach Topics" button, and it won't let me get past the "Let's enter the income from your 1099-MISC" screen without a payer's federal ID number.     

I actually took the 2026 RMD already (in multiple accounts to get it out of the way).  I have another 2025 RMDs that was taken in 2025 (with its 1099R) so I am listing it.  But I don't understand the Turbo Tax instruction to NOT report RMDs due April (which would be the missed 2025 RMD that I can still take without penalty).  Schwab confirms that the 1099R I will receive in 2027 would include the total of 2024 and 2025 RMDs.    So if I don't report the 2024 RMD (taken now before April 1) via creating a substitute 1099R, that 2027 1099R will imply I took it late and trigger a penalty.  That said, if I enter the 'under-the-wire' 2024 RMD on 2025 return and pay the tax, when the IRS gets the official 1099R in 2027 and I only pay tax on the 2025 RMD, it will look like I am not paying the full amount they think is due.

This is incorrect.  this is what the IRS states for 2025:   No 1099 Rule: Generally, tips must be reported to the IRS to qualify for the deduction. However, the IRS is providing penalty relief for 2025, allowing reliance on existing, documented records. You should be able to enter your tips on Part II, on line 5 on Schedule 1-A.   Anyway TurboTax 2025 can provide an update to the software or lets us override this field?   Thanks.