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The estimated tax penalty is a penalty for not paying your taxes in full throughout the year. If you are seeing a penalty, you can go back into the program under Other Tax Situations>>Additional Tax Payments>>Underpayment penalties and select start or update next to Underpayment Penalties. These questions are meant to help you apply for the exemption to the penalties.   Some exceptions to the penalty are  You had $0 tax liability in 2023 You paid 100% of your 2023 tax liability (110% if your income is over $150,000 or $75,000 if MFS) You paid 90% of your 2024 tax liability  You or your spouse (if you file a joint return) retired in the past 2 years after reaching age 62 or became disabled and you had reasonable cause to underpay or pay your estimated tax late   You will find this under  Other Tax Situations Additional Tax Payments Underpayment penalties  Also, when you get towards the end of the return, you should be asked by TurboTax if you want to apply for the penalty waiver.  

Q. Why did my Federal Tax liability go up when I entered my 529 distribution information when it was used for Education purposes? A.  You did enter all the information properly, to get the outcome you wanted.    But,  the 1099-Q is  only an informational document. The numbers on it are not required to be entered onto your (or your student's) tax return. The interview is complicated and it's easy to make mistakes. Avoid it if you can.  You can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. But, it will prepare a 1099-Q worksheet for your records (you don’t need it). You would still have to do the math to see if there were enough expenses left over for you to claim the tuition credit. You also cannot count expenses that were paid by tax free scholarships. References: On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution."  IRS Pub 970 states: “Generally, distributions are tax free if they aren't more than the beneficiary's AQEE for the year. Don't report tax-free distributions (including qualifying rollovers) on your tax return”. "IRS Publication 970, Tax Benefits for Education states: If the entire 1099-Q went to qualified expenses, room and board, tuition, etc; then, you do not need to enter the form."   There are three things you can do with your Qualified educational expenses (QEE): Allocate then to scholarships (so that the scholarship remains tax free) Use them to claim an education credit Allocate them to the 529 distribution (1099-Q) so that it will not all be taxable TurboTax allocates QEE, in that order, but it doesn't do a very good job if you want something different. TurboTax allocates QEE, in that order, until you tell it otherwise.  It's best if you have some idea of the outcome expected, when you make your entries. In addition to entering numbers, you must complete the “Education Information” sub-section. In particular, be on the lookout for a screen “education expenses used for a tax credit”. It will usually be prepopulated (sometimes with $10K instead of the more appropriate $4K). You can change it for the amount you want to allocate to the ed credit, including changing it to 0. If you don't get that screen, check the student information worksheet. You can change it there (line 17). Make the change in the first column.   But, it's not that simple.  Room and board (R&B), even if you live at home are qualified expenses for a 529 distribution (but not for an education credit or tax free scholarship.  So, not all of the 529 earnings will get tax.  Furthermore, you may need to allocate expenses to the credit and/or to scholarships.  So, it pays to have an idea of what you're wanting as you go thru the TT interview.  Educational expenses can be allocated to the 529 distribution, scholarships or the tuition credit, or maybe even cashed savings bonds. +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Qualified Tuition Plans  (QTP 529 Plans) Distributions General Discussion It’s complicated. For 529 plans, there is an “owner” (usually the parent), and a “beneficiary” (usually the student dependent). The "recipient" of the distribution can be either the owner or the beneficiary depending on who the money was sent to. When the money goes directly from the Qualified Tuition Plan (QTP) to the school, the student is the "recipient". The distribution will be reported on IRS form 1099-Q.  The 1099-Q gets reported on the recipient's return.** The recipient's name & SS# will be on the 1099-Q. Even though the 1099-Q is going on the student's return, the 1098-T should go on the parent's return, so you can claim the education credit. You can do this because he is your dependent. You can and should claim the tuition credit before claiming the 529 plan earnings exclusion. The American Opportunity Credit (AOC or AOTC) is 100% of the first $2000 of tuition and 25% of the next $2000 ($2500 maximum credit). The educational expenses he claims for the 1099-Q should be reduced by the amount of educational expenses you claim for the credit. But be aware, you can not double dip. You cannot count the same tuition money, for the tuition credit,  that gets him an exclusion from the taxability of the earnings (interest) on the 529 plan. Since the credit is more generous; use as much of the tuition as is needed for the credit and the rest for the interest exclusion. Another special rule allows you to claim the tuition credit regardless of whose money was used to pay the tuition. In addition, there is another rule that says the 10% penalty is waived if he was unable to cover the 529 plan withdrawal with educational expenses either because he got scholarships or the expenses were used (by him or the parents) to claim the credits. He'll have to pay tax on the earnings, at his lower tax rate (subject to the “kiddie tax”), but not the penalty.   Total qualified expenses (including room & board) less amounts paid by scholarship less amounts used to claim the Tuition credit equals the amount you can use to claim the earnings exclusion on the 1099-Q.  Example:   $10,000 in educational expenses(including room & board which is only qualified for the 1099-Q)    -$3000 paid by tax free scholarship***    -$4000 used to claim the American Opportunity credit  =$3000 Can be used against the 1099-Q (on the recipient’s return)   Box 1 of the 1099-Q is $5000 Box 2 is $2800 3000/5000=60% of the earnings are tax free; 40% are taxable 40% x 2800= $1120 There is  $1120 of taxable income (on the recipient’s return)   **Alternatively; you can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. You would still have to do the math to see if there were enough expenses left over for you to claim the tuition credit. Again, you cannot double dip!  When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. But, it will prepare a 1099-Q worksheet for your records, in case of an IRS inquiry. On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution."  ***Another alternative is have the student report some of his scholarship as taxable income, to free up some expenses for the 1099-Q and/or tuition credit. Most people come out better having the scholarship taxable before the 529 earnings. A student, with no other income, can have up to $14,600 of taxable scholarship (in 2024) and still pay no income tax. 

You have to modify your existing plan - You can do this at the IRS website >> You can make any desired changes by first logging into the Online Payment Agreement tool. On the payment options page, you can revise your current plan type, payment date, and amount. Then submit your changes.   If your new monthly payment amount does not meet the requirements, you will be prompted to revise the payment amount. If you are unable to make the minimum required payment amount, you will receive directions for completing a Form 433-H, Installment Agreement Request and Collection Information Statement PDF, Form 433-F, Collection Information Statement PDF or Form 433-B, Collection Information Statement for Businesses PDF and how to submit it.

I called the IRS  today and spoke to a very helpful agent who advised me that our payment was rejected.  That was on April 10!  I was told that they mailed a letter!  Sigh!  Anyways, after I hung up, I  created an IRS account and processed payment for today.

When you have a loss on a Schedule C, the loss isn't deductible unless you have checked a box on the form to indicate that your investment is at risk.  Go back through the questions for your business and make sure you have checked the box, or answered the question yes, to indicate that All Investment is at Risk.  Once checked, your loss will then flow to your Form 1040 and offset other income.

Please see Error 1603 for additional steps that might help resolve this issue.  There are additional troubleshooting steps included in this link that relate directly to Microsoft and Windows.   @Millannacellrose 

Para hacer tus impuestos ve a TurboTax en español, las preguntas y la información van a estar en español.  El programa está diseñado para guiarte durante el proceso y pedir más información si es necesaria y completar todas las formas que necesites. Al final de tu declaracion, el programa te dara opciones para enviar tus impuestos.     También tienes la opción de pedir que un experto en impuestos bilingüe revise tu declaración y la termine por ti usando TurboTax Live.     También si tienes más preguntas las puedes hacer aquí en español.     ¿Qué es la Garantía de cálculos 100 % precisos de TurboTax? ¿Qué sucede si necesito que mi declaración se revise por completo?

Thank you @MarilynG1 .   I have no 1099-SA for this tax year as I didn’t take a distribution from my HSA but I did include medical expenses on NJ only that I plan to take a distribution in a future year.  Hope this was allowed. In the year that I take the HSA distribution for these expenses, I will get a 1099-SA and report as you have described. 

There is a credit for the elderly and disabled using Schedule R but most taxpayers do not qualify since the maximum income limits are so low.   Click on Federal Taxes (Personal using Home & Business) Click on Deductions & Credits Click on I'll choose what I work on (if shown) Scroll down to Other Deductions and Credits On Elderly or Disabled credit, click on the start button   If you are age 65 or older you get an increase in the Standard Deduction   Standard deductions for 2024 Single - $14,600 add $1,950 if age 65 or older Married Filing Separately - $14,600 add $1,550 if age 65 or older Married Filing Jointly - $29,200 add $1,550 for each spouse age 65 or older Head of Household - $21,900 add $1,950 if age 65 or older