All Posts

Thanks for the reply. The value for 4c is indeed larger than the value for 4d. This is valid. My medical deductions are much higher in column (c) vs column (d) because my income is so low in column (c).  The 7.5% AGI medical deduction limitation means that I can't deduct as much of my medical expenses in column (d).  All valid, so isn't this a bug with TT?  (screenshot below)  

@slh2 It depends.  If you get an error when trying to file, then enter the amount from box 1 of the 1099-R in box 16.   I have been filing a Form 1099-R since 2003 with no amount in box 16 and have never had an issue.  It may depend on the state.  I am in Georgia and it seems it is not required to have box 16 with an amount entered.

This question was asked in the sub-interview about applying extra tax for the "failure to maintain HDHP coverage".    So try this: Go back through the HSA interview. After TurboTax starts asking about your HSA coverage and contributions for 2024(!), and possibly reporting your extra "last-month rule" income (which seems to always be shown as blank), you may see this question about the year-end balance.   The reason for the question is because TurboTax has to calculate an excise tax on your HSA contribution carryover. This excise tax is the SMALLER of 6% of the carryover amount OR 6% of the amount in your HSA at year end.   However, the dynamic nature of interview screens in TurboTax may make it impossible to see this screen again. If, however, you go back through and don't see this question, then you may have to do an "HSA Reset" to remove all HSA data so that you can start over (and watch more carefully this time).   To remove all your HSA data, please do the following:   ****HSA Reset ****   1. make a copy of your W-2(s) (if you don't have the paper copies) 2. delete your W-2(s) (use the garbage can icon next to the W-2(s) on the Income screen)   *** Desktop/Windows***   3. Go to the upper right and click on Forms, and  4. Select the desired form (1099-SA (if one), 8889-T, and 8889-S (if one)). Note the Delete Form button at the bottom of the form’s screen.   *** Desktop/Mac***   3. Switch to Forms Mode by selecting the Forms icon. 4. From the menu, select the form (1099-SA (if one), 8889-T, and 8889-S (if one)) you want to remove (if you don't see it, select Open Form at the top). From the Forms menu, select Remove [form name].   *** Online ***   3. go to Tax Tools (on the left), and navigate to Tools->Delete a form  4. delete form(s) 1099-SA (if one), 8889-T, and 8889-S (if one)   5. go back and re-add your W-2(s), preferably adding them manually 6. go back and redo the entire HSA interview....  

To answer your questions and provide more details, the HSA money has been transferred to my Fidelity rollover account since Feb 28th, 2025. There's nothing left in Avidia bank.   My new low-deductible health insurance policy started on Jan 1, 2025 and I still have it to today, and the high-deductible plan ended on Dec 31, 2024. However, the HSA contributions continued throughout Jan 1-31, 2025.   Unfortunately, my ex-employer would not be able to withdraw the money from their end as they have changed HSA banks from Avidia Bank to Elevate in March or April 2025. Also, there isn't any money to withdraw from my HSA account in Avidia bank since I moved it all to Fidelity.    I have no issues with my 2024 taxes.

I did this 5 day early this year because I wasn’t approved for the Advance. And it’s caused nothing but issues.  The IRS approved and sent my refund on 2/24.  The good folks at TurboTax still claim that the system shows is refund is pending.   when I spoke with the customer service person they said there is a known issue with the 5 days early process and that their IT team is working on the issue. And that I need to wait an additional 5 days before I can contact them.   just a ploy to gauge the consumer for more money 

Since you itemized, enter it like a tax refund according to VA. If you took the standard deduction, you would not enter it. As for the help content, you may need to update your program as it is in my desktop version. You did a great job!   VA Rebate states:  If you itemized your deductions, you may be required to report the rebate amount you received as income on your federal return, depending on your circumstances. You’ll receive a Form 1099G, just like you would if you received a state tax refund.

Even if you underpaid by $9,300, you might not see a penalty because you likely met one of the IRS's "Safe Harbor" exceptions.    The Safe Harbor rules eliminate a penalty as long as you paid a certain minimum amount during the year. You are generally safe from penalties if your 2025 total withholding and estimated payments were at least 100% of the total tax shown on your 2024 return (Line 24 of the 2024 Form 1040). (If your 2024 Adjusted Gross Income (AGI) was over $150,000 ($75,000 if married filing separately), this requirement jumps to 110% of your 2024 tax.) You avoid the penalty if you paid at least 90% of your total 2025 tax through withholding or estimated payments throughout the year. If you owed $0 in total tax for 2024 (and were a U.S. citizen/resident for the full 12-month year), you automatically qualify for a waiver of the 2025 underpayment penalty. If you are using the Desktop version, you can look at Form 2210. TurboTax uses this form in the background to run these "Safe Harbor" tests. If any one test passes, the penalty is not calculated.

@broman235 Yes, if you have entered contributions to a retirement fund, you would be eligible for the Saver's Credit which does require an upgrade to the Deluxe edition.  If you do not want this credit then change your occupation to Student and you will not be required to use the Deluxe edition.

Do you have a Capital Loss Carryover from 2024?     If it didn’t transfer over from last year then Enter a Capital Loss Carryover under Federal Taxes or Personal (Home & Business) Wages and Income Then scroll down to Investment Income Capital Loss Carryovers - Click Start or Revisit   You enter the whole amount carried over from last year.  Not just the 3,000.   On the income page The 2025 column shows the carryover to 2026 (not your current loss for 2025). Schedule D doesn't actually show the carryover amount. To find your Capital Loss Carryover amount you need to look at your return schedule D page 2. Line 16 will be your total loss and line 21 should be a max loss of 3,000. The difference between line 16 and 21 is the carryover loss for next year. Then there are 2 worksheets…. Capital Loss Carryover worksheet showing the carryover from the prior year and the current amounts. Capital Loss Carry Forward worksheet showing the amount transferring over to next year. In the Online version you have to save your return with all the worksheets as a pdf file to your computer to see the Capital Loss worksheets. You need to use Online Premium to enter a Capital Loss Carryover and investments. Or any of the Desktop programs. In the Desktop program you can switch to Forms Mode and open the worksheets.

Thanks for your reply. In short, I over reported W2 income to CA by about $1536. That's what I need to amend. I should owe CA state a little less than my original (incorrect) calculation.   For the record I e-filed both Federal and State on Monday, Feb 23, 2026. Both were accepted minutes later. In Turbotax software, I put March 3, 2026 to direct debit from my checking account.   Would it be better to amend my CA return and submit it now or wait until after April tax deadline?

This could occur when the software misinterprets a 1099-R code or when the follow-up questions about the rollover are answered incorrectly. A properly documented rollover (direct transfer) should not increase your taxable income.    Missing the Follow-Up Questions: After entering the 1099-R, TurboTax asks a series of questions ("Did you move the money to another retirement account?"). If you skip these or answer "No," it assumes the money was taken as cash and is taxable. Incorrect Box 7 Code interpretation: If you have Code G, it should be a direct rollover. If it is being taxed, the system may think it was a rollover to a Roth IRA, which is taxable, rather than a Traditional IRA, which is not. 401(k) to Roth IRA Conversion: If you moved money from a traditional 401(k) to a Roth IRA, that is a taxable event. If Box 2a (taxable amount) has a number in it on your 1099-R, but it was a full, direct rollover, TurboTax will report that amount as taxable unless you correct it in the interview.    Sometimes, the fastest fix is to delete the 1099-R and re-enter it, paying close attention to the interview questions that follow. Verify that Box 2a is $0. If Box 2a shows the full amount, and it was a direct rollover, it is often a mistake by the payer, and you may need to enter it as $0 in TurboTax and check the "not taxable" box in the follow-up. Check the "IRA/SEP/SIMPLE" Box: Ensure you did not mistakenly check this box for a 401(k) rollover, as it causes errors in calculating taxability.   @susan-tindell-stephenson