How is "limited" defined for 1099-INT when filing a simple return for free? (i.e. dollar amount)

Forum|Forum|5 years ago
March 1, 2021
5 replies
69 views

Since I exceeded the limit, I got pushed from Free file to Deluxe. I couldn't find the "limit" anywhere on the website prior to starting my return. Why not publicize the exact amount as part of the restrictions for the Free file instead of using the term "limited"? I would also like to know who sets the limit, intuit turbotax or the IRS?

Best answer by JamesG1

This promotional material can be found at this website under For simple tax returns only.

You can file with TurboTax Free Edition
if you have a simple tax return.*

*A simple tax return is Form 1040 only OR Form 1040 + Unemployment Income. Situations covered in TurboTax Free Edition include:

W-2 income
Limited interest and dividend income reported on a 1099-INT or 1099-DIV
Claiming the standard deduction
Earned Income Tax Credit (EIC)
Child tax credits
Unemployment income reported on a 1099-G

My understanding is that this statement means income reported on a 1099-INT or 1099-DIV. Reporting interest or dividends which are not being reported on these forms would require a version upgrade.

Also IRS 1040 Schedule B is not reported on the Basic version. Scroll down the left side of the screen and look for Schedule B.

The Internal Revenue Service requires a Form 1040 Schedule B form in a number of situations, but for the average taxpayer, the two most common reasons are earning more than $1,500 of interest or dividend income (from savings accounts or stocks, for example) and to exclude the interest you earn on certain U.S. savings bonds from your tax return.

DaraLO

Level 12

Once your tax situation requires any attached schedules, you will be prompted to upgrade.

If you qualify, TurboTax Free File is another free option that we offer.

If you have any additional questions, please speak with our phone support team for assistance: What is the TurboTax phone number?

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Scott_WIAuthor

Level 2

The answer by the "Expert" did not answer my questions at all. Being evasive is a red flag and should serve as a warning to anyone considering using intuit turbo tax. Please do better and answer the questions that were asked.

JamesG1Answer