How can TurboTax legally claim this guarantee if they are rounding at a point in the return when the IRS does not require it? They should at least have to give a non rounding option at the individual transaction level to make such a guarantee. Sure, some might come out ahead because of the unnecessary rounding but half will not.
Maximum Refund Guarantee or Your Money Back
If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Online Free Edition customers are entitled to payment of $30.
This really upsets me. I cannot finish my e-file because of this tiny bit of money. I have paid for TT fees with credit card and now I have received on email my fees will go up if I don't file by Feb. 28.
I am a first time user. I got to the very end of completing and it stopped me because of this "tax wash" issue. I spent well over an hour with a Turbo agent trying to resolve. Finally I was told to wait a few days to see if TT resolved the problem and gave me a discount code to use towards my fees, which I can't use because I chose to pay fees with credit card. And told if the issue is not resolved, I will need to MAIL in my return. What the heck??
Can't at this point recommend TT. This is a disaster,
It is a total disaster and the issue is worse than I thought. I just previewed my actual return in the TurboTax software and they are Rounding ALL of the dollar amounts on Form 8949 in its final copy. Every single column that has dollar amounts on Form 8949 is being rounded! That is definitely not allowed by the IRS. I still believe this is such a huge issue bubbling up that the complaints are about to go parabolic. I imagine many on this thread loved TurboTax in the past so we are not looking to complain.... but this is absolutely an issue that has to be fixed.
A TurboTax live expert told me today this Rounding issue is a known problem with TurboTax this year. He said there are "notes" to get it fixed. He did not provide a specific timeline for TT to fix it but did mention late March as a possibility. The agent also said they are having many more issues regarding 1099B imports/wash sales/etc compared with last year. My suggestion is we keep letting TurboTax know how big of a problem this is so it moves to the top of the priority list for them. Frankly, I wish we could just file our 2020 returns using 2019 TurboTax software. It was far superior!
Something else new to TurboTax this year is they might only display Wash Sales or Non-Covered Securities on your Form 8949 (you need to preview your return to see this). It was not done like this in the past at TurboTax but here is a blog where they discuss why you are allowed to omit certain transactions as long as your Broker reports your cost basis to the IRS.
There are two exceptions to having to include transactions on Form 8949 that pertain to individuals and most small businesses:
- Taxpayers can attach a separate statement with the transaction details in a format that meets the requirements of Form 8949.
- Taxpayers can omit transactions from Form 8949 if:
- They received a Form 1099-B that shows that the cost basis was reported to the IRS, and
- the form does not show a non-deductible wash sale loss or adjustments to the basis, gain or loss, or to the type of gain or loss (short term or long term).
If one of the exceptions applies, then the transactions can be summarized into short-term and long-term and reported directly on Schedule D without using Form 8949."
Agreed. Should be fixed ASAP. Nowhere in the IRS guidance does it say you are REQUIRED to Round on Form 8949. Certainly, software should not be forcing us to round as it requires no extra effort for a line of code to calculate numbers. The rounding is creating problems that would not exist if they just did it like the last ten years and used precise numbers.
This is my first time filing tax but I’m almost done filing but only need to fix that issue, wash sale error ( another way to file is entering the info manually). The system already charged me but I need answer on when they can fix. Man if turbo tax doesn’t have a proper answer to when they can fix it, honestly I will file with another system.