TurboTax does not receive any type of tax refund, federal or state. TurboTax does not receive any type of Economic Impact Payment.
The stimulus payment will go to the account you entered for direct deposit on the 2019 tax return. The direct deposit information cannot be changed. If the account is closed the IRS will send the payment by mail or on a debit card.
Go to this IRS website for stimulus information - https://www.irs.gov/newsroom/treasury-and-irs-begin-delivering-second-round-of-economic-impact-payme...
Go to this IRS website to check the status of your payment - https://www.irs.gov/coronavirus/get-my-payment
If you do not receive the second stimulus payment on or before January 15, 2021 and/or you did not receive the first stimulus payment in 2020 and you are eligible it will be entered on your federal tax return, Form 1040 on Line 30.
The Form 1040 has not been finalized and needs to updated to include the 2nd Economic Impact Payment.
Today, I read a few news articles stating that people who filed with TurboTax or H&R Block, and also chose to have their filing fees deducted from their Federal returns, are experiencing issues/delays with their second stimulus payments. For me personally, this was not an issue with the first stimulus, but news sources are saying it's an issue now for the second one, and that TurboTax's fee processor is receiving consumers' stimulus payments and returning them to the IRS.
I am also seeing there is an issue for those who paid for Turbotax and H&R Block through their refund. The IRS messed up majorly on this and so many people are in deep need of this check.
I also read that Turbo tax received the deposits. I tried to call IRS which couldn’t help me. I then called turbo tax and am waiting for a “call back”. I also heard when I was waiting for a rep that they cannot redirect our stimulus payments. A friend did their taxes with H&R and in return H&R is sending their payments out to their customers. Turbo tax what are you doing to help us receive our stimulus that the IRS erroneously sent to you?
The article I read on MarketWatch said that, by law, TurboTax and H&R are not allowed to redirect payments and must return them to the IRS. Its up to the IRS to get it to the correct individual/account.
Not at all encouraging news for those that need this...
That is correct. If you paid your filing fees from your refund then your stimulus was inadvertently sent to the pass through account TurboTax uses to receive your refund, take their fees then forward on to your personal account. H&R Block customers that opted for the refund transfer seeing the same issue except H&R Block kept their pass through accounts open so they have been able to direct deposit customers payments to their personal accounts they filed with. TurboTax apparently closed their pass through accounts with Green Dot and they rejected the payments thus sending them back to the IRS. Per an IRS rep (not one of the stimulus phone reps that won't even look up your account) as of now rejected payments will be mailed out as a paper check in 4-6 weeks. And these payments do not have the January 15th deadline because technically they issued the payments before then. Supposedly TurboTax, Green Dot and the IRS are working to fix this issue (not really sure which dropped the ball here) and there could be a chance to not have to wait the 4-6 weeks for paper checks. But I've basically been told not to get your hopes up. For now, just wait on your paper check in the mail next month. And yes, even if you received your last stimulus by direct deposit into your personal account with no problem, apparently there was a rush to get this payment out by the deadline, this issue was overlooked. I'm not sure why a mass amount of peoples account numbers would be changed from then until now but this is the issue were facing if you still haven't received your stimulus but your IRS account transcript is saying payment was issued. Most people are saying their transcript shows an issue date of 1/4/21.
I think I'll be filing my taxes for free for federal and state this year and save some money. I wouldn't be surprised if I receive my federal refund by the time the paper stimulus check arrives.
Whoever caused this delay should have to come explain to the families NEEDING this money why they thought this **bleep** was a good idea. And I can promise you, I will NOT be using TurboTax for ANYTHING else from here on out. And I am hoping the class action lawsuits being planned run this pile of [remove] company In the dirt.
That's factually untrue.
What is true is that turbofail admitted that people who paid for tax preparation services out of their refund were sent money by the irs to the turbofail account. Unfortunately, that account was closed. And so it will not get to any turbotax users that did this in any reasonable amount of time.
Unlike H&R Block which has set up a phone number to help people, turbotax sent me 3 emails a day for the past 3 days pushing me to file my taxes immediately.
This is their way of saying they messed up, the irs messed up, and even though you really needed that money, sorry, pay us again and we'll prepare your taxes poorly and you'll get $600 knocked off the $12,500 tax credit given by the government, and you won't see a dime of that, unlike everyone else.
Now why this is different than the previous payment from the irs I don't know, but I do in turbotax is confusing and lying to people by misleading them about this issue, as you are by now acknowledging what's just come out in the press.
So, in short, if anyone used turbotax, and then had turbotax deduct it's ridiculous fees from their return, they will absolutely not get a stimulus payment.
I filed via Turbo Tax for my 2019 taxes and had direct deposit for the Refund and I received the 1st refund for the Stimulus Check with no issues back in April 2020 and I've read that H&R Block and Turbo Tax are supposedly having issues.
Does that mean I'm not going to receive the 2nd check since I filed with Turbo Tax? I need it for myself & daughter nothing changed with my direct deposit information.
I heard there is an issue with stimulus payments if you had your tax cost taken out of your refund. Is this true. I recieved the first stimulus but not the second? Karen Grover