In the standard deduction section it shows $30,750 but on the federal review section it states "You took the Standard Deduction of $30,750. Your total deductions were $31,650, which included a $900 penalty for early withdrawal of savings." why?
Did you cash out a bank CD early? Or take a distribution from a Retirement Account? TurboTax is telling you that your Itemized Deductions totaled $31,650, but since a $900 Penalty was subtracted, you are getting a deduction of $30,750. This is the Itemized Deduction; the Standard Deduction for MFJ for 2024 is only $29,200.
If you're using TurboTax Online, in the left-side menu go to Tax Tools > Tools, then choose View Tax Summary from the pop-up menu. Back at the left-side menu, choose Preview My 1040 to see the details on your return.
Here's more info on Penalty for Early Withdrawal of Savings.
Thank you for your response. I did not cash out a CD early. I was 60 years old last year so all IRA withdrawals should not penalized since I'm over 59 1/2. Do you have any other clues or is this a bug that needs to be fixed?
I found the issue. When I uploaded a photo of a 1099-INT form, Turbo Tax put a $900 amount in box 2 - Early Withdrawal Penalty, which was NOT on the original form. Once I corrected that to $0 the problem was resolved. So there is an issue with Turbo Tax photo upload of 1099-INT.