Told: you have a penalty on early withdrawal of savings and need to upgrade to deluxe

I received the alert when I finally finished federal and state and was on the last review to file "You have a penalty on early withdrawal of savings." and I need to upgrade to deluxe for $118. I have no idea what this penalty could be. I did not receive a 1099R, I do not have an IRA or Roth IRA, I have not made any withdrawals from my 403b. I did receive at 1099INT but only box 1 had any information. What could this be about?

posted

Go back to where the 1099-INT is entered in TurboTax and make sure that you did not accidentally enter something in box 2. Box 2 is where a penalty for early withdrawal of savings would be.

It was for the penalty you paid at the bank like if you cashed in a CD early. You can deduct the penalty from your income. It's a good thing. If you don't want to upgrade you can delete the amount in box 2 of the 1099 INT.