topic Re: Tax return error in After you file

Tax return error

michael_crist — Tue, 10 Mar 2026 04:47:11 GMT

irs changed my return and i owe more taxes

Re: Tax return error

xmasbaby0 — Thu, 19 May 2022 21:08:32 GMT

Yes----we are seeing that a lot. Either your refund gets reduced or you even end up owing because the IRS has corrected a mistake on your return.

TurboTax does not get any information from the IRS after you file your tax return, so no one at TT knows why your refund was less or why you now owe.

You have not mentioned any specific amounts. Sometimes we can make an educated guess as to the reason for your reduced refund if you mention specific amounts--for example if your refund was short by $1400 per person---it is likely to be a mix up regarding the 3rd EIP payment. If you received the 3rd stimulus check of $1400 per person in 2021 then you got letter 6475 from the IRS about it. You needed to enter the amount you received. If you already received that money then line 30 on your Form 1040 should have been blank.

If it is short by $1800 or $1500 or a multiple of that amount --- maybe a mixup regarding the advance child tax credit payments. If you received monthly child tax credit payments of $250 or $300 per month between July and December of 2021, then you got letter 6419 from the IRS, and you were required to enter the amount of the advance payments. Only the remaining amount of the CTC should have been on line 28 of your Form 1040.

The IRS knows how much they sent to you for the 3rd stimulus check and they know how much they sent for advance child tax credit payments. If you answered something incorrectly on your tax return then the IRS made a correction that resulted in a reduced refund for you.

Or---the fees you were supposed to pay for using TurboTax + the "refund processing fee" charged by the third party bank….

Did you choose to have TT fees deducted from your Federal refund? (Remember that if you did that, you also agreed to an extra refund processing fee of $39.99 or $44.99 in CA)

How can I see my TurboTax fees?

https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online

What is Refund Processing Service?

The IRS will send you a letter that explains why your refund was reduced. Meanwhile it might help you to check your online IRS account.

https://www.irs.gov/payments/your-online-account

https://blog.turbotax.intuit.com/tax-refunds/why-is-my-tax-refund-not-what-i-expected-49240/

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-round-economic-impact-payment-topic-j-payment-issued-but-lost-stolen-destroyed-or-not-received

Re: Tax return error

michael_crist — Thu, 19 May 2022 21:17:11 GMT

The IRS claims my error is with the Recovery Rebate Credit, and as a result of their "correction," I owe $2779.30. That is the amount I claimed on line 30 of my 1040, $2772 plus $7.30 in interest. I have used and trusted TT for years and this is the first time the IRS has claimed I made an error.

Re: Tax return error

NCperson — Thu, 19 May 2022 21:46:35 GMT

@michael_crist - the Recovery Rebate credit is totally automated by TT, with one critical exception.

at one point in the interview process, you are asked how much did you receive for the 3rd stimulus (paid by the IRS to you March - May. 2021). If what you entered does not match the IRS records, two things occur

1) Line 30 is inflated - in your case by $2772

2) the IRS will check all Line 30 entries and match the calculation against their records, and if they do not match, they will reduce Line 30 to match their records which has the knock on effect of adjusting your refund / increasing what you owe.

What did you enter when prompted by TT as the amount you previosuly received for the 3rd stimulus? (please check your bank records or Letter 6475 - please do not go from memory).

Also, I suspect you filed joint. If you entered what was stated on Letter 6475, there were actually TWO Letters, one addressed to you and one to your spouse. You had to enter the SUM OF BOTH letters when prompted by TT - this appears by far the #1 mistake I see via complaints on these boards.

does that help?

Re: Tax return error

michael_crist — Thu, 19 May 2022 23:37:16 GMT

I may have entered a wrong amount for my EIP3 while answering TT's questions, though I do have both letters and I did check my bank records. I don't remember what I put in, but I remember it was a very confusing section of the tax form. I just now completed the Recovery Rebate Credit Worksheet by hand and the IRS calculations are correct. I should have entered 0 on line 30.