topic Owe Federal for 2024 taxes but received a return for 2023 taxes in State tax filing

Owe Federal for 2024 taxes but received a return for 2023 taxes

myers830 — Sun, 02 Mar 2025 17:42:55 GMT

I haven't filed 2024 taxes yet because its showing I need to pay in but I received a refund in years prior. When I compare the 2 years the only difference is our income has increased. Is there something I'm missing on why I now owe on Federal?

Re: Owe Federal for 2024 taxes but received a return for 2023 taxes

xmasbaby0 — Sun, 02 Mar 2025 17:43:48 GMT

We cannot see your screen, your return or your account. Have you entered ALL of your 2024 information? All your income, etc.? Many tax documents that you need do not arrive until late January or even February, so maybe you do not have it all there yet.

There are a lot of variables that affect your refund or tax due including how much you earned, how much tax you had withheld, your filing status, the number of dependents you claim, your deductions and credits, etc. You may have lost Earned Income Credit or the Child Tax Credit— did a child turn 17? If you received the EIC last year, remember that changes in the amount you earn have a big effect on the amount of EIC you can get. (Sometimes earning more money means less EIC) Are you 65 or older ? If so, your standard deduction is higher. Everyone has a higher standard deduction now so it is harder to use itemized deductions.

And of course, always check your own data entries, looking for errors such as misplaced decimals or extra zeros.

https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-refund/refund-go-compared-last-year/L97JmhUbi_US_en_US?uid=ld9ijm41

Print out 2023 and 2024 and compare them side by side to see what is different.

https://turbotax.intuit.com/tax-tips/tax-payments/video-why-would-i-owe-federal-taxes/L3VXudPiN

Re: Owe Federal for 2024 taxes but received a return for 2023 taxes

myers830 — Mon, 03 Mar 2025 13:56:43 GMT

It appears the only thing different is that we made $20,653 more in 2024 than in 2023.

Re: Owe Federal for 2024 taxes but received a return for 2023 taxes

Vanessa A — Mon, 03 Mar 2025 14:10:09 GMT

If you made $20, 653 more this year than last year, that would cause your tax liability to increase. If you look at line 16 of your form 1040, you will likely see that this number is higher as well.

if nothing else changed with credits, then look at your withholding amount on line 25. If this amount did not increase enough to cover the difference on line 16, then this is why you owe.

Also, was any of the income from self-employment? If it was and that increased, you would be paying higher self-employment taxes.

If this was from increases in income from work, one or both of you may need to fill out a new W-4 with your employers to have more taxes withheld throughout the year. In the meantime, if you are unable to pay your taxes in full, you should still file by April 15th, but you can apply for a payment plan from the IRS. When you get to the end of TurboTax, prior to hitting file, it will give you the option to apply.