topic TurboTax double counting 1099-R withholding in Retirement tax questions

TurboTax double counting 1099-R withholding

Spnyc — Tue, 31 Jan 2023 02:10:38 GMT

I tried deleting and reloading all W2 and 1099 data to TurboTax but it still picks up the 1099-R tax withheld twice—once from my 1099-R entry and once from what seems like a ghost reporting of the withholding number during the data download from IRS. The result is that TurboTax is adding the extra withholding amount to my refund amount—because it reads its own error as an overpayment of tax. If I accept the numbers as is, I will file for a refund that includes money I did not actually pay. The error is Turbo Taxes but I don‘t see that I should pay the deluxe-deluxe-deluxe fee just so I can get a live counselor and point out the error.

Re: TurboTax double counting 1099-R withholding

fanfare — Tue, 31 Jan 2023 02:50:36 GMT

"the data download from IRS."

Is this the only number that is wrong? edit your 1099-r to correct it.

there is no data download from IRS.

@Spnyc

Re: TurboTax double counting 1099-R withholding

Spnyc — Tue, 31 Jan 2023 03:22:48 GMT

Hello, I up/downloaded details of 1099-R from IRS to TurboTax. Same with W2s. All good. Until I got to the review section. The tax-paid number is more than my calculations. Not complicated, adding 4 different amounts. The difference between my total and the TT total is the exact amount of withholding from the 1099-R—- which was already included in the calculation, so it was counted twice. I clicked the prompt to see how the TT total was calculated. It clearly said “x amount from your W2s, y amount from your 1099-R and y amount from your unreported 1099-R.” There is no unreported 1099-R. I received one distribution, not two. So where does this unreported1099-R come from? How did the data get onto my TT tax return?
TT recognizes the error because the total taxable earnings + distribution does not include the amount of the duplicate distribution from the so-called unreported 1099-R. The Federal refund calculated by TT is greater than my own calculation by the amount of withholding from the “unreported 1099-R”. The program wants me to request a refund of tax I never paid on a 401k distribution I never received.

Everything I entered and up/downloaded from IRS is accurate. It’s this unreported 1099-R that appears to be a duplicate of what I’ve entered that is bugging the whole thing. Since I can’t see it, I can’t delete it. Anyone else seen this type of glitch? I tried deleting everything and starting over but again—cannot delete what I cannot see. The ghostly 1099-R is still lurking in my tax return.

Re: TurboTax double counting 1099-R withholding

fanfare — Tue, 31 Jan 2023 12:26:17 GMT

enter amount withheld = zero on the 1099-R you can access.

Re: TurboTax double counting 1099-R withholding

fanfare — Tue, 31 Jan 2023 12:27:45 GMT

how do you up/download from IRS ?

never heard of it.

@Spnyc

Re: TurboTax double counting 1099-R withholding

chrismurray — Wed, 24 May 2023 20:30:21 GMT

I have the same problem. Withholding from four 1099-R forms is reported on both lines 25b and 25c on my 1040. I filed my return in April and just received a notice from the IRS. I've tried filing an amended return but the error keeps recurring.

Re: TurboTax double counting 1099-R withholding

Critter-3 — Sat, 27 May 2023 01:08:25 GMT

Delete all 1099-R forms already entered or imported then manually enter them all again and complete the entire interview in that section.

Re: TurboTax double counting 1099-R withholding

VolvoGirl — Sat, 27 May 2023 01:17:04 GMT

@chrismurray How did it get on line 25c? That didn't come from the 1099R. You had to enter it somewhere else too. If the IRS caught it you do not need to amend. Just pay the bill. You do owe it back.