topic Re: Incorrect Return amount in Retirement tax questions

Incorrect Return amount

J2Hanson — Sat, 24 May 2025 18:02:43 GMT

When I filed our 2024 return the software showed we would receive a substantial return since we had pre-paid additional withholding. When reviewed by the IRS they calculated that we owed much more than Turbotax stated effectively wiping out any funds we hoped to receive as a return. I have read about the issue with the "did you live out of the country" question being checked as "Yes" and upon review ours were checked "Yes". As we have not lived out of country I found this odd. I checked these boxes to be "No" yet it made no difference in the "Return amount" This is the only deviation I have found. I am curious as to how TurboTaxes numbers could (1) be incorrect when I originally filed and (2) and how they now reflect the data from the IRS without any change in my form. I've been using this software for years and my faith in it has been shaken. I need an explanation as to what has happened.

Re: Incorrect Return amount

Bsch4477 — Sat, 24 May 2025 20:43:34 GMT

We would need to know what the IRS corrected which should be explained on a letter forthcoming if you don’t have it yet.

Re: Incorrect Return amount

VolvoGirl — Sat, 24 May 2025 20:51:29 GMT

How did you pay the additional amount? Did you use a form like a 1040ES or 1040V or pay Online? Maybe the IRS applied it to the wrong year or to something else.

Do you get Social Security? Is there an amount on 1040 line 6b or is it 0? If you have a lot of other income then up to 85% of SS can be taxable on line 6b. I would compare 2024 to 2023 tax return and see if you had more taxable Social Security on line 6b last year. Was it missed on 2024?

Re: Incorrect Return amount

J2Hanson — Sat, 24 May 2025 20:56:08 GMT

Yes The letter said it was due to Social Security.

We changed the amount of taxable Social Security benefits on your tax return because there was an error in the computation of the taxable amount.

Re: Incorrect Return amount

J2Hanson — Sat, 24 May 2025 21:05:06 GMT

VolvoGirl Yes it was 1040ES and I have verified it was applied correctly. It appears their tax tables were incorrect? Line 6B is 0. I will look at 2023 info for that line. Thank you.

Re: Incorrect Return amount

fanfare — Wed, 28 May 2025 13:50:47 GMT

for persons out of the country and on SS, TurboTax has a confusing question that is often answered incorrectly.

@J2Hanson

Re: Incorrect Return amount

Opus 17 — Wed, 28 May 2025 19:19:26 GMT

@J2Hanson wrote:

Yes The letter said it was due to Social Security.

We changed the amount of taxable Social Security benefits on your tax return because there was an error in the computation of the taxable amount.

The official answer from Turbotax that we got was, "it was confirmed that it was not defaulting to "yes," but was user entry. However, it was determined to be a poor user experience which lead to confusion and the program will be improved for TY25."

You always owe your own correct tax. If you ended up paying interest or penalties, the Turbotax guarantee is supposed to cover that, but they seem to have determined this is "user error." At this point, you would have to call customer support to escalate the issue. We are not official support and don't have access to your account information.