Georgia Underpayment Penalty for 2025 Tax Year - Incorrect Calculation?

[todi111]

I believe there is an error on the 2025 Georgia Tax Form calculations.  On the Form 500 Georgia UET Form, line 4 should be 100% previous year's tax (12 month period).  I'm not sure where the number that is automatically entered into this field is coming from, but it is not my 2024 Tax number.  Unfortunately, since the number was automatically entered incorrectly (it was a lower number), I had to pay a underpayment penalty to Georgia and they deducted this from my refund.  According to Turbo Tax Premier, I did not have an underpayment penalty for 2025.  So, when my 2025 refund was less than what I expected, I found that the above calculation was incorrect. 

Can you review and let me know if this is a software error or whether I need to go back to the state of Georgia and ask for a reimbursement of the penalty that they say that I owed?

Thanks,

Todd 

[AmyC]

Since you had a penalty, the program pivots to ask different questions. As you go through the GA interview, it asks if you were a resident the year before and amount of2024 GA tax paid. The next screen asks when you want to pay so the penalty can be calculated. It asks when you will pay.

That answer to your 2024 tax liability goes to the underpayment penalty, line 4. If your return was imported, there could have been some corrupt data. Otherwise, it would be what you entered. My guess is the import has

Next steps:

• Determine if you want to file an amended return to update the penalty form once the original is accepted. You have 3 years to file.
• Carefully check your tax return before filing.
• Always save a copy of all forms and worksheets to your computer when filing - definitely before and after amending.
• There is a possibility that GA will catch the mistake and correct the form.

You can file a claim for the accuracy guarantee. Scroll to the bottom and select the most recent year. Your explanation and paperwork will show the correct information.

[todi111]

Thank you Amy for your comments.  I have reviewed everything in my 2025 GA TurboTax interview and answered the question correctly regarding residency.  I was not asked how I wanted to pay a penalty since TurboTax did not say that I needed to pay a penalty.

At this point if there is no software issue on TurboTax's side, then I guess it has to do with corrupt data that was imported to TurboTax 2025 (from my TurboTax 2024 return).  Still not sure where the incorrect line 4 info came from since my 2024 GA TurboTax return has the correct information in it.  Not sure why the correct information was not imported for line 4 in my 2025 return.

If anyone else has any other ideas or has experienced this issue in 2025, please let me know.

Thanks,

Todd