Arizona 140X shows Amount Owed but also reduces original return Overpayment (applied to 2021 estimated tax) by same amount.

[Bill_C_Jr]

I filled my 2020 Arizona state taxes with an overpayment of $90 to be applied to 2021 state estimated taxes. Later, I received additional documents in the mail that required me to amend my taxes, with the result that my state tax liability increased by $35. One would expect that either of the following would occur a) The overpayment was reduced to $55 and applied to 2021 estimated taxes. Or b) The initial overpayment was not changed (i.e. left at $90 and applied to 2021 estimated taxes) and $35 owed with the amended return. After amending my return by including the documents received in the mail, TurboTax revised my Form 140 to show an overpayment of $55 to be applied to 2021 estimated taxes. OK so far. However, the Form 140x shows an overpayment of $0, $0 applied to 2021 estimated taxes, and Amount Owed of $35. I am happy to pay $35 with the 140x, if it was clear to me that $90 was still going to be applied to 2021 AZ state estimated taxes, but the 140x does not show that, and furthermore, the revised 140 shows only $55 applied to 2021 estimated taxes.

[ThomasM125]

If you pay the $35 with your amended return, the $90 will be applied to your 2020 tax return. That is the way it is normally done, the original return is processed and the overpayment is applied to the next year taxes, then you pay the balance due on the amended return so the original overpayment is not affected.

You could send in the amended return without a payment and then change the payments carried forward, as the state will keep track of what you have on credit.

[Bill_C_Jr]

That makes sense. I did pay $35 with the amended return, and expect the 2020 $90 overpayment will be applied to my 2021 estimated taxes. However, you did not adequately address why TurboTax modified the original state return by subtracting $35 from the $90 (thus only $55 overpayment to be applied to 2021 estimated taxes) AND prepared the amended return with the $35 payment. Math says the amendment cost me not $35, but 2 X 35 = $70. I am so so concerned with the accounting at the state tax office, as I am with TurboTax i.e. when I do my 2021 taxes and import the 2020 taxes.

[AmyC]

I agree with Thomas. $90 was applied from the original return. The $35 you owed came from the additional documents.

I also agree that the state keeps track. To ease your mind, sometime after tax season and the amended are all settled down, give them a call.

Phone:
(602) 255-3381

Toll-free: (International calls and from area codes 520 and 928 only)
(800) 352-4090

Fax:
(602) 542-2072

[Bill_C_Jr]

I repeat: "I am not so concerned with the accounting at the state tax office, as I am with TurboTax i.e. when I do my 2021 taxes and import the 2020 taxes." Please fix TurboTax.

[fanfare]

after e-File of amended return is complete

edit your revised 2020 tax return "Amount applied" back to $90.

then when you import that tax file in 2022 you will get the right numbers.

[Bill_C_Jr]

Thanks - that sounds like a great plan. Maybe someday they will fix Turbotax.