TurboTax Refund wont allow me to pay with federal refund? 1/11/2022

[davidr368]

Hello! I'm currently doing my tax refund for 2022 and I am near the end. The site states I must pay around $100 to complete my tax return, and that I could use my federal refund to pay that amount. When I try to however, It states that I am ineligible, due to insufficient funds from my federal return which is $1,400. Any help would be greatly appreciated.

[xmasbaby0]

REFUND PROCESSING

Do you mean you want to pay your TurboTax fees from your federal refund?   If your federal refund will be enough to pay the software fees AND the extra $39.99 refund processing fee to have a third party bank process your refund then when you are in the FILE section you will be able to make that choice.  Please make note that if your refund takes too long to arrive (IRS delays, etc.) then you will also be agreeing that the TurboTax fees can be extracted from your bank account even before your refund is issued by the IRS.  This comes as an unpleasant shock to many people every year.   It is better to pay for the software upfront using a credit card than to face the extra $39.99 fee and the possibility of the fees coming out of your account at a very inconvenient time.

And....you can never pay state tax due from a federal refund, so do not expect that.   The state tax due has to be paid directly to your state.

[davidr368]

I apologize, very sleepy. That is exactly what I meant. Paying turbotax fees from the federal refund. it allows me the option to but says it wont allow it because I dont have enough $ in my federal refund. yet, i have 1,400 back

[SweetieJean]

That feature may not be fully functional yet. You also cannot use it if you select a paper check for your remaining refund.

[davidr368]

not selecting paper check, i am not able to go past the turbotax fee payment page

[Critter-3]

@davidr368 

If the $1400 refund includes the RRC on line 30 of the form 1040 then you cannot use the refund processing service.

There are still eight various software providers who will participate in the Free File program if you qualify to use them ... but they will not be available until sometime in January----so if you want to use one of them---WAIT.

Use this IRS site for other ways to file for free  when the program opens in January

https://apps.irs.gov/app/freeFile/

[SweetieJean]

I suspect feature isn't ready yet.  Also:

• You'll need to e-file
• Your address cannot be foreign
• Form 8888 can't be on your return

[sm3 · Accepted solution]

I would suggest not to pay for turbotax using a refund since you will have to pay Fees + extra $40 (for processing)

[bharkless84]

I got a similar question to that myself. This is the first time that I've ever had to pay taxes for anything since I make under $30,000 a year. But what my question is why was I charged three times, when I only should have been paying one amount fee? I was charged $39 three times. First time for federal, second time for state, and third for taking the fees out of my refund. So will I get anything back from the fees?

[xmasbaby0]

@bharkless84 When you use online TurboTax you pay a fee for the federal, a fee for the state, and if you choose "refund proccessing" you pay for that too.   No, you will not get that back.   

You can avoid the $39.99 refund processing fee by paying upfront using a credit/debit card.

• Remove Pay With Your Refund
•  

And....

Use this IRS site for other ways to file for free.  There are 8  free software versions available from the IRS Free File site

https://apps.irs.gov/app/freeFile/