Enter payment made to IRS via Direct Pay under "Balance Due"

[sbachawat1979]

I am a resident of California and we have given time till 10/16/23 to file both state and federal tax return. However I made payments to both Federal and State in April of this year for tax year 2022 as I made calculations which showed I would owe taxes to Federal and State. 

This is not estimated taxes for last year but paid via Direct Pay and the Reason for Payment was " Balance Due" and Tax Year for Payment was selected as 2022. This was to avoid any underpayment penalty when we would actually file the tax returns. 

How can I enter this on the Turbo Tax Premier Desktop version? Please advise. 

Thank you in advance. 

[VolvoGirl]

I think you should enter that as an extension payment.

To enter the amount you paid with an extension (including state extension) go to

Federal Taxes (or Personal for desktop H&B version)

Deductions and Credits

Then scroll way down to Estimates and Other Taxes Paid

Other Income Taxes - Click the Start or Update button

Next page second section Payments with Extension

Either Visit All or Click Start or Update by the extension you paid

[Mike9241]

since you are using the desktop version you can use the "forms" mode (on the view tab). then click on the "Tax Payments" worksheet and enter the amounts on line 9 for 2022 extension payments. in the state "ID" column make sure to enter CA

[fanfare]

The correct place for your federal "Bal Due" payment is Schedule 3 Line 13z.

As far as I can tell TurboTax won't support this line, so that is why you are suggested to enter it as a "payment with request for extension", which it is not.

@sbachawat1979 

[sbachawat1979]

Thanks all. This is not an extension payment as CA was granted automatic extension. So how do I then reflect this on the tax return. This was a balance due payment which I did ahead of time and then the automatic extension happened.

[VolvoGirl]

If you don't want to enter it as an extension payment then just select you will mail a check and the IRS and state will match you payment up with your return.   Did your payment cover the tax due or do you still owe more (or should get a refund)?

[sbachawat1979]

I will have a refund for federal and dues for state.

[fanfare]

The other option for your CA return is to enter nothing about your Bal Due payment on your return.

amount you owe would then be "Bal Due" + "additional due"

You only have to pay the "additional due" since you already paid "Bal Due".
You can pay the "additional due" to CA the same way you did it the first time.

@sbachawat1979