Got underpayment pen I used Turbo tax to file my return. I have filed on 17th and got approved by IRS on the same day 6PM. but amount owe was deducted on 19th from bank.

[pradapkumar-gmai]

I used Turbo tax to file my return.  I have filed on 17thApril and got approved by IRS on the same day 6PM. but amount owe was deducted on 19th from bank, so I have got underpayment penality from IRS, I came to know from Turbo tax and I Didnt receive any letter from IRS, what should I do?

[CatinaT1]

We'd love to help you complete your tax return, but need more information. Can you please clarify your question?

[pradapkumar-gmai]

Thanks for the response. while filing tax for this year in Turbo tax, Turbo tax was showing that I have an underpayment penalty for last year filing. I verified my last year date of filing, I used Turbo tax to file my return on 17th April 2023 around 5pm and I got IRS accepted notification from turbo tax at 6:10 pm, I had a amount owe to IRS,  when I checked my bank account the amount was debited on 19th, Not sure is that because of that I got underpayment penalty, also I didn’t get any letter till now from IRS regarding this. So I am not sure how to handle this, whether I can pay the penalty and call IRS and check with them? As I don’t want to add interest 

[RobertB4444]

An underpayment penalty is charged for owing more at the end of the year than the IRS thinks you should.  They base the amount that they think you should owe on the prior year.  So, if in 2021 you owed $3,000 they figure you should pay in at least $3,000 in 2022.  If you pay in less than that amount they charge you an underpayment penalty.

In your case they have determined that you didn't pay in as much as you should in 2022 based on your 2021 income tax.  So you owe a penalty for that.  You can log in or create your account at the IRS website here in order to get more details on the amount that you owe and then make a payment.  Or, if you know the amount that you owe, you can make a payment to the IRS here.

@pradapkumar-gmai 

[VolvoGirl]

The Underpayment Penalty on your 1040 line 38? That's not for filing or paying late.  Or not  paying Estimates.   And is not about last year.

If you do not pay in enough tax from withholding and estimates, you may have to pay a penalty for underpayment of estimated tax. The penalty is an Estimated amount.  Even if you are getting a refund you can still owe a penalty for not paying in evenly during the year. Generally, most taxpayers will avoid this penalty if they owe less than $1,000 in tax after subtracting their withholdings and credits, or if they paid at least 90% of the tax for the current year, or 100% of the tax shown on the return for the prior year, whichever is smaller. It is included in your tax due or reduces your refund.

It's common and normal and expected for the IRS or state to bill you for more or send you a refund.

[xmasbaby0]

Well---for starters you have your dates pretty mixed up since you are saying all these things happened on dates that are in the future.   Today is April 11, 2024 and you say these things occurred on April 17 and April 19.  Do you really mean March 2024?    If the IRS changed something about your refund, they will mail you a letter, but there is usually a lag between the time the IRS makes that change and when they send a letter to you.  

And.....you never get "approved" on the same date that you e-file.  Your return can be "accepted"----but "accepted" and "approved" are not the same thing.  Even if the IRS accepted your return for processing that does not mean the refund was "approved."  

https://ttlc.intuit.com/questions/2840013-does-accepted-mean-my-refund-is-approved