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Level 2
posted Jan 13, 2024 3:03:34 AM

Have you always had to get the Premium Services benefits to pay Turbo Tax through refund?

I don't remember having to pay an additional fee to have them be paid through refund

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1 Replies
Level 15
Jan 13, 2024 4:20:53 AM

When you use "refund processing" to pay your TurboTax fees from your federal refund there has ALWAYS been a refund processing fee.  That fee is $40, or if you are in CA, it is $45 and it is called "premium services."   

 

If you do not remember or did not notice--sorry---you just were not paying attention.

 

REFUND PROCESSING

 

https://ttlc.intuit.com/community/charges-and-fees/help/why-can-t-i-deduct-my-turbotax-fees-from-my-refund/00/25621

 

If your refund is enough to cover your TurboTax fees PLUS the extra “refund processing” fee of $40 ($45 in CA) and your forms are ready then when you are in the FILE section you can choose to have your fees deducted from your federal refund by a third party bank, who will take out your fees and send you the rest of your refund after the IRS issues the refund. 

 

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.  

 

 If you can possibly pay your fees upfront using a debit or credit card, it will save you that extra fee and ever more importantly, the possible aggravation and delays that are often the result of poor handling/poor customer service by that third party bank.  We see way too many instances where refunds are delayed for months when users choose refund processing. There have been lots of complaints; there are a number of things that can go wrong when you use refund processing.  I suggest avoiding that situation if at all possible.  

 

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.

 

 

 

 

What is Refund Processing Service?

 

 

How can I see my TurboTax  fees?   

https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online