Currently, my estimate at the top of my turbo tax says I owe federal taxes x amount of dollars and have a state tax refund of x amount of dollars. Does that mean I don’t have to pay?
Assuming that you have entered all your tax information and forms on your return, the numbers shown in TurboTax mean that you owe Federal taxes but are getting a state refund.
You'll need to pay the amount shown with your Federal extension. But you don't have to pay anything for state.
Thanks for the reply. I haven’t entered all my tax information and forms on my return yet … still working on my retirement contributions. As a matter of fact, I had to file for an extension today because I discovered that I made an excess contribution to my Roth IRA and will owe a penalty. In order to remove the penalty, I need to take action either withdrawing or recharacterizing the contributions from Roth to traditional. Not sure how the excess contributions will affect my tax returns. Any thoughts? Or is it hard to say?