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jackstraw262
New Member

I normally get a refund of about a thousand dollars a year. This more the more information I fill in the "amount due" goes up. Does this mean I owe taxes this year?

What does "Federal Tax Due" mean?
2 Replies
rlara
New Member

I normally get a refund of about a thousand dollars a year. This more the more information I fill in the "amount due" goes up. Does this mean I owe taxes this year?

Once the amount in Turbo Tax turns red, it means that you owe taxes, and you'll have to pay them by 15-April. The way the taxes are calculated, along with more restrictions to the amount you can deduct from mortgage and property taxes, caused a lot of people to owe taxes at the end of the year. Be sure to check your W-2 form, and increase the per-pay-period amount you pay to avoid this next year.

MayaD
Employee Tax Expert

I normally get a refund of about a thousand dollars a year. This more the more information I fill in the "amount due" goes up. Does this mean I owe taxes this year?

If you didn't have enough taxes withheld from your paychecks, you end up owing once you file your tax return.

Some other common reasons why you might owe this year:

  • You did not qualified for the full amount of the Child Tax Credit. If you don't have any Tax liability you will only receive the additional Child Tax Credit. 
  • You changed your Filing Status.
  • You didn't qualify for the Earned Income credit. When you qualify, the credit amount will go up as you earn more income, but once you earn too much, it will go down eventually to zero. TurboTax will figure out exactly how much you’ll receive. 
  • Your income increased.
  • You lost a dependent.

I recommend that you make a line by line comparison with last year's return to see what is different this year.

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