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Level 2
posted Mar 1, 2025 6:44:06 PM

Is federal tax penalty included in the payment that I owe? Where can I find the calculation?

For state return, there is an option for the state to calculate the penalty. For federal return, I can't find an option for IRS to calculate the penalty.

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1 Best answer
Expert Alumni
Mar 5, 2025 10:26:40 AM

To avoid having TurboTax calculate the penalty, you could go to the Underpayment Penalties section under Other Tax Situations, Additional Tax Payments, and start or update the questionnaire.

 

When you get to the screen "Possible Penalty Exceptions", you could select "Answer yes to all questions" so that TurboTax will proceed as if you have an exception and won't calculate the penalty.

 

1 Replies
Expert Alumni
Mar 5, 2025 10:26:40 AM

To avoid having TurboTax calculate the penalty, you could go to the Underpayment Penalties section under Other Tax Situations, Additional Tax Payments, and start or update the questionnaire.

 

When you get to the screen "Possible Penalty Exceptions", you could select "Answer yes to all questions" so that TurboTax will proceed as if you have an exception and won't calculate the penalty.