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My state income tax said I have an underpayment penalty, which I definitely don't. I am self-employed and pay my estimated taxes quarterly. How can I correct the problem?

The Federal form seems like it has sections one can expand to see the forms, but the state option seems locked into Turbotax's linear approach. I would like to see and edit the forms that say I have an underpayment, since this is factually incorrect.
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My state income tax said I have an underpayment penalty, which I definitely don't. I am self-employed and pay my estimated taxes quarterly. How can I correct the problem?

Well, you can't edit the forms directly in the "Online" software, nor can you see all of the forms in your tax return, until you pay for the software.

 

BUT, even with that limitation.....Many of the state forms will not be ready until well into January, the various states forms availability this early varies widely.

 

.....make sure you've entered all your "State" Quarterly Estimated payments in the Federal section first (they don't get entered in the state section) and use the actual dates paid, not the default dates presented.

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If it is available now (or later) in your State interview The underpayment penalty section of the Online software interview will be in the "Other Situations" section of the state tax return...BUT #2, YES, you may have to go thru a lot of the initial State interview questions to get there...YES, you are locked into answering all of these initial questions before the full state menu shows up.

 

Of course, it is highly unlikely you've finished entering everything for 2020 in the Federal section yet...the data that transfers to the state forms could change significantly as you complete more of your entries over the next tow months..

 

 

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
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