Please explain what the option to pay with refund charge of 39.99 is. How can I avoid this charge

[xmasbaby0]

Instead of paying from your federal refund and paying that extra refund processing fee, pay TurboTax upfront with a credit/debit card before you file.  The refund processing fee is to have a third party bank take your fees out of the federal refund after it is issued by the IRS and then they send you the rest.  It is expensive and it takes a couple of extra days for you to receive your refund.

REMOVE REFUND PROCESSING FEE

https://ttlc.intuit.com/questions/1900517-how-do-i-remove-refund-processing-fees-in-turbotax-online-...