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You misunderstood. State taxes owed can Never be paid from a Federal Tax Refund, Never. Only the TurboTax account fees can be paid from the federal tax refund if the optional Refund Processing Service is selected.
In the File section of the program Step 2 when taxes are owed there were several option to select for paying the taxes owed, payment from a Federal Tax Refund was Not one of those options.
The state is correct, you need to pay the state taxes owed.
You can see how you selected to pay the taxes owed in the Filing Instructions page for the state tax return.
When you sign onto your online account and land on the Tax Home web page, scroll down and click on Add a state.
This will take you back to the 2018 online tax return.
Click on Tax Tools on the left side of the online program screen. Then click on Print Center. Then click on Print, save or preview this year's return.
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