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cynthia23
New Member

Turbotax has an error in calculation. They added the entire amount of the stimulus payments ($1708 in my case) to the tax liability. How do I correct their error?

 
4 Replies
NCperson
Level 15

Turbotax has an error in calculation. They added the entire amount of the stimulus payments ($1708 in my case) to the tax liability. How do I correct their error?

can you explain more? what line numbers are you looking at? 

 

 The 'recovery credit' (line 30) adds money to to the payments received; there is no impact on the "liability".

 

The stimulus / recovery credit can not increase what you owe the IRS; the law was specifically written that way

cynthia23
New Member

Turbotax has an error in calculation. They added the entire amount of the stimulus payments ($1708 in my case) to the tax liability. How do I correct their error?

The "tax due" is displayed at top of page. Before the questin on the stimulus the "tax due" is $1708 less than after the stimulus entry.

 

 

NCperson
Level 15

Turbotax has an error in calculation. They added the entire amount of the stimulus payments ($1708 in my case) to the tax liability. How do I correct their error?

I would expect that after you fixed the dependents, the tax due is a lot less than it was before.  is that what you are trying to say? 

 

you would owe less because a) you get credit for the stimulus payments and b) the tax credits for the children (the CTC check mark) are larger than they were before (the 'other dependent' checkmark. 

 

did you confirm that the check marks are under the CTC column and Line 30 makes sense to you?

 

is that what you are experiencing? 

macuser_22
Level 15

Turbotax has an error in calculation. They added the entire amount of the stimulus payments ($1708 in my case) to the tax liability. How do I correct their error?


@cynthia23 wrote:

The "tax due" is displayed at top of page. Before the questin on the stimulus the "tax due" is $1708 less than after the stimulus entry.

 

 


That is probably correct because the stimulus is based on your 2020 tax return.    Before the question is asked, the amount that you qualify for is added to your refund.    TurboTax has no way to know if you already received all or part of the stimulus so it asks.   When you tell it how much was already received then that amount is subtracted from the refund, so the refund amount appears goes down or tax due goes up.    You do  not get it twice.    The tax due and refund meter is meaningless until ALL information is entered.  The last thing you do can change it drastically.

 

That is why the stimulus question is at the end because the amounts are not know until yiu have entered everything else.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
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