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shedholla
New Member

TurboTax keeps telling me I need to upgrade because of Medicare. I don't have Medicare. How do I delete my whole application and start again

 
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2 Replies
CatinaT1
Expert Alumni

TurboTax keeps telling me I need to upgrade because of Medicare. I don't have Medicare. How do I delete my whole application and start again

You are seeing this because the amount of Medicare taxes withheld in box 6 is not exactly 1.45% of the Medicare wages in box 5, due to rounding.

 

DoninGA found that if you remove any cents for the Medicare wages (Box 5), this will clear the need for Form 8959.

 

Double check your entries for your W2s. You could have a Box 6 withholding error or misplaced decimal point in Box 5 (e.g., entering $50,000.00 as $500,000) will trigger the form.

  1. Go to Wages & Income and select Edit/Add next to your W-2.
  2. Check Box 5 and Box 6 for every W-2 entered.
  3. Ensure Box 6 is exactly 1.45% of Box 5. If it is off by a few cents (e.g., the W-2 shows $145.01 instead of $145.00), rounding it to the nearest dollar may remove the form requirement.

If the amount in Box 6 (Medicare tax withheld) is more than 1.45% of the amount in Box 5 (Medicare wages), TurboTax must generate Form 8959 to claim a refund of that overpayment. Even a discrepancy of $1 due to employer rounding can trigger this.

 

If your W2 entries are correct, delete the form:

  1. Select Tax Tools from the left menu, then Tools.
  2. Select Delete a form.
  3. Find Form 8959 and click Delete.
  4. Note: If the data in your W-2 still points to an overpayment, TurboTax will automatically re-generate the form during the final review.
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TurboTax keeps telling me I need to upgrade because of Medicare. I don't have Medicare. How do I delete my whole application and start again

Having Medicare is not a factor when completing a tax return.  It must be referring to something else.

 

If you have not paid for the online edition you are using, have not filed your tax return or registered the Free edition, then you can clear your return and start over with a lower priced edition. Click on Switch Products on the lower left side of the program screen while working on the 2025 online tax return. Click on Clear & Start Over

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