Turbotax won't let me e-file my New York return if I use the annualized income installment method for NY estimated tax payments

[Bob7771]

I am using Turbotax Deluxe 2024. For Federal estimated tax payments, I am using the annualized income installment method with no problems. For New York estimated tax payments, when Turbotax asks if I I want to use the annualized income installment method to calculate my New York underpayment penalty, I check Yes, whereupon I receive a warning from Turbotax that if I use the annualized income installment method for New York purposes, I will not be able to file my New York returns electronically. Is this true?

[NicolleR1]

TurboTax might not support all required forms to be electronically filed therefore if might not let you e-file. 

To view a full list of all forms within your return, see the link below. You will need to pay TurboTax fees to view all forms and schedules. 

How do I preview my TurboTax Online return before filing?

Then check forms availability using the link below 

When will my individual tax forms be available in TurboTax?

If the form says it's Unsupported, it means that it is not supported by TurboTax, and you won't be able to file it electronically; instead you will have to print and mail either the form itself or the whole return. 

[Bob7771]

Thanks for your reply.

I went to the Intuit tax form availability page, at this URL

https://form-status.app.intuit.com/tax-forms-availability/formsavailability?albRedirect=true&product...

I first searched for New York form IT-2105.9, Underpayment of Estimated Income Tax by Individuals and Fiduciaries. and obtained the result: Ready for E-file? Yes.

However, if I elect to use the annualized income installment method, I must also fill out a worksheet, 2105.9 NYS,  Annualized Income Installment Worksheet. So I then tried doing a search for 2105.9 NYS, which produced NO result.

Thus, I am not sure whether worksheet 2105.9 NYS is not supported by Turbotax for e-filing, or whether it is considered to be part of Form 2105.9, which does seem to be supported by Turbotax for e-filing. Do you know which it is? Based on the warning I received from Turbotax about not being able to e-file my New York return if I annualize my income, I am guessing that Turbotax for 2024 does not support worksheet 2105.9 NYS for e-filing.

Assuming that Turbotax for 2024 does not support e-filing of worksheet 2105.9 NYS, do you know whether I can expect that Turbotax for 2025 WILL support worksheet 2105.9 NYS for e-filing? This information would help me to decide whether I can pay my 2025 New York estimated taxes using the annualized income installment method.

Thanks.

[LenaH]

The 2105.9 NYS worksheet does not get e-filed with the return. Calculation worksheets are your records only. In the NY test return I did, I got no review errors that would prevent me from e-filing after I annualized income.

Therefore, I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:

TurboTax Desktop/Download Versions:

1. Open your return.
2. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” *
3. This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us.
4. Please provide the Token Number (including the dash) that was generated in the response.

@Bob7771 

[Bob7771]

Thanks for your reply. 

I understand what you say about the 2105.9 NYS worksheet not getting e-filed with the return. I also appreciate your desire to see a copy of my return, but I am not comfortable providing it, even in sanitized form. However, I would like to note the following:

You say that, in the NY test return that you did, you got no "review errors" that would prevent you from e-filing after you annualized income. However, the warning notice that I got, about not being able to e-file if I annualized income, did NOT appear in a review of my return. Rather, it appeared after I clicked Yes to the question "Do you want to annualize your income?" I have done a screen capture of the warning notice, which I hoped to paste here, but the paste function does not seem to work here. If there is a way I can send you the screen capture of the warning notice, please let me know and I will be happy to do so.

Thanks again.

[LenaH]

I did not get the same message when going through the test return. Are you finished with your return and ready to e-file it? If so, I'd also like to see the screen showing you are only allowed to mail in your return when you go to e-file your returns. 

To insert a image, please click on the camera icon. See the screenshot below. 

@Bob7771 

[Bob7771]

Below is the portion of my screen capture containing the warning from Turbotax that I will not be able to e-file my 2024 NY return because I am using the annualized income method of calculating my underpayment penalty:

Since receiving this warning, I have modified my New York return so as to no longer use the annualized income installment method, because I am now leery of trying to use it on my New York return and don't want to run into complications at the last moment if I try to annualize. Fortunately, for 2024 my New York underpayment penalty is very small even if I don't annualize. Since I now won't be annualizing on my 2024 New York return, I will not be able to show you a screenshot denying me e-filing when I go to file.

My real concern, though, as I mentioned earlier, is 2025. For 2025, I would like to pay my New York estimated taxes using the annualized income installment method, but I am hesitant to do so unless I am confident that, for 2025, Turbotax will be able to accommodate both annualization and e-filing for New York.