You are confused by the offer you are seeing on the web page. That offer is for the online version of Turbotax called the Free Edition. It does not pertain to desktop software. You are posting from Home and Business. There is a fee for e-filing state returns when you use desktop software. You get the program to PREPARE state returns, but e-filing a state return is not free. You can avoid the e-file fee by printing and mailing the state return.