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You avoid the $40 refund processing fee by paying for your TurboTax fees with a credit or debit card BEFORE you e-file.
Did you already agree to refund processing and did you go ahead and e-file? If so it is too late to un-do that choice.
REMOVE REFUND PROCESSING FEE
What is Refund Processing Service?
How can I see my TurboTax fees?
Are you using the TurboTax online web-based editions or the TurboTax desktop editions installed on a personal computer?
The $40 fee is because you elected to have the TurboTax account fees paid from your federal tax refund instead of paying the fee with a credit card.
If you have NOT filed the 2024 tax return, the refund processing fee can be removed. See this TurboTax support FAQ for removing the fee when using the online editions - https://ttlc.intuit.com/turbotax-support/en-us/help-article/intuit-account-billing/remove-pay-refund...
If you are using the TurboTax desktop editions, go back and click on the File tab. Go through all the screens until you land on the screen to pay the $25 state e-file fee and pay with a credit card.
If you started in the Free Edition of TurboTax, you may have entered something that triggered an upgrade to a paid version. The final fees are determined by the forms that are required to complete your individual return. States are also extra and there are some add-ons that you can agree to buy
You can review your fees using the instructions below to find out why you're being charged. You can follow the instructions in this article to remove any unwanted Fees Why am I being charged for TurboTax Free Edition?
You can review your fees in TurboTax online as follows:
Your screens will look something like this:
Click here for "How do I review my fees in TurboTax Online?"
Click here for "How do I remove Pay With My Refund fees in TurboTax Online and change my payment method?"
In Turbotax desktop, look for the screen that allows you to pay by credit card, sign in a pay that way and you'll avoid the $40 fee. In my case, one of the states hadn't completed its interview even though the forms were complete and there were no errors. Once I fixed this the credit card option appeared before efiling.
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