1098e student loan interest, why is this no longer part of the free edition?

[kchenvert09]

Every year I've filled my taxes using the free edition because I don't make a lot. This year I click that I have this form and it tells me I have to pay for the deluxe edition.

[xmasbaby0]

WHY DO I HAVE TO PAY?  I WANT THE FREE EDITION

The information that you can enter in Free Edition is pretty limited now.  Thanks to the new tax laws, there are no more simple Form 1040EZ or 1040A's.  Everything goes on a little Form 1040 that has six extra "schedules" with it, and if you need any of those schedules, you are not able to use the Free Edition.  

https://www.irs.gov/forms-pubs/about-form-1040 

If you qualify to use it, there is another free version of the software:

Try Free File: 

You qualify if your income was $34,000 or less, or $66,000 or less if active duty military, or if you qualify for Earned Income Credit

https://ttlc.intuit.com/questions/1900583-what-is-turbotax-free-file-program

• How do I switch to TurboTax Free File Program?

Note:  If you do not qualify to use Free File then you will have to upgrade to Deluxe or higher in the paid versions of the software.

Or did you add a feature that you want to remove?

https://ttlc.intuit.com/questions/1899480-why-am-i-being-charged-for-turbotax-free-edition

[vlhenley82]

I had this same question.  I have been using TurboTax for YEARS to do my taxes, but I will be using a different service this year.  It is ridiculous they are suddenly charging for something that has always been free just because it requires a separate form (which, by the way, it ALWAYS has...my tax documents have been 8-10 pages in the past due to student loan filings, etc., and this is the ONLY year they've decided to charge for it).  I will take my filing elsewhere.

[macuser_22]

TurboTax did not change anything - the IRS did.  The old 1040, 1040A and 1040EZ have been done away with and are replaces with a brand new 1040 form that everyone must use, however the new 1040 form (and the Free Edition) only supports simple tax returns.  The IRS created 6 new schedules for other taxes and credits.  The student loan interest now required an additional schedule that the Free Edition does not support.

TurboTax is a for profit company and only gives away free service for the simplest of tax returns.

[vlhenley82]

Ahh, but to charge for this change IS TurboTax’s decision. I have always recommended them for ease of use to people I know (even those who would have to pay because their returns are more complicated than mine), but no longer. There is another equally reputable, nationally known, and long-standing company that will get the pleasure of filing my taxes this year (and my future recommendations to those I know and who are looking for a good tax service) because they, in fact, kept student loan interest and charitable donations as part of their free filing offerings, thus supporting that the IRS has nothing to do with the decision to charge for these particular filing situations.

[macuser_22]

Schedule 1 had a lot more on it than just student loans.

As pointed out in the answer above, if your income is under $34,000 the TurboTax offers another "Free File" edition that has ALL the schedules and forms.    That is offering a lot for free, but they must draw the line somewhere, and for the free edition, it is with the one page 1040 form as it always has been - it is the IRS that no longer allows student loans on the one page form as they have in the past.  TurboTax has not changed anything - TurboTax has always offered the one page tax return for free and they still do.

[imsarah18]

This is still free on HRblock. I may switch this year to avoid this fee.

[vlhenley82]

Yes, it is. I am changing and doing mine with H&R Block. That was my whole point, too. They are still offering it for free, so this is obviously a choice by TurboTax to charge.

[macuser_22]

As said above, if your income is under $33,000 then the Free File Edition is indeed free for the student loan and almost all else.   Most taxpayer with income more than $33K won't be able to use the Free Edition anyway.  But, yes, TurboTax decides just how much to give away for free.  TurboTax is a for profit company.  Loosing nonpaying "customers" is not much of a loss.

You might be able to use the Freedom Edition (Free File) for incomes under $33,000 and supports all states and most forms.

The Freedom Edition is part of the IRS Free File alliance and is totally separate from TurboTax website.

<a rel="nofollow" target="_blank" href="https://turbotax.intuit.com/taxfreedom/">https://turbotax.intuit.com/taxfreedom/</a>

How do I switch to TurboTax Freedom Edition?
<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/replies/3491786">https://ttlc.intuit.com/replies/3491786</a>

[a_display_name]

Thanks for this information. I'll too be switching to H&R Block.

[blondiexx137]

I’m in the same situation! I tried to file my taxes today and instead of it being free like EVERY year, it wanted to charge me $119. Just because the form for student loans has changed. It does not make any sense to charge. My tax needs ARE simple (just a w2 and a 1090e). I will file with HRblock tomorrow and no longer recommend TurboTax. It’s a shame.

[cjonesclt]

Same here. Switched from Turbotax to another company this year simply because this reason.

[DJKittrell]

Turbo Tax just lost another customer. I came over from H&R Block 7 years ago when the student loan laws changed and H&R Block's return software could not correctly calculate the deduction. This year with the new schedule forms Turbo wants to charge me $60 for deluxe and another $45 for the state return. So I could pay the $105 for my simple return or I can just go back to H&R Block who will do all of this for free. Oh and they will let me upload my PDF W2's and auto populate the information. See ya later TT, we had a good run.

[mscalico]

Just wanted to reply that the link to this Free File Edition WORKED. I was going about doing my taxes through turbotax via the e-mailed links like I do every year, discovering that I was being forced to buy Deluxe in order to process my student loan interest credit (fine whatever) and once I'd gotten to the payment screen it was tacking on an additional $40 to file my state which is just ridiculous since it should be included with Deluxe. Ultimately it totaled $80 which is the most expensive filing I've EVER had requested of me in the many years I've been using their service. I checked this link not expecting it to relieve my dilemma but it did and I'm so thankful. It's unfortunate I had to go looking for this when I know others aren't going to know it's an option :(

[drumer789]

I keep seeing "TurboTax didn't change anything, the IRS did."
If the 1040 changed, it's your choice as a FinTech company to not update your software to accommodate.
And your choice is clear. TurboTax caved to their shareholders. Profits off the backs of 43 million people with student loan debt. 
My deduction won't even be worth the cost.