Question

Double charged for state taxes

Forum|Forum|4 years ago
March 15, 2022
1 reply
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I'm aware that this appears to be a common problem this year, but I selected to have TurboTax automatically pay my state taxes (PA and NY) with the money I'd be receiving on my refund but I was also charged directly from each state, and those state taxes were taken directly out of my bank account. Essentially, my federal return should've been about $2,000, but with state taxes elected to be deducted from that by TT, I was expecting a deposit in my bank account of about $1850 for the return. I received my return around that amount, but then was charged another ~$150 total directly by my respective states, which would be charged twice... once by the states and once by TurboTax. Please share any insight on if I have to get ahold of someone or if TurboTax will fix this.

TurboTax Self Employed Online

DoninGA

You must have misunderstood. The only fees that can be deducted from a Federal tax refund are the TurboTax account fees. You would have selected this option in the File section of the program on Step 1 when asked how you wanted to pay the TurboTax account fees. There is an additional $39 service charge for this option.

You must have requested to have the state taxes owed paid by direct debit from your bank account in the File section of the program on Step 2. State taxes owed can Never be paid from a Federal tax refund.

See this TurboTax support FAQ for checking your fees - https://ttlc.intuit.com/community/charges-and-fees/help/how-do-i-review-my-fees-in-turbotax-online/0...

The $39 service charge is imposed by the third party processor who received the federal tax refund and deducted the TurboTax account fees and their service charge then direct deposited the remaining federal tax refund in your bank account.