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refund is $1500 less than you said it would be???

Forum|Forum|5 years ago
May 12, 2021
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the IRS just posted a refund $1500 less than you said

Refund Status

Best answer by ridlonsa

I rechecked all of my input numbers and they appear correct. So TurboTax added my stimulus payments to my paid taxes amount and generated a bigger refund than the IRS has credited me with.

Will have to find out how IRS calculated my taxes somehow??

I got a letter from the IRS saying the reason my refund was less than Turbo Tax indicated was that the recovery rebate credit was less than Turbo Tax said, from line 30 form 1040-SR

No additional detail?? The recovery is based on 2020 returns and filing jointly our income was less than $98,000 , well below all the cutoffs?

So have other Turbo Tax users experienced this issue. I will try to get more details of the IRS calculation

X

xmasbaby0

Employee

Did you enter ALL of the stimulus money that you had already received correctly in the recovery rebate credit section when you prepared your 2020 return? The IRS cross checks and if you did not enter all of the money you received, they recalculate your refund.

MY REFUND WAS LESS THAN I EXPECTED

There can be a number of reasons why your refund was less than the amount you expected. First of all, look carefully at your actual tax returns. There is sometimes confusion about the amount of refund to expect when users misinterpret the “summary” they saw in TurboTax. The amount of your refund is on your tax return. Federal refund is on line 34 on Form 1040 State tax forms are all different so we cannot tell you what line to look at on your state form. BUT it is important to actually LOOK at your tax return forms yourself and see the amounts of your tax refunds and/or tax due. A lot of confusion would be avoided by doing that.

TurboTax does not receive feedback from the IRS regarding money that was offset from your refund. If you owed back taxes, child support, student loan debt, etc. you will receive a letter of explanation from the IRS in several weeks. The WMR site will contain a message regarding your offset. It is also possible that the IRS caught a mistake you made and reduced your refund.

A possible reason for the reduction could be that the recovery rebate credit was completed incorrectly and you may have entered the amount of stimulus already received wrong, which could have reduced the refund you thought you were seeing.

It is also possible that your state reduced your refund for debts owed in your state—if the state reduced your state refund you will receive a letter from the state.

https://www.irs.gov/uac/tax-refund-offsets-pay-unpaid-debts

IRS Treasury Offset Program Call Center at 1-800-304-3107

Be aware also that your Federal refund and state refund do NOT come together. Federal and state tax returns are processed by two completely separate entities. There is no rule as to which one will come first,

Did you choose to have TT fees deducted from your Federal refund? (Remember that if you did that, you also agreed to an extra refund processing fee of $39.99)

How can I see my TurboTax fees?

https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online

https://www.irs.gov/uac/tax-refund-offsets-pay-unpaid-debts

https://ttlc.intuit.com/community/refunds/help/what-is-a-refund-offset/00/26301

Reduced Refund https://www.irs.gov/taxtopics/tc203

NOTE: You can contact the IRS Treasury Offset Program Call Center at 1-800-304-3107 to ask if they have an offset for you on file. TurboTax would not have that information.

https://turbotax.intuit.com/tax-tips/tax-payments/who-can-garnish-an-income-tax-refund/L7cPPzDyc

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

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ridlonsaAuthor

I received no stimulus in 2020 because it was based on 2019 returns, which was inflated because of an estate settlement. My actual 2020 income was vastly reduced because there were no RMD's required. So entering all this into Turbo Tax and it came up with a refund (line 34) of form 1040-SR. Turbo tax also calculated a recovery rebate credit form and amount.

The IRS deposit into my bank account is a smaller amount for both items??

I am trying to setup an online IRS account in hopes that I can find out more info online??

There are no state taxes in Washington and I do not owe anyone anything. I will recheck my income inputs just to be sure I did not put in a mistaken amount.

.

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ridlonsaAuthor

I rechecked all of my input numbers and they appear correct. So TurboTax added my stimulus payments to my paid taxes amount and generated a bigger refund than the IRS has credited me with.

Will have to find out how IRS calculated my taxes somehow??