Estimated tax payment

Forum|Forum|2 years ago
July 11, 2023
1 reply
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I got a bill from the IRS saying they reviewed my estimated tax penalty computation, and they found an error so therefor I owe them some additional money, Turbo tax did the calculation I just paid what it told me too. Does turb tax guarantee their computations? I underpaid so I knew I would owe a penalty the question is why didn't the program figure it out correctly? Anyone else have this problem?

TurboTax Home & Biz Windows

TomD8

Employee

Was the penalty you were assessed perhaps due to late payments? The IRS will assess a penalty for late payments even if the payment amounts are correct.

https://www.irs.gov/businesses/small-businesses-self-employed/estimated-taxes#:~:text=You%20also%20may%20be%20charged,and%20certain%20higher%20income%20taxpayers.

Here is how TurboTax calculates estimated tax payments:

How does TurboTax calculate my estimated tax payments? (intuit.com)

**Answers are correct to the best of my ability but do not constitute tax or legal advice.

KA26Author

yes it was, but that wasnt what I was wondering...I knew I would owe and I have owed in previous years...but this time it seem like TURB TAX ( the program) did not calculate it ( the penalty) correctly as the IRS said the calculation was incorrect and I owed and extra amout...about $150...which I have already paid....but it seems like the Turbo Tax program calculated it wrong...its the first time that has happened and I was wondering if it had happened to anyone else?