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Turbotax for business adds common business expenses incorrectly. Turbotax total is short of the actual total by $74,066!

Forum|Forum|3 years ago
August 27, 2022
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I have 17 entries in supporting details for common business expenses. TurboTax Business 2021 desktop edition gets an addition total of $467,756 but the actual total is $541,822. TurboTax's math is short $74,066!

TurboTax Business Windows

Best answer by Critter-3

Switch to the FORMS mode and check the entries ... where any of them assets you are depreciating instead of expensing ?

M

Mike9241

Have you checked your entries to make sure you did not mistype any? You seem to be the first to post about Turbotax making an addition error in the app. if you imported from say Quickbooks did every item come in?

Critter-3Answer

Switch to the FORMS mode and check the entries ... where any of them assets you are depreciating instead of expensing ?

J

JLogasAuthor

That was a great idea to switch to forms! The step-by-step method differs quite a bit from the forms method. Built into the forms (Other Deductions Worksheet) but not the step-by-step, in my case, are amortization, meals/entertainment, outside services/independent contractors, and other (line 35). The Other Deductions Worksheet form is missing interest. If I make all of these additions and subtract for interest, I do get TurboTax's result in the step-by-step method. It is very confusing that TurboTax does not ask these questions in the same section. The interest expense is found on form 1120S p1-2 line 13. All of my deductions do appear on form 1120S.

Depreciation did not come into play in this case as no depreciable assets were included in Other Deductions nor should there be.

After a little bit of detective work on my end, you have answered my question. Thank you.