The reason you owe state income taxes is because you didn't pay in enough state income taxes, from your paychecks, to cover the taxes based on your income (earnings). Contact your Human Resources or payroll department to see how you can adjust your state withholding so you don't owe next year. There may be several other factors that go into having a shortfall at the end of the year. The following are some suggestions to help you find the reason why. Double check the amounts you entered into TurboTax to make sure they were entered correctly. Do a state income tax return line by line comparison to see what is different this year versus last year. Your 2020 State Tax Withholding was lower than 2019. You deferred less income into your Employer-Sponsored Retirement Plan or Flexible Savings Plan. You didn't qualify for a tax credit you received last year (or the credit amount decreased). You removed a dependent. You changed your filing status. If you itemize, your Itemized Deductions are lower this year. or the standard deduction is lower. To pay your state income tax amount due, see the following: Although a growing number of states offer direct-deposited refunds and/or let you pay your taxes with direct debit, not all states offer this. When you get ready to file your state return, we'll let you know which tax refund and tax payment options your particular state offers. You can also visit your state's website or contacting your state Department of Revenue for more information. Related Information: Can I pay my state taxes from my federal refund? How can I pay my federal taxes? What are the different options for getting my federal (IRS) tax refund?

Question

I am not understanding why I owe state taxes of $446

Forum|Forum|5 years ago
February 8, 2021
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HelenC12

The reason you owe state income taxes is because you didn't pay in enough state income taxes, from your paychecks, to cover the taxes based on your income (earnings).

Contact your Human Resources or payroll department to see how you can adjust your state withholding so you don't owe next year.

There may be several other factors that go into having a shortfall at the end of the year. The following are some suggestions to help you find the reason why.

Double check the amounts you entered into TurboTax to make sure they were entered correctly.
Do a state income tax return line by line comparison to see what is different this year versus last year.
Your 2020 State Tax Withholding was lower than 2019.
You deferred less income into your Employer-Sponsored Retirement Plan or Flexible Savings Plan.
You didn't qualify for a tax credit you received last year (or the credit amount decreased).
You removed a dependent.
You changed your filing status.
If you itemize, your Itemized Deductions are lower this year. or the standard deduction is lower.

To pay your state income tax amount due, see the following:

Although a growing number of states offer direct-deposited refunds and/or let you pay your taxes with direct debit, not all states offer this.
When you get ready to file your state return, we'll let you know which tax refund and tax payment options your particular state offers.
You can also visit your state's website or contacting your state Department of Revenue for more information.