I owe money - About 1000s of dollars. How ?

Forum|Forum|1 year ago
April 9, 2025
1 reply
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Hi,

I am Yoshita Sharma. I am a full time corporate employee. I am not a business owner.
I see that I owe 5,700$ in federal taxes. I have never owed such a huge amount in Washington state in the past year. I am using the premium turbotax version. Is something wrong with the way I am filling my information?

As for forms, I have W-2s, I have 1099-DIV, 1099-INT. I had a Roth IRA rollover last year but I don't seem to have any tax form related to that.

Ask the Experts - Tax Due - April 2025

DawnC

Employee

Double check your entries and make sure you did not make a typo, especially the federal tax withheld boxes (box 2 on your w-2). If you did not have enough tax withheld, you may need to give your employer an updated W-4 to increase your withholdings. How do I update and print a new W-4?

Look at your Form 1040 and see if anything looks off. Preview Form 1040 in TurboTax Online. Save a PDF copy of your return and make sure there are no extra forms or schedules included.

You should have received Form 1099-R for your IRA rollover. Contact the custodian to get a copy. Where do I enter a 1099-R? Although, a rollover will generally not change your tax situation.

If the 1099s are for taxable income (dividends and interest) and they are large amounts and no tax was withheld, that will increase your tax bill. The amounts, if large enough, can put you into another tax bracket.

Owing taxes unexpectedly can be confusing. There are several reasons why this can happen, including receiving unemployment income or taking on an additional job. See this TurboTax FAQ

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ysharmaAuthor

Sorry I would edit one aspect of my question. I had rolled over by 401K money from my previous employer's account to my new employer's account. That included both 401K and traditional Roth. Should I still be getting a tax form?