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January 27, 2022
Question

Potential Turbotax 2021 bug - Tennessee Tax Return

  • January 27, 2022
  • 5 replies
  • 0 views

According the the Tennessee Department of Revenue, the Hall (Tennessee State) income tax was repealed for tax periods beginning January 1, 2021. However, the latest download of Turbotax claims that I need to pay for, download, and complete a Tennessee state tax return. Am I missing something?

    5 replies

    Employee
    January 27, 2022
    **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.**
    January 27, 2022

    That only works if you've downloaded and entered information into the state return. There is no reason to pay Turbotax to obtain the state software for a Tennessee state return when Tennessee no longer has a state income tax and thus there is no Tennessee data/return to delete. Turbotax should recognize this and treat Tennessee residents the same way it treats residents of the other states that do not have a state income tax.

    February 14, 2022

    I am in the same situation with the State of Tennessee Department of Revenue return.  In past years, after inputting all information, you could look at your Tennessee return to see mount owed.  Now when you try to go to the state return, it keeps looping asking you to put in your state which was included in Premier. TT Tech said it would only come up after filing federal and getting your receipt from the IRS. Really ??????  Does anyone know if we still have to pay on dividends and capital gains which were reinvested in your IRA ??  Maybe TT is smarter than I think because it won’t pull up the return.

    DMarkM1
    February 14, 2022

    TN does not have a state income tax at all beginning with tax year 2021.  The Hall Tax on interest/dividends was repealed beginning 1 Jan 2021.  

     

    Here is the TN notice.

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    February 23, 2022

    DMarkM1 is correct.  The Hall Tax has been repealed effective 1 Jan 2021.   But, instead of Turbotax informing you that no return is necessary they point you to the website to purchase a TN state return for 2021. 

    February 28, 2022

    As some others have stated, the TN tax exclusion really should be something TT can add to the software. I wasted hours on the phone with TT Support and doing research to try and figure this out. I pay for TT so I don't have to be a tax expert to file simple returns. I paid for FED + State... so to expect a little note there like I have seen in the past for other states "it does not appear you need to file for TN ... because..."

     

    Come on TT it is a small thing.

    February 28, 2022

    I have talked to the Tennessee Department of Revenue twice.  The Hall Tax has been repealed as of 1-1-2021.  We NO longer pay state taxes on dividends, interest, etc. to the state, however, of course, they are included in our federal return.  This is why we cannot bring up a Tennessee State Tax return within turbo tax.  Forget about TT customer service. You would think they would know this information.  After getting the run around and incorrect answers twice, I decided to go to the Dept of Revenue.

     

     

    March 5, 2022

    Wow.  I didn't know about the Hall Tax, which is great, but I paid for the federal and state package to get TN, and also paid another $40 to get Ohio.

     

    Now trying to get ahold of anyone at TT to get a refund on the $40 and let the free state be OH....best of luck.

     

    Oh, and I was on the phone for an hour with a rep from TT last night trying to get TN to download.  We ended it with him saying, "try logging in Monday and see if it works then".  Their disclosure message on the screen to purchase the states shows states that doesn't charge any income tax, and TN was NOT one of them.

    Employee
    March 5, 2022

    No one in the user forum can resolve a billing issue.  If you have a question about your TurboTax fees or billing, make sure you use the word “billing” in your request for help.  Do not use the word “refund.”

     

     

    https://ttlc.intuit.com/questions/1899263-what-is-the-turbotax-phone-number

    **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.**