Member

state sales tax wrong

I've used Turbo Tax for many years, but I am really unhappy right now.  I spent the day putting in all the info. and then looked at the figures comparing this year and last year.  Couldn't figure out why it showed the state sales tax deduction as being $500 less than last year.  After figuring it with the IRS tool and looking up the worksheet Turbo Tax did, I discovered Turbo Tax had used the correct 6.25% state tax number, but had put 0.00 for my local tax rate!  I had to manually override it and change it to 2.0% to get the correct 8.25% rate we pay and have it match the IRS computation.  It meant another $110 for my tax refund!  I should never have to worry about Turbo Tax's mathematical errors!  Now I'm wondering if it did all our investment calculations properly.  At the very least, I'd like back the price I paid for this year's TT CD.  I took screenshots of all of it.  Has anyone else run across this?

8 Comments
TurboTax Specialist

state sales tax wrong

In the Sales Tax section, TurboTax asks that you enter the combined total state and local sales tax rate. You shouldn't have had to override anything. See example.

 

Member

state sales tax wrong

It didn't ask me to put in my state percentages.  I have a screenshot, but can't upload it for some reason.  It said:

 

Let's Compare Your Sales Tax and Income Tax

 

Based on your entries so far, we recommend the sales tax deduction for you.

Here's how they compare:

Your state and local income tax deduction   - 0

Your estimated state sales tax deduction - $1374

 

(Instead of $1374, it should have said $1814!

 

TurboTax Specialist

state sales tax wrong

Yes, so on that page you select continue and then select the EasyGuide link on the next page. Enter you dates that you lived in your state, continue and you will see the page I listed above. 

 

Note: From the page you listed above, the amount is listed as 'Estimated'. You have to complete the section to get the final figures. If you have overrided amounts in Forms mode, go back and remove, then complete the sales tax section. Overrides void any program warranties.  

 

 

It didn't ask me to put in my state percentages.  I have a screenshot, but can't upload it for some reason.  It said:

 

Let's Compare Your Sales Tax and Income Tax

 

Based on your entries so far, we recommend the sales tax deduction for you.

Here's how they compare:

Your state and local income tax deduction   - 0

Your estimated state sales tax deduction - $1374

 

(Instead of $1374, it should have said $1814!

 

Member

state sales tax wrong

I went to the form, canceled the override, went back to the step by step.  It lets me put in .0825, but it STILL comes up with the wrong $1374!  The IRS calculator for AGI between $140,000 and $160,000 in Texas shows the State sales tax as being $1374, the Local sales tax as $439.68 and the total sales tax deduction as $1813.68.  I do appreciate your help, but this is making me crazy!

Member

state sales tax wrong

When I go back to the forms now, it's back to showing my local sales tax percentage as 0.  If I'm answering correctly in the step by step that the total is .0825 and it's not changing the figure, how am I supposed to get it corrected without changing it manually on the form?

TurboTax Specialist

state sales tax wrong

Are you entering in the field box .0825 or 8.25? Enter 8.25 please.

Member

state sales tax wrong

Bless you!!!!  That fixed it!  Thank you so much.  I greatly appreciate your help!!!

TurboTax Specialist

state sales tax wrong

You are so very welcome! Smiley Happy